Illinois residential solar energy incentives

Solar energy rebate program - DECO
- The Department of Commerce and Economic Opportunity offers rebates of up to 30% of the total cost of any solar PV, solar thermal or solar water heating system.
- Maximum incentive amount is $10,000.
- Qualifying systems must be approved and meet all specified requirements.
Illinois Solar Energy Association – Renewable Energy Credit Aggregation Program
- ISEA purchases renewable energy credits from participating customers who generate power with solar photovoltaics at $0.06 per kilowatt.
- To retain ownership of renewable energy credits, a net metering agreement may be necessary in some cases.
- Eligible PV systems must complete one year of field testing or be UL listed.
Residential renewable energy tax credit
- This personal tax credit allows the taxpayer to claim a credit of 30% of expenditures including labor costs and installation of qualified residential solar-electric systems, solar water heating systems or fuel cells. Small wind-energy systems and geothermal heat pumps can also be accredited for.
- Solar-electric systems and solar water heaters have a maximum incentive of $2,000 if placed in service before 2009. There is no maximum incentive for systems placed after 2008.
- The excess amount of the federal tax credit may be carried forward to the next taxable year if it exceeds tax liability.
  - This can be carried forward until 2016, but after that, it is unknown if the unused credit will be able to be forwarded.
Residential energy conservation subsidy exclusion
- This is a personal exemption of 100% of energy conservation subsidies provided by public utilities.
- The value of a purchase or installation of any energy conservation measure by a customer such as solar water heat, solar space heat or photovoltaics will not be included in the customer’s gross income.
- Customers of an electric utility company, who participate in the utility’s energy conservation program, may receive a rate reduction of electricity furnished or a nonrefundable credit against the purchase price of the electricity on each monthly electric bill.
Energy-efficient mortgages
- This is a federal loan program where homeowners can use EEM (energy-efficient mortgages) to finance renewable energy technologies in a home.