For many years now, solar energy has been touted as the most viable solution for getting reducing dependency on fossil fuels.
With solar technology continuing to progress, and costs coming down, solar is becoming a realistic solution for many homeowners in Park City.
Let’s take a look at five reasons why 2019 is the year to make the switch to solar.
3. Diminishing Federal & State Tax Return
The current federal tax credit gives homeowners a 30% tax credit on the total price of a solar array and necessary improvements.
2019 is the last year that this tax incentive will be 30%. In 2020 the credit will be reduced to 26% before being phased out in 2021. There aren’t currently any plans for a new tax to replace the expiring tax credit.
By switching in 2019, you get to utilize the full 30% tax credit that is currently offered; saving you more money.
Additionally, As of February 6th, 2017, House Bill 23 (HB23) has passed.
House Bill 23 is set to phase out the 10% Utah state tax credit (up to $2000) by 2021. Lawmakers are claiming that the Utah solar tax credit is costing the state $60 million per year.
Solar advocacy groups like Utah Solar Energy Association(USEA) have given up the fight against HB23 in favor of compromise. Ryan Evans, The President of USEA, stated, “We would have preferred to see the tax credits live on...Realizing the political pressures and budgetary pressures this year, however, we aren’t contesting this.”
Rather than fighting against HB23, the focus shifted towards a small piece of the bill. HB23 in its original writing had proposed a gradual decline of the state solar tax credit until it was eliminated by 2021. The bill also put a cap on the number of funds available each year, starting from $4 million and declining to $0.
HB23 will reduce the state tax credit by $400 each year until 2021 when the state tax credit will be fully eliminated.
To save the most on your solar array, it is recommended to make the switch while the state tax credit is still available.
2. Impressive New Technology
The cost of solar in 2008 was twice as expensive as it is today and that is in large part due to the improvement that has been made with solar panel manufacturing.
Solar technology has made incredible progress over the past ten years. Better manufacturing practices, scientific discoveries, and economies of scale have made solar incredibly affordable in 2019.
We are seeing manufacturers consistently increasing their panels efficiency rating and panel lifespan.
SunPower recently released the highest efficiency and wattage panel ever made for residential solar.
Their new solar panel will produce 400W of energy at nearly 22% efficiency. Most traditional panels produce 285W at roughly 17% efficiency.
This increase in efficiency and power production helps reduce the panels needed on a home and makes it possible to offset even more power usage.
New solar panel technologies are making it possible to put fewer panels on homes, cover more of a home's energy consumption, and increase your total savings.
1. Solar Saves Money
One of the most enticing reasons to switch to solar is the amount of money that is saved by making the switch.
Many people still believe that making the switch to solar is very expensive, when in fact it has become very affordable. Solar arrays are paying back in just ten years on average, but what exactly does that mean?
After approximately ten years, the total cost of your solar panels will be paid back by the amount of energy that they produce. Most good solar panels have output warranties of 25 to 30 years. This means that at a minimum you’ll get approximately 15 years of free electricity generation, although panels have been known to last longer than their warranty.
Switching to solar has long been touted as one of the best solutions for reducing our dependency on fossil fuels.
For homeowners thinking about making the switch to solar, 2019 is one of the best years to do it.
By switching to solar in 2019, homeowners can utilize the full 30% tax credit that will be eliminated in 2021 and part of the state credit still available.
Solar technology has also come a long way in the past ten years and making the switch to solar in 2019 gives homeowners the most advanced solar panel options that have ever been available.