As solar energy is becoming increasingly popular, it’s becoming more accessible. Thanks to the solar incentives available every year, homeowners have plenty of cost-effective measures to power their homes. And in 2023, they’re better than ever, as homeowners save thousands on their home solar installation and help the environment simultaneously. Are you looking to take advantage of these incentive programs? Let’s break down the different solar incentives available for homeowners in 2023.
1. Federal Tax Credits
A federal tax credit allows homeowners to deduct 30 percent of their total solar installation costs from their taxes. This incentive is suitable for both residential and commercial applications and can be claimed that year for any system installed before December 31st, 2023. It applies to purchase and lease arrangements, so you don’t have to spend much money upfront. Plus, if you don’t owe enough taxes to take full advantage of the credit, you can roll it over into future years until it’s all used up.
2. Solar Lease Programs
Solar leases are becoming increasingly popular, with homeowners looking to go solar without breaking the bank. You can lease a panel system from a third-party company and pay monthly or yearly rates instead of buying outright. The company will install everything for free and handle all maintenance, while you benefit from lower electricity bills immediately! Not only that, but some companies offer additional incentives such as cashback or credits on your energy bill when you sign up for a solar lease program.
3. Utility Rebates
Many utilities offer rebates for customers who install solar panels in their homes. These rebates vary by state but typically range anywhere from $500-$5000 depending on panel numbers, the size of the system, or the type of roofing material used. To discover available incentives in your state, ask your utility provider and check out the Database of State Incentives for Renewables & Efficiency (DSIRE) before installing your system so that you don’t miss out on any potential rebates or incentives available in your area.
4. Grants
Various departments in the federal government offer grants for homeowners interested in going solar in 2023. These grants focus more on low-income and rural households aiming to provide cost-saving power energy to those who need it most. To find out whether your home is eligible, visit the U.S. Department of Energy’s Office of Energy Efficiency and Renewable Energy website.
5. Net Metering
Most states also offer net metering programs that allow homeowners with solar panels to sell excess electricity back into the grid at total retail value (rather than wholesale). It is a great way to maximize savings and get a return on your investment. Keep an eye out for any changes made to net metering policies in your state, as some states are beginning to phase out these programs due to over-subscription issues.
Final Take
Going green is easier than ever before, thanks to a variety of incentives offered by both federal and state governments. If you’re considering installing a home solar system in 2023, look into of all the financial incentives available to maximize your savings. Don’t miss out on these great opportunities!