There has been a significant shift towards sustainable energy solutions, especially as many businesses are looking to achieve LEED or WELL certifications as part of their budgeted environmental goals for the year. While there are small changes companies can make to comply, like operating on low power when the building is vacated for holidays, there’s one solution that stands out as a game changer: solar power. Converting to solar energy is one of the most promising options for businesses looking to reduce their environmental footprint, while also saving on energy costs. For business owners, particularly in New Jersey, the benefits of transitioning to solar power have never been more compelling! In this article, we’ll shed light on the various incentives available to commercial property owners in NJ and why making the switch to solar is a smart investment.
Administratively Determined Incentive (ADI) and Competitive Solar Incentive (CSI)
As we mentioned, New Jersey offers attractive financial incentives to encourage the adoption of solar energy, making it an economically viable option for all types of businesses. For one, the Administratively Determined Incentive (ADI) program provides fixed incentive payments for most commercial and industrial solar projects, guaranteeing payments for 15 years. The type and size of the solar project will determine the value of the incentive, and it generally ranges from $70 to $120 for every megawatt hour of energy the system produces. Additionally, the Competitive Solar Incentive (CSI) program aims to minimize financial contributions from rate-payers for larger-scale projects, making solar power more accessible and affordable for businesses of varying sizes.
NJ Property Tax Exemption and Net Metering
Business owners in NJ also benefit from a property tax exemption when they install solar panels, as the increase in property value due to the solar system is not taxed. Furthermore, the state’s net metering policy allows businesses to receive credits for the excess electricity they generate and supply back to the grid. This means that on sunny days when the system produces more energy than the business consumes, they can offset their electricity charges by feeding surplus power back into the grid and drawing on it when needed.
Accelerated Depreciation for Commercial Businesses
Commercial businesses can take advantage of accelerated depreciation under the tax code, allowing for Modified Accelerated Cost Recovery System (MACRS) Depreciation over a five-year period. This tax incentive helps businesses recoup their initial investment in solar installations more quickly, further enhancing the financial appeal of solar power.
Why Green House Solar for New Jersey?
For commercial solar power installations, system problems are more than a nuisance, they affect your bottom line. That’s why post installation maintenance and service capabilities are so important. At Green House Solar, you can rely on our track record of support and responsiveness through the installation and operational phase of your system.
The decision to transition to solar power is not just about environmental responsibility – it’s also a sound financial investment. To learn more about our commercial solar panel installations in NJ and take the first step towards a cleaner, more sustainable future for your business, please give us a call or visit us at: https://greenhouse.solar/
