Harness the Power of the Sun with Nebraska’s Solar Incentives
While Nebraska may be the 14th sunniest state, its solar capacity ranks a modest 47th nationwide, with enough solar power to meet the needs of only 7,100 homes, according to the Solar Energy Industries Association (SEIA). However, the state has witnessed a surge in residential solar installations, doubling from 2020 to 2021. Encouragingly, the cost of going solar in Nebraska has plummeted by over 50% in the past decade.
Unlock Nebraska’s Solar Incentives, Rebates, and Benefits
Net Metering: A Bright Opportunity for Nebraska’s Solar Adopters
Nebraska’s net metering program enables solar panel owners and other renewable energy generators to connect to public utilities. This innovative system allows customers to offset their utility costs by earning credits for their excess energy production. Any surplus electricity generated by your solar system is sold back to the grid, and you receive a credit on your power bill. However, Nebraska’s approach to net metering deviates slightly from the traditional model. Instead of rolling over excess credits indefinitely, monthly surplus energy production (known as “net excess generation” or NEG) is credited to your next bill at a rate determined by the utility. Nebraska’s net metering program is available to all solar systems up to 25 kW capacity, with participation granted on a first-come, first-served basis until the net-metered systems reach 1% of the utility’s peak electricity demand from the previous year.
Explore Your Eligibility for Zero Down Solar Installation and Rebates!
State Rebates: Unlocking Savings with Lincoln Electric System
While Nebraska lacks a statewide solar rebate program, customers of Lincoln Electric Systems (LES) may be eligible for substantial rebates. This one-time capacity payment is available to customers who use a solar installer from LES’s Solar Trade Ally Network. The rebate amount for solar energy systems in Nebraska depends on the size and orientation of the system. LES recommends a rebate of $375 per kW of capacity for south-facing panels, while west-facing or tracking panels could qualify for up to $475 per kW installed.
Nebraska State Tax Credit: A Bright Opportunity for Solar Savings
Nebraska offers a state tax credit as part of its solar incentives program, allowing you to lower your state taxes by deducting all or part of the cost of your solar system. Unfortunately, the average property owner installing solar in Nebraska is not eligible for a state sales tax exemption.
Solar Loans in Nebraska: Financing Your Renewable Future
The Nebraska Dollar and Energy Savings Loan program provides low-interest loans for energy efficiency improvements and renewable energy projects, including solar. Solar projects can secure an interest rate as low as 3.5% with loan terms up to 10 years.
Property Tax Exemption for Solar in Nebraska: A Partial Benefit
While Nebraska does not offer a property tax exemption for homeowners who install solar panels, those participating in solar community projects can indirectly benefit from an exemption provided to systems with a capacity exceeding 100 kW under the state’s solar incentives program.
Don’t Forget the Federal Tax Credit, Nebraska!
In addition to state incentives, Nebraska residents can take advantage of the Federal Tax Credit for solar energy, equal to 26% of the solar panel system cost. This credit can be deducted from your federal income tax and is available to system owners who pay for the installation with cash or a loan. If you install the system before 2032, you can enjoy a 30% federal tax credit for the system’s entire cost, including equipment, labor, and permitting. For example, if your solar system costs $20,000, you can receive a federal solar tax credit of $6,000.
Nebraska’s Solar Incentives and Rebates at a Glance
While Nebraska may not be the most advantageous state for solar installations due to its low electricity costs, property owners seeking energy independence and a reduced carbon footprint can leverage various solar incentives in the Cornhusker State. Embrace the power of the sun and explore the financial benefits of going solar in Nebraska today.
