The future is NOW! Yes, you read that right. As more homeowners make a beeline for solar energy, the shift from traditional energy sources to solar is becoming more apparent. Firms like the New Jersey Initiative are leading the charge by making it easier for customers to access solar panels. In fact, their invaluable resources make their page the go to website for New Jersey homeowners looking to maximize their investment in solar.
And there’s no question that the new “solar boom” makes it easier than ever for homeowners to turn their homes into mini-power generators. Not only does this cut down on electricity bills, but it’s also great for the environment. In New Jersey, for instance, the cost of electricity is 33% higher than in other states.
As such, it makes sense to take advantage of the solar opportunity. What are the incentives promoting the solar boom? Multiple federal and state initiatives contribute to the increased number of people signing up for solar energy. Let’s look at the future and paint a picture of what these mini solar power plants can do for us.
Investment Credits
If you’re considering switching to solar, you can maximize the Federal Solar Investment Tax Credit (ITC). Congress recently expanded the program to cover 30% (up from 26%) of the total installed cost of your solar project from 2022 to 2032- that includes labor, parts, and other associated costs. This is a great incentive for homeowners looking to make the switch. So, what’s the catch?
You have to pay for the investment upfront, after which you’ll get back 30% of the cost after filing your tax returns. Even so, you can expect to save a good chunk of cash in the long run. The incentive is bound to reduce to 26% in 2033 and 22% a year after. Hence, it’s a great time to switch while the ITC is still full of force.
Additional incentives such as sales tax credits help keep investment costs low. For instance, in New Jersey, you can expect a 6.625% sales tax exemption on your solar energy system.
Achieving New Milestones
The New Jersey Board of Public Utilities reports that the state recently exceeded 4 gigawatts of total solar capacity for the first time. That’s enough power to cover 500,000+ homes! The state currently has over 150,000 solar installations, which is expected to double by 2026.
It’s all part of a larger trend that has seen more homeowners switch to solar energy. What’s more, it attests to the growing demand for renewable energy sources and is a precursor of what’s to come. If you’re a New Jersey resident, now is the time to join the solar revolution!
In Texas, projections indicate solar uptake will increase to over a million installations in the coming five years. This is largely due to the state’s subsidies or incentives encouraging homeowners to go solar. Plus Texas has some of the most abundant sunshine in the US. Hence, homeowners can benefit from lower energy costs and an increased return on their investment with solar panels.
The Implications
Transitioning from traditional energy sources to solar is quick and cost-effective when you partner with the right company like New Jersey Initiative. They provide customers with all the resources and support necessary to switch to solar power.
As more homeowners take up solar energy, it spells a brighter future for renewable energy sources. And as they generate more power, they can sell the excess to the grid, generating additional income.
Case in point, generous net metering initiatives in New Jersey allow homeowners to sell excess energy back to the grid. Typically, the excess power is credited to your bill at the prevailing retail rate, while the excess is reconciled at the end of your billing cycle. Hence, if your area receives abundant sunshine, you can increase your return on investment in solar panels.
Similarly, SRECs or Solar Renewable Energy Certificates in Massachusetts, Rhode Island, and New Jersey give homeowners a monetary value for every megawatt-hour of energy generated. Under this program, you can earn up to $300 or more (depending on the state) for every 1000KWh of energy produced. Now, who doesn’t like some extra income?
The future has arrived, and it’s bright, sunny, and powered by solar energy. Take advantage of the incentives in your state to maximize your ROI and avoid power outages while doing your bit to protect the environment. By so doing, you’ll join the thousands of homeowners powering their homes with clean, renewable energy. In short, it’s an unmissable opportunity.
