With its commitment to 100% clean energy by 2045,1 the Aloha State’s solar future is bright. But that’s just the half of it. Thanks to several solar incentives, Hawaii helps households recover a portion of the cost of a home solar system. And when the islands’ electricity rates are the highest in the country,2 it’s all the more reason to go solar.
|Solar Savings Types||Value of Savings|
|Property Tax Exemptions||Property Tax Exemption on Added Home Value from Solar System 2|
|Federal Solar Tax Credit||26% of the final cost of the solar system 3|
**Customer’s ability to monetize rebates, incentives and tax credits depends on several factors, including, without limitation, continued state subsidization of these policies, the applicable Sunrun product type, and whether a customer purchases or leases a solar system from Sunrun.
Hawaii’s Renewable Energy Technologies Income Tax Credit3 can cover about $5,000 of your solar installation costs depending on the total cost of your system. While you can receive this amount as a tax credit, you can also choose to receive a slightly reduced amount as a tax refund.
Homeowners understand the value of property tax exemptions. So it’s good news that Hawaii is offering a tax exemption for residential solar systems.4 You’ll be exempt from property taxes associated with your new solar power system for 25 years. And since purchased solar systems may increase the value of your home by up to $15,000 on average,5 you’ll get even more bang for your buck if you decide to move.
In addition to Hawaii’s state solar incentives, you’ll be eligible for the federal solar tax credit if you buy your own home solar system outright. Currently, the federal solar tax credit gives you a dollar-for-dollar reduction against your federal income tax equal to 30% of the final cost of solar energy system you install on your home.6 That means if you purchase a 6-kilowatt system for $18,300, you’ll pay $12,810 after you receive your tax credit.
Starting in 2020, the value of the tax credit will step down to 26%, and then again to 22% in 2021. After 2021, the tax credit for residential solar ends. That’s why there’s no better time than now to control your own energy. Learn more about federal solar incentives.
While Hawaii is rich with sunshine, Sunrun Brightbox™ gives you access to solar power 24/7. Optimized to offset energy costs both day and night, Brightbox is a solar-powered home battery that stores and uses electricity as efficiently as possible. Thanks to Brightbox, you won’t lose out on a single ray of power from the sun. Learn more about solar-powered battery storage in Hawaii.
At Sunrun, we understand that everyone's financial situation is different. While buying a solar system outright will make you directly eligible for Hawaii’s solar tax credits and incentives, you also have the option to lease your system from as little as $0 down. Our flexible leasing options pass down solar incentives in the form of a low, predictable monthly payment. It also comes with our Sunrun Guarantee, which includes 24/7 monitoring, repairs and parts replacement.
Whether you want to own your system and your solar incentives or simplify them with a solar lease, we offer a range of flexible financing options, all of which help you claim your slice of Hawaiian sun.
Join over a quarter million American households who have gone solar with Sunrun. Whenever you’re ready, our solar advisors are here for you. To get started, get your free quote today.
*We recommend contacting a tax professional to accurately determine the impact of the federal solar tax credit and local tax credits on your federal and state taxes.