Solar Panels Iowa
The decision to install a solar panel system over your home’s rooftop could save you hundreds of dollars in electricity every year while giving you energy independence. Solar energy provides clean, inexpensive, renewable energy to your home by using the sun’s limitless sunlight. There’s already enough solar installed in the state of Iowa to power over 54,000 homes.
Although Iowa ranks #28th in the nation for solar installations, it’s one of the best states to switch to solar due to all the amazing solar incentives available to Iowa residents. In fact, the cost to go solar has fallen substantially over the last decade.
Cost of Solar Panels in Iowa
The cost of going solar in Iowa depends on a few key factors that range from energy consumption, sunlight exposure, price of equipment and installation, and solar incentives. Because there are so many variables when it comes to installing a solar energy system, the most accurate way to get a price estimate for your home is through one of our solar specialists.
Our team of experts can assess your energy consumption and explain the important factors that go into consideration for the total cost including solar incentives available to you. We handle every step of getting your home ready for solar including permits, custom designs, and installation.
WHY GO SOLAR IN IOWA?
Iowa is a little-known solar power paradise in terms of the abundant tax credits and state laws that make Iowa an excellent place to switch your home or business to solar energy.
At number 29 for most expensive electricity prices in the United States, residents in Iowa are prime for breaking free from the rising costs of the old electrical grid.
From the busiest city to the sleepiest town, Iowa actively protects your right to install renewable energy— a right that empowers your ability to reduce your electric bills, save money on installation costs and make a conscious effort to improve the environment while you’re at it.
IOWA SOLAR INCENTIVES, TAX CREDITS, NET METERING
Iowa offers some of the best solar incentives in the country, making going solar more affordable for both homeowners and business owners. When you go solar with ADT Solar, our solar specialist will make sure you know about all the available solar incentives in Iowa such as the generous tax credits, net metering, and tax exemptions.
Solar incentives in Iowa include:
Solar Federal Tax Credit
If you’re considering going solar in Iowa, the United States federal government offers a 26% tax credit of the entire cost of your solar system, including a solar battery to deduct from your federal taxes. Better known as The Solar Investment Tax Credit, this incentive is available to Iowa homeowners and business owners.
The federal solar tax credit is one of the best available incentives to homeowners who go solar in Iowa.
The 26% tax credit applies as long as the home solar system is installed by December 31, 2022. Starting in 2023, the value of the tax credit will step down to 22%. After 2023, the tax credit for residential solar ends.
Now is the time to reduce or eliminate your electric bill, as well as increase your home value, and reduce your environmental footprint.
Net Metering for Solar in Iowa
Net metering is a sensible, cost-effective (and readily available) opportunity to use your solar energy in order to earn credits on your electric bill on days when your system produces more energy than you use.
By taking advantage of net metering in Iowa, you can send the extra electricity produced by your solar panels back to the electric grid and receive credits on your electric bill in exchange.
There’s a reason homeowners in Iowa with solar love net metering. Instead of paying for extra electricity from the utility companies, the credits received from net metering cover a significant amount of any extra energy costs.
The credits you receive from the electric company are perfect to use on days when your solar panels produce less than what you need.
Times of less sunlight such as prolonged storms or wintery, cloud-covered seasons are perfect examples.
Homeowners in Iowa who are customers of Interstate Power and Light (IPL) and MidAmerican Energy are eligible to participate in net metering with their new home solar system — just so long as the solar energy system is beneath the 1 megawatt (MW) benchmark. Don’t worry about surpassing that mark, though. Most of the residential solar systems are under 15 kW.
Renewable Energy Property Tax Exemption
Interested in how a solar installation will affect the assessed value of your home? If you live in Iowa, here’s some great news: the Renewable Energy Property Tax Exemption exempts your new solar energy system from property tax assessments for the first five years after installation.
In that significant amount of time, the property tax exemption could quickly help you recoup the cost of your system.
So even though your solar power system adds value to your home or property, the system is exempt for half a decade when property taxes are assessed.
Iowa Sales Tax Exemption
As if the incentives for solar energy in Iowa weren’t good enough already, the state offers an added sales tax exemption on the entire cost of your solar system!
Like other electrical generating equipment in Iowa, the purchase of solar equipment is also exempt from sales tax.
Right from the start, that means you immediately save 6% of the purchase price when you switch to solar in Iowa.
Iowa Solar Easement Laws
Like any homeowner, you want to know that you’re getting the most out of any investment in your home.
In the state of Iowa, your investment in solar power for your home is backed by laws that ensure your solar panels capture energy without interference.
Iowa solar easement laws make it easy to remove any shade cover that would limit the production of your system.
What’s more, solar easement laws in Iowa also prevent homeowner associations (HOA) from blocking or stopping your home solar panel installation.
*Tax and credits or incentives including those provided by federal, state, or local governments may change or end. This can impact the amount of money you might save. Consult a tax professional to understand any tax liability or eligibility for any tax credits that may result from the purchase of your solar system.
**If you have taxable income and own the system, you may qualify for the federal investment tax credit (ITC). It is your responsibility to determine your eligibility and to apply. Consult a qualified tax professional for assistance and details.