In 2021, Florida ranked third among all states in solar energy efficiency, making it one of the best states to install solar. Some, however, are still wary of whether they can cover the costs of installation.
So are there any incentives in Florida for installing solar panels? If so, what are those incentives, and how do they benefit you?
That’s what we’re here to look at today. Read on to find out more about Florida solar incentives!
The Federal Solar Investment Tax Credit
Before we get into Florida-specific solar incentives, it’s worth going over the ITC or the Federal Solar Investment Tax Credit. This is the nationwide tax credit that solar owners get for installing their systems.
Eligible homeowners can deduct up to 26% of the cost of solar panel installation from their annual federal income taxes. This means you’ll be paying significantly less on your taxes each year.
Homeowners who also install battery storage alongside their solar panel to conserve unused energy get additional ITC. This means you’ll be saving more on your energy bills while saving even more on your annual taxes.
Florida Net Metering
Net metering is a process by which your solar panel produces excess energy that’s then channeled to your primary energy provider. In other words, you give energy back to a larger grid whenever you have excess power.
This lets users get credit for their electricity bills. The excess power that you produce is being channeled to other homes and businesses. Since the utility provider doesn’t provide that extra power, they compensate you for it.
It’s also crucial when there’s less sunlight, particularly during wintertime. The credits you earn from net metering can be used in months when your solar panels aren’t producing enough energy.
Duke Energy, Gulf Power, Tampa Electric, and Florida Power & Light all provide 1-to-1 credits. This means the power you provide them accounts for the same amount for your credits.
Those four providers are investor-owned companies, meaning municipal utility providers may have different policies. That doesn’t mean they’ll give you an unfavorable deal, though, as many still get you enough credits.
Florida is one of the few states in the U.S. that gives you full property tax exemption for your solar panels and battery storage units. That means you won’t pay additional property taxes when your home value goes up.
Any and all equipment certified by the Florida Solar Energy Center as solar energy equipment is also exempt from Florida sales tax. This means panels, inverters, storage units, and other accessories don’t get charged sales tax.
Property and Sales Tax Exemptions
If you’re looking for a reliable company to set your solar panels up in Tallahassee or another Florida municipality, hit up Blue Raven Solar. They’ve got the best tools and contractors in the state.
Taking Advantage of Florida Solar Incentives
There’s a reason why so many people are contacting solar companies in Florida. There are so many incentives that make owning Florida solar panels worth it. Use this guide to help you learn about those incentives and more!
For more informative articles on Florida solar and other topics, check out the rest of our site!