Available Solar Incentives
Government Rebates and Tax Credits
Federal, state, and local governments offer financial incentives to encourage businesses to invest in solar photovoltaic (PV) energy. These incentives can dramatically reduce the initial investment of a PV system and can help you see return much sooner.
At all levels, incentives for renewable energy change regularly. AGT tracks all rebates, tax incentives and grant opportunities. AGT filters this information to provide Microsoft Excel based financial models that simplify the application process, and expedite ones incentive return.
State, Utility, and Distributor Rebate Programs
Most states, local utilities, and product distributors have developed programs to encourage businesses to use solar energy. The amount of the rebate varies by program and some are large enough to cover up to 50% of your system investment.
Federal Tax Credits
The federal government offers a number of solar incentives, including a 30% investment tax credit (ITC) on the solar system cost.
Renewable Energy Credits
Sustainable Renewable Energy Credits (SRECs) are tradable commodities that were developed to place a value on clean, renewable sources of energy. These credits can be sold to utility companies who need to meet mandated renewable energy portfolio standards (RPS) or the credits may be sold in voluntary markets to organizations seeking to meet renewable energy goals. As a producer of solar energy, you will be credited with one SREC for every 1,000 kWh (1 MWh) of electricity you produce. One can also use their SRECs to offset personal businesses consumption of fossil-based fuels.
In 2009, the Ontario, Canada Government announced the start of their Feed-In Tariff (FIT) Program as part of the implementation of Bill 150 – The Green Energy and Economy Act. The FIT Program is administered by the Ontario Power Authority (OPA) and provides government incentives for the purchase and installations of solar PV rooftop systems greater than 10 kilowatts in size.
Additional Information on Solar Incentive Programs
Solar incentives vary by geographic location. Find out more about programs in your area by visiting the Database of State Incentives for Renewable Energy (DSIRE).