Harness the Power of the Sun with North Carolina’s Solar Incentives and Rebates
As the 21st sunniest state, with 77.6% sunlight and 4,466 kJ/m² of solar radiation, North Carolina offers an ideal environment for homeowners to embrace renewable energy through solar power systems. The state’s commitment to promoting sustainable energy sources is evident in the attractive solar incentives and rebates available to property owners.
North Carolina’s Solar Incentives: A Pathway to Savings
While energy suppliers in North Carolina have met their Renewable Portfolio Standard (RPS) goals, leading to a reduction in solar incentives, the state continues to offer compelling benefits for those considering a solar energy transition. Despite the expiration of the state tax credit, the cost and payback period for installing a solar system in North Carolina remain favorable compared to many other states.
Performance-Based Incentives: Rewarding Solar Power Generation
One of the ongoing solar incentives in North Carolina is the Solar Power Performance Payment program. This incentive rewards homeowners based on the metered power generated by their solar systems. By earning Solar Renewable Energy Credits (SRECs) for every kilowatt-hour produced, you can enjoy additional financial benefits from your solar investment.
Net Metering: Maximizing Your Solar Energy Savings
North Carolina’s net metering policy ensures that you receive credit for all the excess electricity your solar system generates. The state’s three major utility companies – Duke Energy, Progress Energy, and Dominion North Carolina Power – are required to compensate customers at the full retail rate for any excess kilowatt-hours produced and not consumed on their property. These credits can be carried over to offset future energy bills, maximizing your solar energy savings.
Interconnection Standards: Streamlining the Process
North Carolina’s interconnection standards provide clear and transparent guidelines for utility companies and property owners, making the process of connecting solar systems to the grid more convenient and efficient.
Solar Rebates: Upfront Cost Savings
Duke Energy and Duke Energy Progress offer a solar rebate program for homeowners, providing upfront cost savings on the installation of solar systems. Residential customers can receive a rebate of $0.40 per watt for systems up to 10 kilowatts, while non-residential and non-profit customers can also benefit from rebates of $0.30 and $0.75 per watt, respectively, subject to specific limits.
Property Tax Exemptions: Protecting Your Investment
To further encourage the adoption of solar power, North Carolina exempts any increase in property value resulting from the installation of a solar energy system from property taxes. This means that the entire expected electricity cost savings are reflected in your home’s value without incurring additional property tax burdens.
Federal Tax Credit: A Nationwide Incentive
In addition to state-level incentives, homeowners in North Carolina can take advantage of the federal solar tax credit. This credit allows you to deduct 30% of the total cost of your solar panel system, including equipment, labor, and permitting, from your federal taxes if the installation is completed before the end of 2032. The credit is scheduled to decrease to 26% from 2033 onwards.
Revolving Loan Options and Local Rebates
Several cities and counties in North Carolina offer low-interest loans for energy upgrades, including solar panel installations. These loans have attractive terms, with a maximum duration of 20 years, an interest rate cap of 8%, and easy renewal options. Additionally, residents of Asheville can benefit from a rebate on their building permit when installing solar on their residential or commercial properties, providing an extra incentive to go solar.
Embrace the sun’s abundant energy and take advantage of North Carolina’s solar incentives and rebates today. Transition to a sustainable future while enjoying significant cost savings and contributing to a greener environment.
