If you’re a homeowner in Norfolk, VA, switching to solar energy is a smart investment in your home. With about 215 sunny days in a year, there’s adequate sun energy to power your home. Virginia has emerged as a top destination for renewables with concerted effort under the Virginia Clean Economy Act of 2020. With the push for clean energy through the state’s Renewable Portfolio Standard, more homeowners have now embraced solar.
For most homeowners, solar energy is a great investment, but the high cost turns them off. Luckily, you can now switch to solar energy more affordably with Norfolk, Virginia solar incentives, and tax credits. Read on and discover the Virginia solar incentives available for you in the city.
1. Federal Tax Credit (ITC)
The solar investment tax credit (ITC) is the strongest Virginia solar incentive for homeowners there. ITC reduces the total cost of solar panels by 26% of your income. This reduces the overall cost of solar installation. This is a dollar-for-dollar reduction of the income tax you owe. This applies even if you have already paid taxes through your weekly or bi-weekly paycheck.
The solar tax credit can give you a refund of the amounts paid out. If you don’t have sufficient tax liability to claim, roll over the credit and claim it next year. Originally, the tax credit was to expire in 2021, but there’s an extension up to 2023. If you plan to install solar panels, this is the best time to do it.
2. Dominion Net Metering for Norfolk
If you have a high-capacity solar panel system in Norfolk, Dominion Energy Virginia offers an opportunity to partner with you as a power supplier. Any excess energy generated from your solar panels goes to the utility company for a profit.
Through net metering, the utility company credits your account for excess energy. If you still rely on the national grid, net metering reduces or even completely wipes your monthly payments to the utility company.
3. Residential Property Tax Exemption
Solar panel installation increases the value of your property. This would normally translate to an increase in property tax like with any other improvement. Luckily, the residential property tax exemption in Virginia qualifies you for an exemption from the property tax increase.
If the solar energy system is for space heating or cooling, lighting, water heating, and other applications, you qualify for a tax exemption for five years. While this is not a state-mandated property tax exemption, the law empowers counties, cities, and towns to enact policy to support such exemptions.
What Affects the Cost of Solar Panel Installation in Norfolk, VA?
If you plan to install solar panels in Norfolk, the cost is one factor to consider. Your solar installation company helps you apply for any solar incentives available to cut the overall cost. Other factors that affect the cost of the project include:
- Your home’s energy needs
- Size of the solar panel system
- Type of solar system equipment required
- Roof type (how difficult it is to install solar panels)
- Condition of the roof (Does the roof require extensive repairs/replacement?)
- Interconnection cost to the power grid
One way to get value for money in solar panel installation is to work with a reputable solar energy company. The best solar installers have the expertise and technology required to complete the project efficiently. When comparing different solar installers, ask for several quotes and read through each of the written reports.
If you need professional solar system installation in Norfolk, VA, don’t look any further. Get in touch today with our Norfolk solar installation experts. From the home evaluation, design, material procurement, licenses, application for solar incentives to the installation, we do it all for you.