Transitioning to solar energy not only benefits the environment but can also save you money in the long run. In this blog, we’ll explore the various incentives and financing options available to make the switch to solar more affordable.
Federal Tax Credits:
• The Federal Investment Tax Credit (ITC) offers a significant tax incentive for solar installations.
• Eligible homeowners can receive a tax credit of up to 26% of the installation cost (as of 2021).
• Check for updates and consult a tax professional for the latest information.
State and Local Incentives:
• Many states offer additional incentives, such as rebates, tax credits, and performance-based incentives.
• Check with your state’s energy department or local utility for available programs.
Solar Financing Options:
• Cash Purchase: Pay for your solar system upfront, benefiting from the full cost savings over time.
• Solar Loans: Finance your solar system with a loan and make monthly payments.
• Power Purchase Agreements (PPAs): Lease solar panels and pay for the energy generated.
• Solar Leases: Rent solar panels with the option to purchase at the end of the lease period.
Solar Renewable Energy Certificates (SRECs):
• In some states, you can earn SRECs for the electricity your solar panels generate.
• These certificates can be sold to utilities, providing an additional source of income.
Net Metering:
• Net metering allows you to receive credits for excess energy your system generates and feeds back into the grid.
• These credits can offset your future electricity bills.
By taking advantage of these incentives and financing options, you can make the switch to solar energy more accessible and cost-effective.
In our next blog, we’ll explore the environmental impact of solar energy and how it contributes to a greener future.
Alex Neeley
Solar Division Sales Manager