Georgia benefits from a generally mild climate with around 218 sunny days per year, providing a substantial amount of sunlight for solar energy endeavors. While not at the top in terms of sunny days, Georgia’s weather conditions still offer favorable circumstances for solar power initiatives. But As of January 2023, Georgia doesn’t have any local incentives or rebate programs. However, Georgia Power will buy back the excess energy a solar panel system creates at a rate less than the retail cost of energy.
Table of Contents
The Federal Solar Investment Tax Credit (ITC)
Allows eligible taxpayers to claim a credit on their income tax return for qualified solar energy systems made during the taxable year. Specifically, this credit allows homeowners to receive a credit equal to 30% of the total expenses incurred for solar equipment, including materials, labor and installation expenses. This allows individuals to recoup a significant portion of their investment in solar energy systems, making them more financially feasible. Not only can the federal solar tax credit get back a refund of the taxes you have already paid from your paycheck, but if you don’t have enough tax liability to claim the credit in that year, you can also roll over the rest of your credits to a future year.
Net metering
Georgia Power customers are eligible to participate in the utility’s Solar Buy Back program, a program similar to net metering, to reduce their electricity bills with solar. Participating customers who are connected to the grid and generate electricity from home solar systems can sell their excess electricity back to Georgia Power in exchange for bill credits. Any excess solar energy generated in a month will carry over to the next month. If your panels produce more energy than you use in a month, that extra energy is carried over to the months you need more electricity. Unlike many utilities, Georgia Power does not offer credits worth the full retail rate of electricity for excess solar power sent back to the grid.
Instead, the utility compensates customers at the “avoided energy” rate, which is equivalent to the amount that the utility would otherwise pay to buy the power on the open market4. However, this only accounts for the electricity that you send back to the grid. With Georgia Power’s program, the best way to maximize your solar savings is to ensure that you use as much of your solar electricity at home when it’s produced so that you send as little back to the grid as possible.
The Solar Buy Back program offers the same credits regardless of the residential rate plan that you are enrolled with4. All unused energy produced by your solar panels results in bill credits that carry over into the next month. You can use these credits on your bill or sell them back to Georgia Power at the rate equal to Georgia Power’s “avoided-energy” cost (the cost the utility would have spent to supply the power itself).
Further information and programs can be found at the Programs.Dsireusa.org
Comments are closed.