Skip to main content
How to Take Advantage of Solar Energy Incentives in California
March 21, 2022 at 4:00 AM
solar energy incentives california solar switch

If you’ve thought about adding solar energy to your home, you've probably wondered if you qualify for any solar incentives.

But you're not sure where to find information about rebates and incentives - now what?

Installing solar energy panels to your home may feel a bit overwhelming at first. To start, you’ll need to research solar energy companies and then check that your home is compatible with solar panels. You’ll also need to review incentives for solar energy in California and submit for any programs that might apply to your situation. But what are the incentive programs for solar energy in California? And which ones would apply to you and your home?

There are a number of federal and state-level benefits available for homeowners who want to add solar panels to their homes. While you’ll need to do some more in-depth research, here is a basic guideline of incentives you can look for to make solar energy installation a realistic prospect.

Federal Solar Investment Tax Credit (ITC)

This is a federal-level incentive, so it applies to all of California. As long as you install your solar energy system in your house by December 31st, 2022, you qualify for a 26% federal tax credit. This means you’ll have a good amount of money deducted from your taxes, reducing the cost of installation significantly.

Self-Generation Incentive Program (SGIP)

Earn a rebate when you purchase and install a solar battery and rooftop panel solar system. This program reduces the cost of installation and may help with the overall cost of the solar panels, too. The rebate amount may vary depending on your installation costs and if you lease or own the panels.

Solar Energy System Property Tax Exclusion

Rooftop solar systems tend to increase the property value of a house. However, the Solar Energy System Property Tax Exclusion program allows you to remove the property tax for this added value. This means your taxes won’t go up, even if the value of your home increases with the new solar panels.

Single-Family Affordable Solar Housing (SASH) Program

Low-income homeowners that get electricity from PG&E, SCE or SDG&E qualify for cash incentives, earning money for every kilowatt (kW) of installed solar power. Those who feel they may not be able to afford solar energy panels should investigate this, as well as other local affordable solar housing programs.

Local Utility Company Rebates

There are local incentive programs that vary depending on where you live. Different utility companies and cities offer different rebate options, which vary in a number of ways. Some homeowners qualify for rebate programs based on their utility company, while others qualify based on their neighborhood. It’s best to ask your utility company directly if they have any solar energy incentive programs.

Ultimately, there are plenty of reasons to go solar and use green energy in your home. And knowing what incentives you qualify for makes it even easier to transition to solar energy in your home.

If you’re a California homeowner and are curious about what incentives you qualify for, contact us here at Solar Switch! We’d love to learn more about your home and energy goals.