Global Warming Archives - Momentum Solar

Big Win for the Solar Industry with Tax Credit Extension

This week, Senate voted to pass an important bill for Americans looking to switch to clean energy alternatives, The Inflation Reduction Act (IRA). This bill includes nearly “$400 billion over ten years in funding for climate and energy-related programs, and an extension and improvement of the U.S. electric car tax credit.”[1]

So, where do you begin with all of this tax credit mumbo-jumbo and how will it benefit you? Let’s get into it! Momentum is here to break it down for you.

If you are already an expert on tax credits and solar power and ready to start capitalizing on the benefits, speak with one of our specialists at 1-888-MOMENTUM or click on the “Free Quote” button above!

The Highlights of the Inflation Reduction Act

The Inflation Reduction Act is a “trimmed-down” version of the Build Back Better proposal that was stalled in the Senate several months ago. Once this new version was brought forward, it was passed swiftly, which was a great victory for climate champions. [2]

While this bill includes significant corporate tax and healthcare benefits that could help with inflation over the next decade, the climate portion of the IRA is most notable. This part of the bill represents $369 billion in spending – money to be used to further clean energy alternatives and climate change solutions. [3]

What Does this Mean for the U.S.?

Recent analyses show that the investments in this bill could put the United States on track to reduce our emissions by between 31-44% by 2030. This is a big deal, considering the last time American emissions were this low was 2005.[4]

What Does it Mean for Green Energy?

The IRA isn’t just for electric vehicles; it covers a wide range of green energy products like solar that can help reduce emissions on a global scale.

Below are some of the green energy products receiving funding:

  1. $60 billion for solar panel and wind turbine manufacturing
  2. $30 billion in credits for new projects
  3. $27 billion for clean tech
  4. $20 billion to reduce agricultural emissions
  5. $5 billion for forest conservation
  6. $4 billion for drought funding in Western states

In addition to this funding, there are several credits for home battery storage, an extension of the rooftop solar credit and, of course, the E.V. tax credit.

The ITC Tax Credit and E.V. Tax Credit: What is the Difference?

Each of these tax credits is different, one is for residential solar panel systems, and the other is for electric vehicles. Let’s take a look at the highlights of each, starting with the ITC Tax Credit (Investment Tax Credit).

The ITC Tax Credit

  1. This tax credit has been extended by ten years at 30%[5]
  1. Beginning at 30% and stepping down to 26% in 2033 and down to 22% in 2034
  2. Since this tax credit decreases over the years, it is better to go solar sooner rather than later
  3. This credit applies to residential and commercial solar systems
  4. This tax credit applies to anyone who installed solar technology in 2022
  5. The 30% also applies to energy storage, whether it is co-located or installed as a standalone system

The EV Tax Credit

  1. Also known as the Electric Vehicle Tax Credit
  2. This credit was recently renewed for another decade and will start January 2023 and will last until the end of 2032.
  3. The tax credit itself is $7,500
  4. The previous tax credit had a cap of 200,000 cars per manufacturer, and the new credit removes that cap at the start of 2023
  5. The credit can be applied upfront at the point of sale if purchased from a dealer
  6. All new vehicles, materials and critical materials will be made in the U.S.
  7. Vehicles must have an MSRP of under $55K for cars and $80K for SUVs, trucks and vans, otherwise they don’t count, leaving out several Tesla configurations
  8. Buyers can only take advantage of the credit if they make under $150K a year ($300k filing jointly)

How Can Momentum Solar Help You Go Green? 

Now that green energy is back on the forefront for the U.S. government and consumers thanks to the IRA, it’s time to start capitalizing on its benefits.Our team can help you go solar with a click of a button. We proudly design solar panel systems that fits our customers needs perfectly and help put more money back in their pockets.

But wait, there’s more…literally.

Momentum Solar offers battery storage to create the perfect solar energy system. Whether you are looking to keep the lights on when the power is out or save money during peak electricity rates, we’ve got you covered. With the IRA now in place, you can trust Momentum to help transition your home to green energy.

For more information, please call us at 1-888-MOMENTUM or click on the “Free Quote” button at the top of the page!

 

 

 

[1] https://electrek.co/2022/08/07/senate-improves-ev-tax-credit-in-largest-climate-bill-ever/

[2] https://electrek.co/2022/08/07/senate-improves-ev-tax-credit-in-largest-climate-bill-ever/

[3] https://electrek.co/2022/08/07/senate-improves-ev-tax-credit-in-largest-climate-bill-ever/

[4] https://electrek.co/2022/08/07/senate-improves-ev-tax-credit-in-largest-climate-bill-ever/

[5] https://pv-magazine-usa.com/2022/07/28/solar-investment-tax-credit-to-be-extended-10-years-at-30/

What is Global Warming? And Why it Matters?

The planet is heating up – and fast! With glaciers melting, sea levels rising, and water forests dying, it is becoming evident that humans have caused real damage to the Earth’s atmosphere by releasing greenhouse gases, which absorbs and traps heat, and are at heights higher than ever before, to power our modern lives.

So, here’s everything you wanted (and need) to know about global warming but were too afraid to ask:

What is Global Warming?

Global warming is a gradual increase in the overall temperature of the Earth’s atmosphere, generally attributed to the greenhouse effect caused by increased levels of carbon dioxide, chlorofluorocarbons, and other pollutants 1

What Is the Greenhouse Effect?

The greenhouse effect is a natural process that warms the Earth’s surface. It occurs when solar radiation reaches the Earth’s atmosphere and is absorbed and trapped by greenhouse gases. This process maintains the Earth’s temperature at around 33 degrees Celsius, or 91.4 degrees Fahrenheit, (warmer than it would otherwise be), which is what allows life on Earth to even exist.2

What Are the Different Types of Greenhouse Gases?

  • Carbon Dioxide
  • Methane
  • Nitrous Oxide
  • Fluorinated Gases
  • Ozone
  • Water Vapor

What Causes Global Warming?

Global warming occurs when greenhouse gases gather in the Earth’s atmosphere and absorbs the solar radiation and sunshine that bounced off the earth’s surface. Usually, this radiation would outflow into space but due to these greenhouse gases, which has an average lifetime in the atmosphere of anywhere from a few weeks to thousands of years,3 trap the solar radiation and warms the planet. This is what is known as the greenhouse effect.

In the United States, burning fossil fuels for electricity and heat is, by far, the main driver of global warming and climate change. Emissions from fossil fuels account for nearly a third of global greenhouse gas emissions, producing about 2 billion tons of carbon dioxide every year.4 Additionally, the country’s second-largest source of carbon pollution comes from transportation, which makes up nearly 15% of CO2 emissions a year.

What Are the Effects of Global Warming?

We can all agree that global warming has many environmental and economic consequences, and will likely continue to occur if current trends continue. Here are just a few (but very serious) events that could occur should we not take any action:

  • Melting Glaciers
  • Higher Sea Levels
  • More Frequently Severe Weather
  • Extinction of Species
  • Polluted, Dirty Air

The following are some of the health impacts of global warming:

  • Infectious Diseases
  • Heatwaves
  • Respiratory Diseases

How Can You Make a Difference?

1. Upgrade Your Bulbs: By replacing your regular light bulbs with more efficient LED bulbs, you can consume up to 80% less energy than ordinary bulbs — and they have a longer lifespan.

2. Invest in Energy Efficient Appliances: Since they were first implemented nationally in 1987, efficiency standards for dozens of appliances and household products have kept 2.3 billion tons of carbon dioxide out of the air. That’s about the same amount as the annual carbon pollution produced by nearly 440 million cars.7

3. Reduce Your Water Waste: Saving water reduces carbon pollution, too —that’s because it takes a lot of energy to pump, heat, and treat your water. The EPA estimates that if just one out of every 100 American homes were retrofitted with water-efficient fixtures, about 100 million kilowatt-hours of electricity per year would be saved — avoiding 80,000 tons of global warming pollution.8

4. Unplug Your Devices: A great way to see a positive impact on your electricity bill and help stop global warming is to unplug items around your house that you aren’t using. Leaving your devices plugged in, even when off, can still use a lot of energy.

5. Power Your Home with Solar Energy: Longer days mean more sunlight, and more sunlight means more savings for homes powered by the sun. Summer months have always been considered optimal for solar output due to more hours of sunlight and thus, produce more solar energy.

How Much Does the United States Actually Contribute to Global Warming?

In 2015, the top 5 carbon dioxide (CO2) emitters were China, the United States, India, Russia, and Japan. China produced 28% of all CO2 emissions. The United States came in second, producing a whopping 15% of all CO2 emissions, which is more than India6%, and Russia (5%) combined. Additionally, the United States is still number one in cumulative emissions over the past 150 years.5

What Is the United States Doing to Prevent Global Warming?

The Environmental Protection Agency’s (EPA) Clean Power Plan, introduced by President Obama in 2015, will contribute to the country’s efforts to reduce carbon pollution and our dependence on fossil fuels. The Plan has set restrictions (for the first time ever!) on carbon pollution from US power plants, which is the largest source of pollution in the country.

Limiting carbon pollution from our power plants is one of the single biggest steps we can take to fight climate chaos. The EPA issued the final Clean Power Plan under the Clean Air Act, which the nation’s fundamental air pollution law.6

Sources:
1http://www.dictionary.com/browse/global-warming?s=t
2https://www.epa.gov/ghgemissions/overview-greenhouse-gases
3https://www.epa.gov/climate-indicators/greenhouse-gases
4http://www.wri.org/blog/2013/11/carbon-dioxide-emissions-fossil-fuels-and-cement-reach-highest-point-human-history
5https://www.ucsusa.org/global-warming/science-and-impacts/science/each-countrys-share-of-co2.html#.WyLFgIpKiUk
6https://www.nrdc.org/stories/how-clean-power-plan-works-and-why-it-matters
7https://www.energystar.gov/
8https://www.nrdc.org/sites/default/files/energywater.pdf