California State Incentives For Solar Panels

Homeowners have access to rebate programs in many areas of the golden state.

California state incentives for solar panels.

Now california is becoming a leader in energy storage. Check out our top list of incentives to go solar in california. The california energy commission cec is updating its website for enhanced usability ada compliant accessible content and improved site navigability. The new solar homes partnership nshp is administered by the california energy commission cec and provides incentives for solar on new home construction.

In terms of reducing the initial cost of a solar power system the most lucrative california solar incentive is the federal 26 federal tax credit. Both homeowners and businesses qualify for a federal tax credit equal to 26 percent of the cost of their solar panel system minus any cash rebates. The golden state already leads the country in solar energy it has more solar capacity than any other state in the u s and nearly six times more solar than number two state arizona. To be eligible for the nshp incentive the home must receive electricity from one of the following investor owned utilities.

For residential homeowners this tax credit covers 26 of the total cost. Learn more about the federal solar tax credit including the timeline for the eventual end of the itc in 2022. Another incentive for going solar in california is the state s generous net energy metering nem program known as net energy metering 2 0 or nem 2 0. Here are just two examples.

The residential renewable energy tax credit as the irs calls it can be an attractive way to save on the significant cost of installing solar panels or roofing an average sized residential solar. This program allows you to sell any extra unused electricity produced by your solar energy system back to the utility company. Contents related to the new solar homes partnership program nshp and solar equipment lists sel are relocating from the go solar california website to the nshp webpage and sel webpage. The average cost of a 7kw residential solar power system in california is approximately 20 000 which the 26 tax credit effectively reduces by 5 200.

What are the main california solar tax credits and rebates. California s sgip rebate is one of the best incentives in the country for homeowners who want to install a home battery with their solar panels. Ensure you receive the full 26 solar tax credit and additional incentives for going solar in 2020. These rebates can pay solar shoppers anywhere from 500 total to 0 95 per watt of installed capacity.