We are your solar resource
Solect focuses on the smart, practical application of solar energy solutions based on your needs as well as specific state and national regulations and incentives. The complex and ever-shifting policy landscape requires constant and in-depth attention. We maintain comprehensive knowledge of existing policies and upcoming changes, so that our experts can help businesses, municipalities, educational institutions, and nonprofit organizations reap the optimal financial benefits of solar power.
Now is the time for businesses and property owners to invest in solar.
Federal and state incentive programs make investing in solar a sound business decision. In addition, 29 states across the U.S. have created Renewable Portfolio Standards (RPS). Adoption of an RPS program requires utilities and other energy providers to procure a set amount of energy from renewable sources. The program acts as a guide for states to create incentives that support their specific RPS goals – and it’s working.
FEDERAL SOLAR INCENTIVES
With expertise and involvement at the national level, we can help your organization take full advantage of the solar incentives offered by the U.S. federal government, including:
- 1The U.S. Investment Tax Credit (ITC) is a solar incentive that provides a 26% federal tax credit for
eligible costs of going solar. This savings opportunity decreases 4% next year to 22%. In 2022, the
incentive decreases significantly to 10%. You only have until the end of December 31, 2021 to take advantage of these substantial tax benefits. - 2Thanks to an IRS provision called Safe Harbor, you can preserve the 26% credit this year. There are two
ways a company can qualify: The Physical Work Test or The Five Percent of Cost Test. If a project satisfies
either one of these tests, it can still qualify for the full 26% tax credit as long as it is completed and in
service BEFORE January 1, 2024. - 3Bonus Depreciation: Solar systems qualify for 100% bonus depreciation in year one. The Modified
Accelerated Cost Recovery System (MACRS), is a method of depreciation in which a business’ investments in
certain tangible property are recovered, for tax purposes, over a specified time period through annual
deductions.
MASSACHUSETTS SOLAR INCENTIVES
Massachusetts DOER recently added an additional 1,600 MW of solar capacity, 3,200 MW total, under the
SMART program.
BENEFITS OF THE SMART PROGRAM:
- “Bankable” long-term, predictable incentive payment: guaranteed fixed incentive rate for 20 years paid monthly
- Projects are easier to finance: fixed 20-year tariff rate, with an investment-grade credit quality
- Stable income from avoided electricity costs for 25+ years (system lifetime)
- Greater flexibility: two options to go solar – use the power on-site, or sell it all to the utility – you decide
- Numerous additional incentive “adders” including rooftop systems and certain consumer types
- Incentives to pair solar + energy storage: take control of your peak demand charges with storage
KEY SMART UPDATES:
- Higher incentives available for public entities
- Carve out in block for 25-500 kW systems
- Better compensation for behind-the-meter projects
- Alternative on-bill credits (AOBCs) available in locations where net metering is capped
- Additional compensation for low income districts
- Energy storage is now required for all projects sized 500 kWAC and greater
Let us guide you through all of the Commonwealth’s state solar incentives, currently including:
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CONNECTICUT SOLAR INCENTIVES
Connecticut has a 20% RPS in place for 2020 – with plans to reduce greenhouse gas levels 10% below 1990 levels in the same time. With 265 MW currently installed and plans to install another 902 MW over the next five years, the state is well on its way to achieving these goals. Plus, we can help your organization take advantage of Connecticut’s current solar incentive programs, including:
- Zero Emission Renewable Energy Credits (ZREC) Program
- Commercial Property Assessed Clean Energy (C-PACE) Program
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RHODE ISLAND SOLAR INCENTIVES
Rhode Island’s goal to reduce greenhouse gas emissions – 45% below 1990 levels by 2035, and 80% by 2050 – has bolstered renewable energy policies and we’re deeply familiar with the details of each and every one. The state has instituted several incentive programs to make alternative energy, like solar, economically feasible for businesses and commercial property owners, including:
- Renewable Energy Growth (REG) Program
- Renewable Energy Fund (REF)
- Property-Assessed Clean Energy (PACE)
READ THE LATEST ON RHODE ISLAND SOLAR INCENTIVES: