Solar power continues to gain traction in the global quest for energy independence. This is thanks in part to a variety of factors, including increasing ecological consciousness, utility cost savings, consistent rate control, and interest in investing in sustainable energy for the future.
Solar Power For A Better Quality Of Life
Electrical Savings On Your Utility Bill
Federal And State Incentives
SREC’s Incentive For New Jersey Solar Projects
Special Financing And Funding Options
There are several financing options available at the state and federal level to help reduce the cost of solar power systems for homes and businesses.
A Cash Purchase is typically one of the more cost-effective methods to pay for a state-of-the-art solar power system. However, for homeowners or businesses, it requires dipping into the available cash flow. This can impact operations in other ways, which may be prohibitive depending on budget.
A Solar Loan has most of the same benefits of a direct cash purchase. Since the money is borrowed from a special lender, it allows a homeowner or business to maintain its current operational capital.
With over a decade of experience in the solar power industry, EZNERGY has access to many of the country’s top lenders. We take pride in helping our clients find the low-interest financing solutions to make a solar power system easily affordable.
The ITC Tax Credit can reduce your tax burden if eligible. If your solar electric system is installed prior to the end of December 2019, the ITC is 30%, reducing to 26% in 2020, reducing to 22% in 2021 and ending for the residential market in 2022. For businesses, the Modified Accelerated Cost Recovery System is a program that can span a five-year accelerated depreciation allowing the business to be eligible for additional income. These programs are also structured to make the most out of the Solar Renewable Energy Credit.
A PPA or Power Purchase Agreement is often attractive to many business owners or homeowners that are on a fixed income that do not have a tax appetite. With careful planning a Solar PPA essentially allows your home or business to install solar panels on the building or surrounding property without any direct out of pocket cost. The electricity the home or business uses and produces comes directly from the solar panels and is net metered by the utility company. It also helps to protect you from periodic utility rate hikes. In an arrangement like this, a third-party investor essentially pays for solar power system installation. Then you pay a minimal fee to rent it the system and power it produces. In most PPA arrangements the user enjoys a 10 to 30% reduction in energy costs. Once the cost of installation has been repaid to the investor, you would own the system in its entirety. This typically takes 10 to 20 years depending on terms and the size of the system.