Most Californians already know how great solar is at lowering their energy bills, saving the planet from carbon pollution, and helping them sell their homes faster and for more money. If you’ve been thinking about solar power for your home, you should know that the prices have never been cheaper, so why not get a quote now, before any more of California’s great incentives go away?
California Solar Incentives
Net Energy Metering (NEM)
Net Energy Metering or Net Metering allows consumers who generate some or all of their own electricity to access it anytime, not just when that power is being generated. Solar is not an “on demand” resource – you want electricity 24/7, not just when the sun is shining. That’s where net metering policies come in. They regulate how your solar installation connects with your local utility company to access electricity. through their delivery grid. The policies vary by state but most provide solar customers a way to store and access energy based on the kilowatts they generate. Costs vary depending on how much power the consumer generates and uses.
Most of the utility incentives in CA are depleted however there are a select number of utilities that still offer rebates. Please contact us and we can tell you if your utility currently is offering an incentive.
Federal Investment Tax Credit
All 50 states are eligible for a 30% Federal Investment Tax Credit (ITC) to reduce the cost of the system. This is calculated as 30% of the value of your system after the upfront rebate. If you choose to purchase or finance your system this tax credit goes to you directly through your federal tax return, and if you choose to lease your system will be assigned to your leasing partner which ultimately lowers your cost. Your solar specialist will calculate this for you and can consult with your accountant to fill out Form 5695 to claim your credit.
California Electricity Prices
California has the nation’s 7th highest electricity prices
Cost per kwh (cents)
Why are electricity prices important?
The power your solar panels produce reduces your electric bill. The higher the price of power, the more you save by generating your own.
And if electricity prices are low in your state, it might be because your utility company gets most of its energy from cheap coal. That makes solar less economical, but doesn’t take into account the long-term environmental costs of cheap fossil fuels.