New York is one of the prime solar locations in the United States. Across the state, energy consumers are subject to some of the highest utility rates in the country, with these rates increasing year on year and forecasts suggesting that this trend will continue. This fact alone makes solar an appealing prospect, as it can massively offset your energy bill from day one.
However, what really makes solar energy a fantastic prospect for New Yorkers is the availability of a wide range of financial incentives for going solar. Residents of Westchester are subject to these high utility rates, and also capable of taking advantage of the generous incentives. This combination of factors makes a solar panel installation a truly enticing prospect. Below, we’ll explore some key benefits of going solar, and look at the best incentives & rebates available in Westchester, New York in 2020.
Reasons to go Solar in Westchester, New York
Solar is a wise investment anywhere in the United States but this is particularly true for Westchester where utility rates are high and incentives/rebates are available to offset the system cost.
Energy Bill Savings: A solar panel installation can massively offset the cost of your electricity bill and, in some cases, virtually eliminate your energy costs.
Incentives & Rebates: For Westchester residents there are a number of excellent solar financing options, including state and federal tax credits which can take a huge chunk out of the system cost.
Protection From Utility Rates: Westchester residents, and New Yorkers in general, are faced with some of the highest utility rates in the country and these rates look set to rise further in coming years. A solar system protects you from these volatile utility rates.
Increased Property Value: If you own your solar system then you can also see the benefit of increased property value. Potential buyers are keen to purchase a property which comes with solar pre-installed.
Environmental Benefits: Our collective approach to climate change is more vital now than ever before, and a solar panel installation is a real, tangible way to reduce your own carbon footprint—and save some money too.
Cost of Solar Panels in Westchester, New York
The cost of solar has fallen massively over the past decade or so, thanks to increased availability of incentives & rebates for solar, as well as improved research & development for solar technologies. This has made solar equipment more affordable, allowing developers to pass savings on to consumers. This decrease in solar costs, coupled with the impending step down of the federal solar tax credit, makes 2020 an ideal time to go solar.
The numbers below, courtesy of EnergySage, give a quick overview of average Westchester solar costs, and the value of the 26% federal investment tax credit (ITC).
Average Solar Panel Cost in Westchester, NY: $3.01/W.
Average Gross Price of 5 kW Solar System in Westchester, NY: $15,050.
Average Cost of 5 kW Solar System in Westchester, NY after ITC: $11,137.
As you can see, this 26% federal ITC takes a huge chunk out of the gross system cost—and 2020 is the last year you can avail of this full 26% rate. You can learn more about the ITC from the Solar Energy Industries Association (SEIA).
Westchester Solar: Financial Incentives & Rebates
As noted above, the federal investment tax credit (ITC) is the biggest incentive available to potential solar consumers in 2020. The rate of 26% goes a long way to offsetting the cost of the system and making a solar panel installation financially viable for Westchester residents. As in highlighted in the example above, courtesy of EnergySage, the ITC can significantly lower the system cost. Unfortunately, next year the ITC will step down to 22%, a significant financial loss for potential solar customers who choose to wait. Delaying could cost you thousands of dollars.
Additionally, on a state level, New York State offers a 25% solar tax credit which is, of course, available to Westchester residents. This incentive, capped at a maximum of $5,000 is available for residential and multifamily homes. Applying both the 26% federal ITC and the New York State 25% tax credit, you can offset a staggering portion of the system cost. If we take our previous example of a 5 kW Westchester solar system, coming in at the average gross cost of $15,050, we can really see the savings in action:
Gross System Cost: $15,050.
System Cost after ITC applied: $11,137.
System Cost after ITC and NYS Tax Credit applied: $7374.50.
That’s over half the gross system cost covered by these two tax credits. These are really fantastic savings and this is all before we even take into account the savings on your utility bill each month—savings you’ll be seeing for the entire lifespan of your solar system.
Is it better to buy or lease a solar system?
In the long-term, if you want to maximize the financial benefits of going solar, then purchasing the solar system outright is the best option. A lease may seem like the better deal in the short-term, but owning your system offers the greatest savings and rewards over the lifetime of your solar system.
YSG customers have confirmed the benefits of owning your solar system.
Mr. Catalano, a YSG customer, says:
“I chose YSG because I wanted to own my system.”
Mr. Andreuzzi, a YSG customer, says:
“Own your system to save money.”
To go solar in Westchester, New York, contact YSG Solar today. YSG is an established solar developer, serving New York State for over ten years. Send us an email, or call at 212.389.9215 to get started.
YSG Solar is a project development vehicle responsible for commoditizing energy infrastructure projects. We work with long-term owners and operators to provide clean energy assets with stable, predictable cash flows. YSG's market focus is distributed generation and utility-scale projects located within North America.
By Shane Croghan