Commercial Solar Incentives Washington

GREAT NEWS!:  Washington Has A New Incentive Program Making Solar More Affordable Than Ever Before!

Now is the perfect time to take advantage of a wide range of Washington State and Federal government incentive programs to offset your renewable energy system and solar panel costs, making your solar electric system more affordable, cost effective and even profitable than ever before!  Solar power is one of the smartest investments that businesses can make.

Solar Power Allows Your Business To:

  • Reduce your electricity bills
  • Hedge against future utility rate hikes
  • Turn your rooftop into an investment
  • Promote your business as a steward of the environment

Washington State Production Incentive Program

After years of hard work, Solar Bill 5939 passed in the early morning hours of July 1st, 2017!  In an effort to promote renewable electricty generation, the State of Washington is purchasing your solar generation.  The new incentive program continues in the spirit of the old program by rewarding you for all the solar energy your system produces, along with excellent paybacks.  It also provides fixes for some of the biggest deficiencies of the old program:

  • Allows businesses that don't own the building to participate in the program
  • Larger system sizes
  • An eight-year contract with a fixed rate
  • Greater product selection and superior product eligibility
  • Incentive program security with no reductions during the contract

How It Works

  • An eight-year contract where your utility pays you annually for every unit of energy (kWh) your solar energy system produces.
  • Annual cap of $25,000
  • Your business gets to use all the solar energy
  • If your system is installed from July 1st, 2017 - June 30th, 2018, your eight-year contract incentive rates will be $0.16/kWH
  • If your solar panels are Made-In-Washington, you'll receive an additional $0.05/kWh bonus, for a total of $0.21/kWh
  • For systems larger than 12kW, the base rate is $0.06/kWh with the Made-In-Washington bonus remaining at $0.05/kWh
  • For every year delayed in going solar, the contract rates are reduced by $0.02/kWh, and $0.01/kWh for the Made-In-Washington bonus
  • There is an overall contract payout cap, but for the vast majority of systems, it will not be reached
  • If your utility participates in the program, it must honor the eight-year contract for the duration of the program, regardless if it stops participating or hits its annual cap.

 

30% Federal Tax Credit

Solar power is now an even smarter, more affordable investment thanks to the Federal Government!  When you go solar, you can take a tax credit on your next tax filing ñ whether thatís tomorrow or months away -- youíll be entitled to claim a 30% tax credit from the total cost of your solar system.  And if you donít have enough tax liability in the current year to take full advantage of this 30%, you can spread the credit through the succeeding taxable year, thereby ensuring that you receive the maximum benefit possible under this great incentive program!  Tax credit set to decrease beginning in 2020.

Net Metering

All Solar electricity generated that is not used at time of generation will be fed back to the utility grid, so that your green power can be used by other people.  During these times your utility meter will actually run backwards so that you are credited for this power.  Your utility bill at the end of the month will be the difference of what you generated and consumed.  For those summer months that you generate more than you consume, these credits will be forwarded to you the next month.  Not only do you offset your electric bill by every solar kWh you generate, but you get the 5939 incentives for every single solar kWh, even the kWh that you use!

5-Year Accelerated Depreciation for Businesses

Businesses qualify for a full 5-year Modified Accelerated Cost Recovery System (MACRS) depreciation tax deduction on 85% of the cost of the system.

Looking To Finance Solar?

Visit our Solar Financing & Leasing Page.