This year has been one for the history books, especially here in Arizona. After Maricopa County became the epicenter of the presidential election, and the outbreak of a novel virus continues to keep many Arizona homeowners working, teaching, and learning from home, who could blame you for daydreaming about the ball dropping on New Year’s Eve so we can leave this year behind us?
There is a lot to look forward to in 2021, like the potential for things to feel more like they did before the pandemic. One way Arizonans can prepare for a better 2021 is by securing decades of energy savings, carbon footprint reductions, and even power outage resilience by installing solar PV systems on their homes. Read on to learn why 2021 is the year to go solar here in Maricopa, Pinal, and Gila Counties.
Going Solar in 2021: Take Advantage of the Federal Solar Tax Credit
As we mentioned, there are many lasting benefits to installing solar panels, no matter when you choose to install them. But there are some financial incentives that won’t last forever.
The federal solar tax credit, also known as the federal Investment Tax Credit ( ITC), is set to expire for residential systems in 2024. This is good news, however, as the ITC has recently been extended past its original expiration date at the end of 2021, giving homeowners a few more years to take advantage of significant savings!
This financial incentive allows homeowners to reduce their federal taxes dollar-by-dollar by 26% of their total solar installation costs—so for every $1,000 you spend installing solar panels on your Arizona home, you can reduce your taxes by $260. This can add up to thousands of dollars in savings.
With the extension, the federal solar tax credit will remain at 26% until the end of 2022. It will then drop down to 22% in 2023 and expire completely for homeowners in 2024 (commercial systems will be eligible for a 10% federal tax credit from 2024 on). To make sure you receive the highest level of savings possible, you should get your solar installation started right away in 2021.
A recent survey about remote work statistics shows that 88% of business organizations all over the world mandated or encouraged all their employees to work from home, and 99% of remote workers are satisfied enough with working from home that they plan to continue to work remotely. While this may signify good news for reducing traffic on loop 101 and I-10, it also means Arizonans will be using more energy at home, increasing the demand on the electricity grid and making remote workers more vulnerable to higher energy bills as well as blackouts and brownouts.
At SouthFace Solar & Electric, we can design a solar energy system with backup energy storage to meet your energy needs – whether this is a grid-tied solar-plus-battery system, an off-grid solar PV system designed to take your Phoenix home off of the electricity grid entirely, or solar with a backup whole-house generator.
With solar battery storage, you’ll gain greater freedom from an energy bill, and you can use your stored renewable energy to offset electricity loads during peak periods to avoid costly peak demand charges. Additionally, with solar battery backup or a generator, you’ll have peace of mind when a power outage hits, keeping your lights and essential energy loads running. After the uncertain year of 2020, you can secure your home’s energy for decades to come with solar with solar battery storage.
The Earlier You Act, the More You Save
If you want to add some (solar) flare to the new year, installing solar panels is a great way to start. The earlier we can get your system operational, the more money you stand to save, especially before the mild Arizona winter ends and the summer sun arrives. SouthFace Solar & Electric has been helping homeowners benefit from solar energy in many ways, and we can help you to understand solar ownership, reduce your upfront solar installation costs, and shorten the payback period by helping you fully understand solar incentives like:
- The federal solar tax credit
- The Arizona state tax credit (recently expired)
- Energy Equipment Property Tax Exemption
- MACRS depreciation (for commercial systems)
…and more! All you need to do to get started is schedule a free solar quote with our solar solutions and design experts.