New York City has many benefits from installing solar panels. Community solar credits, State subsidies and Tax credits are just a few of them. Also, the FDNY's stringent Solar Code is something to be aware of. Installing solar panels is an excellent investment for the future. It's the smartest investment to save money while going green.
Community solar credits
If you live in New York City and plan on installing solar panels, community solar credits could make your project more affordable. Be aware that there are certain hurdles to avoid before you submit your application. Developers who invest more than $500k in solar projects are not eligible for incentives. In addition, project permit fees can be in the millions of dollars.
Community solar projects provide a wide range of benefits for the community. These include lower energy costs and improved air quality. Most importantly, these projects prioritize marginalized communities. NYC community solar projects can now receive discounts of between 10-20% on the price of solar panels. This credit is paid separately on a bill which will eventually disappear.
Tax credits
New York's state has a program that encourages the use of solar energy. A 25% tax credit is available to residents who lease or purchase a solar energy system. The credit is applicable for the first five-years of ownership of a system of solar energy and is available for both existing and new structures.
This program is intended to be of benefit to underserved neighborhoods and households. A household must be low-income, have at least two dwellings and be occupied in total. The state will pay between 20-30% and 30% of the total cost to install a solar system.
State subsidies
Going solar offers many benefits including a lower carbon footprint, and less dependence upon the grid. These benefits are attractive, but there are also some costs. New York offers several incentives to make solar cheaper. These incentives use a combination NYSERDA tax credits and federal incentives.
Solar Energy System Equipment Credit, one of the most generous incentives is available. Anyone can get it if they start a new solar project. You must either purchase solar equipment or enter into a power purchase arrangement. The power purchase agreement must have a minimum of ten year term to be eligible.
The strict solar code of the FDNY
New York City's strict FDNY solar code has prevented rooftop solar projects expanding. While the city's fire code is designed to balance the needs of both the building industry and public safety, it is hindering New York City's goal of 1,000 Megawatts of solar energy by 2030. The FDNY has also placed restrictions on rooftop solar panels.
The solar code has been interpreted differently by the city's rooftop enforcement team. The FDNY's enforcement unit reads the code as if it required all buildings to use solar power. The Department of Buildings has also interpreted the FDNY's revisions in the same way. In the end, the city views solar panels as serviceable equipment that is a form of energy generation.