lthough Kentucky is currently behind in terms of solar power production, the state is in a great position to expand its solar energy systems. With tax exemptions for solar power systems and the availability of net metering, the future looks bright for the Kentucky's solar energy industry.
Grid Connected Solar Power Systems In Kentucky (2012)
- Systems: 0.1 Megawatt
- Non-Residential Solar Power Systems: N/A
- Utility: 1.3 Megawatt
- Total: 1.5 Megawatt
- Cumulative: 4.8 Megawatt
Kentucky still has plenty of room to expand in terms of overall solar energy production. The state is still behind neighboring states Tennessee and Ohio in terms of cumulative installed capacity. However, beneficial solar incentives promise to improve the state's solar power industry.
Cost of Electricity in Kentucky
- Electricity Price: $0.09 per kwh
- Average Electricity Bill: $123.00
- Average Bill after Solar: $87.00
Although electricity in Kentucky is relatively inexpensive, making the switch to solar power can still cut down your energy costs. Kentucky solar power users cut an average of $36 from their energy bill. An average solar system will take 11.2 years to pay for itself.
The average solar radiation in Kentucky is between 2 and 4 Kilowatt per day over an area of 1 square meter (10.76 square foot). This is the same total shared by neighboring states Illinois and Tennessee and represents an abundant amount of sunlight. With an average of 188 days with sunshine, Kentucky has plenty of sunlight to power solar energy systems.
State Solar Incentives and Rebate Programs
- State Solar Tax Credit: None
- State Solar Rebate: None
- Property Tax Exemption: PV: $3/W DC Maximum Incentive: $500
- Sales Tax Exemption: None
While Kentucky could benefit from additional solar incentives, a $3 per watt tax exemption is a good way for homeowners to save. Additionally, Kentucky allows for net metering, which means any excess energy your solar system generates may be sold back to the utility company. In addition, the Federal Tax Credit also applies.
Solar Installers in Kentucky
Kentucky has no specific requirements for solar installers. However, because the state views solar installation as electrical work, all solar installers must be licensed electrical contractors. Make sure you verify your solar installer online or call (502)-573-0365.
Summary: Good Future For Solar Energy
Kentucky has a bright future for solar energy production. While the state could benefit from additional solar incentives such as a tax credit, its net metering laws and a strong tax exemption are steps in the right direction. Try our Solar Calculator to calculate your costs and savings, or contact solar installers in your area.
Solar Energy Fact Sheet: Kentucky, © SolarContact.com