If you are considering going solar in Nevada, you will want to make sure that you know all of the regulations and incentives that are available. Nevada offers a state-run rebate that will give you either a lump sum of money, or a percentage off your total cost. The rebate will require you to complete some paperwork, but most solar installers will do this for your benefit. These matters should be handled by an experienced solar installer.
Net metering
Net Metering in Nevada refers to the process of transferring clean electricity produced by solar systems from your utility company in return for a credit on you electric bill. This program is available to home and business owners since 1997. It allows them to store excess electricity and send it back to their utility company for a credit. You can save thousands of dollars by having enough solar power.
Nevada law mandates net metering. This must be offered by your local utility company. This compensation is at minimum 75 percent of retail rates and decreases as customers install more solar. This means that the payback time for solar installations in Nevada can be up to 16 years, but the rate will continue to decrease as more customers install solar.
Community-based Solar Projects
Nevada's community-based renewable energy projects are a promising way of making solar energy more affordable to Nevada residents. The current cost of installing solar panels onto a roof can range from $10,000 to $15,000. Nevadans don't have the financial means to pay this amount, especially for those who are low-income and can't afford solar panels. Therefore, incentives are being explored by the state to make solar power more affordable.
One such project is the Valley Electric Association's 15-megawatt project in Pahrump. This project will benefit members of the cooperative at no additional cost and will be operational by July 2016. MDU Resources Group (Nevada) is the responsible for the contract's long-haul power purchase. VEA is collaborating. VEA members will have the opportunity to purchase this renewable energy at a fraction of the cost charged by traditional electric companies.
Tax credits
Nevada offers tax credits for solar energy and other renewable energies. DSIRE is a great place to find information about these credits. This website is managed by N.C. Clean Energy Technology Center, N.C State University. It is a great resource. The state also offers a program that allows you to sell back excess power to your utility.
The state has a strong Renewable Portfolio Standard (RPS), which mandates utilities to produce more renewable electricity. They must also purchase renewable energy from customers. They often offer solar incentives as well as solar carveouts to help meet this mandate.
Legality
Nevada recently passed legislation that makes solar power legal. The law allows homeowners who have rooftop solar systems to sell their excess electricity to their utility. The current rate is 95 percent of retail. However, as more rooftop solar systems become available, the price will drop. New homeowner protections are also provided by the legislation. The net metering rate, for example, will be guaranteed for twenty years.
But this policy has its downsides. Utility companies aren’t keen on net metering which allows customers to sell excess solar electricity to them at retail prices. That's because some of the money utilities collect is used to maintain the electric grid. Moreover, the state's utilities have argued that solar customers don't pay their fair share of costs.
Costs
Nevada's solar lease is a great choice for those who don’t have the money upfront to buy solar panels but still desire savings over time. A Nevada solar lease typically pays back in eight to 14 years. This payback period calculates using a simple payback equation that divides electricity output by the cost of power. It takes a year of electricity savings to equal the cost of power at today's prices, so it's important to make sure that you calculate the costs of solar leasing in Nevada carefully.
Federal Investment Tax Credit, also known as the Federal Investment Tax Credit (FITC), is a tax credit you can use to offset costs associated with installing solar panels. A 10-kW system is eligible for the credit, which can be up to 30% of cost. NV Energy's Renewable Generations Rebate Program may be able to lower your residential solar system costs if you have less than 25 kW. When you install a solar panels system, you can receive up to $13,500 worth of rebates.