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Incentives are part of the reason that there is a rise in Sacramento solar installations.

Many home owners, other than looking only to eliminate utility bills, are looking to install solar panels because the government rewards them for choosing this form of green energy.

To explain a little, the government is happy when a homeowner makes the choice to install solar panels; they are trying to get more people to think “clean” and “renewable” energy.

That is why they are willing to give some money in the form of rebates, tax credits and in some states even cash. This way, they encourage more and more people to go solar

Sacramento solar incentives

Federal Tax Credits

Installing solar in Sacramento is by no means a cheap option; it costs the home owner between $20,000 and $50,000 to pay an installer. But when you consider that you will get a 0% tax credit back in your pocket, it starts to make a lot of sense.  (Especially when you consider how much you will spend on electricity without solar.)

There are states where the rebates are even bigger; in Arizona, for example, the incentive higher than in Sacramento.

The great thing about these incentives is that they are performance based. The state of California started the California Solar Initiative (CSI) which has $3 billion to distribute to homeowners based on how many kW of electricity they use

This initiative was meant to change the minds of homeowners who were relying partly on the electricity grid and partly on solar. Today, those who use solar for all their power needs get more in tax rebates than those who use it in part.

Rebates from your utility company

Utility companies also reward homeowners who install solar panels with rebates. Different companies have different names for the utilities they offer. You may find them listed as discounts, savings or tax savings. The rebates come in different forms depending on what you are using solar power for in your home.

There are rebates for lighting that encourage you to switch to LED bulbs from incandescent ones. You may also get rebates for energy efficient appliances. Today, electrical appliances are created to consume a lot less energy than those of the past. The problem is that many people just won’t agree to update appliances.

Electricity providers in Sacramento may give you rebates if you can prove that you have updated your equipment and are using solar power.

In some cases, homeowners may be limited as to how many solar panels they install so that they have to rely partly on the grid and partly on the panels. This kind of arrangement is also eligible for rebates from the federal authorities and local power companies.

If you don’t know the kind of rebates your electricity provider is offering, find out and see if you qualify for any of them on the DSIRE website. Even if you haven’t installed solar panels yet, there may be something that helps you qualify for rebates.

As you can see, it is completely worth it to install solar panels. Many homeowners who have not moved their energy needs to a solar panel system will tell you that they don’t have the necessary funds. If that is the case for you, you should find a solar installation company that offers financing.

It works in much the same way that your car dealer can finance you for a new car. So long as you have a clean credit report, they extend you a loan that you can pay back every month. But instead of sending money to your utility company, you are paying down the loan which ends up being equity in your home.