Solar Gets Bailed Out!

They say that every cloud has a silver lining. In that case, the recently passed – only slightly improved – bailout bill is quite the thunderhead. But here’s the silver lining…the solar tax credits have been renewed!! It’s a shame that it took such a ridiculous but certain-to-pass bill to get what we solar fans have been pining for – and opining about – in the last few years. And it came in the nick of time, with solar stocks falling, solar companies cinching their belts, and eager homeowners beginning to give up hope.

Yet, hope for renewable energy has been regained! The bill will extend the all-important Investment Tax Credit (ITC) for eight years and … with a huge round of applause … it removes the $2,000 cap on residential electric systems! This is what so many homeowners have been waiting for. This is a big break. While the tax credit for residential systems has always been 30% of the cost, it was for some reason capped at the two-grand mentioned above. So, let’s say your solar system will cost $40,000 to purchase and install. Beginning in 2009, you can now expect up to $12,000 in credits from the feds … that’s a 600% increase! Combine that with oft lucrative state rebates and incentives, and you’ve made solar energy systems considerably more affordable. (more…)

Solar Gets Bailed Out!