Solar Tax Credits Extended
In what promises to be a huge boost for the solar
industry, the extension of the solar tax credit bundled into the
billion financial rescue package will create thousands
of new clean-tech jobs while slashing the cost of solar panels
for homeowners and businesses.
recent “economic rescue bill” didn’t
make the credits permanent, but it definitely sweetened the
consumers to go solar in two very real ways. First of all,
the credits (which were set to expire this year) have been
for eight years, and secondly the previous cap of $2,000 for
a residential solar system has been lifted -- meaning a whole-house
system could earn you as much as $10,000 or more in tax credits.
is a good investment right now. Not only can you likely recoup
even more tax credits from your state
or local taxes (see “Making
Solar Affordable” below), but also as the price of energy
increases, you’ll be immune, generating your own clean,
green power for yourself. (Plus, as more and more utilities
customers to sell power back to the grid, you may be able to
generate future income from your solar system.)
utilities such as Pacific Gas & Electric,
the tax credit will make big solar projects viable — both
photovoltaic installations and large solar-thermal facilities where
the sun heats a fluid that turns a turbine to make power. SunPower
and PG&E recently announced plans to build a big solar
power plant in central California.
The extension had been repeatedly voted down over the past several
months as Congress debated how to pay for it.