Uncle Sam Wants You to Go Solar!
Federal and state incentive programs lower the net cost of installing a solar energy system. A lower out-of-pocket cost means a quicker payback and higher return on investment
Each state offers a different basket of incentives. Most grant programs are applied to the upfront cost of the solar installation. This makes it more affordable to put solar panels on your roof with a quicker payback.
A growing number of states have a system of trading Solar Renewable Energy Certificates (SRECs). The owner of a solar energy system receives one SREC for each 1,000 kilowatt-hours of solar electricity produced. The SRECs are then sold on exchanges to utilities and other companies.
The federal government offers a 30% Residential Renewable Energy Tax Credit for homeowners who go solar. Businesses can take advantage of US Department of Treasury Renewable Energy Grant. This is paid out as a lump sum equal to 30% of the value of the solar installation and equipment.
Qualifying farms and rural small businesses may be eligible for a US Department of Agriculture (USDA) grant under the Rural Energy For America Program (REAP). This grant can cover up to 25% of the cost of the project.
The Ontario Power Authority (OPA) in Canada has an exciting feed-in tariff program (FIT) to encourage the development of solar projects. This has made Ontario one of the hottest markets in North America for new solar development.
|
|
|
