Solar Reflections
Given what we’ve seen and heard (like Heidi’s experience going solar), we want to spend some time envisioning how Virginia could become even more friendly towards consumers, their pocketbooks, and the march towards solar energy independence. In addition to touching on how key incentives, detailed in our last post, could be expanded even further, we also want to reflect on some personal tips to empower your solar purchasing experience. The following is a list of legislative fixes and key aspects of the consumer process to keep in mind when considering your solar journey.
For many, the prospect of reducing your carbon footprint is enough to make the transition to solar. For others, it comes down to the financial footprint. The good news is that solar technology has become dramatically more economic in the last half-century, and looks to continue that trajectory. Financial incentives further enable more and more Americans to make the solar leap. Regardless, there is still room for improvement:
Reinstituting Expanded Federal Solar Tax Credits - Since 2016, residential solar consumers have enjoyed federal solar tax credits that initially measured 30 percent. Beginning this year, the credit started to sunset, ticking downward to 26 percent. Next year the credit will rest at 22 percent, and by 2022 onwards it will flatline at 10 percent. Tax write-offs for solar equipment make the prospect of energy independence more accessible for all Americans - expanding the window of affordability by reinstituting a tax credit of at least 30 percent would galvanize more consumers.
Encourage More Localities to Embrace Property Tax Exemptions - It’s no secret that solar panels do more than provide clean, renewable energy; they also significantly increase a home’s property value. However, that benefit only adds up if those gains aren’t swallowed by the generation of higher property taxes. Here’s the good and bad news: all counties and cities in Virginia are allowed to offer property tax exemptions for solar equipment for its residents, but only 20 of Virginia’s 133 counties and independent cities choose to do so. If local activism is your speed, rally your regional elected officials to adopt this incentive!
15 Percent of Virginia’s 133 Counties and Independent Cities Offer Property Tax Exemptions for Solar Equipment. Does your locality offer them?
Beyond legislation that could ease the transition to owning your own solar array, we wanted to be sure to provide you with more personal tips. Consider the following before making the leap:
Do your Financial Due Diligence - Getting your own solar system is a big investment. Be sure to study your options, be it a power purchase agreement or a solar loan, among others, and how your payment plan may affect your personal and residential timeline. If you have lingering financial questions, be sure to reach out to a financial advisor.
Weather Your Expectations - While residential solar projects vary from rooftop to rooftop, your solar panels are expected to save you money. Those returns, however, may take longer than expected. Be sure you ask your solar provider what your own savings timeline could look like. But don’t get it twisted: from the moment your solar panels go online, you’re reducing your carbon footprint!
Patience (and Initiative) Is A Virtue: The time between signing your solar contract with a provider and the moment your panels are switched on can take a while - hoops abound for solar providers, like dealing with local HOAs and securing building permits. Be sure to set expectations up front with your solar provider about your process. Questions to ask: how long should I realistically wait until my panels are up? What solar equipment will be required, and where will it be installed on my home? Avoid untimely surprises - like the installation of solar equipment where you didn’t expect it - by being upfront with your solar installer before signing your contract.
Building off of everything we’ve covered these last few weeks, we want to tie our solar consumer series together next week with a handy consumer guide - a post we hope will usher you into becoming a solar customer by connecting you with a local solar provider. In the interim, Powered by Facts has some homework for you: check out Sun Number, an online tool that calculates the efficacy of a solar array - called a “Sun Number” - at your address (you may have seen the metric on Zillow - they partnered with them!). See what you find!