As concerns about climate change continue to grow, more homeowners are turning to solar
power as a way to reduce their carbon footprint and save money on energy bills. In
Pennsylvania and New Jersey, there are several financial incentives available to encourage
homeowners to make the switch to solar. In this blog post, we’ll explore the various incentives
available in each state and how they differ.
Pennsylvania Solar Incentives
Pennsylvania has a variety of incentives available to homeowners who install solar panels. These
Solar Renewable Energy Credits (SRECs): When you install a solar panel system, you can earn
SRECs based on the amount of electricity your panels produce. SRECs can then be sold on a
market to utilities and other entities that need to meet state-mandated renewable energy
goals. The value of an SREC varies based on supply and demand, but homeowners can earn
thousands of dollars each year by selling their SRECs.
Net Metering: Pennsylvania requires utilities to offer net metering to homeowners with solar
panel systems. Net metering allows homeowners to earn credits on their energy bills for any
excess electricity their panels produce. These credits can then be used to offset the cost of
energy they consume when their panels are not producing enough electricity to meet their
Property Tax Exemption: In Pennsylvania, homeowners who install solar panels are exempt from
paying property taxes on the value of their solar energy system. This can save homeowners
hundreds of dollars each year.
New Jersey Solar Incentives
New Jersey also offers several incentives to homeowners who install solar panels. These
Solar Renewable Energy Certificates (SRECs): Like Pennsylvania, New Jersey offers SRECs to
homeowners who install solar panel systems. The value of an SREC in New Jersey is typically
higher than in Pennsylvania, making it a more lucrative market for homeowners.
Net Metering: New Jersey also requires utilities to offer net metering to homeowners with solar
panel systems. Homeowners can earn credits on their energy bills for any excess electricity their
Property Tax Exemption: New Jersey offers a property tax exemption for residential solar energy
systems. Homeowners who install solar panels can save thousands of dollars on property taxes
over the life of their solar panel system.
Sales Tax Exemption: New Jersey also offers a sales tax exemption for residential solar energy
systems. This can save homeowners thousands of dollars on the cost of their solar panel system.
Rebates: New Jersey offers a rebate program for homeowners who install solar panel systems.
The rebate amount varies based on the size of the system and other factors, but homeowners
can receive thousands of dollars in rebates for installing solar panels.
Differences between Pennsylvania and New Jersey Solar Incentives
While Pennsylvania and New Jersey offer similar incentives for homeowners to go solar, there
are some key differences between the two states. The value of SRECs is typically higher in New
Jersey than in Pennsylvania, making it a more lucrative market for homeowners. Additionally,
New Jersey offers both a sales tax exemption and a rebate program, while Pennsylvania does
not. However, Pennsylvania does offer a property tax exemption, which can save homeowners
hundreds of dollars each year.
In conclusion, both Pennsylvania and New Jersey offer a variety of financial incentives for
homeowners to install solar panel systems. Whether you live in Pennsylvania or New Jersey,
going solar can help you save money on energy bills and reduce your carbon footprint. If you’re
considering making the switch to solar, be sure to research the incentives available in your state
and consult with a solar panel installation company to learn more about the costs and benefits
of solar energy.