Why Go Solar in Tempe, Arizona
If you’re a homeowner in Tempe, there’s no better time to turn your plentiful Arizona sunshine into savings by going solar. With some of the highest electricity prices in the country and some of the most sunshine, the state of Arizona and, specifically Tempe, is a terrific fit for sun-powered solar energy. Much like the rest of Arizona, residents in Tempe spend so much money for their electricity, however switching to solar comes with its share of good news: Tempe and the state of Arizona have numerous cost-saving incentives for solar energy.
For that reason, solar companies in Tempe have taken great strides to bring solar energy to more homes and businesses. At Sunpro Solar, we want to help you take advantage of the best solar power incentives in Tempe. Let’s go over all the reasons why switching to solar energy in Tempe, Arizona has never been a better idea.
Are Solar Panels Worth it in Tempe?
Let’s take a deeper look into all the incredible reasons why more homeowners in Tempe, residents across the state of Arizona and the rest of the world are switching to solar energy to power homes and businesses.
- Decreasing Costs – The cost to install rooftop solar panels has come down significantly. The U.S. Energy Information Administration declared that solar is now, “the cheapest electricity in history,” and with the 26% federal tax credit, solar is an affordable investment in Tempe. Free quotes are available so you can see how incentives work to cut down the cost.
- Solar Technology Improvements – Solar technology has made huge strides in efficiency, durability and production lifespan. More efficient solar panels mean that each square foot of solar panel can produce even more solar power. This is extremely important for rooftop installations with limited space for solar panels who want to get more kilowatt hours (kWh) from their system.
- Improved Home Value – In Tempe, a solar panel system does more than decrease or eliminate your electricity bills, solar installations and solar arrays also become an asset that increases your home’s value.
- Tax Credits – The federal government gives out a significant tax credit for homeowners who install solar panels to power their home. The rate is locked in at 26% through the end of 2022. After that, it will drop to 22%, then eventually become completely unavailable.
- Solar Powered Battery Storage – If you’re concerned about power outages, now is a great time to consider a solar battery backup as an add on to your solar energy system — especially while you can get it covered by the previously mentioned tax credit. Solar energy batteries, like the Tesla Powerwall, will store any extra solar power your panels produce to use later so your home can run on clean, green energy.
- Environmental Concerns – As concern about the environment grows, people in Tempe are looking for ways to reduce their impact on their surroundings. By using the incredible amount of sunlight, you can decrease your carbon footprint while increasing self-sufficiency by installing solar panels on your home.
Tempe Solar Incentives, Tax Credits and Rebates
If the cost of solar panels in Tempe has you worried, the good news is that there are a number of incredible incentives, tax credits and more to cut down the installation costs. After reading our list of solar incentives, chances are that solar panels in Tempe, Arizona are more affordable than you previously thought.
Federal Solar Tax Credit (ITC) in Tempe, AZ
If you’re going solar in Tempe, AZ, there’s a massive solar cost-savings credit to apply to your solar panel investment: the Solar Investment Tax Credit (ITC) offered by the United States federal government. This federal tax credit is available to Tempe, Arizona homeowners and business owners and provides a 26% tax credit of the entire solar system cost, including a battery system.
The full 26% amount of the Solar Investment Tax Credit (ITC) applies to solar arrays that are installed through the end of 2022. Once 2023 rolls around, the credit will drop to 22% for newly installed systems.
Does Tempe Have Net Metering?
The state of Arizona participates in a program similar to net metering called net billing that’s also available in Tempe. When Arizona replaced their net metering law with net billing or, feed-in tariff, in 2016, it meant that customers in Tempe receive credits for any excess energy exported to the grid.
The difference between net metering and net billing is that the credits the utility company offers don’t have to equal the retail rate of energy. While this leaves the rate up to your electric company, it still means that you get credits for any stored and unused energy your home produces.
If you decide to store your excess energy, your panels act as a great investment to offset the utility bills. For that reason, net billing in Tempe is a great incentive for those customers looking to add battery storage to their Tempe home solar power system.Free Tesla Powerwall Quote
Arizona Solar Energy Credit in Tempe
As if the other tax credits and billing programs weren’t enough, the state of Arizona has a significant income tax credit of its own for going solar. This just means even more solar savings in Tempe. The Arizona Solar Energy Credit is equal to 25% of the cost of your solar system, up to $1,000. And don’t worry, if the amount you owe in income taxes is less than the amount of your state solar credit. The excess credit can be carried over to the next year.
Tax Exemptions for Solar in Tempe
Renewable energy like solar power is growing in popularity all over, including Tempe. And because state and city leadership knows how important clean energy will be in the future, they’ve made solar panels in Tempe and the rest of Arizona exempt from taxes. When switching to solar in Tempe, Arizona, there are two different tax exemptions available to homeowners and residents just like you.
Solar Sales Tax Exemption
The first Tempe solar tax incentive we’ll cover is the Arizona solar sales tax exemption. When you go solar this means that your purchase of solar panels be exempt from sales tax. However, it’s important to note that the sales tax exemption does not apply to batteries that are not part of the system. With no sales tax applied to your solar panels, it only makes switching to solar in Tempe, Arizona more cost-effective.
Property Tax Exemption
Arizona law makes solar panels completely exempt from property taxes. That means all the increase in value without having to pay additional property taxes for the solar panels installed on your home. When you get a solar PV system installed on your home, it will save you money and also add value to your home. On average, solar panels add $20 of value for every $1 you save on your electric bill. So if you saved $200 a month on your electric bill with solar panels, you’d have an additional $4,000 of value added to your home.
Arizona Solar Rebates in Tempe
In addition to all these tax incentives and net billing, there are local rebates in the state of Arizona offered through local utility companies. In Tempe, Salt River Project offers a rebate for customers who invest in battery storage as part of their solar energy system. You can follow the link below for details.
Salt River Project Solar Battery Incentive
|Salt River Project Battery Storage Incentive Program||Utility||Battery Rebate|
Solar Panel Installation: How to Choose a Solar Company in Tempe, AZ
Choosing between solar contractors and solar professionals in your area can be intimidating, which is why it’s helpful to remember the three most important tips when choosing a solar panel company.
- Make sure the company you’re choosing has warranties in place. Not only on the labor, but products as well. That way you know you and your investment are protected in the years to come.
- Read reviews about the company you’re choosing. While you’ll see a bad review here and there (just the nature of open reviews), make sure a large majority of the reviews aren’t negative and stating the same problems over and over. That’s a clear indicator of a company to stay clear of, no matter how well known their name is.
- Choose a reputable company that’s been in the game for awhile. Again, this way you know who is the best fit. Also, you’ll have confidence knowing that your solar company will be around longer than the lifespan of your solar power installation.
Solar Installers In Tempe, AZ: Sunpro Solar, Trusted Solar Company
Since 2008, Sunpro Solar has a proven history and reputation for providing quality service, and was ranked #5 for 2020 Solar Power World’s Top Residential Solar Installer in the United States. We are proud to offer some of the best warranties you can find in the solar industry and only use products that offer the same.
- 25 Year Labor Warranty
- 25 Year Production Guarantee
- 25 Year Solar Panel Manufacturer Warranty
- 25 Year Enphase Microinverter Warranty
- Thousands of happy homeowners
- Free Home Energy Audit
- Roof replacement experts
Free Solar Panel Quote For Tempe, Arizona Residents
If you’re ready to take the next step, or even if you’re considering what it would take to get you there, contact us for a free consultation to discover all your options and to receive free estimates.
Our crews install solar power systems and roofs in Tempe, Arizona and surrounding areas of Maricopa County. Contact us today to see if we service your neighborhood and get free solar quotes for your particular needs.Free Solar Quote
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January 19, 2021