Some common types of Solar rebates and incentives that may be available include:
1. Federal Investment Tax Credit (ITC): This is a federal tax credit that allows homeowners and businesses to deduct a percentage of the cost of their Solar energy system from their federal taxes. The ITC currently allows for a 26% tax credit for Solar installations in 2020 and 2021, with a gradual decrease to 22% in 2023.
2. State and local rebates: Many states and local governments offer their own rebates and incentives for installing Solar panels. These can include cash rebates, performance-based incentives, and property tax exemptions.
3. Renewable Energy Certificates (RECs): RECs are tradable certificates that represent the environmental benefits of generating electricity from renewable sources. Some states have programs that allow homeowners and businesses to earn RECs by generating Solar power, which can then be sold for additional income.
4. Net metering: Net metering programs allow Solar energy system owners to receive credit for excess electricity they generate and send back to the grid. This can help offset the cost of electricity purchased from the grid when Solar production is low.
5. Solar Renewable Energy Credits (SRECs): Some states have SREC programs that allow Solar system owners to earn credits for every megawatt-hour of electricity their system generates. These credits can be sold on the open market to utilities and other entities looking to meet renewable energy requirements.
6. Solar rebates from utilities: Some utility companies offer rebates or incentives for customers who install Solar panels, either as a direct payment or as a credit on their utility bill.
It’s also worth considering that some Solar rebates and incentives may have specific eligibility criteria or requirements, such as system size, installation by a certified installer, or ongoing monitoring and reporting. Be sure to thoroughly research and understand the terms and conditions of any rebates or incentives before making a decision to install a Solar energy system.
