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How to Pay for Solar

Going solar may be more affordable than you think. The cost of solar panels has dropped significantly over the last decade. Here are financial resources that make it easier on your wallet: 

  •  Energy Trust incentives: We offer cash incentives for solar and solar + storage that reduce your out-of-pocket costs. Income-qualified households can receive increased cash incentives.* 
  •  Tax credits: A 30% federal tax credit is currently available for solar and battery storage. You file for the credit as part of your tax return, so you need to have enough taxable income to qualify for the credit. Consult with a tax professional to see if you qualify.* 
  •  Solar financing: If you have the savings available, paying for your solar installation with cash will typically provide the highest return on investment and the quickest payback. A solar contractor can provide a proposal with specific figures. Many homeowners use a loan to pay for their solar system. The loan could come from your existing bank or a financial institution that offers solar-specific loans. Some lenders will allow you to pay down your loan principal when you receive your tax credit (but you must have enough taxable income to qualify for the credit). With a loan, you benefit from significantly reduced utility costs and own the system outright at the end of the loan term.
  • Leases and power purchase agreements: With a lease or power purchase agreement (PPA), a customer pays little or nothing upfront and the system is installed, owned and maintained by a service provider. The customer makes lease payments or purchases the electricity produced by the system on a monthly basis. While these options are uncommon for installing residential solar systems in Oregon, some solar trade allies may offer them.  

We recommend exploring multiple financing options to find the solution that best fits your needs and budget. See Beware of Solar Scams [link to new page] for information on financial scams.  

*Before moving forward with any project, it’s important to review the eligibility requirements for both the federal tax credits and Energy Trust incentives. Energy Trust does not give tax advice. Consult your tax professional for current information on credits available and how to apply. 

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Need Help? Contact Us. 

We’re here to explain the process and benefits. Call us at 1.877.777.4018 or send us an email at solar@energytrust.org.