Energy is created by using sunlight to power photovoltaic (PV) cells, or solar panels, turning solar energy into DC power. Since homes use AC power to generate electricity, a machine called an inverter converts DC power to useable household AC power. This usable AC power then is sent to your home’s electric panel or breaker box, making the connection between sunlight and household power.
Go Solar For Your Home
Switching your source of electric from your local utility to clean power through solar panels, helps protect the environment and your wallet. Going solar will help to reduce your carbon footprint, decreasing pollution levels and slowing-down climate change. Solar as the power to drastically reduce or even eliminate your electric bill completely. By installing solar panels on your house, you take control over where your energy comes from and the price (if any) of your electric bill. Purchasing electric from a public utility comes with the risk of increasing and uncapped supply prices.
Benefits Of Solar For Your Business
Having solar on your building adds to your corporate social responsibility, lowers your operational costs, and can even be a source of income for your business. Companies can go solar with a number of options- commercial PPA, tax lease, financing programs, or buying the system outright with a cash deal.
Solar Renewable Energy Certificates (SREC)
One of the benefits of going solar with a purchase program, is being able to take advantage of a Solar Renewable Energy Certificate or SREC. Not only are you receiving renewable energy, and significantly reducing or eliminating your electric bill, but SRECs give you the ability to profit off of your solar system. In the first fifteen years of purchase, for every 1,000 kilowatt hours (kWh) your system produces, you will earn one SREC. You then can sell your SRECs to the utility companies through the SREC Market. To find out where the SREC Market currently is go to srectrade.com.
30% Federal Tax Credit
When you go solar with a purchase or finance option, you are eligible for a 30% Federal Tax Credit. Also referred to as an investment tax credit (ITC), this credit has no value cap and is based off of your total solar installation price. To qualify for this credit, you must own your home or business, own the solar system, and have a tax liability sufficient for the 30% credited amount (although you can roll-over the remaining tax credits if needed). US Power suggests that you talk to your accountant for more information on how this tax credit can benefit you.