North Carolina residential solar energy incentives

Renewable energy tax credit:

-This tax credit is offered to residents of North Carolina who purchase and install renewable energy systems and technologies such as solar, wind, biomass, hydroelectric, renewable fuels, geothermal, anaerobic digestion, etc.
-The tax credit is equal to 35% of the total cost of the equipment and residential systems.
- Incentive amounts vary by technology and range between $1,400 and $10,500.
-Excess credits may be carried over to the next five taxable years by residents.
-Systems must be new and meet all safety and performance requirements to be eligible for this tax deduction.

North Carolina GreenPower production incentive:

-This statewide program is intended to encourage residents of North Carolina to use renewable energy.
-All grid-tied solar systems, wind systems and biomass resources receive production payments for electricity generated by the customer.
-Qualifying generators are required to enter a power-purchase agreement with their utility and North

Carolina GreenPower.

-Payments made are on a per kilowatt basis. Small solar electric systems are paid an average of $0.19 per kilowatt-hour.

Property tax abatement for solar electric systems:

-All solar thermal electric (PV) systems have a property tax cut.
-80% of the appraised value of the system is exempt.
Active solar heating and cooling systems exemption:
-Solar water heating, solar space heating and solar space cooling equipment and systems are exempt from property taxes up to the amount of conventional equipment.

Residential energy efficiency and solar water heating loan program – BEMC:

-This loan program provided by Brunswick Electric Membership Corporation offers its customers low interest loans to help them make energy efficiency improvements on their homes.
-Eligible improvements for this loan program include water heaters, heat pumps, weather stripping and solar water heat systems.
-Loan amounts range from $3,000 - $5,000 at an interest rate of 5%.
-Participants must have good credit history and must be customers of BEMC for at least one full year to qualify.

Utility-sponsored loan and rebate programs:

-Many utility loan and rebate programs are available throughout the state of North Carolina provided by municipal cities and utility companies.
-Details and requirements for each program will vary.
-Loan and rebate programs are available to make energy efficiency improvements are generally available for customers who purchase heat pumps and water heaters and certain weatherization measures.
-Loan and rebate amounts vary.

Green power switch generation partners program – TVA:

-Tennessee Valley Authority offers a production incentive for installing solar photovoltaics, wind, low impact hydropower, and biomass to customers of participating TVA power companies.
-Green power switch is TVA’s green pricing program which provides technical support and incentives for installing renewable energy systems.
-Through this program, TVA purchases the solar energy output at $0.12 per kilowatt-hour and all other renewable energy at $0.03 per kilowatt-hour.
-Payments are made in the form of a credit on the local participating utility’s monthly bill.
-All new participants of the green power switch generation partners program will receive a $1000 incentive to help offset initial cost of the system.

Net metering:

-Net metering is available to customers who have facilities that generate electricity through solar, wind, methane, biomass, hydropower or geothermal systems.
-The power produced by the renewable energy system is used to offset the kilowatt hours consumed each month. The incentive shows up as a credit on the customer’s monthly bill.
-Systems must have a capacity of one megawatt or less to be eligible for net metering.
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.