Commercial Solar Installers Greensboro

Frequently Asked Questions About Commercial Solar Installations

Are there different types of net metering policies?

Yes, there are different types of net metering policies implemented by utilities, including:

• Full Retail Net Metering: The most favorable policy, where you receive full retail credit for excess solar energy sent to the grid. This means you get the same price for the electricity you sell back as you pay for the electricity you buy from the utility.
• Time-of-Use (TOU) Net Metering: The value of the credits you earn varies depending on the time of day you export electricity to the grid. Higher credits are typically offered during peak demand periods.
• Net Billing: You receive a lower rate for excess solar energy than the retail rate you pay for electricity.
• Feed-in Tariffs (FITs): A separate meter is used to measure the solar energy you export to the grid, and you are paid a fixed rate per kilowatt-hour for this energy, which may be different from the retail electricity rate.

The specific net metering policies vary by state and utility company, so it's essential to understand the regulations in your area.

What is the difference between a solar lease and a PPA?

Both solar leases and PPAs (Power Purchase Agreements) are financing options that allow you to go solar with little or no upfront cost. The key differences are:
Solar Lease:

• You pay a fixed monthly lease payment for the use of the solar system.
• You do not own the system.
• You are responsible for maintenance and repairs.
• You typically do not benefit from tax incentives or depreciation.

PPA:

• You purchase the electricity generated by the solar system at a fixed rate per kilowatt-hour (kWh).
• You do not own the system.
• The third-party owner is responsible for maintenance and repairs.
• You may not be eligible for all tax benefits.

Choosing between a lease and a PPA depends on your financial situation, risk tolerance, and desired level of involvement in the solar project.

What are the available government incentives for commercial solar in USA?

Government incentives for commercial solar vary by location and are subject to change. Some common incentives in USA include:

• Investment Tax Credit (ITC): A federal tax credit that allows you to deduct a percentage of the cost of your solar system from your federal taxes.
• Accelerated Depreciation: A tax benefit that allows you to depreciate the value of your solar system over a shorter period, reducing your tax liability.
• State and Local Rebates: Some states and municipalities offer cash rebates or other financial incentives for commercial solar installations.
• Performance-Based Incentives (PBIs): Some programs provide payments based on the amount of solar energy your system generates.
• Renewable Energy Credits (RECs): You can earn and sell RECs, which represent the environmental attributes of your solar energy production.

Consult with a qualified solar installer or tax professional to understand the specific incentives available in your area.

What types of businesses are best suited for commercial solar?

Commercial solar is a viable option for a wide range of businesses, especially those with:

• High Energy Consumption: Businesses with significant electricity usage, such as manufacturing facilities, data centers, and large retail stores, can benefit greatly from the cost savings of solar.
• Large Roof Space: Businesses with ample roof space have the potential for larger solar installations, maximizing energy generation and financial returns.
• Available Land: Businesses with unused land can consider ground-mounted solar farms for larger-scale energy production.
• Long-Term Occupancy: Businesses planning to occupy their building for an extended period can maximize the long-term benefits and ROI of a solar investment.
• Sustainability Goals: Businesses committed to reducing their environmental impact can leverage solar to achieve their sustainability objectives.