NYSERDA Rebates & Tax Credits
Renewable Rochester, a Rochester New York Solar Contractor and Installer can help you with all the complex paperwork associated with rebates and incentives in the Rochester, Buffalo and Syracuse areas of New York. We provide consulting for those interested in getting back thousands of dollars to make your purchase an even better value!
NYSERDA rebates & tax credits for solar electric systems continue to provide a huge savings to our many customers. Thanks to NYSERDA, these incentives have made thousands of projects possible across New York State, including the Residential sector, and industrial and commercial sectors.
While incentives have come down over the past eight years, so has the equipment prices, and now these systems are much more affordable.
Let the staff at Renewable Rochester assist you with a complete grant application and professionally designed system that will last for years! If you are looking for NYSERDA rebates then call us today at 585-671-1301.
NY-Sun provides innovative solutions, creates a more resilient and flexible power grid, lowers the State’s carbon footprint, and promotes a cleaner and healthier environment for all New Yorkers.
Incentives and the Megawatt Block Structure
NY-Sun provides incentives for installing solar electric systems throughout New York State. In combination with other components of the NY-Sun Initiative, the goal of NY-Sun is to facilitate a self-sustaining solar electric industry in New York as incentives are lowered and eventually eliminated in response to demand.
Incentives are distributed via an incentive structure that allocates MWs to specific regions and sectors of the State, which is known as a Megawatt Block Structure.
The Megawatt Block regions are:
- Served by Con Edison*
- Served by PSEG Long Island*
- The balance of the State (Upstate)*
*Incentives for NYPA customers are based on the utility operating in your region.
The Megawatt Block sectors are defined as:
- Residential systems (up to 25 kilowatts (kW) – based on the direct current (DC) nameplate rating)
- Nonresidential systems (up to 200 kW)
- Nonresidential systems (larger than 200 kW available in spring 2015)
Under the Megawatt Block incentive structure, each region and sector is assigned a series of MW targets at certain incentive levels, referred to as “blocks.” As applications are submitted, incentives are assigned and the kW associated with the applications are added together and the units are converted to MW. When the MW target for that block is reached, the block is closed and a new block, with a new target and a lower incentive level, is started. Once all of the blocks for a particular region and sector are filled, an incentive for that region and sector will no longer be offered. View real time available incentives by block on the Megawatt Dashboard.
The staff at Renewable Rochester will complete all the complicated NYSERDA grants for you so you don’t have to worry about anything!!
Federal Residential Tax Credit – form 5695
30% Federal Tax Credit
- There is no maximum credit for systems placed in service after 2008. The maximum credit is $2,000 for systems placed in service before January 1, 2009.
- Systems must be placed in service on or after January 1, 2006, and on or before December 31, 2016.
- The home served by the system does not have to be the taxpayer’s principal residence.
- Note that the Solar Energy Industries Association (SEIA) has published a three-page document that provides answers to frequently asked questions regarding the federal tax credits for solar energy.
Federal Commercial Tax Credit ITC-Form 3468
Solar. The credit is equal to 30% of expenditures, with no maximum credit. Eligible solar energy property includes equipment that uses solar energy to generate electricity, to heat or cool (or provide hot water) for use in a structure, or to provide solar process heat. Hybrid solar lighting systems, which use solar energy to illuminate the inside of a structure using fiber-optic distributed sunlight, are eligible. Passive solar systems and solar pool-heating systems are not eligible. (The Solar Energy Industries Association has published a three-page document that provides answers to frequently asked questions regarding the federal tax credits for solar energy.)
New York State Tax Credit – IT-255 Residential
Enacted in August 1997, this personal income tax credit originally applied to expenditures on solar-electric (PV) equipment used on residential property. The credit, equal to 25% percent of the cost of equipment and installation, was expanded in August 2005 to include solar-thermal equipment. The solar-thermal provisions apply to taxable years beginning on and after January 1, 2006. The credit is capped at $3,750 for solar-energy systems placed in service before September 1, 2006, and capped at $5,000 for solar-energy systems placed in service on or after September 1, 2006.
Solar-energy equipment is defined as “an arrangement or combination of components utilizing solar radiation, which, when installed in a residence, produces energy designed to provide heating, cooling, hot water or electricity.” The credit may not be used for pool heating or other recreational applications. Any amount of credit that exceeds a taxpayer’s liability in a given tax year may be carried forward for the five following taxable years. Any portion of the system cost provided by a non-taxable federal, state, or local grant is not eligible for this credit.
Systems must comply with the 10 kW capacity limit on residential, net-metered solar-energy systems*. In 2007, legislation was passed increasing the capacity limit to 50 kW for condominiums and cooperative housing associations. In addition, members of condominium management associations and tenant stockholders of cooperative housing associations are now allowed to claim a proportionate share of the total system expense towards the tax credit. These changes took effect beginning in the 2007 tax year, but as with other portions of the tax credit, they do not have an expiration date.
Fuel cells installed at a principal residence are eligible for a 20% tax credit, with a maximum credit of $1,500. To qualify, fuel cells must provide a maximum rated base load capacity of 25 kW and must utilize proton exchange membrane (PEM) technology.
*The language of the tax credit generally requires that PV systems conform to the state’s net metering law, thereby limiting system size to 10 kW. In August 2008, the state net metering law was expanded by S.B. 7171 to permit net metering for residential PV systems up to 25 KW. It is unclear at this point whether the state intends for the new net metering limits to apply to the tax credit described above. The 2009 Solar and Fuel Cell Tax Credit Form IT-255 does not specifically address this issue.
State: New York Incentive Type: Personal Tax Credit Eligible Renewable/Other Technologies: Solar Water Heat, Solar Space Heat, Photovoltaics, Fuel Cells Applicable Sectors: Residential, Multi-Family Residential Amount: 25% for solar-electric (PV) and solar-thermal systems; 20% for fuel cells Maximum Incentive: $5,000 for solar-energy systems; $1,500 for fuel cells Eligible System Size: 10 kW maximum for solar-electric systems*, except 50 kW for solar systems owned by condominium or cooperative housing associations;
25 kW maximum for fuel cells Equipment Requirements: Systems must be new and in compliance with all applicable performance and safety standards Installation Requirements: Electricity generation systems must be grid connected and net metered. Carryover Provisions: Excess credit may be carried forward five years Program Start Date: 01/01/1998 (solar electric); 01/01/2003 (fuel cells); 01/01/2006 (solar thermal)
NY CLS Tax, Article 22 § 606 (g-1) et seq.
You can also visit the DSIRE website for more specific details on these and other incentives that are available.
The New York Public Service Commission (PSC) adopted a Renewables Portfolio Standard (RPS) in September 2004 and issued implementation rules in April 2005. As originally designed, New York’s RPS had a renewables target of 25% of state electricity production by 2013, but was expanded in January 2010 to 30% by 2015 by order of the PSC.
NYSERDA Incentives & Tax Credits are the best way to get your solar electric system installed on your home or business for less costs to you!