Unlock the Power of Solar in Indiana with Generous Incentives and Rebates
Going solar in Indiana is a smart investment, thanks to the state’s attractive incentives, rebates, and solar-friendly policies. With abundant sunshine and high energy needs, Hoosiers have compelling reasons to harness the power of solar energy. Discover how you can maximize the benefits of going solar in the Hoosier State.
Indiana’s Solar Incentives, Rebates, and Benefits at a Glance
Federal Solar Investment Tax Credit (ITC)
The federal ITC is a game-changer for Indiana homeowners who purchase solar panel systems outright. This significant tax credit currently offers a 26% deduction on the system’s cost. However, the credit will drop to 22% in 2023, so acting now is advantageous. If you install solar by the end of 2032, you can claim a 30% tax credit on your solar system’s total cost, including equipment, labor, and permitting fees.
Example: If your solar energy system costs $20,000, you would be eligible for a $6,000 federal tax credit (30% of $20,000).
Voluntary Renewable Portfolio Standard (RPS)
Indiana’s voluntary RPS, also known as the Comprehensive Hoosier Option to Incentivize Cleaner Energy (CHOICE), encourages utility companies to source 10% of their energy from renewable sources by 2025 – a relatively achievable target compared to many other states.
Net Metering
Indiana’s net metering law is favorable for solar owners, allowing them to connect their systems to the public grid and offset their electricity costs with credits earned from excess energy production. If your system generates more power than you need, the excess is sold to the grid, and you receive credits on your utility bill.
Performance-Based Incentives (PBIs)
Indiana offers lucrative Performance-Based Incentives (PBIs), also known as Power Performance Payments from NIPSCO. These incentives are based on the actual energy your system generates, with payments determined by the kilowatt-hours (kWh) or BTUs produced.
Solar Renewable Energy Credits (SRECs)
SRECs are certificates that represent the renewable energy generated by your solar system. The value of these credits fluctuates based on supply and demand, providing an additional revenue stream to help offset your system’s cost.
Sales Tax Exemption
Indiana homeowners who purchase solar panels are exempt from paying sales tax on the installed system’s cost, saving you 7% – a significant amount considering the investment required.
Property Tax Exemption
Adding a solar system to your property will not increase your property taxes in Indiana. The state exempts the added value from solar installations, ensuring you continue paying property taxes based on your home’s pre-solar value.
Solar Easement Laws
Indiana’s solar easement laws protect your right to access sunlight for your solar installation and prevent zoning officials from obstructing your system’s performance.
Embrace the Solar Revolution in Indiana
With an array of incentives, rebates, and solar-friendly policies, investing in solar energy in Indiana is a smart choice that benefits your wallet and the environment. Reduce your carbon footprint, hedge against rising utility rates, and take advantage of the state’s solar incentives today!
Discover if you qualify for zero-down solar installation and solar rebates by entering your zip code below.
