Iowa is working hard to advance solar energy production. While the state is currently below average in terms of overall solar power production, many positive solar incentives can strengthen the future of Iowa's solar energy industry. This article will help you decide if solar energy is right for you.
Grid Connected Solar Power Systems In Iowa (2012)
- Systems: 0.4 Megawatt
- Non-Residential Solar Power Systems: 0.7 Megawatt
- Utility: N/A
- Total: 1.1 Megawatt
- Cumulative: 1.2 Megawatt
Iowa is still below average when it comes to overall solar power production. In terms of cumulative installed capacity, neighboring states such as Wisconsin and Missouri are far ahead. However, with the recent completion of Iowa's largest solar energy farm, the industry has an increasingly promising future.
Cost of Electricity in Iowa
- Electricity Price: $0.10 per kwh
- Average Electricity Bill: $123.00
- Average Bill after Solar: $87.00
Making the switch to solar power is an easy way to cut energy costs. On average, Iowa's solar power users cut $36 from their energy bills. An average solar system in Iowa will take 8.1 years to fully pay for itself.
The average solar radiation in Iowa is between 2 and 4 Kilowatt per day over an area of 1 square meter (10.76 square foot). This is the same solar radiation as that of neighboring states such as Minnesota and Illinois, reflecting plenty of sunlight for solar energy systems.
State Solar Incentives and Rebate Programs
- State Solar Tax Credit: 15% Maximum Incentive: $3,000
- State Solar Rebate: None
- Property Tax Exemption: 100% For 5 Years
- Sales Tax Exemption: 100%
Iowa offers tremendous solar incentives. Along with a complete sales tax exemption, the state allows for a property tax exemption for five years. A 15% tax credit adds to an already substantial list of solar incentives. Additionally, Iowa allows net metering, which means that any excess energy may be sold back to the utility company.
Keep in mind that these great incentives are only available to homeowners who purchase solar energy systems. Those who lease solar systems are not able to take advantage of Iowa's many solar incentives, including the Federal Tax Credit. The Federal Tax Credit does apply to homeowners who buy solar energy systems in Iowa.
Solar Installers in Iowa
Iowa has no specific licensing requirements when it comes to solar power installation. However, the state recognizes solar energy installation as electrical work. Therefore, all solar installers must be licensed electrical contractors. Check online to verify the license of your solar installer, or call (515) 725-6147.
Summary: Good Future for Solar Power Systems
Iowa has a bright future when it comes to solar power production. With some of the best solar incentives in the country, Iowa makes it easy for homeowners to switch to solar energy. Additionally, the state's net metering laws allow for even more savings.
Solar Energy Fact Sheet: Iowa, © SolarContact.com