Phoenix is one of the most interesting places to live. The city christened the “Valley of the Sun” boasts great weather, scenic landscape, and a lower-than-average cost of living. This is a haven for outdoor enthusiasts with so much to see and do. However, Phoenix has one more attraction that suits every property owner here; the sun. With over 300 days of sunshine, this is one of the best places to invest in solar panel installation.
Sunshine is a resource that’s easy to overlook in Arizona yet it’s now driving a multi-billion-dollar solar energy industry. If you are a homeowner or you plan to move here, there’s every reason to go solar. Read on and discover why solar in Phoenix is such an outstanding idea.
1. Cost-saving Benefits
Energy usage accounts for the biggest percentage of your home’s expenses. From cooling, heating, lighting, security systems to appliances, you need electricity to power your home. Solar panel installation reduces reliance on the national grid and saves you money on home maintenance. With so much sunshine available in Phoenix, you can save up to 100% on your electricity bill. Many homeowners go full solar by adding high-quality solar energy storage systems.
2. Low Cost of Solar Panel Installations
With Arizona’s heavy investment in renewables, the solar energy industry continues to thrive. The cost of solar panels and other equipment continues to fall. With the growth of industry, more solar panel installation companies have set up shops here. Overall, the competition and favorable government policies have lowered the cost of solar panel installations.
From reliable data, the average solar panel cost in the city comes to about $2.44/W. Most homes in Phoenix use a 5-kW system, which brings the average cost range from $10,370 to $14,030. With the government’s aim for 100% clean energy by 2050 and a 2030 target of 65% clean energy, industry experts expect more investment in the industry.
3. Incredible Solar Energy Incentives
To drive the adoption of renewables, Arizona has come up with some of the strongest solar energy incentives. The aim of these incentives is to reduce the overall cost of solar energy for residents. If you’re a homeowner in Phoenix, AZ, you qualify for some of these incentives. Take a look:
- Federal Solar Investment Tax Credit (ITC): A federal solar tax credit offered to property owners who bought home solar systems and installed these by December 31, 2022. The 26% tax credit reduces the overall cost of your solar energy project.
- Solar Equipment Sales Tax Exemption: Arizona property owners also enjoy a 100% sales tax exemption of the sales tax on eligible solar energy equipment. Such equipment includes solar water heaters and rooftop solar panels
- Arizona Residential Solar Energy Tax Credit: If you’ve invested in a home solar system in Arizona, you qualify for this 25% state solar tax credit. The incentive has a maximum limit of up to $1,000 personal income tax reduction.
- Energy Equipment Property Tax Exemption: Solar panel installations increase the value of your home which translates to higher property tax. This property tax exemption reduces the tax on the added home value after the solar panel installation.
4. Benefits for the Environment
Phoenix is a warm city but the effects of climate change are now apparent with the city becoming even hotter. Scientists have identified the link between emissions from fossil fuels and climate change. For this reason, there’s no better time to switch to clean energy.
Solar energy is renewable and readily available. This is the best move to save planet earth. Through solar panel installation, you’ll make a significant contribution to halting the devastation caused by global warming.
Are you wondering why you should go solar? These are just a few of the reasons to install solar panels on your rooftop in Phoenix. Talk to us and let’s help you make your dream of switching to solar a reality.