The Hoosier State scores with clean solar energy

The state of solar in Indiana

Indiana receives a fair amount of sunshine each year, with an annual average of 186 sunny days.^*Bestplaces.net, "Climate in Indiana" (accessed July 14, 2021) https://www.bestplaces.net/climate/state/indiana Though the state is below the national sunny day average of 205 days, its national solar ranking improved from 32nd place in 2020 to 20th place in 2021 due to a $1.2 billion investment in solar energy.^*SEIA, “Indiana Solar” (accessed July 15, 2021). https://www.seia.org/state-solar-policy/indiana-solar

How much solar energy does Indiana produce?

Indiana was one of the top 10 solar states in the United States in the first quarter of 2021.^*SEIA, “U.S. Solar Market Eclipses 100 Gigawatts” (accessed July 15, 2021). https://www.seia.org/news/us-solar-market-eclipses-100-gigawatts According to the Solar Energy Industries Association (SEIA), the state has enough solar capacity to power over 111,000 houses.^*WFYI. “Solar Capacity Doubles In Indiana, More Big Projects Proposed” (June 15, 2021). https://www.wfyi.org/news/articles/solar-capacity-doubles-indiana-more-b... Officials expect the number to grow with upcoming clean energy projects like the Mammoth Project in Pulaski County.

What are the advantages of going solar in Indiana?

The most significant reasons for Hoosiers to invest in solar panels for homes are two-fold: financial savings and environmental protection.

Unlike coal, of which Indiana has an abundance, solar energy is clean and produces no pollution. By installing solar photovoltaic (PV) systems, residents and businesses will be able to reduce their carbon footprint and contribute less to harmful greenhouse gas emissions.

Solar PV systems also come with 20- to 25-year warranties, ensuring that they will be able to generate power for years. Indiana residents who go solar will immediately see monthly energy savings on utility bills, and the payback period in Indiana for solar power is about 16 years.^*Solar Nation. “Solar Power in Indiana” (accessed July 15, 2021. https://www.solar-nation.org/indiana The system you install will ultimately pay for itself before the end of its lifespan.

How much does solar cost in Indiana?

The cost of a home solar system can vary, even in the same state, due to a range of factors. These include:

• Roof condition, structure, and space

• Property's energy use

• Solar installer

• Quality of solar panels and other equipment

• Local weather

To help you understand the price of going solar in your area, we've analyzed SunPower price quotes as well as quotes gathered by third-party sources for thousands of homeowners across the country.

In Indiana, we found that the average investment to own a 5 kW solar system ranges from $13,000 to $15,200, or in other words, from $2.60 to $3.04 per watt—and that's before considering the benefits of any available tax credits or incentives.

The federal solar tax credit is one way to offset some of the installation costs for a new solar PV system. It is a 30% tax credit for solar PV systems with a completed installation within the same tax year. To receive the credit, you must own a new system that actively generates electricity for the residence.^*Tax credits and incentives are subject to change. Visit dsireusa.org for detailed solar policy information.

Indiana also encourages residents to switch to clean energy with state-wide incentives like the renewable energy property tax exemption.^*DSIRE, “Renewable Energy Property Tax Exemption” (June 27, 2020). https://programs.dsireusa.org/system/program/detail/54 The assessed value of a new solar system on Indiana homes is exempt from property taxes. So, while the system will boost your home's value, it is not counted toward your property taxes.

You may have heard of a concept called net metering that is a policy in many states. Unfortunately, the 2017 Indiana General Assembly legislation SEA 309 will end net metering programs on or before July 1, 2022, for new solar customers of Indiana's investor-owned utilities (IOUs).^*Indiana Energy Association. “Transitioning Customer Owned Generation Pricing” (accessed July 15, 2021). https://indianaenergy.org/net-metering-reform-distributed-generation/ This legislation replaces net metering with "excess distributed generation" (EDG), which compensates solar owners 2.772 cents per kWh for the electricity they send to the grid.^*Solar United Neighbors. “The state of net metering in Indiana” (May 11, 2021) https://www.solarunitedneighbors.org/news/the-state-of-net-metering-in-indiana/

What's the best way to go solar in Indiana?

Going solar can be an overwhelming process for many homeowners and businesses in Indiana. Anyone making the switch needs to do an abundance of homework because generic solar energy solutions may not work for your household. You should consider everything from the condition and structure of your roof to the solar provider before you find a suitable solar energy solution.

When you are ready to go solar, be sure to work with a reputable, licensed solar contractor that has experience helping homeowners and business owners get the perfect solar system for their property. You should arrange for a consultation and custom design that meets your budget, property, and energy needs.

Look into getting a solar system that boosts your property value and complements its visual style. A reputable solar energy company should also help you access every available solar incentive and rebate to help you reduce installation costs.

If you’re ready to get started, we’re here to make it as easy as possible. Simply request a free consultation with SunPower below and we'll follow up with a quick call to schedule a time. You can also call us directly at (800) 786-7693.