What You Should Know About Oregon Solar Tax Credit

According to the latest stats, Oregon’s slowly climbing the ranks of top solar states in the US, having moved up one slot since 2020. Yet, the state still only fulfills around 2% of its energy needs from solar. 

Part of the reason for this state’s slow move to solar could be the lack of an automatic Oregon solar tax credit for homeowners who embrace this technology. 

Are you one of those Oregon residents who are keen to see your state excel in the realm of sustainable energy? Keep reading to find out how you can still save with solar in Oregon.

Is Oregon Suited to Solar Panel Installation?

Oregon has only 142 sunny days per year, but that doesn’t mean it’s unsuited to solar energy generation. Solar panels operate at an optimum in the cool temperatures of this state.

What’s more, Oregon’s advanced solar technologies ensure that homeowners can still reap the cost-saving benefits of solar in this state.

Oregon also offers a few attractive incentives for homeowners who want to take advantage of solar power. 

Can You Still Save Without an Oregon Solar Tax Credit?

Although Oregon doesn’t offer a solar tax credit, there are still other ways you can save when you install solar. Here they are:

Federal ITC

The federal government offers all US citizens a rebate on their taxes when they install power. This saving amounts to 25% of the costs of your solar installation, including all equipment and labor.

The federal ITC decreases to 22% in 2022 and disappears after 2024.

Net Metering

When you opt for net metering, you stay connected to the grid and can use electricity as required. This comes in handy during times of low light or when you need to run large electricity-guzzling appliances.

In return, you pump any excess solar you generate back into the grid.

Oregon has generous net metering policies that grant you a full refund of any electricity you return to the grid via net metering. You’ll receive this in the form of a credit on your electricity bill.

Depending on where you live, you could receive a once-off credit for your solar installation, or further discounts on the electricity you use. 

According to www.blueravensolar.com/oregon/, you can save up to $50,000 over 25 years in this way.  

Oregon Solar Rebates

Although some states offer homeowners direct savings when they buy solar panels, Oregon rebates come with some terms and conditions. 

Every year, the state of Oregon allocates a portion of its budget toward solar rebates. This money’s allocated to solar installers who register with the program and apply on behalf of their customers.

Unusually, Oregon makes special provisions for low-income households to access solar installations. This demographic can get up to a 60% reduction on the cost to install solar, everyone else gets 40%. 

There are caps on the amount you can claim back at a time, and once the budget’s exhausted, nobody can claim any rebates until the next year. 

Is it Worth Going Solar in Oregon?

Despite the complications associated with the Oregon solar tax credit, there are still many reasons to install solar panels in Oregon.

For starters, you’ll save thousands of dollars in the long term, and more importantly, you’re contributing to reducing carbon emissions in your state. 

Would you like to discover more ways to save in your daily life? Browse our blog for extra tips on making and saving money.