Solar Power Rebates, Tax Credits and Solar Panel Incentives in Missouri; 2012 Update
I have just had a look at whats going on as far as rebates and incentives for solar power goes, its May 2012.
Missouri's RPS or Renewable Portfolio Standard
Missouri does have a Renewable Portfolio Standard which looks to achieve 15% renewable energy goal by 2022. Its not as ambitious as most but its a good start and has managed to get the ball rolling. Columbia has also established a goal of meeting 1% of its RPS target using solar energy and is developing a new program, termed Solar One, to assist in achieving this goal. To help your understanding we distinguish the rebates and incentives available for solar electricity panels into incentives that reduce the up-front cost and incentives that increase the income and savings from the system over time.
Federal Tax Credit
The single most significant financial incentive for your solar power system in Missouri is the same Federal Tax Credit that applies right across the USA. This gives you a credit on your Federal Tax bill equivalent to 30% of the cost of your solar system For more information on this visit out page The 30% federal tax credit for residential solar power systems Because this is a tax credit you get the benefit of this when you do your next federal tax return, rather than getting a cheque on the day of installation. Still, it has a real value if you are in a position where you are paying annual federal income tax equivalent to 30% or more of the value of your solar power system.
Missouri State Rebates
Ameren Missouri offers a Standard Offer Contract to customers that generate solar power. The customer must meet Ameren's net metering requirements and submit an application for net metering. The 2012 SREC tariff is $50 per SREC. For systems of less than 10 kW, Ameren will pay an up-front, lump sum payment for the estimated number of Solar Renewable Energy Credits (SRECs) that will be produced for 10 years. For systems of 10 kW to 100 kW, Ameren offers a 5-year contract for the SRECs, and will make annual payments to the customer based on the number of SRECs produced in the previous year.
Net Metering means that your electricity provider will monitor how much power you consume from the grid and how much power you generate and send back to the grid. Missouri requires all electric utilities -- investor-owned utilities, municipal utilities and electric cooperatives -- to offer net metering to customers with systems up to 100 kilowatts (kW) in capacity. Systems must be intended primarily to offset part or all of a customer's own electricity requirements, and must be located on premises owned, operated, leased or otherwise controlled by the customer. Customer net excess generation (NEG) during a given month is credited to the customer's next bill at a rate at least equivalent the utility's avoided-cost rate. Any NEG remaining at the end of a 12-month period is granted to the utility with no compensation for the customer. At the end of the day the Missouri Net metering system is not as good as most but it is likely to be improved upon in the future. It would seem fair to get paid for any excess generation after a 12 month period.
Missouri State Tax Exemptions and State Tax Credits
While there are property tax exemptions available for business or corporates there is nothing available for residential solar installs, it sure dont seem fair to me, what do you think?
Missouri Solar Incentives and investment case: Summary April 2012
Missouri has a very ordinary overall package of incentives that will hardly inspire the locals to rush out and install solar power. I think the legislature know this and obviously dont care too much. Its our opinion that a solar power system for your home in Missouri is for the hard core solar enthusiasts at this stage, hopefully Missouri will catch up with the rest of the country at some stage.