Solar and Renewable Energy Incentives In Maine: Updated 2021

What a wild ride it has been in the solar industry, with end-of-year wins for both homeowners, and businesses alike! In this article, we will give you an overview of what you can expect, and how you can make the most informed decision in the coming months and years.

You’ve Been Considering Going Solar, This Might Be The Best Time To Do It, And Here’s Why

• Panel prices are currently the lowest they’ve ever been! Over the last 30+ years, panel prices have dropped an astounding 90% in cost!)
• The Federal Tax Credit, commonly known as the Residential Renewable Energy Investment Tax Credit(ITC), has been extended for 2 years!
• Originally scheduled to drop from 26% to 22%, the tax credit is now extended at 26% until December 31, 2022 at which point it will drop to 22% until the end of 2023.
• Property Taxes: Solar is now property tax exempt!

The 26% Residential Renewable Energy Investment Tax Credit, explained

Since 2005, the “Federal ITC” for Renewable Energy Investment Tax Credit, was established to encourage adoption of renewable energy systems in the U.S. Combined with price reductions in panels and other associated equipment - commonly referred to as “balance-of-system components,” this has brought the cost of solar down, making it more affordable for homeowners. And now, it’s cheaper than most other forms of fuel/energy. Per the IRS list of eligible equipment , the tax credit now also applies to battery-based systems, which are replenished by a solar photovoltaic array.

ITC Calendar For Residential Customers:

• 26% for systems “commissioned” or turned-on before 01/01/2023
• 22% for systems installed and commissioned before 01/01/2024
• A permanent 10% for all systems commissioned after 01/01/2024*

Renewable Energy Investment, Property Tax Exemption

Why is no one talking about this one!? One of the greatest wins for homeowners has come in the form of Property Tax Exemption with regards to your solar photovoltaic system. In 2019, Maine join dozens of state's in passing Bill LD 1430, introducing a solar tax exemption for both businesses and residential owners. Commonly referred to as the Renewable Energy Investment Exemption, Maine exempts renewable energy equipment purchased for your home, such as solar panels. In other words, your investment into your home builds in value for you, and you are exempt from Established in 2020, taxpayers must apply for the credit by April 1 of the first year the exemption is requested.

If you have an existing system, feel free to contact us here contact@solarpowerne.com and we will help you fill out the application. The Maine Revenue Service has now issued a standard application for the property tax exemption. This form is also available for download here.

Solar Power New England provides full-service remote and on-site assessment, consultation, system design and installation of solar photovoltaics, electric vehicle charging stations, and energy management devices for homeowners, local businesses and individuals.