Solar Incentives in Pennsylvania

Solar Incentives in Pennsylvania

Alternative Energy

The state of Pennsylvania has a long, proud history of energy production. In the early days, Pennsylvania fueled the northeast with oil and coal mining. In recent years, the state has turned to a more modern approach – solar energy. Each year more and more people in the Keystone State are making the change to a greener lifestyle and reaping the benefits.

You may be wondering how you can make the switch and take part in the incentives Pennsylvania has to offer… all you need to do is keep reading to find out!

The Federal Solar ITC

Getting more for your money with solar is easy with the federal Investment Tax Credit (ITC). This incentive allows you to deduct 26% of the cost of installing a solar energy system from your federal taxes.[1] Keep in mind that in Pennsylvania, the ITC applies only to those who have bought their solar system with a solar loan or a cash purchase, and the homeowner must have enough income for the tax credit to be relevant.[2]

To keep it simple, buying your panels with a solar loan or cold hard cash can pay off when tax season comes around. So why not make the switch? Not only will you help the environment but your wallet as well.

Pennsylvania and Net Metering

Net metering could be one of the most important components of going solar as it governs how your residential system interacts with the gird. If you’re new to solar or just starting your journey, “net metering allows you to sell excess solar electricity back to the utility at the same price at which you would buy it. The ability to send electricity back to the grid is key, as it allows homeowners to ‘bank’ their solar energy when production is up and use it when they need it later on.”2

Solar Renewable Energy Certificates (SRECs)

A Solar Renewable Energy Certificate, better known as an SREC is a solar incentive that allows homeowners to sell certificates for energy to their utility. What this means is, “a homeowner earns one SREC for every 1,000 kilowatt hours (kWhs) produced by their solar panel system. An SREC can be worth over $300 in certain states.”2

Essentially, you can get paid to go solar. But what does this really equate to for the residents of Pennsylvania? In late 2019, the going rate for these credits was around $24. For example, a 5 kWh system that generated 5 MWh per year could make the homeowner an $120 per year from selling the SREC.2

Switching to solar helps Pennsylvania homeowners truly harness the power of the sun and the many benefits it comes with it. Depending on how you buy your system you have the ITC incentive for both residential and commercial residences but also save money by selling SRECs in the market.

Start Your Journey with Momentum

Now that you are a true Pennsylvanian solar expert, it’s time to make the change towards a greener future. Momentum Solar handles the process from start to finish to ensure you have an effortless transition to solar energy. Our team custom designs, engineers and installs each system – we carefully oversee the installation and activation of every Momentum system in your great state. With an office located right in Lancaster, our team is ready and waiting to help guide you, your family and friends.

For more information on how we can help you make the switch, please give us a call at 1-888-MOMENTUM.

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[2] Energy Sage-

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