They call New Mexico the Land of Enchantment, and for good reason. But the romantic Spanish architecture of Santa Fe and the dramatic caves of Carlsbad aren’t the only things this Southwestern state has going for it – lots of sunshine and great solar incentives make New Mexico one of the best places in the U.S. for homeowners to go solar.
What are the best solar power programs and rebates in New Mexico?
Thanks to the many solar incentives and rebates in New Mexico, homeowner can save thousands on the cost of going solar. Here are just a few New Mexico solar rebates and incentives:
Net metering in New Mexico
When you put solar panels on your roof, you want to make sure you get credit for the power your system generates. Luckily, New Mexico has a net metering policy that credits you for the extra electricity your system produces, and allows you to use those credits when your system doesn’t generate enough power. Xcel Energy offers the top utility net metering program in New Mexico.
Sustainable building tax credit
The New Mexico state government will credit you on your taxes if you install solar as part of your sustainable building efforts on your home. In order to qualify, your home needs to be certified sustainable by the U.S. Green Building Council, and the value of the credit is determined by your certification level. You could earn as much as $6.50 per square foot for having a sustainable solar home!
New Mexico solar tax credits and exemptions
El Paso electric renewable energy certificate purchase program
If you’re a customer of El Paso Electric Company, you can earn extra income from your solar panel system by participating in their renewable energy certificate purchase program. El Paso Electric will pay you $0.02 per kilowatt-hour of electricity generated by your solar panels, which means more cash in your pocket and bigger solar savings.
Property tax exemption for solar
Even though solar increases the value of your home, that extra value is exempt from property taxes in New Mexico. That’s great news for homeowners who go solar – you get the financial benefits of generating your own power, without having to worry about a higher tax bill.
Federal solar tax credit (ITC)
All of the New Mexico solar incentives are great for reducing your solar costs, but you can’t forget about the federal Investment Tax Credit (ITC). With the ITC, you can claim 26 percent of your solar equipment and installation costs on your federal taxes, which means even higher solar savings.