REBATES & TAX CREDITS
Tucson Electric Power Rebate
www.greenwatts.com
Tucson Electric Power Company offers the up-Front Incentives (UFI) which provides customers a one-time payment based on their system rating, which is in kWh savings. In turn the customer would sign a credit purchase agreement assigning TEP the Renewable Energy Credits (REC) for 20 years. To qualify for the UFI your system must have at least a 10-year manufacturer's warranty. The rebate offers a maximum of $1,750.00 for SRCC OG-300 rated systems. The rebate will cover a maximum of 85% of system cost, including the state and federal tax credits.
State Tax Credit
www.dsireusa.org
www.revenue.state.az.us
The Arizona state income tax credit is 25% and is capped at $1,000. This credit must be shared with other qualifying solar devices (it has a one time per residence limit). There is also a sales tax waiver for solar hot water systems, so you pay no state sales tax on your system.
Federal Tax Credit
www.dsireusa.org
The federal solar tax credit is a 30% credit off income taxes. There is a $2,000 cap. The credit is currently set to expire December 31, 2016. This credit can be taken in addition to the federal tax credit for photovoltaic systems.
SOLAR FACTS
Past Federal and state tax credits stimulated the installation of over 100,000 solar water heating devices in Arizona. Current day savings estimates for a typical residential installation range between $28 - $45 per month, or additional disposable capital totals $2.8 - $4.5 million "gained" by Arizona citizens per month, just in water heating.
10 million conventional hot water heaters fail each year and go to land fills.
U.S. policy is to achieve 20% Solar Hot Water Heating by 2020.