Benefits of Going Solar

Solar panels are a great and easiest method to offset energy costs, cut the environmental effect
of a home, and offer many other benefits or paybacks, such as promoting energy independence
and supporting local businesses.

Overview:
By installing solar panels at home, monthly savings in many states can exceed $100. Solar PPA
(purchase power agreements) and solar leasing allow homeowners to spend little or no money
on solar energy. Many homeowners choose to use one of the "pay as you go" financing
methods to finance their solar panels. This means that third-party companies-solar providers-
own solar systems and are responsible for installation, monitoring, maintenance, and repair.
You only pay the electricity bill to your solar supplier, which is less than paying to a utility
company.

Since 2009, the $2,000 federal solar tax credit cap has been removed. You will get 30% of the
total system cost (installation and equipment). This means you will save $7,500 on a $25,000
solar system. Combining it with state and local rebates, the SREC (Solar Renewable Energy
Credit) can cut the total cost in half. Data from One Block Off the Grid shows that on average,
solar homes in New Jersey earn $5,000 to $7,000 each year by selling SREC points.

Manufacturers of solar panels use solar panels for 20 to 25 years. Industry standards guarantee
80% performance after 25 years. The actual life of solar panels is longer-solar panels may
generate large amounts of electricity in the next 30 to 40 years.

Buying a house with solar panels can reduce electricity bills. Solar panels will increase the
attractiveness of homes in the market, like homes in school districts, homes with low property
taxes, and homes with good energy ratings. A study conducted by the NREL (National
Renewable Energy Laboratory) concluded that sales of houses with solar panels increased by
20%, while sales of money increased by 17%.

Solar Incentives, Solar Renewable Energy Credits (SREC), and Rebates:

1. Colorado
In Colorado, you will also be rewarded for producing clean energy without even having to
pay any taxes on the new system. Colorado solar incentives and rebates can save money on
electricity.

Local Solar Rebates:

 Many Colorado-based utilities and local organizations offer cash rebates to homeowners
who want to install solar energy on their homes. These are just two examples, but there
are more local incentives.
 Holy Cross Energy: Holy Cross offers customers rebates per kilowatt (kW) to
reduce solar costs. For the first 6 kW, the reward is $750, and for large systems,
the reward is reduced. With such a large rebate, homeowners who install an
average 6kW system can save $4,500 in installation costs.
 Energy Smart Colorado: Installation of solar on homes in Howler Fork Valley,
Eagle Valley, and Summit County, with rebates are ranging from $400 to $3,000.
Rates are depending on where you live.

Federal Solar Tax Credit:

If you buy your solar system directly, you will be eligible for a federal solar tax credit in
addition to Colorado's solar incentives. The federal solar tax credit can reduce your
federal income tax by $1. If a domestic solar system is installed before December 31,
2019, a 30% tax credit applies. Starting in 2020, the value of the tax credit will drop to
26% and then again to 22% in 2021.

Solar Renewable Energy Credits in Colorado:

Solar renewable energy credit is another way that helps homeowners for saving on solar
energy. However, SREC can only be used after you have purchased the system, which
can make the operation very complicated. Some companies like Sunrun hold SRECs and
pass the savings on to you in the form of lower kWh rates, while kWh rates pay for
power rather than for the panel. You will have all the privileges of enjoying solar energy
without taking ownership risks.
Although there are many solar incentives in Colorado, most of them apply only to
people who buy their systems. Solar companies know that everyone's financial situation
is different, so they offer you multiple payment options to choose from, all of which can
help you save solar energy and save money. Net metering program is available in
Colorado.

2. Texas
Texas is the third-largest sunny state in the United States. Thanks to the outside world
because switching to solar energy in Lone Star State is easier and more affordable than
ever.

Solar Incentives and Rebates:

There are many Texas solar incentives at all levels. The Solar ITC (Investment Tax Credit)
is a federal tax credit that is one dollar and is used to reduce income taxes. This is a
gradual reduction plan, so from now until December 2019, the credit line is 30%.
However, as of January 1, 2020, the credit line has declined. Throughout 2020, this will
equal 26%. Then, ITC will fall to 22% throughout 2021, and after January 1, 2022, it will
drop to 10% for any completed projects. The sooner you follow it, the more money you
save.

Texas does not offer state-wide solar tax credits, but most local utility companies
provide incentives to promote solar power, add backup batteries or make energy-
efficient home improvements. State rebates vary in structure and availability, but most
utilities offer rebates to homeowners and business owners at a price per watt, with the
maximum rebate per project capped. These funds may be used on a permanent basis, or
they may be disbursed to residential or commercial solar installations on a regular basis.
The utility company has an application process for each project, and your solar installer
will manage it for you.
There are other local incentives defined below:
 CPS Energy: If you are a CPS Energy customer, you can get up to $1.20/W for
solar panels installed on the roof.
 Austin Energy: If you live in Austin, you get a $2,500 rebate. In addition, you are
also eligible for Austin Energy's "solar price", which means that you must pay
$0.097 per kWh that your solar panel can generate.
 Oncor: Houses powered by Oncor are eligible for a cash rebate of $538.83/kW
for installing solar panel systems. In addition, while Oncor customers are not
eligible for net metering, they do receive solar power credits of $0.2519 per
kWh.

Net Metering Program:

Some services provide solar rebates, while others participate in net metering. Net
metering is a billing arrangement between property owners and utility companies that
allows excess energy generated to be sold back to the grid. This money is usually used as
a credit in the next billing cycle. Network billing may only apply to specific customers. In
Texas's highly competitive electricity market, net metering and solar rebates can be
offered through REPs (Retail Electric Providers).