New Jersey Solar Panel Program

The second incentive is the solar renewable energy certificate srec program followed by sales tax exemption and property tax exemption.

New jersey solar panel program.

Please check njcep for more information and availability of funds. Save money while saving the planet. You will pay for the electricity that they produce usually under a 20 to 25 year solar lease or power purchase agreement ppa. There are currently four solar incentives available to homeowners in new jersey.

This requires a set portion of this renewable electricity to come. This program registers solar projects in order to earn solar renewable energy certificates srecs. A quick background of solar incentives in new jersey. High electricity rates the federal tax credit net metering and the state s transitional renewable energy credit program means that homeowners in the garden state can get an excellent return on their investment when installing residential solar panels.

New jersey is one of the top states to install solar in the nation. New jersey has a renewable portfolio standard rps that requires electric utility companies within the state to source 50 percent of its electricity from renewable technologies by 2030. Solar sales tax exemption. New jersey s clean energy program is a statewide program that offers financial incentives programs and services for new jersey residents business owners and local governments to help them save energy money and the environment.

New jersey solar power overview. Free solar panels are not actually free. When you purchase your home solar system you will be 100 percent exempt from any sales tax due to the pv energy sales tax exemption. The cost of solar panels in new jersey for the average sized 7 2 kw solar panel system in new jersey the cost comes out to about 3 20 per watt or 23 040 before incentives.

The term free solar panels is typically used to advertise solar lease or solar power purchase agreements ppas. Much of this success is due to new jersey s solar financing model which relies on high renewable energy standards and the use of srecs. On top of these revenue streams new jersey has also granted residential solar a couple tax breaks to help keep the costs down. The average home in new jersey needs a 7 2 kw solar panel system to meet its energy needs.

The first solar incentive is the investment tax credit itc which currently allows you to deduct 30 percent of the cost of your solar energy system from your taxes. Many states have an rps but new jersey is among the few that also has a solar carve out. Free solar in new jersey. The clean energy act signed by governor phil murphy in may 2018 required the board to adopt regulations that close the srec program to new applications when 5 1 of the electricity sold in new jersey comes from solar or by june 2021 whichever comes first.

New jersey solar panel tax credits.