Summary of financial incentives

Summary of financial incentives

Financial incentives in the form of tax credits, grants, and rebates offer assistance towards purchasing renewable energy systems. These innovative programs make renewable energy systems more affordable than ever. More details of these programs are presented accompanying financial sub pages.
Solar PV
Federal: (Residential Solar Tax Credit)
Income tax credit: 30% of net cost up to $2,000 on systems installed before December 31, 2008
State:
Maryland: (Solar Energy Grant Program)
$2,500 per kilowatt, up to $10,000 (starting July, 2008)

Delaware: (Green Energy Rebate Program)
50% of the total cost up to $15,000 or $22, 500 (Cap varies by utility provider)
Local:
Anne Arundel County
Tax Credit: Net cost of the system, up to the value of the property taxes on the building for one year.
Harford County
Tax Credit: $2,500 flat credit

Howard County:
(Property Tax Credit for Energy Conservation Devices)
Tax credit: 50% of the total cost up to $5,000
Montgomery County: (Clean Energy Rewards Program)
Monthly Rebate program
$0.01 per kWh generated per month

Solar Hot Water
Federal: (Residential Solar Tax Credit)
Income tax credit: 30% of net cost up to $2,000 on systems installed before December 31, 2008
State:
Maryland: (Solar Energy Grant Program)
30% off the cost of the system, up to $3,000 (Starting July, 2008)
Local:
Anne Arundel County
Tax Credit: Net cost of the system, up to the value of the property taxes on the building for one year.

Howard County: (Property Tax Credit for Energy Conservation Devices)
Tax credit: 50% of the total cost up to $1,500
Harford County: (Property Tax Credit for Solar Energy Units)
Tax credit: $2,500 flat credit. For a comprehensive listing of financial incentives available in the United States, and more details about the incentives listed above.

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Renewable Energy Credits (RECs)
Beginning in 2008, utility companies selling electricity into the Maryland market are required to have a percentage of that electricity provided by solar electric systems installed in Maryland. This is part of what is called the Renewable Portfolio Standard (RPS). The utility companies are very limited in their ability to meet this requirement with their own generation; therefore, they will need to purchase Renewable Energy Credits (RECs) through aggregators and private solar electric system owners. This is great news for any homeowner in Maryland with an installed solar PV system. Just by having a system on your home, will possess a certain amount of these RECs, which can be sold to help offset the costs of owning that system. The mechanism for selling RECs on the open market is currently being created by the Public Service Commission and will likely be administered by the Maryland Energy Administration. We will have updates to this site as information becomes available.