Thinking about installing a solar energy system at your home or business in Southern Oregon? You’ll be happy to know that there are numerous incentives available to help you save money. In this post, we’ll discuss the various state and federal incentives that can help you reduce the cost of your solar installation and maximize your savings.
Oregon Solar Incentives
- Energy Trust of Oregon: This non-profit organization provides incentives and technical assistance to help residents and businesses in Oregon reduce their energy bills. For Pacific Power customers, the Energy Trust of Oregon offers a cash incentive of $0.40 per watt for all installation types, to a maximum of $3,200 per site. To qualify for this incentive, the system must be owned by the homeowner, must be located in Oregon, and must be installed by an approved Energy Trust contractor, such as True South Solar. Energy Trust of Oregon offers a variety of other incentives for residential and commercial solar installations, including cash incentives, rebates, and low-interest loans.
- Residential Low-Income Solar Incentives: There are also two valuable programs for those households who qualify as low-income: Solar Within Reach and the Oregon Department of Energy’s Low-to-Moderate Income program. Solar Within Reach is only eligible to Pacific Power customers. It can be accessed along with the Low-to-Moderate Income program if you are eligible for both.
Federal Solar Incentives
- Federal Investment Tax Credit (ITC): The ITC is a federal tax credit available to homeowners and businesses who install a solar panel system. The tax credit covers 30% of the total cost of your installation, making it a valuable incentive for those looking to save money on their solar investment.
- Energy Efficient Mortgage (EEM): Some homeowners who install a solar panel system can take advantage of an EEM, which allows them to finance the cost of their solar installation as part of their FHA mortgage. This can make it easier for new homeowners to afford a solar panel system and save money on their energy bills over time.
- Federal Tax Deduction for Businesses: Businesses that install a solar panel system can take advantage of a federal tax deduction of up to 100% of the cost of their installation. This can help reduce the overall cost of the installation and provide significant savings for businesses looking to go solar.
The City of Ashland currently offers a cash incentive of $600 per residential or commercial installation. To qualify, the system simply needs to be owned by the building owner or tenant, feed into the building with an attached net meter, have sufficient solar access per the Oregon Department of Energy, and comply with city permitting requirements.
While these are the most common incentives available in Southern Oregon, a number of other options are available to make your solar system a reality. For commercial installations, the Oregon Department of Energy offers competitive grants, and the USDA Rural Energy for America Program awards loans and grants. Taxpayers may also qualify for the Alternative Minimum Tax and be able to put the current federal tax credit against that, due to the Energy Improvement and Extension Act of 2008.
In conclusion, there are many incentives available to residents and businesses in Oregon who are looking to install a solar panel system. By taking advantage of these incentives, you can reduce the cost of your solar installation and maximize your savings. If you’re ready to go solar, contact us today to learn more about how we can help you make the most of these incentives and save money on your energy bills.