The state of Massachusetts has gotten solidly on board the solar bandwagon, in terms of legislative support for making the switch to solar powered energy. Its Renewables Portfolio Standard (RPS) calls for 15% of all energy used in the state to have a renewable source by the year 2020, with a 1% increase in that figure each year after 2020. Since there is no cap on the legislation, by the year 2050, around half of all energy generated within the state should theoretically be provided by renewable sources like solar power.
Advantage of going solar in Massachusetts
Currently, residents of Massachusetts have the fourth highest rates in the country for electricity, and projections indicate that electricity costs will continue to rise. That being the case, a less expensive source for electrical power would seem to be of paramount importance for residents of the state.
Once solar panels have been installed at your residence, the monthly utility bill becomes a thing of the past, and only a low ongoing maintenance cost remains. Of course, purchasing a solar panel system will have a high initial cost, but the savings over 20 or 25 years will be enormous, compared to the cost of electricity from the grid.
A system based on solar energy is also much friendlier to the environment, since it draws upon a source with virtually unlimited supplies of energy, and since no harmful by-products are generated along with the electricity, solar power is far more green than other methods of electricity generation.
Available financial assistance in Massachusetts
Massachusetts has had a state-wide tax credit program in place for a very long time, and it is still in effect today. The tax credit provides for a 15% credit off the net costs of your solar panel system, up to a total of $1,000. In effect, this means you can count on getting $1,000 off your state tax bill the year after you purchase a system – in addition to the huge Federal Government credit which will be allowed as well.
Another huge potential windfall for solar panel owners exists in the state, called the Solar Renewables Energy Credit (SREC). If you have solar panels that can generate 1 MW hour of electricity per year – a typical 5KW system will generate 6 SRECs annually – these can be sold to utility companies hungry for the SREC credits, because they provide proof of compliance with state mandates to produce renewable energy.
All the utility company buys is your SREC credit – you keep everything else, including the electricity of course. And by purchasing your SREC credits, the utility company in effect ‘owns’ the SREC credit and can add to its required level of compliance. You end up with a financial windfall for doing nothing – over the life of a typical 10-yr contract, you will have earned roughly $14,000 from the sale of your SREC credits. Compare the best solar panel companies.