Financial Incentives for Your Business to Use Solar Power by:Rick Chapo
When it comes to running a business, much of the necessary focus is on the bottom line
. Many businesses, however, fail to realize they can seriously cut energy costs by going solar.Tax Incentives
Federal and State governments know the best way to initiate change is to provide an economic benefit. When it comes to energy, governments try to make the use of solar energy as economically attractive as possible to businesses. This is done through granting tax incentives in the form of tax credits and deductions. Depending upon which government agency is involved, federal or a particular state, corporations can get tax credits and deductions ranging from 10 to as high as 35 percent of the cost of purchasing and installing solar energy systems.
Net Metering
On top of the tax incentives given to businesses for going solar, a majority of states now offer incredible cost savings through net metering. Net metering refers to state laws that require utilities to purchase power generated from solar systems used by businesses at the same price the utilities would otherwise charge the business. If the business is producing energy in excess of what it is using, the energy is sent into the utility grid and the building power meter actually runs backwards. Since many businesses are closed two days a week, this effectively means the utility is buying the power on said days. Net metering is an incredibly effective means of slashing utility costs.
Solar Loans
Businesses can gain further benefits through going solar by taking advantage of government solar financing programs. These loan programs offer incredible terms in an effort to promote the use of renewable energy and make sense for both new construction and renovations. Typically created as state programs, these "solar loans" offer financing for the purchase and installation of the equipment. The loans typically have seven to 10 year terms, and are offered as no interest or extremely low interest financing. Combined with the economic benefits of net metering, such loans make the decision to go solar a slam dunk.
Each state tends to handle the promotion of alternative energy in different ways and with different benefits. When combined with federal programs, businesses can reap a financial benefit from using solar energy sources.
About the author
Rick Chapo is with http://www.solarcompanies.com - a directory of solar energy and solar power companies. Visit to read more solar electricity articles. E Gold Investments: Investing Smartly With E-Currency Exchange by:Charles Cruz Conducting A Market Analysis On Your Business by:Rodney Boettger My Most Recent Experiences About E Currency Exchange Trading by:Charles Cruz Payday Loans With No Faxing - Are They Really Paperless? by:Peter Sissons Your Home Equity Credit Lines by:Troy Francis Beyond Budgeting: A New Approach to Annual Budgets by:Mark Ritsema Make 2006 Your Best Year Ever! by:Kelley Robertson Concerned You Will Not Retire In Comfort? by:Joshua Geary Easily-Missed Tax Deductions that Every Realtor and Entrepreneur Should Know by:Chris Bird Credit Counselling about Debt Reduction by:Adam Gilbert Australian Mortgage Sites - Make the Right Choice by:Naomi Warne Mortgage Refinancing by:Jennifer Hershey Bad Credit Personal Loan - A Changed Attitude Of Lenders Towards Bad Credit by:Amanda Thompson