Georgia is steadily expanding its renewable energy resources, with solar power leading the way. The state currently ranks seventh nationwide for solar installations, according to the Solar Energy Industries Association (SEIA). While going solar can significantly reduce your carbon footprint and lower utility bills, the upfront costs can be high. Georgia offers a variety of incentives, tax credits, and rebates to help make solar energy more affordable. Learn more about the available solar incentives below and explore our guide to top solar companies.
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What Are the Solar Tax Credits and Rebates in Georgia?
Georgia has limited solar incentives to help residents lower solar panel installation costs. The state doesn’t offer a tax credit or property and sales tax exemptions. Instead, Georgia homeowners should use federal incentives and net-metering programs to save on solar energy systems.
Federal Solar Tax Credit
All Georgia homeowners can apply for the federal tax credit to lower solar installation costs. Previously called the solar investment tax credit (ITC), the federal solar tax credit offers 30% of installation costs back as a tax credit. During tax time, this credit helps lower your owed federal income tax. The federal solar tax credit applies to all residential photovoltaic (PV) systems and includes rooftop solar panels, roofing, and solar batteries. As of 2023, you can also apply for standalone energy storage savings.
To qualify for this credit, you must legally own your solar system. Your chosen solar financing option plays an important role in ownership. Payment options such as upfront cash payments and solar loans grant legal ownership. System ownership remains with the solar provider with payment options such as solar leases or power purchase agreements (PPAs). Unless you have no plans to own your system, we recommend selecting cash payments or solar loans for system purchases.
Solar Easement Laws
Although not a solar rebate or incentive, this law does protect homeowners’ rights to unobstructed sunlight for solar panels. Surrounding neighbors or commercial properties cannot block the sunlight to your panels in any way. If they do, they are bound by law to resolve the issue. Resolutions could include tree trimming services or removing sun-blocking objects. If homeowners experience any problems, they should contact their local building department for more assistance.
More resources: Visit the Database of State Incentives for Renewables and Efficiency (DSIRE) for details on Georgia’s solar easement laws.
Additional Energy Efficiency Incentives
Although Georgia’s solar programs are limited, you can still receive additional rebates for energy efficiency upgrades.
For example, Central Georgia EMC offers rebates of up to $400 for various upgrades, including qualifying electric heat pumps and water heaters. Georgia Power offers a rebate program for installing a Level 2 electric vehicle (EV) charger. These upgrades could help improve your home’s efficiency and comfort levels. They could also boost your solar system’s efficiency, increasing possible energy savings.
We recommend checking DSIRE for local incentives and rebate programs for energy efficiency upgrades.
Does Georgia Offer Net Metering?
Additional solar savings are available through net metering programs. These programs allow homeowners to send excess energy generated by their systems to the power grid in exchange for credits on their future electric bills. Credits remain on your account for a set time frame and help reduce future energy costs.
The Georgia Public Service Commission (PSC) allows net metering in Georgia but does not require utility companies to offer the program. Utility companies can opt into net metering and set their credit payout rate. Previously, Georgia Power offered a solar buyback program similar to net metering but capped program funding in 2021.
We recommend checking with your utility company for details on available net-metering programs.
How Much Does Going Solar Cost in Georgia?
Going solar can reduce your electricity bill and put less strain on the planet, but what does it cost in Georgia? The average cost to install solar panels in Georgia is $12,988 for a 5 kW system, according to EnergySage, which is lower than the national average of $16,129.
A few factors determine your overall system price, including electricity consumption, incentives such as the investment tax credit, and the type of solar panels you choose. We recommend getting quotes from multiple providers and looking into solar financing options to determine the best route for your home.
Here are some common solar payment options to consider:
- Cash purchase: Paying upfront eliminates interest charges and maximizes long-term savings.
- Solar loans: These allow you to finance the cost of your system with fixed monthly payments, often with low interest rates.
- Solar leases: This payment method enables you to rent the solar system and pay a fixed monthly fee without owning the equipment.
- Power Purchase Agreements (PPAs): PPAs let you buy the power your panels produce at a lower rate than your utility’s electricity price.
- Property-Assessed Clean Energy (PACE) financing: This offers repayment through your property tax bill, spreading the cost over up to 20 years.
Is Going Solar in Georgia Worth It?
Yes, going solar in Georgia is worth it. The state offers an ideal environment for solar energy, with 218 sunny days per year. Solar arrays work best in areas with ample sunlight, leading to better system production and energy bill savings. Though Georgia’s solar incentives are limited, homeowners still have cost savings with available net-metering plans from utilities like Georgia Power.
The Process of Going Solar in Georgia
Going solar in Georgia might seem daunting at first, but breaking it down into clear steps can simplify the journey. Here’s a straightforward guide to help you:
Assess Your Home’s Solar Potential
Before installing solar panels, evaluate if your home is a good candidate. Consider the following factors:
- Roof suitability: Check your roof’s age, orientation, and condition. South-facing roofs without shading are ideal. A professional will assess this further during your initial consultation to determine how many solar panels your home needs.
- Energy needs: Review past electricity bills to gauge how much energy you’ll need to offset with solar panels. If you are going with an off-grid solar panel system, you might need to invest in a solar battery.
Evaluate Financial Incentives
To make the most of your solar investment, explore the available financial incentives in Georgia:
- State and federal credits: Take advantage of the Solar Investment Tax Credit (ITC) for residential solar systems installed in the U.S.
- Net metering: Georgia Power customers can benefit from net metering, which credits you for surplus energy your system generates.
- Local incentives: Check with your local utility company or government for additional rebates or incentives.
Choose the Right Installer
Selecting a qualified installer is crucial to a successful solar installation. Keep these tips in mind:
- Research and compare: Gather multiple quotes from different installers. Look for those with strong reputations and customer reviews.
- Ask about experience: Make sure your installer is certified and experienced with systems similar to what you’re considering.
- Warranty and maintenance: Understand the warranties offered on both equipment and installation work.
Installation and Inspection
The installation process involves several key steps to ensure everything runs smoothly:
- Custom design and permitting: Your chosen installer will design the system and handle necessary permits.
- Installation process: Once permits are in place, installation typically takes one to three days.
- Inspection and interconnection: A local government authority will inspect the system before connecting it to the grid.
Monitor and Maintain
After installation, regular monitoring and maintenance are essential for optimal performance:
- Use monitoring tools: Track your system’s performance online to ensure it’s functioning as expected.
- Routine maintenance: Keep panels clear of debris and schedule periodic professional check-ups to maintain efficiency.
Our Conclusion
Although the Georgia government has yet to make plans to extend its solar incentives, homeowners should still consider switching to renewable energy. If state officials implement a renewable energy portfolio, additional incentives could be introduced to promote solar growth. For now, residents should use the federal solar credit and net-metering options to help lower installation costs. We recommend comparing prices from at least three Georgia solar companies to find the best deals.
FAQs About Solar Tax Incentives in Georgia
What is the solar tax exemption in GA?
Georgia does not offer any solar tax exemptions for residential installations. This includes property tax and sale tax exemptions. Homeowners will incur these added taxes when they install a solar system.
Will installing a solar system increase my home value in Georgia?
Yes, installing a solar system will increase your property value. Like any home improvement project, converting to solar energy boosts home value. However, Georgia does not offer a property tax exemption for solar systems. That means your property taxes will increase due to your higher home value.
Does Jackson EMC still offer solar rebates in Georgia?
No, Jackson Electric Membership Corporation (Jackson EMC) no longer offers solar rebates to its customers. Its Right Choice Sun Power Solar Rebate Program ended in 2022.
What is the state solar rebate for GA?
Georgia does not offer a state solar rebate. Instead, homeowners can use the federal solar tax credit to decrease installation costs by 30%. This credit applies to your federal taxes to lower or eliminate your tax liability. Georgia residents who own their solar system can apply for this incentive.
Our Rating Methodology
We are committed to providing comprehensive and unbiased reviews to our readers. After over a thousand hours of research on solar companies, interviews with experts, and common customer needs, we’ve created a detailed rating system for solar providers based on six factors:
- Solar equipment, installation, and services (25%)
- Warranty and performance guarantees (25%)
- Brand reputation and certifications (15%)
- Financing options (15%)
- Experience (10%)
- Availability (10%)
Total scores are divided by 20 for a final 5-point rating scale.
