Solar energy is the perfect match for the farms, vineyards, dairies, and orchards of rural Washington.
Rural agricultural properties often have ample land available and a great solar resource. There are both federal and state incentives to make going solar a great investment: both financially and environmentally.
REAP Grant
Grants that cover 25% of total project costs are available through the USDA for rural agricultural businesses. We work with an experienced team of grant writers to give our customers the best opportunity to receive a grant. Grant applications are due in June 2011 so now is the time to consider installing a solar energy system.
Washington State 6170 Program
Washington state offers a unique production incentive program where you can get paid up to $5000 per year for the solar energy that your system produces. For systems that use made in Washington Itek Energy solar modules and inverters the incentive rate is $0.54/kwh. This means that you are getting paid for your solar generation at a rate of 5 times the cost of electricity. For systems using solar modules and inverters made outside the state of Washington the production incentive rate is reduced to $0.15/kwh. We will work with you to determine the best design for your location.
Federal Tax Credit or Grant
The federal government offers a tax credit at 30% of the system cost. There is no cap for this credit and it can be applied directly to your federal taxes. If you can’t use the entire credit in one year you can spread it out for up to twenty years. It is also possible to receive this tax credit as a cash grant if you are a registered business entity.
MACRS Depreciation
Businesses can now depreciate 50% of depreciable system costs in the first year with bonus depreciation and the remainder of costs can be depreciated on the 5 year accelerated scale. This can add a tremendous amount of financial value to your system.
Local PUD Incentives
Some Washington PUD’s have their own solar rebate or loan assistance programs. Contact us and we will look up the incentive in your area.
Total Costs Example
Here is an example of how the costs break down for a typical 9kW system installed on a rural agricultural property with Washington made solar modules and inverters. This system can produce on average about 9000kwh/year.
Cost: $67,500
REAP Grant: $16,875
Federal Grant: $20,250
Washington Production Incentive Income: $40,000 (over 8 years)
Plus approximately $1000/year of energy savings and depreciation benefits.
