Unlock Savings with Missouri’s Solar Incentives and Rebates
Missouri enjoys abundant sunshine, ranking as the 18th sunniest state in the nation with an average of 78.97% sunny days per year. This abundant solar resource presents an excellent opportunity for homeowners to save money by installing a solar energy system on their property.
The financial incentives for going solar in the Show Me State continue to strengthen with the attractive Missouri solar incentives and rebates available to property owners who invest in solar power.
Missouri’s Solar Incentives, Rebates, and Benefits
Renewable Portfolio Standards (RPS) in Missouri
The state of Missouri has implemented Renewable Portfolio Standards (RPS) that require all utility companies to source 15% of their energy from renewable sources by 2021 and beyond. This mandate strongly incentivizes utilities to offer solar incentives to homeowners, as failing to meet the standards can result in significant penalties and fees.
Missouri’s Solar Carve-Out
Many states set a solar carve-out target to ensure a specific percentage of renewable energy comes from solar sources within a designated timeframe. These carve-outs are often included in RPS policies to promote the adoption of solar technologies. In Missouri, the solar carve-out is modest, requiring only 0.3% of energy to come from solar by 2021 and beyond.
Net Metering in Missouri
Missouri has a robust net metering law that benefits homeowners with solar panel systems. Net metering allows renewable energy system owners to connect their systems to the public utility grid. Through this policy, customers can offset the costs of the power they consume from the utility by earning credits for the energy they generate. If your system generates more energy than you need, the excess is sold to the utility, and they will credit your electric bill accordingly.
Missouri Solar Energy Rebates
Missouri offers generous energy rebates of $500 per kilowatt on solar energy systems through the state’s three major electric utilities. You can receive the rebate as a lump sum payment or have your installer deduct it from their bill. Opting for the lump sum payment may be advantageous, as the installer typically handles the paperwork.
Missouri Solar Property Tax Exemption
Missouri offers a special incentive for homeowners who invest in solar energy by exempting them from property taxes on the added value of their solar power system. Unlike other home improvements that can increase property value and result in higher taxes, installing a solar system will not trigger a reassessment. This means you can enjoy the benefits of solar energy without worrying about increased property taxes.
Don’t Forget the Federal Solar Tax Credit!
In addition to Missouri’s solar incentives, rebates, and exemptions, homeowners can take advantage of the Federal Solar Investment Tax Credit (ITC). The ITC is worth 26% of the total solar system cost and is deducted from your Federal income tax. However, it’s important to note that the tax credit only applies to systems that are purchased with cash or a loan, not leased systems. For leased systems, the incentives go to the third-party owner, making it a compelling reason to buy rather than lease your solar system.
Start Your Solar Journey in Missouri
Investing in a solar energy system in Missouri is a rewarding decision. Begin your journey today and take advantage of all the solar incentives and rebates available to homeowners in the Show Me State!
