Commercial and Community
Solar
Commerical Solar
1. Commercial solar is affordable, thanks to incentives
Different from utility-scale solar, commercial solar power is “distributed generation,” which means we use the energy the system produces at or near the point of generation. Distributed generation projects, such as rooftop or ground-mounted residential solar, are usually connected to the local electric grid. This allows your business to take advantage of net metering, a policy that enables you to send unused electricity back to the grid in exchange for electricity bill credits
01
Federal Investment Tax Credit (ITC)
Whether you’re a business owner or homeowner, the federal tax credit is the most significant financial incentive for all solar shoppers. At least until 2025, the ITC provides a tax credit equal to 30% of the upfront cost of solar for businesses. It’s a credit, not a deduction, meaning if your project costs $100,000, the ITC reduces the amount you owe the federal government in taxes by $30,000. If your system includes U.S.-manufactured equipment, is located in an energy community, is located in a low-income community or tribal land, or is installed as part of a low-income residential building project or economic benefit system, you may also qualify for additional tax credits on top of the 30%!
02
Production Tax Credit (PTC)
Instead of receiving the ITC, you can choose to get tax credits based on the amount of electricity your system produces (on a dollar per kilowatt-hour, $/kWh basis) through the PTC. If your project produces a lot of electricity and is relatively inexpensive to build, you may save more with the PTC than the ITC.
03
Modified Accelerated Cost Recovery System (MACRS)
MACRS is a depreciation benefit that allows you to lower your taxable earnings and recover the depreciated value of your solar installation over five years. When you combine MACRS with the solar tax credit, you can earn tax incentives worth about 70% of your system’s cost.
04
Net metering
Some states and utility companies offer an incentive called net metering that can significantly increase your solar savings over time. Under net metering, your utility company provides you with credits for the excess electricity your system generates and sends to the grid. When you need to pull electricity from the grid instead of your system, it counts against the credits you bank over time. At the end of your billing cycle, your utility company only bills you for your “net” electricity consumption.
Community Solar
No up front investment.
No maintenance or replacement.
Transferable.
No contract cancel anytime.
Contact us for information on which areas participate in Community solar.
What is Community Solar
community solar is essentially “shared solar” where everyone can enjoy its benefits together without the need for any ownership.
Community solar takes advantage of state renewable energy incentives to help homeowners, renters, and businesses save money while also supporting solar power in their communities. It’s really a win, win for all involved.
If you aren’t able to install rooftop solar installations on your own home—due to the upfront cost, roof constraints, or you’re a renter—community solar programs offer a way to participate in the renewable energy revolution and save money.
That’s because there are no rooftop panels involved on your home at all! No installation, no maintenance, and no headaches.
Under a community solar program, local residents all share the output of a single large solar installation (think: thousands of connected solar panels in a big open field). These large systems generate enough energy to power hundreds or even thousands of homes. Though you’re not actually getting direct solar power into your home, you’re helping put that solar power onto the overall grid.Community solar works like this:
A local solar farm is built specifically meant for community solar. It’s connected to the utility grid and generates eco-friendly solar energy for the grid, helping reduce reliance on harmful fossil fuels. An electric meter keeps track of the farm’s energy production which the utility then translates into a monetary value, often referred to as a “solar credit.” You subscribe to the project which means you receive a share of the credits produced—these credits are ultimately what act as a discount on your own electricity cost. Your local government enables the project owners to provide these credits as part of your state’s renewable incentive program. Because the solar farm is connected to the utility company, the credits are efficiently applied right on your existing bill. (Depending on where you live and the specific solar project, you may receive a separate bill for the cost of those credits—but at a discounted rate so you’re still netting out with savings)
It’s accessible to so many who haven’t been able to benefit from renewable energy
Many people can’t take advantage of rooftop solar. These include: Apartment dwellers who don’t have roofs Renters who don’t own their roofs Homeowners whose roofs are too small or too shaded to produce enough power Anyone who can’t afford the up-front costs Community solar, by contrast, is available to anyone (pending solar farm availability in your area and eligibility). Homeowners, renters, business owners, and even institutions like hospitals and schools can sign up for solar shares. Pretty much anyone who has an electricity bill can save on their costs through community solar. This benefit is especially important for low-income and disadvantaged communities. In these communities, most folks rent their homes. Even those who own don’t usually have enough disposable income to pay the full costs of a solar array up front. In the past, the only way for these people to get solar power was through long-term contracts for purchase or lease. Worse, the energy industry often took advantage of them with predatory loans. They’d lure borrowers into long-term contracts with low introductory rates, only to jack up the price each year. For these customers, community solar is a much better deal. It allows them to save money and be a part of the renewable energy future with no up-front cost.
It can indirectly help protect wildlife
Animals and plants, as well as humans, suffer the effects of fossil fuel use. Coal mining and oil and gas drilling destroy wildlife habitat. Air and water pollution from fossil fuel burning harm both land and sea life. Switching from fossil fuels to clean energy solutions like community solar helps all the creatures in a region, including humans.