Solar Power Rebates, Tax Credits and Solar Panel Incentives in Nevada; 2012
We have recently had a look at whats available to residents in Nevada that want to get solar power installed.
Nevada's RPS or Renewable Portfolio Standard
Under Nevada's Renewable Portfolio Standard Act ("RPS"); targets have been set at 25% of electricity production to come from renewable energy by 2025. The percentage gradually increases to 25% by 2025. This is the reason why rebates and incentives are being offered by utilities companies, and why the government has funded the rebates available to Nevada residents, to ensure that these targets are met. 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
A significant financial incentive for your solar power system in Nevada 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 panel system.
Nevada State Rebates
Nevada has a State Rebate Program in place but it is a unusual system. It seems the lucky winners of rebates are awarded by a lottery, very strange. I don"t know how a residential solar power customer can be expected to make a financial decision based on MAYBE getting a rebate if they are lucky lottery winners. Hopefully this practice will be replaced by an actual working rebate program at some stage.
Nevada has had Net Metering for some time now and was last amended in June 2011. Net Metering generally 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. Net Excess Generation is carried over monthly as a credit against future bills. It is a bit more complicated than some other systems I have seen but it is still a good system. Your really need to check into the details with your electricity Utility.
State Tax incentives or rebates
Good news for those who get solar power systems, your solar power system is 100% exempt from property tax, or the value of the system shall not be considered in your property valuation. Corporate's get a sales tax break but that does not seem to apply to residential solar power installations
Nevada Solar Incentives and investment case: Summary May 2012
Well Nevada looked great when I first looked at it, all the right ingredients were there for a great overall solar power incentives package. Then I read the detail and it came clear that Nevada wants the majority of solar power incentives to go to the big end of town, there are far better incentives available to large commercial installations rather than residential solar installations. I found the whole state lottery rebate program mind boggling, hopefully this folly wont be allowed to continue for too much longer. As always the best way to know the current state of play in your area is to click "here" and we will put you in touch with local solar professionals.