Utah's solar energy industry is on the rise. Besides its strong solar incentives, the state has many other ways to significantly reduce energy costs. Because the state allows for net metering, solar energy users may sell back excess energy to the utility company. Utah has some of the greatest net metering laws in the nation, requiring nearly all electric utilities to offer the service. This article will help you decide if a solar energy system is right for your home.
Grid Connected Solar Power Systems In Utah (2012)
- Systems: 1.3 Megawatt
- Non-Residential Solar Power Systems: 3.7 Megawatt
- Utility: 0.6 Megawatt
- Total: 5.6 Megawatt
- Cumulative: 10.0 Megawatt
Utah has room to expand when it comes to solar energy production. While the state is ahead of neighboring state Idaho, its overall cumulative installed capacity is still below average. However, the recently planned MARC project ensures the installation of as many as 732 panels in the Park City Municipal Athletic & Recreation Center, assuring the continued growth of solar power in Utah.
Cost of Electricity in Utah
- Electricity Price: $0.10 per kwh
- Average Electricity Bill: $159.00
- Average Bill after Solar: $68.00
Making the switch to solar power can significantly reduce your energy costs. The average Utah solar energy user cuts over one third from their monthly electric bill. A solar system in the state will take approximately 13 years to pay for itself.
The average solar radiation in Utah is between 3 and 5 Kilowatt per day over an area of 1 square meter (10.76 square feet). This is an abundant amount of sunlight, shared by neighboring states Colorado and Nevada. With an annual average of 226 sunny days, Utah solar energy systems will receive plenty of sunshine.
State Solar Incentives and Rebate Programs
- State Solar Tax Credit: Residential: 25% Maximum Incentive: $2,500
- State Solar Rebate: None
- Property Tax Exemption: None
- Sales Tax Exemption: >20kw only
Utah has many positive solar incentives for homeowners to consider. While the state does not offer a solar rebate, their solar tax credit can save you up to $2,500. Furthermore, Utah allows for net metering, which means that any additional energy may be sold back to the utility company. In addition, the Federal Tax Credit also applies.
Solar Installers in Utah
All Utah solar installations must be completed by licensed solar installers. However, a general electric contractor may install the system as long as they have a S200 license. Before installing your solar power system, make sure to verify your solar installer online, or call (801) 530-6628.
Summary: Good Conditions for Solar Power Systems
With strong solar incentives and positive net metering laws, Utah has a promising future in terms of solar power. While the state could benefit from additional tax exemptions, there are plenty of potential savings already in place. Try our Solar Calculator to calculate your costs and savings, or contact solar installers in your area.
Solar Energy Fact Sheet: Utah, © SolarContact.com