All you need to know about Texas solar energy incentives
There are many advantages of going solar. For instance, by powering either your home or your business, you will be able to save tons of money on electricity while saving the planet at the same time.
Thus, taking advantage of the overflowing Texas sunshine to produce clean and renewable energy makes sense! But, we understand why you may be intimidated – installing solar panels on your home or your business can come with a hefty price tag.
Luckily, there are plenty of incentives that can help you get started. So, if this is something you may be interested in, keep on reading as we will share with you all you need to know about Texas solar energy incentives.
As previously mentioned, there are many incentive programs in the state of Texas. Thus, let us begin with one that offers the most benefits – the federal one. If you decide to go solar, you should take advantage of the Solar Investment Tax Credit or ITC. ITC is a federal tax credit that has a system of “dollar for dollar” reduction on all income taxes. Currently, the tax credit for all green projects is 26%. However, the situation will change in 2023 when the tax credit is expected to decrease (around 22%). In 2024, the tax credit will be 10%, and in 2025, the tax incentive will go away entirely. Thus, if you plan on installing solar panels in Texas, act quickly. The sooner you install them, the bigger incentive you will get, and the more money you will save.
Did you know that Texas is one of the states that are winning on clean energy? But, it is worth mentioning that Texas does not offer any statewide solar tax credits. However, it does encourage local utilities to provide incentives for residential and commercial establishments. Incentives are given to those who are just starting these going-solar projects and those who need a solar panel replacement or a battery backup. State incentives vary depending on the city. But, one thing is always the same – with a state incentive, homeowners and business owners can get a price-per-watt basis completed at an ultimate amount per project. If you are unsure how to apply for a state incentive (or any other Texas solar energy incentive), go to your local utility company – they will tell you where and how to start.
When moving to Texas or anywhere else in the world, you must know what to expect moneywise. For instance, you must know what type of housing is available there, how much the whole relocation will cost you, etc. The same applies to installing solar panels in your Texas home. As this is a pricy investment, you must know what incentives the city offers to help those trying to produce green energy. There are many local incentives in Texas, but they vary depending on the city you are in. So, let us share with you some of the most common local incentives you should consider.
- AEP – American Electric Power
- Austin Energy
- Centerpoint Energy
- El Paso Electric
- Farmers Electric Cooperative
- Greenville Electric Utility System
- Hilco Electric Cooperative
- Lower Colorado River Authority
- New Braunfels Utility – NBU
- United Cooperative Services
- Wise Electric cooperative
- Oncor Electric Delivery
These are just some of the Texas solar energy incentives you can take advantage of. As previously mentioned, the type of incentive you can get depends on the city you are in. If you do not know where and how to get this journey started, you can always contact your utility company and ask about the programs they offer. They can give you first-hand information and advise you on your future money-saving steps.
Net Metering Program Incentive
It is good to know that some utility companies offer solar incentives while others participate in net metering. Namely, net metering is a billing arrangement that you can create with your utility company. With that arrangement, if you overproduce energy, you can sell it back to the grid. But, of course, you cannot go to your utility company and demand them to pay this money to you – the money from the sold energy will be deducted from your next energy bill.
However, keep in mind that net metering is not available in all cities in Texas, so if you decide to opt for this ‘incentive’, call your utility company first. And, in some areas, you will be able to take advantage of both net metering and some kind of incentive. If that is the case where you live or where you will live, we strongly suggest that you start looking for the best solar power companies in Texas right now!
Texas solar energy incentives explained
If you have the option to go green, that is, to install solar panels on your residential or commercial establishment, you should do so. The benefits are enormous! You will significantly reduce your energy bill, or in some cases, you may eliminate it entirely. Moreover, you will earn rebates and tax credits too – another great way to save a lot of money. And, last but certainly not the least, buy installing solar panels in Texas (and pretty much everywhere else in the world), you will help save the environment and all the beings living on this planet of ours!
And, even though installing solar panels can be a costly investment, there are plenty of incentives that can help you out. You can either apply for Texas solar energy incentives – federal, state or local. Or you can take part in a net metering program. Either of these four options can help you save a lot of money. Do some research on your own too! And, if you still have difficulties understanding what to do, ask your local utility company for help.
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