Click here to access the Programs Community Solar Brochure. Illinois' New Incentive: Solar Renewable Energy Credits Under the Adjustable Block Program, this system falls into the Small DG category. It allows residents with household incomes below 80% of the median to get PV panels installed for no upfront costs. This is an outstanding program for those who qualify and cannot afford to convert to solar using other payment methods. This program is undergoing some changes in the summer of 2022, but the basic premise remains the same: home solar producers can earn 1 SREC for every MWh of electricity produced by their systems and can sell these to earn additional income. Is my home or property a good fit for a solar system? Community Solar: A solar project which (1) is interconnected to an electric utility, a municipal utility, or a rural electric cooperative, (2) allows subscribers to pay for shares or some other interest in the project, receiving bill credits in exchange; and (3) does not exceed 2,000 kW AC in size. She is passionate about making clean energy more accessible to everyone and has worked in clean energy communications since graduating from the University of New Hampshire with a Bachelors in Business Administration. Under Illinois law, one SREC is credited for each 1,000 kilowatt hours (or one megawatt) or power created and fed back into the grid. Factor in a solid SREC market and the federal tax credit and some homeowners can quickly recoup nearly 50% of the cost of a home solar energy system. Still, you should plan to include the SREC value in your income and to pay taxes on them. The best of EcoWatch right in your inbox. The Plan describes the implementation of: The Adjustable Block Program (for photovoltaic distributed generation and community solar), also known as Illinois Shines, TheIllinois Solar for AllProgram(low-income residential distributed generation and community solar), Competitive procurements (for Renewable Energy Credits from new utility-scale wind, utility-scale photovoltaic, and brownfield photovoltaic projects), Large Customer Self-direct Program (for large electric customers to retire Renewable Energy Credits from new utility-scale wind and solar facilities and receive a bill credit reducing Renewable Portfolio Standard (RPS)-related bill charges). How do solar incentives affect the cost of solar panels in Illinois? A system must be energized within 12 months (18 months for community solar projects) after this contract is approved. Mid-American also offers net metering and allows for a shorter than 12 months initial billing period. On Sept. 15, 2021, the Climate and Equitable Jobs Act (Public Act 102-0662) was signed into law by Illinois Governor J.B. Pritzker. solar calculator. Take Advantage of the Illinois SREC Program in Peoria IL Sun Collectors representatives understand you may have questions about the Illinois SREC program in Peoria IL. represents the clean attributes of solar electricity. Illinois has a very favorable net metering program that helps bring down effective energy costs. This past summer of 2022, the Illinois Shines program was on a temporary pause while a new program administrator was installed. ENERGYSAGE is a registered trademark and the EnergySage logo is a trademark of EnergySage, Inc. Other trademarks are the property of either EnergySage, Inc. or our licensors and are used with permission. the utility where system owners are credited for excess generation. Thanks to Illinois net metering policy, your utility will buy back any excess electricity your solar system produces. But, most people wont qualify unless they already have solar installation experience. illinois srec program - mysolidbox.com Wall-Mounted Solar Awnings & Solar Patios, Interconnection & Netmetering Considerations, Small Distributed Generation (DG) from 0 to 25 kW (AC), Large Distributed Generation (DG) from >25 kW up to 2,000 kW (AC). Recent Posts. Email. All of CSG's ABP customers will be receiving the following documents in . SRECs in Missouri & Illinois | StraightUp Solar Dont delay, enjoy the benefits of generating electricity from the sun! Community Solar Subscription: An interest in a community renewable generation project expressed in kilowatts, which is sized primarily to offset part or all of the subscribers electricity usage. Smart Inverters not only convert the direct current (DC) produced by your solar array into usable alternating current (AC), they can also communicate with the electrical grid and can even be operated remotely by a third-party. One Illinois SREC equals 1,000 kilowatt-hours (kWh) of solar energy generated, or one megawatt (MWh). Casey is an EnergySage writer covering solar, community solar, and sustainability. If you live in a state surrounding Illinois that doesnt have an SREC program, your project may still be eligible. Whether youre already a proud owner of a solar array system or youre thinking about making the solar investment, contact us today to learn more. It takes just a few minutes to apply for when youre filing your taxes, and it provides an average value of over $6,000 in the Prairie State, provided you have a tax liability that allows you to take the full credit. If youre ready to take advantage of this highly beneficial Illinois solar incentive, give us a call or contact us today. The Special Assessment for Solar Energy Systems means that you will be taxed as if the panels were not even there. If you have more questions or would like to see a quote for your home, farm or facility, our experts will be happy to discuss further! The Federal Solar Tax Credit is still 26 percent for construction that started before Dec. 31, 2022. However, we dont expect this to appear in the near future. Solar Incentives & Rebates | ComEd - An Exelon Company Solar Rebates & Tax Incentives: What You Need to Know, State property tax exemptions in Illinois, Final thoughts on state solar incentives in Illinois, Illinois Shines helps residential solar producers sell their SRECs to earn additional income, The Illinois Solar for All program helps low-income households sign up for solar with no upfront cost, Value added by home solar is exempt from property tax assessments, Illinois mandates retail rate net metering but credits expire annually. If you are deemed a qualified person as defined by Illinois Administrative Code 83 468.20, then yes! The EnergySage Solar Calculator estimates the net 20-year savings of a 5 kW system installed in McLean County, IL to be anywhere from $21,564 to $29,175. RECs Between the 30% federal tax credit and the SREC incentive, up to 50 to 60% of your solar system or more could be paid for from these two incentives alone. The good news is that Illinois is home to quite a few incentive programs that make PV equipment more affordable and maximize your long-term solar savings. 30% credit for systems installed between 2005 and 2022, 0% credit for systems installed in 2024 or later, 30% credit for systems installed between 2022 and 2032, 0% credit for systems installed after 2035, Put toward your solar loan as additional principal to reduce the payoff timeline, Use to recoup your cash investment in solar to expedite your. 1.877.697.9269. That would mean less credit for each kWh you pass to the grid, which translates to fewer long-term savings. Leigh Matthews is a sustainability expert and long time Vegan. Credits dont roll over indefinitely though, and any surplus expires at the annual billing date. Its possible that the future holds a less appealing avoided-cost rate for excess energy in Illinois or no compensation at all. Illinois Solar Incentives & Tax Credits for 2023 - LeafScore Newsletter Sign Up, News & Announcements Educational Videos Browse approved vendors here. The kind of credits you get each month for surplus energy depends on the price you pay for energy from ComEd and whether you received the utilitys commercial distributed generation rebate (not currently available for residential arrays). The Developer must utilize an installer for the project who is certified by the Illinois Commerce Commission (ICC). These Incentives Are Limited! Illinois Solar Industry Data, RPS Legislation threshold. Illinois Shines is the brand name for the Adjustable Block Programa state-administered incentive program supporting the development of new solar energy generation in Illinois. On 9/15/21 the Climate & Equitable Jobs Act was approved which includes new funding for the Illinois Shines SREC program. The Illinois Shines or ABP Program uses a block structure to determine the value of an SREC. Enter your zip code to find out what solar panels cost from installers near you. The SREC program in Illinois called the IL Solar Shines Program credits you for all solar power you produce with your system. Solar Renewable Energy Credit (SREC) Residential: REC's are a state incentive, whose value is equal to the solar energy you produce over 15 years times the price set by the Illinois Power Agency for REC's. This is where SRECs come in a utility can claim the electricity produced from your home solar system to help meet RPS requirements through the purchase of SRECs. The program maintains a list of pre-approved vendors to ensure excellent workmanship and customer protection. 2023 Illinois Shines. Still, we love programs like this because it makes renewable energy far more accessible. What Illinois Residents Need To Know About SRECs? For reference, large DG systems are usually hosted on larger buildings or roofs, not residential properties. are valued for the total energy production from an array and therefore The quotes would include current incentives available in your area. With the new SREC program, its a bit different the current SREC program lasts for a longer duration, and the price you receive for each SREC is fixed and dependent on your utility company, system size, and how soon you go solar. System Purchase >25 kW Sample Disclosure Form, https://www.energy.gov/eere/solar/articles/solar-photovoltaic-technology-basics. The PUC mandates that all excess energy be credited at the full retail rate, which gives you the best chance of eliminating your utility bills. Your installer may also be a Designee or an Approved Vendor with the Program. The Illinois Power Agency (IPA) requires that procurement bids meet a minimum of 1MW of installed Any credits can be used to offset Basic Generation Service costs, meaning youll still pay a bill with connection fees and other administrative charges. SREC Broker/Aggregator: An SREC Broker/Aggregator works with installers, companies, and individuals to submit projects for approval the Illinois Shines program. This means most homeowners with a 6 kW array could earn around $360-$750 each year for their SRECs in Illinois. The Final 2022 Long-Term Renewable Resources Procurement Plan is available here. To understand how much power your system will generate, please work with your Approved Vendor, as each system is different. SREC Calculator | The Acorn Group These payments to your Approved Vendor will help offset the cost of your new PV system or your community solar subscription. Well discuss the steps you need to take below to ensure you get full credit for your SRECs. Given the tax rate in IL of 2.16% and the typical system value of $20,475, this exemption should save you approximately $8,845 in taxes over the life of your equipment.2. Learn actionable tips for making each room in your home greener. What are the best rebates and incentives to take when converting to solar in Illinois? For homeowners interested in solar at home but unsure about the upfront cost, check out Illinoiss Solar for All program. This is because the utility uses either April or October as the annual billing period end. Solar Surge Expected as SREC Incentive is Back! New - Central Illinois are not able to meet that guideline. When you have a solar system and are being billed for net metering, you are charged only for the net amount of energy you use during each billing period (i.e., the amount of energy we deliver to you minus the excess amount you send back to the smart grid). One of the best ways to understand costs and incentives is to use a tool to help you calculate your solar potential. If youre ready to apply for this beneficial Illinois solar incentive, give us a call or contact us today. Concerned about climate change? Unfortunately, Illinois doesnt waive sales tax on PV equipment. NT. For the average residential system, this comes out to more than $10,000 in additional savings. These credits work similarly to the federal solar tax credit. It looks like your browser does not have JavaScript enabled. Give us a call today to learn more from our experts and how this may potentially be a great opportunity for your solar power system. Please enable scripts and reload this page. Combined with our proprietary energy savings program we provide Illinois businesses . How do I go about finding someone to install solar on my roof/property? The new SREC incentive will start at Block 5 or 4% lower than the last block. Illinois Shines Resumes Acceptance of Traditional Community Solar Project Applications. Carbon Solutions Group (CSG) is serving as a Solar Renewable Energy Credit (SREC) Aggregator for the Illinois Adjustable Block Program. Illinois Solar Incentives, Tax Credits & Rebates 2023 | EnergySage The Illinois Solar for All (ILSFA) Program is an excellent option for low-income households to convert to solar power. RPS Timeline If youre a ComEd customer and install solar on your business, youre eligible for $250 per kilowatt (kW) of installed solar power. Small Subscriber: A residential or small commercial customer with a subscription below 25 kW. Like homeowners, small businesses and nonprofits can apply to the Illinois Shines program through an approved vendor. Well also include the average savings afforded by each perk to help you prioritize which to take. tradingand energy forecasting, development ofcarbon and renewable As such, taking advantage of this is a no-brainer. This includes installers, marketing firms, lead generators, and sales organizations. Dont forget about the 30% Solar Federal Tax Credit that is available for solar owners as well. The federal solar investment tax credit (ITC) is, in our opinion, the most appealing incentive available in Illinois. Find out how affordable solar is for your home with our Solar Calculator, or simply register your property today to get quotes. In the chart below, well include a breakdown of all of the incentives and rebates you can take advantage of as a solar customer in Illinois. payments will be made (to clients)pursuant to the rules of the The Illinois Power Agency (IPA) requires that procurement bids meet a minimum of 1MW of installed capacity. It credits all solar customers for solar production, and those energy credits can then be sold for a profit. In 2017, the Illinois government created new legislation that altered the existing Renewable Energy Certificate (REC) program structure in the state. Illinois Shines: Illinois is one of few states with a Solar Renewable Energy Credit (SREC) program to support the development of solar projects in the state. way to track and monetize these environmental benefits and compensate Read ourprivacy policy. Speaking of Solar Blog, Homeowner Resources Let us help you partner with the state of Illinois to make it a better environment for all, and a better vehicle for the money you'd be spending on electricity bills. Well break down the initial steps below. The Illinois SREC plus Federal Tax Credit makes solar very appealing. Net Metering: A provision in an electric utilitys tariff that allows for crediting a customers bill for all or some of the production of a distributed generation or community solar facility which has been exported to the distribution grid. All utility companies in Illinois are required to participate, including Ameren and ComEd. Do Illinois Solar Incentives Make It Affordable for Homeowners to Go Solar? Commonwealth Edison (ComEd) offers one of the best net metering programs in Illinois. Her work on solar policy has been published in the Canadian National Observer. Register on EnergySage today to get quotes from local, reputable Illinois installers. This field is for validation purposes and should be left unchanged. To receive the rebate, your solar panel system cannot be larger than 2,000 kW in capacity. In 2023, the ITC will drop to 22%. Illinois Power Agency Energy Workforce Equity Portal The portal is an online source designed to help connect clean energy companies with Equity Eligible Persons looking to work in the clean energy sector in Illinois. SREC Illinois - WGSI Solar Like other solar tax credits, with the ITC you can deduct 26% of the cost of your solar energy system from your federal taxes. For size comparison, a 1,000 kW, or 1 MegaWatt (MW) community solar plant would require around 3 to 5 acres and 2 MW potentially up to 10 acres. If youre an Ameren Illinois customer with a Smart Inverter that meets eligibility requirements, you can apply for the rebate here. We can educate you on all the current state rebates and credits around the red hot SREC program, exclusively available in Illinois. ComEd's
In the sections below, well provide responses to some of the most common questions we get asked about solar perks and benefit programs in Illinois. Above, weve discussed all of the incentives available to Illinois property owners. Dont forget about federal solar incentives! Massachssets:Solar Systems under 25 KWs can collect SRECs for 10 years. That means that every kilowatt-hour (kWh) you generate and send to the grid will offset one kWh you pull from the grid when your panels fail to produce enough energy for your home like at night or on cloudy days. (Same as System), Renewable Energy Credit (REC) or Solar Renewable Energy Credit (SREC): The environmental attributes represented by 1 MWh of electricity generated by a renewable generator. Learn More. An SREC is a REC that specifically comes from a solar system. For solar energy customers, the April settlement date will likely make more sense than the October date. The Illinois SREC plus Federal Tax Credit makes solar very appealing. These customers will need to figure out net metering credits with that supplier. It helps pay off your system more quickly and maximizes your long-term energy savings. In its place, Illinois state has set a threshold date of December 31st, 2024, or when new utility tariffs are set and approved (whichever is later). Large Distributed Generation Large DG): A distributed generation system larger than 10 kW, up to 2 MW. It provides an average potential value of $6,143 for Illinois residents, and it takes just a few minutes to file for. Net energy metering is the second-best perk available to Illinois homeowners, in our opinion. You may host a new solar photovoltaic system on your rooftop or on your property, directly offsetting your energy usage; or. An SREC represents the environmental benefits of producing one megawatt-hour of electricity using solar power. In other words, every time a MWh is produced by a solar array, another SREC comes into existence. The document titled "2022 Long-Term Renewable Resources Procurement Plan" below provides information pertaining to the Renewable Energy Credit (REC) program.