Massachusetts is a great state for solar
Although the relatively cool temperatures in New England might lead you to believe that Massachusetts isn’t a good place for solar, the opposite is true. Massachusetts’ moderately cool, but sunny climate coupled with the state’s aggressive environmental policies, large and competitive market place, and federal and state incentives make it a great place to go solar.
Federal tax credits
The Federal Investment Tax Credit (ITC) allows qualifying systems installed in Massachusetts in 2021 or 2022 (residential or commercial) to qualify for a 26 percent federal tax credit. The ITC drops to 22 percent in 2023 and will fall in 2024 to 10 percent for commercial projects while coming to an end for residential projects.
State friendly tax credits
In addition to the solar savings available at the federal level, Massachusetts also offers a state tax credit that can total 15 percent of your solar installation costs, up to a $1,000 value, for qualifying systems. In Massachusetts, solar installations are also exempt from property and sales taxes. So, while solar will likely increase the value of your home, it will not increase the taxable value or require sales tax.
Massachusetts SMART solar incentive
The Solar Massachusetts Renewable Target (SMART) is an incentive program that allows qualifying systems to receive monthly incentive payments for up to 10 years. The incentive is a first-come, first-served program, where qualifying systems are entered into specific SMART blocks, offering varying payout incentives, so getting in early is crucial.
Solar battery incentive
By adding a solar battery storage system to your solar photovoltaic system, you qualify for National Grid’s ConnectedSolutions program. If you choose to participate, you’ll agree to discharge your battery during specific established periods to reduce peak load on the grid and help Massachusetts minimize its greenhouse gas emissions.
Net metering in 2021
Massachusetts, like many other states, has net metering laws in place. Net metering allows residential and commercial customers who generate their electricity from solar power to sell the electricity they aren’t using back to the grid. As a result, solar system PV owners receive a credit on their energy bill to offset any grid-supplied energy they may need.To learn more about going to readily available renewable solar energy in Massachusetts, contact an All Energy Solar representative.