Minnesota Solar Energy Incentives
With more sun in our Minnesota day, it seems fitting that property owners are looking into the costs and benefits of turning to solar energy for providing their properties with power. In the last few years solar energy has seen considerable growth in Minnesota. By 2023, the state has a goal to have 10% of it’s power sourced through solar energy (1). Consequently, the important question is; what incentives are available to property owners to install solar panels?
Most notably, tax credits and rebates are one incentive that has been created for property owners who are establishing a solar energy panel system. Certainly, these benefits are an effort to grow the use of solar energy. Tax credits and rebates are available on the federal, state, and municipal level. The most notable of these is the Investment Tax Credit (ITC). This is a federal tax credit that applies to property owners installing a new solar energy system. It allows for the deduction of up to 26% of the installation cost from their taxes through the year 2022 (2). This, as well as the potential reduction in operating expenses of a property, adds up to making solar energy much more affordable for many owners.
Notably, the decreasing use of fossil fuels and the growing renewable energy industry is emphasized by this recent announcement; The U.S. renewable energy consumption surpassed coal consumption for the first time in 130 years (3). Accordingly, renewable energy such as solar will continue to grow in its efficiency as well as its affordability. Ultimately, to become a viable option for owners to increase the value of their property, attract new tenants, and reduce operating expenses.
To see what benefits are offered for new solar energy systems in Minnesota, go to: https://programs.dsireusa.org/system/program/mn/solar
Written By: Jack Buttenhoff