Financial Benefits of Going Solar in Washington State
Washington area might seem to be an unlikely place to opt for solar energy due to the weather and the overall climate. However, it is important to note that the Washington state government is offering excellent incentives to the homeowners who are courageous and far-sighted enough to acknowledge the long term benefits of going solar. Although the process has its fair-share of challenges, the incentive deals and savings opportunities are undeniable and much more appealing for the homeowners to be willing to put-up with the challenges. Here are a few financial benefits of opting for solar energy that are offered to homeowners in the state of Washington:
- The Return On Investment (ROI) from investing upon Solar Energy is plentiful to say the least. As you begin to compare it with other forms of investments such as stocks, commodities or even property, Solar Investment stands out. For instance, upon calculation it was revealed by a few experts that if you place a solar power system that produces around 5kW of energy, on average you shall get the ROI of about 6%, which is a fairly generous figure.
- The Washington State Government launched a scheme called the Renewable Energy Cost Recovery Incentive Payment program, which dictates that a solar customer shall receive a dollar against every Kilo-Watt of energy that his/her system produces, which would be on top of the payment that s/he receives upon sending surplus energy produced by the system back to the grid under net-metering. This implies that, thanks to the said incentive program, the ROI can be brought up to a whopping 17%.
- The solar panel installation has become a lot cheaper over time owing to the growing demand and supply. The costs have come down to as low as $15,000 for the 5 kW solar energy systems. On average, 15 kWh of energy is generated by a system per day, which adds up to 5700 kWh a year approx. Given that the average homeowner in the Washington state uses almost 12000 kWh of energy per year, the utility bills can be slashed by almost 50%.
- The outlying expense i.e. sales tax in the Washington state is 9%, but that too can be evaded under Washington’s Solar Tax Exemption program. Furthermore, as a part of the federal Income Tax Credit (ITC) you can cut the outlay down to 30%, enabling you to save about $5000 from the net cost.
- If you are ready, willing and able to go solar, the state government will not incur any taxes on you for roofing, purchase and installation of panels, getting the services of contractors and designers.
- If you happen to reside in the Snohomish County PUD area, you can get $300 per kW capacity of the system, after your system has been installed and is in working condition.
These are just a few of the straight-forward incentives being offered by the Washington State. We say straight-forward because, if you analyze the taxation and rebate model of the state thoroughly, you can save a lot more money by cashing in on the plethora of incentives being offered by the Washington State to the Solar Customers.