New Hampshire Solar Rebates, Incentives and Tax Credits

On May 11, 2007, Governor John Lynch of New Hampshire signed into law HB 873, the Renewable Energy Act, which establishes a renewable energy portfolio standard for the state. House Bill 873 mandates that 25% of the state’s electricity come from renewable sources by 2025. Under this law, electricity providers were requied to provide a minimum specified percentage of electricity from renewable sources starting in 2008 and increasing every year through 2025. In addition, New Hampshire is offering some pretty good rebates but not at the same level as other states that are leading the solar adoption revolution. Read on more details about the various programs on offer.

Net-metering
New Hampshire requires all electric utilities selling power in the state to offer net-metering to homeowners and small businesses that generate electricity using renewable-energy systems up to 100 kilowatts (kW) in capacity. The aggregate capacity of all net-metered systems in a utility’s service territory is limited to 1% of the utility’s annual peak energy demand. Any customer net excess generation (NEG) during a billing cycle is credited to the customer “over subsequent billing periods.”
Property Tax Exemption
Net-metered home solar power systems are exemption from property tax.
The Public Utilities Commission (PUC) administers this rebate program for certain renewable-energy systems, including home solar power systems. The rebate is equal to $3/Watt, up to $6,000 or 50% of system costs, whichever is less. The solar power system must be less than 5kW and must be located at the owner’s residence.

The program is funded by alternative compliance payments from the state’s renewable portfolio standard (RPS). Rebates will be awarded to the extent that funding is available. Notarized applications must be submitted in paper-copy format, no electronically submitted applications will be accepted.

Utility Loan Program – Low cost ways to get some energy efficient applicances in your house.

 

Utility Rebate Program

Example
Location
Manchester, NH
Av. Monthly Electricity Bill$110
System Size$3.6 kW
Annual Electricty Production4,195 kWh
% Reduction in Electricity Bill50
Cost / Watt (installed)$7.00
Cost Breakdown
Total Cost$25,200
Rebates
State Rebate($3.00/Watt; max. $6,000)$6,000
Federal Tax Incentive$5,760
NET COST$13,440
Cash Flow
New Av. Monthly Electric Bill$55
Monthly Loan Payment (30 yrs, 6%, 0 down)$82
Tax Saving$26*
NEW MONTHLY NET COST$111
Cummulative Lifetime Savings$33,125
Environmental Benefits
Greenhouse Gas (CO2) Saved:
over 25-year system life
 82 tons
 * Tax savings will decrease as the principal is paid down. Please consult your tax preparer.

 

Based on these calculations you could install a home solar power system to generate 50% of your electricity needs, which will shelter you from increasing utility rates and increase the value of your home for the same monthly cost. To find out how much you could save, fill out our free estimate form and we will put you in contact with qualified New Hampshire solar installers who can answer all of your questions and provide you with a personalized quote.