Its important to note that this is not a cashback incentive, so you wont get the average credit value of $6,143 back. For more information, seeenergy.gov. These credits work similarly to the federal solar tax credit. RPS Timeline Her work on solar policy has been published in the Canadian National Observer. This Act included significant changes to the Adjustable Block/Illinois Shines program, including the reopening of the program within 90 days (December 14, 2021). The kind of credits you get each month for surplus energy depends on the price you pay for energy from ComEd and whether you received the utilitys commercial distributed generation rebate (not currently available for residential arrays). Approved Vendors often work with Designees to manage various portions of solar system development. Failure to enroll or re-enroll may significantly impact the value you receive from your PV system. The IPA (Illinois Power Authority) has in the past bought SRECs in "procurement rounds". 1,000 kWh of solar electricity = 1 MWh of solar electricity = 1 SREC. Policy Webinars, Solar Tour We should note that the federal solar tax credit rate is scheduled to drop over the next ten years, according to the schedule below: Following 2034, the program will no longer be available. While its an excellent opportunity for some Illinoisans to support the clean energy movement without laying out a ton of money, its not the most beneficial way to get solar. All rights reserved. In its place, Illinois state has set a threshold date of December 31st, 2024, or when new utility tariffs are set and approved (whichever is later). More information about these programs can be found in the Administrative Code document above. With the new SREC program, its a bit different the current SREC program lasts for a longer duration, and the price you receive for each SREC is fixed and dependent on your utility company, system size, and how soon you go solar. Let us help you partner with the state of Illinois to make it a better environment for all, and a better vehicle for the money you'd be spending on electricity bills. Sign up for our email newsletter! However, CEJA altered the program from this cascading approach to an annual block approach. This guarantees clean energy savings. With the enactment of the Public Act 102-0662, the Illinois Power Agency is tasked with numerous crucial implementation activities. Instead, qualifying households pay a reduced monthly fee for power produced, up to a maximum of 50% of the value of the energy produced. Illinois offers a property tax exemption for home solar installations. See the cost of solar in IL cities and towns, Enter your zip code to see solar quotes near you. way to track and monetize these environmental benefits and compensate Illinois solar incentives and rebates help you save on solar, Is something missing or out of date? Phase I of the portal was launched on January 31, 2023. Concerned about climate change? Learn more about what a REC is here: https://vimeo.com/113250210. See our Community Solar page for more info. Home / Solar Energy Guide + FAQ / The 4 Biggest Benefits of Going Solar / Solar Rebates & Tax Incentives: What You Need to Know / Illinois Solar Incentives for 2023, Written by Leigh Matthews, BA Hons, H.Dip. For reference, large DG systems are usually hosted on larger buildings or roofs, not residential properties. ComEd, one of ILs largest utility companies, provides rebates for commercial and industrial (C&I) customers to help decrease the out-of-pocket costs of installing solar. This could be your installer, a project developer, a broker, or an aggregator. Any credits can be used to offset Basic Generation Service costs, meaning youll still pay a bill with connection fees and other administrative charges. Illinois Power Agency Energy Workforce Equity Portal The portal is an online source designed to help connect clean energy companies with Equity Eligible Persons looking to work in the clean energy sector in Illinois. Policy Blog The credit was bumped up to $7,500 for some makes and models. Provided you expect to owe around $1,200 or more each year in taxes for the next five years, you should be able to take the entire credit or close to it. This Act included significant changes to the Adjustable Block/Illinois Shines program. In addition to FEJA, the Climate and Equitable Jobs Act (CEJA) significantly expanded the ABP Program in 2021. All of CSG's ABP customers will be receiving the following documents in . Instead, approved vendors facilitate the application process and transaction. Its our hope that when the goal is met in 2025, the state sets a new one and maintains the current incentives to help reach it. All you need is your solar system's yearly kilowatt hour (kWh) usage and let Acorn's SREC Calculator do the rest. Karsten is an editor and energy specialist focused on environmental, social and cultural development. Please contact our Customer Care Center if you have questions. Visit energyequity.illinois.gov to learn more. The Federal Solar Tax Credit is still 26 percent for construction that started before Dec. 31, 2022. Please turn on JavaScript and try again. Want to find the best deal on solar in all of Illinois? Some homeowners can get solar installed for free and then enjoy lower utility payments and the warm fuzzy feeling of helping enhance the green energy grid. As such, it makes sense to try to shift your billing year to end just after your highest consumption months. This past summer of 2022, the Illinois Shines program was on a temporary pause while a new program administrator was installed. The initial prices for most of northern Illinois are: Small systems: $72.97 per SREC (applies to systems smaller than 10 kilowatts AC) Large systems: $73.23 per SREC (applies to systems between 10 and 25 kilowatts AC) These prices will decline in "blocks" over time as more-and-more homeowners go solar. The federal solar investment tax credit (ITC) is, in our opinion, the most appealing incentive available in Illinois. RECs may be sold to the utility for meeting the State's Renewable Portfolio Standards. What You Need to Know About the Illinois Shines Program, What You Need to Know About the Illinois Solar for All Program, What You Need to Know About the Solar Property Tax Exemption in Illinois. However, not all of these programs are equally as beneficial, especially when you consider the time investment required to take advantage of them. SREC Incentive Overview and Status as of March 31, 2021The solar renewable energy credit (or "SREC") has been an exceptional Illinois solar incentive available through the Illinois Shines program. If you have more questions or would like to see a quote for your home, farm or facility, our experts will be happy to discuss further! Homeowners get one SREC for. represents the clean attributes of solar electricity. Enrolling in net energy metering is, thankfully, a simple and straightforward process. Best of all, the program takes no time to enroll in, as your installer will set up automatic credit sales for you. tradingand energy forecasting, development ofcarbon and renewable Phone. The same rules apply re credits for kWh produced, and customers maintain the rights to renewable energy certificates and other incentives associated with solar. RECs may be sold to the utility for meeting the State's Renewable Portfolio Standards. If you only have time to file for one credit, we strongly suggest making it this one. The homeowner, in turn, enjoys solar panels and the energy that they generate at a low cost. Net energy metering is the second-best perk available to Illinois homeowners, in our opinion. Like homeowners, small businesses and nonprofits can apply to the Illinois Shines program through an approved vendor. You may participate in Illinois Shines in one of two ways: Whether you are planning to install solar on your property or subscribe to a community solar project, you must work with an Approved Vendor who will either submit your solar system to the Program or register your community solar subscription with an already established Community Solar project in the Program. Learn more about the technology of photovoltaics from the US Department of Energy here: Consulting with an Approved Vendor is the best way to figure out if your home (either your roof or your property for ground mounted systems) would be a good fit for a solar system. It does not appear on display pages. On 9/15/21 the Climate & Equitable Jobs Act was approved which includes new funding for the Illinois Shines SREC program. To receive the rebate, your solar panel system cannot be larger than 2,000 kW in capacity. Additionally, SRECs help bring a cleaner and diversified electrical power system to the state of Illinois. These payments to your Approved Vendor will help offset the cost of your new PV system or your community solar subscription. Distributed Generation Project Developer (DG Project Developer): A DG, Project Developer may oversee client relationships, design of the solar project, and site management. All rights reserved. These payments to your Approved Vendor will help offset the cost of your new PV system or your community solar subscription. Solar projects serviced by Ameren Illinois, MidAmerican, Mt. The state set a specific amount of installed solar (in megawatts, MW) and an associated SREC price for each block. Commonwealth Edison offers the top utility net metering program in Illinois. Learn More. Educational Videos The program is made possible via the REC market in Illinois. Unfortunately, Illinois doesnt waive sales tax on PV equipment. The best states for a home solar energy system arent always the sunniest; those who benefit the most from installing a solar photovoltaic (PV) system for their home spend a lot of money on electricity and live in a state with good solar programs and incentives. Which Tax Incentives Are The Best In Illinois? Specifically, Section 10-10 of the Illinois Property Tax Code states that homeowners who install solar can file an alternate valuation of their home improvements with the chief county assessment officer. owners for the countless benefits to Illinois. Its worth mentioning that tax software like HR Block and TurboTax know about this incentive and typically ask you when you go to file if you installed renewable energy equipment. The tax exemption for solar equipment in IL prevents your taxes from going up as a result of installing solar equipment. Program Administrator: The IPAs subcontractor responsible for running day to day operations of the Adjustable Block Program. ILSFA-approved vendors are paid via the sales of the systems RECs. Give us a call today to learn more from our experts and how this may potentially be a great opportunity for your solar power system. The Illinois Solar for All (ILSFA) Program is an excellent option for low-income households to convert to solar power. Details from past DG procurement events including winning bid prices are listed on the IPA website. Below is the states definition of a qualified person:A person who performs installations on behalf of the certificate holder and who has either satisfactorily completed at least five installations of a specific distributed generation technology or has completed at least one of five listed programs requiring lab or field work and received a certification of satisfactory completion. Illinois may not have the year-round sunshine of the Southwest, but it does have a great solar power market because of the available financial incentives. We use cookies to ensure that we give you the best experience on our website. Community Solar are typically large systems from a minimum size of 500 kW up to 2 MW (AC) that feed into the grid and generating power for subscribers. If youre looking for a quote contact us today by phone or via our contact us page! SRECs are sold separately from the actual electricity they produce, which means owners can use the electricity from their solar array to directly lower their home or business electric bill and sell the SRECs that get created from that energy to the buyer. In the sections below, well provide responses to some of the most common questions we get asked about solar perks and benefit programs in Illinois. Is IL proposing increasing incentives for rooftop solar in the next 24 months?