Solar Incentives are Better Than Ever by matthew

If you’ve been thinking about solar, CPA Kenton Smith’s recent article in the Journal of Accountancy tells us that the best time to buy is…now! Government incentives and lowering prices have made home solar an even better investment in the last few years. Here’s why:

1. Solar is getting cheaper!

“The cost of solar components has been dropping, and electricity prices will likely go up,” Swift explains. “Taken together, these developments make installing a solar electric or solar water heating system much more appealing than in the past.”

2. National solar tax credit

One of the most helpful incentives is the national 30% tax credit for installing solar panels and other renewable energy. The credit used to prevent homeowners from claiming more than $2000, but congress removed this cap in 2009. Now, if you buy a new system you can credit the full 30% toward your taxes.

3. State-wide PACE programs

California and New Jersey are two states with strong incentives in place, and innovative PACE programs have sprouted up around the country. PACE lets homeowners borrow money from a city to install clean energy and pay back it back through their property taxes over 20 years.

On February 1st, the Obama administration proposed $302.4 million in funding for solar programs, a 22% increase of over last year.

Many leaders in the sector applauded the news, saying it showed his commitment to the solar industry. (You can read the Reuters article here.) In his recent State Of The Union address Obama stated: “To transform our economy, protect our security, and save our planet from the ravages of climate change, we need to make clean, renewable energy the profitable kind of energy.”

Here at 1BOG we’ve seen the solar fever firsthand, as our membership has swelled to almost 20,000 people who want to join a community solar purchase program in their area and we look forward to serving their solar needs in the future!