Discover Solar Savings in Washington DC
Elevate Energy Efficiency and Savings with Solar Energy
Washington, DC, the capital of the United States, is leading the way in renewable energy and sustainability projects. Even though Washington is famous for its rainy seasons, the state receives ample sunlight—152 days on average annually—to produce sufficient solar energy. In Washington, there are several solar incentives available that might help you save even more money if you’re thinking about switching to solar energy. Solar incentives in Washington DC like federal solar tax credit and the solar energy system sales tax incentive, can significantly reduce the initial cost of installing a solar system.
Explore the best Washington solar incentives and rebates for minimizing your upfront installation cost in Washington DC.
Washington State Solar Incentives
To increase the affordability and accessibility of solar energy in Washington, DC, the state provides several rebates and incentives. Here are the main available programs:
Residential Clean Energy Credit
The Federal Investment Tax Credit is available to businesses and homeowners in Washington, DC (ITC). A considerable tax benefit is provided by this program for the installation of solar systems. You can claim a tax credit equal to 30% of your solar system cost. Both residential and commercial solar owners can take advantage of this state tax credit.
Solar Renewable Energy Certificates (SRECs)
You can contribute and get compensation for producing solar power with SRECs. As part of the program, you will receive one D.C. SREC for every MWh of clean electricity your panels generate. Also, you can sell SRECs in the DC market. Most solar owners manage the tricky part—selling the SRECs to the utility companies—using a broker. The SRECs would be paid to you directly by the broker.
DC Solar For All Program
While free solar panels are exceptional, there is Washington D. C’s Solar for All program that seeks to help low-income families who will benefit from cutting their high energy bills through the installation of rooftop solar systems. For 2024, the program will cover up to $10,000 of the system’s cost, potentially saving up to $500 annually on electricity. To qualify, homeowners must either receive government assistance (like SNAP or SSI) or have a household income below 80% of the area’s median income. This initiative helps make solar energy accessible and affordable for those who need it most.
Solar Property Tax Exemption
Apart from the rebates and incentives, D.C. provides a solar property tax exemption. The installation of rooftop solar typically increases property values, which in turn raises your property tax liability. However, homeowners do not require to pay property taxes on the value added by solar panels under D.C. law. In D.C., the normal property tax rate is 0.55%. At present, this policy does not have an expiration date recorded in the books.
Explore your Solar Savings in Washington DC
Net Energy Metering (NEM) In Washington
Under Washington State’s net metering program, customers—both residential and commercial— can return any excess energy to the grid and earn credits . However, private utility and transportation firms are subject to service and rate regulations from the Washington Utilities and Transportation Commission (UTC). Utility companies are required to provide net metering programs to their consumers under the net metering regulations set by the UTC for Washington.
Systems up to 100 kW are covered by the state’s net metering regulation, which requires utilities to provide net metering until the total producing capacity of net-metered systems reaches 0.5% of the utility’s peak demand.
PEPCO Credits
When your solar system isn’t producing electricity, PEPCO uses your accumulated credits to cover your energy needs. Credits, given in kWh, offset your actual energy usage but don’t cover fixed monthly rates, around $18 as of early 2024. Credits roll over monthly but expire annually. Unused credits are mostly cashed out: for example, 800 kWh could earn you about $70, though transmission costs aren’t reimbursed, making each credit slightly less valuable in cash.
SolarSME Installation Services In Washington DC
Ready to switch to solar and take advantage of Washington DC’s incentives and rebates? SolarSME is your local solar partner to answer your questions, guide you through the process, and help you make the most of your solar investment.