Missouri Solar Incentives and Rebates
Missouri residents looking to install solar panels on their homes or businesses have a variety of incentives and rebates available to help make the switch to clean, renewable energy more affordable. From federal tax credits to state-wide initiatives, there are many ways to save money on your solar investment in Missouri.
The Federal Investment Tax Credit in Missouri
One of the most significant incentives for solar energy in Missouri is the Federal Investment Tax Credit (ITC). This credit allows homeowners and businesses to claim a credit of 22% of the cost of their solar installation on their federal taxes. This credit has been in place since 2006 and was set to expire at the end of 2021.
State-Level Tax Incentives in Missouri
While many states offer additional incentives for solar energy at the state level, Missouri currently does not offer any state-level incentives. According to the Missouri Senate website, a bill proposing a state-level solar rebate program was introduced in 2018 but did not pass. You can read more about this here.
State-Wide Solar Initiatives in Missouri
Despite the lack of state-level incentives, there are still several state-wide solar initiatives available in Missouri that can help reduce the cost of solar installation. One of the most popular is the Utility State Rebate Program, which is offered by several utilities in the state, including Kansas City Power & Light and Liberty Utilities. These programs offer rebates of $0.25 per watt for solar panel installation, which can add up to substantial savings.
Another initiative is the Show Me PACE program, which offers solar financing options to Missouri residents. This program allows homeowners to finance the cost of their solar installation and pay it back over time through their property taxes. The program is designed to make solar energy more accessible to homeowners by removing the upfront cost barrier.
Several cities in Missouri also have specific solar rebate programs, such as Columbia Water & Light and Ameren Missouri Solar PV Rebate Program. Columbia Water & Light offers rebates of $375-$625 per kilowatt for systems less than 10 kW and $300-$500 for systems between 10-50 kW, and $400 rebate for installing qualifying solar water heaters. Ameren Missouri Solar PV Rebate Program offers $0.25/watt upfront and $2625 savings for a typical 10.5kW system.
State-Wide Tax Exemptions in Missouri
Missouri has fully exempted state-wide tax exemptions in July 2013, and it does not conform with State rules on Modified Accelerated Cost Recovery System (MACRS).
Solar Easements in Missouri
One important aspect of solar energy in Missouri is the state’s laws on Solar Easements. A solar easement is an agreement between a property owner and a solar developer that grants access to the property for the purpose of installing, maintaining, and operating a solar energy system. This can be particularly useful for homeowners who live in a densely populated area or have a lot of trees that block sunlight. This can also be beneficial for the property owner, as they can receive compensation for the use of their land. In Missouri, there are also sales tax exemptions on solar energy systems under Section 144.030.2(46) of the Missouri Revised Statutes.
Net Metering in Missouri
Another important aspect of solar energy in Missouri is the state’s net metering policy. Net metering allows residents who generate their own solar power to receive credit on their utility bill for any excess power they generate. This policy has been in place since 2007 and applies to systems up to 100 kW. This means that if a resident generates more electricity than they use, they will receive a credit on their utility bill for the excess power which can help offset the cost of the solar installation and make it a more financially viable option for homeowners.
Benefits of going solar in Missouri
The benefits of going solar in Missouri are numerous, including reduced electricity bills, increased property value, improved home resale value, and tax incentives. Not only does solar power help reduce dependence on fossil fuels and promote a cleaner environment, but it can also save homeowners and businesses money on their energy bills in the long run.
In conclusion, Missouri has several policies in place to promote the use of solar energy and make it more accessible to residents. The state’s laws on solar easements and net metering policy, as well as sales tax exemptions, can help make solar installation more affordable. Additionally, the benefits of going solar in Missouri include reduced electricity bills, increased property value, improved home resale value, and tax incentives. These incentives and policies make it a great time to consider installing solar panels in Missouri.
FAQsWhat is the average cost of a solar installation in Missouri?
The average cost of a solar installation in Missouri is around $3 per watt, which is roughly $15,000 for a 5kW system.
Are there any incentives available for solar in Missouri?
Yes, Missouri residents may be eligible for various federal, state, and local incentives when installing solar. Find out more about solar incentives at SolarEmpower.
Is it easy to find a solar installer in Missouri?
Yes, there are many qualified and experienced solar installers in Missouri. You can find reviews of verified solar installers in Missouri at SolarEmpower.
How much energy can I expect to generate from my solar system in Missouri?
Solar energy production in Missouri varies depending on the size of the system, weather conditions, and other factors. Generally, you can expect to generate between 4-7 kWh per day per kW of installed capacity.
Are solar installations in Missouri eligible for net metering?
Yes, solar installations in Missouri are eligible for net metering, which allows customers to receive credits on their utility bills for the excess energy their systems produce.