What are solar incentives and rebates?

What are solar incentives and rebates?

Are you thinking of switching to solar power? It is one of the most effective and futuristic ways to power your home. Clean, safe, and environmentally-friendly energy all comes from the sun - perfect for modern households. With this technological choice, the cost may be a deterring factor for many. Switching to solar energy is not cheap, however, with various government incentives, you can reduce the cost of your switch. So what are solar incentives? We are here to help; just keep on reading to find out everything you need to know.

Types of Solar Incentives and Rebates

There are two main types of solar incentives: tax credits for solar and rebates. Tax credits are applied directly to your income tax bill, while rebates are offered as a lump-sum payment based on the size and efficiency of your system. State and local governments offer the majority of solar incentives, although some utilities also provide rebates. Solar power incentives and rebates can vary greatly in amount and type, so it’s important to research what’s available in your area before buying a solar system. You might want to start your journey to solar power now to get these incentives. Gather more information to get you going!

How Incentives and Rebates Work

There are numerous solar power incentives and rebates available at the federal, state, and local levels. The federal solar tax credit, allows you to deduct 26% of the cost of installing a solar PV system. The ITC applies to both residential and commercial solar installations. Additionally, many states offer solar incentives. Incentives include solar rebates, solar tax credits, and net metering. Net metering is a policy that allows you to sell excess electricity generated by your solar PV system. You get to sell it back to your utility company at the same rate that you pay for electricity from them.

Solar rebates are typically offered by your utility company and vary depending on your location. Be sure to check with your state and local governments to find out what solar energy incentives and rebates are available to you.

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