With plentiful sunny days and warm temperatures, it is no wonder that Nevada is number one in the country for per capita solar energy capacity. On top of being the second sunniest state in the nation, Nevada offers multiple incentives that make solar more affordable. Many options need to be carefully weighed before investing in a home solar panels installation. Learn more about on how to save money by installing solar panels in Nevada, and why solar is a great investment.
The Electricity bills in Nevada are slightly higher than the national average for the reason that all year-round warm temperatures that require a steady flow of air-conditioning. What’s more, electricity rates have risen about 30% over the past 10 years nationally, and are expected to continue on this trend. A great way to avoid shelling out cash on our state’s high electric bills is to invest in solar panels.
Nevada offers a variety of incentive programs that encourage homeowners to invest in solar. From a new law guaranteeing net metering to a rebate program offering the money back on new installations, there has never been a better time to install solar panels in Nevada.
Throughout the country, there are federal incentives that any homeowner who installs a solar system can take advantage of Federal Solar Tax Credit that offers a rebate of 30% of the cost of installation on all new residential solar systems. This considerably reduces the amount you spend, however it is only available until 2019, at which point the amount will be decreased and eventually phased out.
Furthermore, to maximize your savings you may consider the Residential Energy Conservation Subsidy Exclusion, which specifies that any energy conservation subsidy you receive from your local public utility will not be taxable.
Together, these federal programs will save you money both upfront and in the long-run.
For Nevadans, the incentives continue well beyond the federal level.
Nevada provides an incentive payment for new residential solar systems based on the size of the system.
The state of Nevada offers another incentive – 100% of the value of a newly installed solar system is exempt from property taxes. This means that even though the value of your home will increase after installing solar, you won’t feel it when you’re paying taxes.
Net Meterings means that if your home produces more energy than you use, you can earn money back. If you live in Nevada, you probably know about the controversy regarding net metering that has played out over the past couple years. In a positive step forward for the state, a law (AB 405) was recently passed that reinstates the policy of net metering, through which homeowners with solar panels can sell unused energy back to the grid for 95% of the retail rate.Each of the NV utilities has their own net metering set of rules.
As a NV Energy customer you will receive credits worth 95% of the retail rate of electricity for your excess solar production.
On top of multiple incentive programs, the dropping cost of solar panels makes home installations more affordable than ever. The cost of solar has decreased as much as 60% in the past five years, with average prices coming in around $16,000 – $25,000 before any incentives. After adding in rebate and tax programs, and the fact that most systems in Nevada pay for themselves within 15 years, the potential for savings is incredible.
Because Nevada’s solar market is booming, there are many companies that now offer competitive loan and leasing options, greatly reducing the amount you pay upfront. While the best financial option is still to pay outright, payment plans are great for homeowners who have the vision for long-term savings but don’t currently have the full investment.
As the Nevada solar market continues to grow, ever-improving technologies mean costs will continue to drop. However, this also means that incentive programs will be slowly phased out, so the time to invest in solar is now !
There are numerous reasons why solar is a great option in Nevada. However, as discussed above, it hasn’t always been the sunshine and clear skies on the regulatory road to residential solar. In 2015, as Nevada was rising in the ranks as one of the top states for solar power, lawmakers passed legislation that stalled the solar market in a major way. This legislation eliminated net metering, one of the main incentives for residential solar, and charged homeowners with solar additional utility fees, bringing the industry to a halt statewide. Nevada lost over 2,500 solar-related jobs in just 2 years as companies were forced to go under or move out of state.
The good news is on the horizon for solar in Nevada, however, with the passage of AB 405, which reinstates net metering at a fair rate and eliminates excess fees that were being charged to solar customers. Multiple companies, including Tesla, already have plans to move back into the state, and industry leaders are confident that the market will be back to where it was and continue its growth trajectory. This new policy is a win for Nevada homeowners looking to generate clean energy and long-term savings with a new solar installation.
If you are interested in all the benefits that come with solar, check out our solar calculator that will provide you with quotes and reputable installers in your area. We make it easy for you to start the move to clean, renewable, home-grown energy.
The environment will thank you, and so will your wallet.