New Jersey Solar Power at a Glance

New Jersey Solar Power at a Glance
8

Electricity costs

0.0/10

Renewable Portfolio Standards

10.0/10

Solar Carve Out

10.0/10

Net Metering

10.0/10

Interconnection

10.0/10

Performance Payments

10.0/10

Incentives/Rebates

10.0/10

State Tax Credits

0.0/10

Property Tax Exemption

10.0/10

Sales Tax Exemption

10.0/10

Pros

  • Renewable Portfolio Standards Program
  • Solar Carve Out Program
  • Net Metering Program
  • Interconnection Policy
  • Solar Performance Payments Program
  • Incentives/Rebates
  • Property Tax Exemption
  • Sales Tax Exemption

Cons

  • High electricity costs
  • No Sales Tax Credits

Solar Power In New Jersey

Solar Power New Jersey

Introduction

Both New Jersey officials and residents alike can take great pride in their leadership role that they have taken by setting an example of encouraging the use of solar power. The State has much to protect by taking care of their environment, and there is no doubt that they have recognized this, which is evident through their actions. This state does not enjoy cheap electricity as their costs is 0.16 cents kwh. This means they are the 10th highest in the nation so this is only one of many reasons why those living here will want to consider solar power in New Jersey offerings.

Average Costs of Going Solar

Many residents are most willing to pay the $18,750 first year start up costs for a solar system, but they don’t need to pay this much because they can deduct $7,556 in incentives or rebates which reduces their first year costs to $11,195.

Savings for Solar Power New Jersey

Depending on a 5kW system a resident can expect to save about $78. a month in energy savings.

Payback Periods for New Jersey Solar Systems

If you have opted for the 5kW solar system you can expect a 7 year payback time.

Return On Investment On Solar Electric System

Whenever you are making some form of investment which you are when going with a solar system you expect some type of return. In this instance you can expect a 18.3% return.

Solar Power New Jersey Incentives

Current New Jersey Legislative Environment For Solar

This State is right up there with those Sates that have a good renewable Portfolio in place. They are about 16th in the Nation for this. Their mandate is 22.5% by 2021.

They are also heavily involved with a Solar Carve Out Program classed as the 2nd best in the nation. Their goal here is 4.1% by 2028. What this works out to for the utility companies that must reach this goal is that for every 100 kw generated 4 of them have to be sun generated.

Staying in tune with the fine solar power efforts the State is making they also have a very good interconnection policy in place. This determines how easy it is to plug into the grid.

Incentives Available For New Jersey Solar

Many states have let their initial incentives go that were first in place to encourage the use of solar power, but not in this state. There are still some solar energy incentives in place but mostly for new constructions.

New Jersey Net Metering

Net metering is a program that the State can put in place to allow a solar user to sell back their unused power to the utility company. Not all states have this program but this state does. Residents participating in this receive their credit on their next bill. Plus, if there is a surplus balance this is paid out at the end of the year at the wholesale rate.

Solar Energy New Jersey

Rebates / Tax Credits

One thing you should not expect here  are any sales tax credits for solar energy because there are none in place.

There is the Federal tax credit that you can take advantage of.

There are solar power performance payments that you can enjoy, and New Jersey’s program for this places them 3rd in the nation. This program is offered by way of Solar Renewable Energy certificates.

You can also take comfort in knowing that your property tax is not going to jump because of this enhancement to your home as there is a property tax exemption in place.

An even added bonus when it comes to tax is that there is a sales tax exemption.

Summary:

One thing is for sure is that the officials in New Jersey are certainly supporting the concept of homeowners going with solar power New Jersey programs. They not only have the majority of programs and incentives in place but they have made them very enticing.