Solar For Your Business or Organization
For businesses and organizations there can be a number of opportunities to invest and leverage money. Growing or simply maintaining a business requires thoughtful consideration of each choice. In Pennsylvania and New Jersey, more are realizing that a solar energy system is viable and competitive way to achieve certain goals.
And now is perhaps the best time to investigate your solar options. Solar panel and installation costs have never been lower. Federal incentives are near a peak. The New Jersey legislature is signaling that future incentives will change and continue to be reduced. Pennsylvania incentives have recently improved with the introduction on the PA Solar Jobs Bill, making SRECs gradually more valuable when trading.
Commercial Solar Energy System Benefits
Unlike some others investments, solar power benefits both your bottom line and your brand and reputation. It provides you with additional financial rewards long after you have recovered the original investment. The more useful advantages include the following:
Direct Financial Gains
➤ Predictably lower operating expense by reducing or eliminating your utility bill
➤ Yield a fast return on investment
➤ Significantly reduce your tax liability
➤ Resulting in long-term financial savings for more than 30 years
Enhancing Your Brand
➤ Show the community you are proactive and innovative – solar panels are immediately recognized and vastly popular to the public and most potential customers.
➤ Enhance your overall green identity – solar power complements all efforts to make a positive impact on the environment
➤ Impress current and future employees – more than ever both young and experienced professionals want to work for companies with a reputation for concern and engagement to improve local life and life across the globe
More About Solar Power Economics
Electricity costs increase with regularity, and Pennsylvania and New Jersey are no exceptions. This can negatively impact even the most well-planned budgets. A properly designed solar energy system is the most effective and certain way to give companies relief through predictable and lower costs. Large business or small, there are currently incentives in place that expand the solar power economics beyond the significant savings from reduced utility power bills:
Depreciation – A solar energy system is given a special status for depreciation. Solar energy system owners can depreciate 100% of the allowable capital costs in Year 1 rather than over five years. This dramatically improves the first year economics, potentially accounting for as much as 30% of the project cost.
Federal Tax Credits – Through the end of 2020, businesses are allowed a federal tax credit for 26% of all associated material and installation costs of a solar energy system. After 2020, there are scheduled and significant reductions in this credit. See more about that here.
SRECs – Receive payments from utilities for the clean energy you produce. For every 1,000 kWh your solar energy system produces, you earn one SREC. See more here about Pennsylvania and New Jersey SRECs .
Net Metering – Regulated electric utility companies and electric suppliers or providers must offer net metering to retail customers that generate electricity through renewable systems. Customers will receive credit on their utility bill for each kWh of electricity their system produces over the course of a year.
To understand more about net metering and other savings, visit our Calculating Solar Savings page.