Incentives are usually grants, tax credits, discounts, or rebates, utility-company rebates, or production incentives such as net metering.
Grants and tax or utility-company incentives are normally, but not always, one-time savings taken at the beginning of the purchase. For example, the federal government has a one-time tax credit now for the costs of installing solar electricity, wind-energy, or solar hot water. That tax credit does not extend to solar pool heating as it is considered a luxury item,
If the costs of installing a solar electricity system are $7000 per kilowatt and you install a three-kilowatt system on your home or business, you will have a tax credit the next year of 30% of $21,000 of $,6300. This reducies the cost of your solar electric system to $14,700.
Let’s say you also had a rebate from the utility company of $2000 per kilowatt. This is calculated in a different way. The rebate, $6000, is deducted first, making the cost of our system $15,000. Then the tax credit of 30% of $15,000 is applied, which is $4,500. This makes the final cost of our solar electric system $10,500.
Utility company incentives can be more or less, depending upon the particular company or cooperative that supplies our electricity.
Electricity production might also earn us some credit on our bill. A few of the retailers in the North Central Texas area do have net metering and give a credit on our bills for excess electricity our system returns to the grid.
Each person can call his/her electricity supplier (a retailer like Green Mountain or Direct Energy or cooperative like Tri-County or municipality like the City of Garland) to ask if the entity has net metering and offers or knows of other incentives.
Do you need an energy consultant, energy auditor, green builder, or green remodeler in North Central Texas or the Dallas-Fort Worth area? Are you purchasing or building a home? Ready to add renewable energy? Interested in living more sustainably? Contact Terry Jensen Frugal Energy, LLC 972 251-1532 or 817 443-2553 Just have a question or two? Please call. If I can answer without seeing your home or business, I will do so at no charge.
Green & Renewable Energy 972 251-1532 or 817 443-2553
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