Arizona is one of the ideal states for solar installations. That’s why their government also provides programs that offer incentives for installing any type of solar panel system on people’s homes and businesses. One such program is Arizona’s Energy Equipment Property Tax Exemption, which also covers solar panels and photovoltaics. The Residential Arizona Solar Tax Credit also reimburses residential owners a 25-percent of the cost of their solar panels (up to $1,000) right off of their income tax in the same year they install the solar system.
As of October 2020, the average solar panel cost in Arizona is about $2.68/W. If you have a solar panel system size of 5 kilowatts (kW), expect to pay around $11,390 to $15,410 for the solar installation. Whereas, the average gross price of Arizona’s solar installation is $13,400.
Arizona also offers different financing options upon purchasing a solar panel system at home. With the Solar Equipment Sales Tax Exemption, you are free from the burden of paying any Arizona solar tax. You will not be required to pay any sales tax upon purchasing your solar system. In addition, the Energy Equipment Property Tax Exemption also gives you the privilege not to pay additional property taxes on any value that you are adding to your residential property if you’ll invest in solar panels.
On top of these tax rebates, the Solar Investment Tax Credit (ITC) also offers 26 percent of the solar system cost, and it will be deducted from your federal income tax. However, federal ITC applies only to those who will buy their photovoltaics system outright, and you must also have enough income for it to be relevant.
For every 1kw of solar panels installed on a house rooftop in Arizona, you can expect to generate 1,752kWh electricity annually.
How long does it take to earn back your initial investment in solar panel installation in Arizona?
Since the average cost of solar panel installation in Arizona is $15,000, let’s assume that you get a tax rebate of $4,000, the price after incentives is $11,000. Then if your solar panels reduce your electric bill by $1,500 per year (assuming that electricity rates don’t increase), your payback period would be 7 to 8 years.
How much does a home battery system typically cost in Arizona?
Adding a home battery system to your solar panel system can add around $6,000 to $15,000 to the overall cost after applying tax credits and other incentives available in Arizona.
Do I have to need to install a battery system along with solar installation?
You can install a solar system alone. However, due to the increasing number of solar users, electric utilities face a glut of energy midday when the sun is high. Thus, utilities begin to reduce the compensation for that surplus solar electricity and charge additional fees to solar customers’ bills. To skip the additional costs, a battery system is used by some homeowners, as it helps them store energy and dispense it during the “peak” hours when utilities charge more. Not to mention that with a battery system, you can use more of your power alone at night when the sun is out. That’s how beneficial a home battery is.
How long does solar installation take?
For a regular home with a simple rooftop solar installation process, solar companies can finish the installation within the same day. However, if you have to install many solar panels, the installation can take up to three days. They have a simple fixing system that can be completed efficiently. The installation usually depends on the number of panels you're installing and how complicated the entire installation is.
Where do I purchase solar panels (do you help me order them)?
High Desert Energy is an all-in-one solar energy provider. We can provide both residential and commercial solar installations. Besides, our available solar panels do not only generate energy on your roof, but they can also generate cash in your pocket as we help you save money from utility bills. You may contact us at 888-302-2794 for fast transaction.
Can I wash my solar panels after the installation?
Yes, you can wash your solar panels with clean water to wash away the dirt that came from its storage. You may use a soft scrubber and clean water to wash the surface of your panels gently. Do not use an abrasive sponge as it can scratch the panels.
Is it possible to completely go off-grid?
Living in a power off-grid by itself is not technically illegal. Producing your own power than consuming utility power is possible and perfectly legal. Aside from cutting down the energy that you use on an everyday basis, going solar is one of the possible ways that can make you completely power off-grid.
What types of properties are solar installation best for?
Either residential properties or commercial buildings like warehouses, hospitals, schools, and other establishments, installing a solar panel system is a very beneficial thing. Solar installation can bring several benefits to any properties that need a sufficient supply of energy to make things done.