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 about community solar programs, Sales tax exemptions, and how much solar panels cost in Denver. It is possible to go green in Colorado.
Community solar programs
Colorado is home to some of the most prominent places in the United States that offer equity-oriented solar community. Xcel Energy, the largest utility in Colorado, has also signed up to participate in state-wide community solar programs. These projects will help to lower the electricity bills of residents and businesses throughout the state.
The Colorado Energy Office initiated a demonstration project in 2015 that showed the feasibility of solar community models for low-income homeowners. This demonstration project will help Colorado households lower their energy bills and complement the state's weatherization program. The CEO gave a $1.2million grant to GRID Alternatives. This group worked with rural utilities in order to create a portfolio of eight solar projects for low-income households. As the demonstration project was successful, the CEO formed a partnership with the utilities and leveraged the investment.
Sales tax exemption
Solar power is a great way to save money and power your home, and solar panels in Colorado are tax-exempt. You won't pay sales tax on your solar panels or any increase in their value due to the state's Sales & Use Tax Exemption for Renewable Energy Equipment. Talk to your local solar professional about this exemption.
Also, you'll save money on installation. Unlike other states, Colorado doesn't levy sales tax on solar panels. 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. And, of course, you'll get all kinds of incentives from local governments and utility companies, including net metering, power purchasing agreements, and more.
Colorado costs to install solar panels
Colorado is known for its excellent solar panel installation. The size and quality of your solar panel system will determine the cost. You will save money if you buy premium, brand-name panels over cheap imports.
Colorado's solar energy costs are significantly lower than that of utility power. A standard solar power system runs at 18 cents/kWh. This does not include the cost for installing a battery and maintaining it. This investment will save you money in the long run. Furthermore, in Colorado, tax credits and rebates are available to you. 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 Solar Costs
It is important to hire a reliable company if you're thinking of installing solar panels in Denver, Colorado. A competent solar contractor will know the local regulations, including building codes. They should also be familiar with local permits. Choosing a top-rated solar company will help you avoid delays and ensure that your project will be completed in a timely manner.
30% of the cost of solar installations in Colorado will be covered by the federal tax credit. 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.