Add Solar To Your BusinessFriday, September 16, 2022
Massive solar incentives are sweeping the country as the Inflation Reduction Act impacts the solar world. Federal, state, and regional governments are issuing tax breaks, rebates, and low-interest loan programs to incentivize a nation wide switch to renewable energy. Here's a quick summary of how some of these incentives can positively effect your transition to solar:
-The Inflation Reduction Act extended the 30% solar tax credit through 2032.
-This 30% tax credit applies to the gross system price, which includes any roof/electrical improvements needed to facilitate that installation. For instance, say your solar system plus necessary roof upgrades total $50,000 then your tax credit is $15,000.
-In order to claim this credit, the buyer must either purchase the system outright OR take out a loan. The buyer cannot lease the installation (or else the lease company would get the credit) and they cannot use PPA financing.
-In order to claim the credit, the buyer must submit IRS Form 5695 along with IRS Form 1040 when filing taxes.
-Duke Power offers a solar rebate for non-residential customers of $0.30 per watt up to $30,000 or $0.70 per watt up to $70,000 for non-profit organizations. Duke has run out of rebate funds for the first half of 2022, but customers can join a waitlist to receive this rebate.
-North Carolina has legislation providing solar customers with low-interest financing options. These loans can be no longer than 20 years and has an 8% interest cap.
-Duke Power also offers net metering policy that credits you for the extra electricity that you produce and allows you to use those credits when your system doesn’t generate enough power. Non-residential systems are capped at 1,000 kW.
The time to install your solar system is now. Between government incentives, power company incentives, and the overall off set of utility costs for your business, there's no better time. Call us today or visit us online to start your free estimate.