Go Solar in Florida!
Florida is one of the sunniest states in the country. It also provides an excellent sales tax exemption for solar energy as well as one of the best net metering laws. Though Florida still has a lot of improvements to make regarding state solar incentives, its sunshine and generous net metering law means there is a successful future of solar energy in the state.
The Florida Legislature has not passed a Renewable Portfolio Standard, and there is no statewide solar power rebate or tax credit program in Florida. But, because Florida is tied for the 30th highest utility prices in the nation, there is no time like the present to “go solar” in the Sunshine State. This is a great opportunity to increase the value of your home, reduce your utility costs, and invest in the future of the planet. The basic facts are clear: The power your solar panels produce reduces your electric bill. The higher the price of that energy you pay for every month, the more you save by generating your own.
Florida 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.
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.
Florida Electricity Prices
Florida is tied for the nation’s 30th 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.