Winter is coming, and it’s not too late to save money on the season’s electric bills. The state of New Jersey offers great incentives to its citizens who “go solar” by choosing photovoltaic (PV) generated electricity for their homes and businesses. Whether you buy or lease, using PV electricity will save you money, reduce your carbon footprint and give you all the power you need year round.
Purchasing power only
For New Jersey residents who want PV power but don’t want to invest in a system of their own, RGS Energy offers a Power Purchase Agreement (PPA). RGS will install the system components on your home and maintain the system over its lifetime. The rate you pay for electricity will be lowr than what you might pay for traditional energy sources.
Purchasing the system
Purchasing a PV system saves you the most money over the long term, and after paying it off, your electricity is free. For system owners, there are incentives to reduce the purchase price dramatically and additional financial incentives that are recouped over time. You can even be credited for sharing your PV electricity with your community.
- The federal incentive: The federal government offers a 30 percent Incentive Tax Credit for purchasing a PV system. That reduces the initial cost right off the top.
- New Jersey incentives: A property tax exemption means you don’t pay taxes on the increased value that is added to a home when a PV system is installed. A sales tax exemption waives the sales tax on the purchase of all PV system equipment.
When your home generates more electricity than it uses, the excess is sent back to the electric grid to be used by other community members. In New Jersey, the value of that electricity is 100 percent of the full retail value. In practice, your power meter runs forward when you’re drawing from the grid and backward when you’re using PV power. The retail value of the PV power is reflected as a credit on your bill. In summer, you’re generating credits. In winter, when there’s less sunshine, you’re using those credits to pay for your grid electricity.
In addition to net metering, an SREC allows homeowner to derive income from their PV system by generating these certificates. The certificates are earned each time the PV system generates 1,000 kWh of electricity. They are then sold on the SREC Tracking System and are usually purchased by electricity producers as part of their requirement to generate a percentage of their electricity with renewable sources.
RGS Energy has almost 40 years of experience in installing solar energy systems throughout the country, in a wide variety of settings. To find out how solar energy could power your home, visit www.rgsenergy.com.