New Jersey Solar Panel Program

Many states have an rps but new jersey is among the few that also has a solar carve out.

New jersey solar panel program.

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. The second incentive is the solar renewable energy certificate srec program followed by sales tax exemption and property tax exemption. This requires a set portion of this renewable electricity to come. Free solar in new jersey.

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. That means you ll. New jersey residents who are municipal electric oil or propane customers are eligible to participate in and receive incentives from certain programs. This program registers solar projects in order to earn solar renewable energy certificates srecs.

New jersey solar power overview. Free solar panels are not actually free. New jersey solar panel tax credits. The average home in new jersey needs a 7 2 kw solar panel system to meet its energy needs.

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. 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 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.

You will pay for the electricity that they produce usually under a 20 to 25 year solar lease or power purchase agreement ppa. New jersey is the fastest growing market for solar photovoltaics in the united states and one of the largest in terms of installations and installed capacity second only to california. New jersey is one of the top states to install solar in the nation. 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.

On top of these revenue streams new jersey has also granted residential solar a couple tax breaks to help keep the costs down. Please check njcep for more information and availability of funds. A quick background of solar incentives in new jersey. Solar sales tax exemption.

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.