Massachusetts - Energy tax credit, rebates, grants, incentives
Massachusetts renewable and solar energy incentives
Massachusetts Residential renewable energy state income tax credit:
Massachusetts has a 15% tax credit that offsets the state incometax towards the cost of renewable systems including installation fees that cost up to $1,000.
The renewable systems that are applicable for this tax credit include: solar water, wind energy systems, solar photovoltaics and solar space heating.
Any tax credit that has gone unused may be forwarded for the next three years. In order to qualify for the tax credit, systems must meet all of the safety and performance standards.
Massachusetts Energy – Renewable energy certificate incentive
The company “Mass Energy” purchases renewable energy credits from both small wind energy and photovoltaic systems. They then go on to sell the REC’s along with hydro and biomass REC’s. These items are then resold as New England Greenstart products. By selling their renewable energy certificates, customers are able to support and participate in clean renewable energy projects even if they don’t have their own solar or wind systems. The ECANE – Energy Consumers Alliance of New England, buy REC’s from Mass at the rate of $30/MWH for 3 years.
Renewable energy property tax exemption
Any residential solar wind or energy devices that are used to heat/cool a building, provide heat or create electricity are 100% exempt from receiving property taxes. Applicable systems for this tax exemption include: solar water heat, hydroelectric, solar thermal electric wind and photovoltaics.
Renewable energy equipment sales tax exemption
All geothermal, solar energy and wind equipment are exempt form 100% of state sales taxes in Massachusetts.
Commonwealth solar rebates – Massachusetts Technology Collaborative
MTC is a state program that provides rebates and incentives for customers that install photovoltaic’s that are grid-tide to Massachusetts ultility companies. The base incentive amount comes to $1/watt. The amount of incentive fluctuates based on the value of the customers home and the size of their PV system. In order to qualify, PV systems must have at least a five year warranty and must be meet all standards in regards to safety, performance and installation requirements.
Utility-sponsored loan and solar rebate programs
In general, loan & rebate programs are readily accessible for customers that use solar water heat or solar photovoltaic systems. Additionally, loans for energy efficiency improvements are readily accessible. Loans of this nature tend to be 0% interest/low interest rates in order to aid with the installment or purchase of a solar or other energy efficient technology. The size of the rebate is determined by the per-watt AC basis and the magnitude of the applicable sector.
Residential renewable energy tax credit
This is a personal tax credit plan that allows a taxpaying resident of Massachusetts to claim a credit of 30% in association with expenditures that may include: labor & installment costs of fuel cells, solar water heating and solar-electrical systems. Additionally, geothermal heat pumps and small wind-energy systems can qualify for this plan. Solar water heaters and solar-electric systems are able to receive a maximum incentive of $2,000 if they were installed before 2009. If they were installed before 2008, there is no max incentive.
Residential energy conservation subsidy exclusion
A Massachusetts tax paying resident is exempt from paying 100% of energy conservation subsidies that have been provided by public utilities. A purchase/installment of any energy conservation measure by a tax paying resident will not be valued in the customer’s gross income.
Homeowners are able to use the federal loan program: EEM (energy-efficient mortgages) for the use of financing residential renewable energy and technology systems.