It's a great way for Colorado residents to save money and decrease their carbon footprint. However, it's important to understand all the options. Learn more about Denver's solar program, sales tax exemptions and the cost of solar panels. It will surprise you how affordable going green in Colorado is.
Community solar programs
The state of Colorado is one of the leading places in the United States for equity-oriented community solar. Xcel Energy is the state's largest utility and has agreed to participate in community-based solar programs. These projects will help to lower the electricity bills of residents and businesses throughout the state.
In 2015, the Colorado Energy Office began a demonstration project that demonstrated the feasibility and viability of community solar models for low income households. The demonstration project is meant to help Colorado households decrease their energy consumption and to complement the state's weatherization programme. The CEO awarded a $1.2 million grant to GRID Alternatives, which worked with rural utilities to develop a portfolio of eight community solar projects that served 380 low-income households. The demonstration project was a success, so the CEO partnered up with the utilities to leverage their investment.
Sales tax exemption
Solar power can be a great way of saving money and powering your home. Colorado's solar panels are tax exempt. The state's Sales and Use Tax Exemption for Renewable Energy Equipment means that you'll pay no sales tax on the price of your solar panels, as well as any increase in value. Talk to a solar professional near you to learn more about this exemption.
You'll also save money on installation costs. Colorado does not impose a sales tax on solar panels, unlike other states. This means that installation costs can be lower and you will be able to use your solar credit credit to offset those costs. Due to the solar tax credit, property taxes won't be due if solar panels aren’t producing any electricity. Additionally, local governments and utility companies will give you incentives such as net-metering and power buying agreements.
Colorado costs to install solar panels
Colorado is a great state for solar panel installation. The size, wattage, and quality of the solar panels you choose will affect the price. If you are looking to save money, it's better to invest in high-quality, name-brand solar panels instead of cheap imports.
Colorado's solar energy costs are significantly lower than that of utility power. A standard solar power system will cost you 18 cents/kWh. However, this number does not include the cost of installing a battery, installation, and maintenance. You will save money over the long-term by making this investment. Colorado offers tax credits as well as rebates. The federal government has announced a 26% tax credit on solar power systems by 2020. Public utilities may also offer incentives for solar systems that generate electricity back into the grid. You can search for these incentives in the Database of State Incentives for Renewables & Efficiency (DSIRE).
Denver's solar costs
You should choose a reputable company to install solar panels at your Denver home. A competent solar contractor will know the local regulations, including building codes. They should also be familiar with local permits. You can avoid delays by choosing a top-rated company that specializes in solar energy. This will make sure your project is done on time.
The federal tax credit will pay 30% of the total cost for a Colorado solar installation. To encourage solar panel installations, utilities often offer rebates and other financial incentives. Colorado businesses will often offer incentives that are based on the amount of solar energy produced. A net metering policy is another option that homeowners can use to get a great incentive.