If you're wondering if solar panels are right for you, Maryland is a good place to start. The state's Renewable Portfolio Standard and Solar Renewable Energy Credit program encourage the use of solar energy. Maryland wants to be able to produce 20% of its electricity from renewable sources by 2020. Maryland has a renewable energy target of 2% solar power.
Cost of solar panels in Maryland
Maryland solar panel installation costs can vary widely. Costs can vary depending on the size of the roof, as well other factors. There are up to four estimates from local solar companies. The amount you save will depend on the cost of your electric bill. However, solar energy can bring you savings of over $1700 per calendar year.
Maryland homeowners can expect to pay between $12,500 and $17,000 for a 5-kW solar system. But prices for solar panels vary widely depending on the installer. It is a smart idea to get multiple quotes on your Maryland solar installation to ensure you find the most cost-effective system. After all, solar panels only make up about a third of the overall cost. The overhead and labor cost of a system with solar panels are also significant.
Tax credits
Maryland residents can benefit from tax credits when they purchase solar panels. Maryland homeowners are eligible to receive a $2,500 tax credit for the installation of solar energy systems. These credits are available for the tax year that solar was first installed. Maryland residents can also carry these credits forward for an additional two years. Maryland has a net metering program that allows homeowners to sell their excess solar energy back into the grid. These credits can be used to reduce future utility bills.
Through the Residential Clean Energy Rebate Program, tax credits are available for Maryland solar panels. To be eligible, homeowners must install a solar energy system on their primary residence. To be eligible, homeowners must have a NABCEP-certified installer install the system. Maryland residents can also receive a $500 rebate if they install solar water heating systems.
Net metering
If you reside in Maryland and have installed solar panels, you may be eligible for net metering credits through your electricity provider. Maryland's net billing policy gives you 100% credit for energy you export to your utility. You can carry excess credits from month to month at the retail price. They are then reconciled each April at the utilities supply rate. The size and capacity of your solar system determines how many electricity credits you will be able to receive.
There are many other incentives available to encourage solar energy in Maryland, including net metering. In Maryland, residents can earn rebates for solar power and receive federal tax credits. In addition, the state has implemented a renewable energy portfolio standard. These incentives will help you to save money on electric bills.
Options for energy storage systems
Maryland residents may want energy storage for their solar panels. This type battery backup system can give you the ability to withstand power outages due to extreme weather. It protects your investment by protecting you home in case of natural disasters. Maryland is the only state to have passed legislation to encourage energy storage. Maryland's new climate solutions law raises the target for economic-wide emissions reductions by 40% to 61% in 2022.
Residential and commercial properties can install smaller battery storage systems in addition to large-scale utility-scale storage. For example, a battery system installed on a residential property can store up to 500 kilowatt-hours of energy, which is a substantial amount of back-up power. The average Maryland home uses 975 Kilowatt-hours per month. This battery system could be enough to power three days.