Ohio Solar Incentives and Rebates
Solar energy investment in Ohio is on the rise. Some factors fueling the adoption of solar energy include the cost-benefits with electric prices rising, government policies, and more informed consumers who want to embrace clean energy. There’s growing research on the impact of fossil fuel on the environment and more people want to make a change by embracing renewable energy.
While Ohio is not renowned for its sunshine, solar experts reckon there’s enough to generate power required for residential and commercial facilities. Before you undertake the solar power installation, consult your solar energy contractor about available solar incentives.
The solar incentives reduce the cost of the installation which improves the ROI for your solar energy project. The incentives make going solar easier by reducing the initial costs of adopting renewable energy.
Read on to discover some available solar incentives in Ohio.
The Federal Solar Tax Credit
The federal solar incentives by the Investment Tax Credit (ITC) is invaluable for property owners in Ohio who want to invest in solar. With this program, you can deduct 26% of the solar energy installation cost from your federal taxes. The ITC applies for residential and commercial systems and has no cap on its value.
Solar Renewable Energy Certificates (SRECs)
With growing concerns over the use of fossil fuels and their impact on the environment, states have developed policies and set targets to include more renewables in their energy generation mix. For Ohio, the government has committed to produce 12.5% of its electricity from renewables by 2027.
To achieve the target, the state leverages the state uses solar renewable energy certificates (SRECs) to promote adoption of clean energy. Individual renewable energy producers get these certificates, which they can sell for cash.
For every megawatt hour (MWh) of electricity your property’s solar panels produce, you get one SREC and you can sell this to make money. This is the biggest incentive for consumers who want to invest in solar power in the state.
The Energy Conservation for Ohioans (ECO-Link) Program
One of the most noticeable state-sponsored incentives for solar energy is the Energy Conservation for Ohioans (ECO-Link) Program.
The program seeks to make it more affordable for property owners to install solar energy. It is an easy program to qualify for and you get up to 3% interest rate reduction on your bank loans, for up to seven years.
Ohio’s Net Metering Policy
If you have installed high quality solar panels and your home is in an area with many peak sunlight hours, you’ll most likely have a surplus of electricity. Such electricity would go to waste, and this is where the Ohio’s net metering policy came in handy.
The policy indicates that property owners who generate electricity using solar energy, wind energy, micro-turbines, biomass, landfill gas, hydropower, or fuel cells can sell this back to the grid in exchange and get credits on their utility bills. The net-metered energy system in Ohio allows you to use the credits you have received to buy electricity from the grid in case you have a low supply in the future.
Thinking of going solar in Ohio? There has never been a better time to shift to solar with so many incentives programs. There are other local incentives and rebates, solar loan programs that you can use to lower the installation and maintenance cost of your solar energy system. Talk to our Columbus Solar experts for all your solar needs in Ohio.