Benefits of Solar Energy
Solar energy offers multiple advantages. Here are some highlights.
- Better energy independence: Adding a solar battery storage system lets you have trustworthy energy during grid outages and storms.
- Reduced energy costs: Sourcing some or all of your own power will spend less on electricity long-term. Plus, some states provide net metering programs that allow you to sell your extra energy back to the grid, generating additional credits toward your energy bill.
- Reduced carbon footprint: Utilizing solar is a surefire way to reduce your carbon footprint and home fossil fuel dependency.
What Solar Incentives Are Available to Frederick Homeowners?
Governments and utility companies often reward homeowners for switching to solar. Here are some of the rebates, tax credits or other programs you could qualify for.
Incentive Type: Rebate Program
Website: energy.maryland.govIncentive Amount:
PV: $1,000/project (flat per installation/household incentive)
SWH: $500/project (flat per installation/household incentive)
New GHC: $3,000/project
GHC Replacement: $500/project
Incentive Type: Solar Renewable Energy Credit Program
Website: psc.state.md.usIncentive Amount:
Varies based on market conditions
Incentive Type: Sales Tax Incentive
Incentive Amount:
100% exemption from sales and use tax
Incentive Type: Property Tax Incentive
Incentive Amount:
100% real property tax exemption for solar and wind energy property
Incentive Type: Rebate Program
Website: energy.maryland.govIncentive Amount:
Stick Burning Stove: $500
Pellet Burning Stove: $700
Incentive Type: Sales Tax Incentive
Incentive Amount:
100% exemption
Incentive Type: Property Tax Incentive
Incentive Amount:
Varies
Incentive Type: Property Tax Incentive
Incentive Amount:
Varies by jurisdiction; credit may be available for up to 3 years.
Incentive Type: Rebate Program
Website: energy.maryland.govIncentive Amount:
Residential: $4,000/kW of normalized capacity at 11 m/s
Community: $1000/kW - $4000/kW, depending on the system capacity
Incentive Type: Rebate Program
Website: firstenergycorp.comIncentive Amount:
Appliances
Refrigerator/Freezer Recycling: $50
Lighting
LED Fixtures: Up to $8/unit
LED Bulbs: Up to $5/bulb
Occupancy Sensors: Up to $7/unit
HVAC & Other
Air-to-Air Heat Pump: $400 - $650
Central A/C: $300 - $500
Ductless Mini-Split Heat Pump: $250 (Tier 2); $400 (Multi Zone)
Geothermal Heat Pump: $1,500
Packaged Terminal Heat Pump: $125
Packaged Terminal Air Conditioner: $125
Furnace Fans: $100
Smart Thermostat: $100
Circulating Pump: $30
Variable-Speed Pool Pump: $400
Two Speed Pool Pump: $150
Home Performance Audit: 75% of home improvements cost, up to $7,500
Quick Home Energy Checkup: Up to $75 in Energy-Saving Products
Incentive Type: Personal Tax Credit
Website: ecowatch.comIncentive Amount:
30% federal tax credit for systems placed in service after 12/31/2021 and before 01/01/2033. Good for: solar water heat, solar photovoltaics, biomass, geothermal heat pumps, wind (small), fuel cells using renewable fuels.
How To Choose the Best Solar Company in Frederick
Choosing a company is the first step toward an effective and cost-efficient solar energy system. Consider each of these criteria in your service provider search.
Licensing and Training
A Maryland solar photovoltaic installation team must include a Home Improvement Commission-licensed contractor and a master electrician with at least seven years of experience. The contractor installs the panels, while the master electrician handles permits and connects the system to the grid. If you're installing a solar water heater, your contracting team must include a master plumber for utility connections and permits. Solar companies can also earn accreditations from standards organizations and trade groups. The most recognized ones in the industry come from the NABCEP. Most company websites will prominently display earned credentials, but you should also ask your estimator for more information.
Cost of Solar Panels in Frederick
Your photovoltaic panels' type will impact how much energy you can produce. Monocrystalline panels are among the highest quality and cost the most but perform the best. Polycrystalline panels generate less, but they're a great traditional option for low budgets. Thin-film panels have a low cost and are excellent for non-traditional roofs, but aren't recommended for large home installations.
Additional accessories, such as electric vehicle (EV) chargers and battery storage, will increase your overall installation costs. However, they might make your solar system more efficient and convenient to use. Not every solar contractor provides these add-ons, so look for a provider that installs them if it's a priority for you.
Generally speaking, it will cost about $17,700 for a five-kilowatt solar array in Frederick. This table shows more specific pricing information for different solar panel types and system components in your area.
Solar Panel Cost | Average Cost |
---|---|
Solar Monocrystalline | $1,156 |
Solar Polycrystalline | $902 |
Thin-Film | $527 |
Solar Battery | $740 |
Solar Home EV Charger | $2,775 |
Financing Solar Energy in Frederick
There are a plethora of ways to pay for new solar panels, and the right one will reduce your expenses. A few of the most common options include loans, power purchase agreements (PPAs), cash payments, and leases. Most solar experts recommend a cash payment or using a solar loan. Cash payments demand a large up-front sum, but they help you avoid paying interest, grant you system ownership, and qualify you for cost-saving solar incentives. Solar loans have the same benefits, though you'll pay more in total due to interest and fees. Like an auto or home loan, you'll pay a set monthly rate with potentially $0 down. Solar leases allow you to rent your panels for a set monthly rate, while PPAs let you pay just for the energy you use, similar to an electric bill. Both options disqualify you for solar incentives and do not provide you system ownership. Solar experts generally don't recommend them, but they might be suitable in some cases. Ask each company you're evaluating about the payment options it offers. A representative can help you determine the best option for your budget.
The table below lists the average payback periods for different capacities of solar systems in Frederick.
A 26% federal solar tax credit applies to new home solar systems purchased through 2032. Further incentives may be available through city and state governments, usually in the form of rebates and special financing programs.
Solar System Capacity | Estimated Payback period |
---|---|
1 kW | 2.9 years |
2 kW | 5.7 years |
5 kW | 14.3 years |
10 kW | 28.6 years |
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Frequently Asked Questions About Solar in Frederick
How much energy and money could I save per year by switching to solar?
How common is solar energy in Frederick?
Should I anticipate a boost in my property value after switching to solar energy?
What if I live in a rainy or heavily-wooded
What's a Frederick solar panel's average lifespan?
What size should my new Frederick solar system be?
How are traditional solar loans and PPAs different?
You might consider a PPA if you don’t want to be responsible for maintaining your panels and don’t want to invest in a system, but keep in mind you won’t be paying toward ownership or be able to access any solar financial incentives. Many solar experts don’t recommend PPAs. Our guide covers other financing options above.
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