The sun shines generously over New Mexico, and in more ways than one. With a number of solar panel rebates and incentives in New Mexico like net metering, the Sustainable Building Tax Credit Program, and the federal tax credit, owning a solar system could be one of the brightest investments you can make for your home.
|Solar Savings Types||Value of Savings|
|Solar REC Purchase Programs||Varies depending on market value2|
|Sustainable Building Tax Credit Program||$6.50/Sqft up to 2000 sqft (max. $13,000 tax credit)3|
|Property Tax Exemption for Residential Solar Systems||Solar system property tax exemption 4|
|Federal Solar Tax Credit||26% of the final cost of the solar system6|
|New Solar Market Development Tax Credit||10% state income tax credit of total cost (max.$6,000 state tax reduction)7|
**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.
Net metering1 is one of the best state incentives available for solar system owners, allowing you to see direct savings on your energy bill from month to month.
It’s pretty simple: if your solar system produces more energy than you need, your utility will buy that surplus energy from you and pay you in the form of energy credits. That way, you can put those credits towards your electricity bill for times when you’ve needed to use energy from the grid. You can expect this to happen at nighttime or on particularly cloudy days. Basically, you can “save” your solar energy for when you need it most.
Customers of the Public Service Company of New Mexico (PNM) are eligible to apply for Renewable Energy Certificate, or RECs when they own a solar system.2
After enrolling in the REC program, the power your panels produce are assigned ‘Energy Credits’ that can be sold in an open market for cash. An energy credit is created for every megawatt hour of electricity produced by a renewable energy source like a home solar system. By buying the power your solar panels make, utilities like PNM are able to meet their renewable energy goals. Turning your power into extra cash in your wallet? Yes, please.
If you own a residential solar system, you can apply for New Mexico’s Sustainable Building Tax Credit Program.3 After certification from the U.S. Green Building Council, you could earn up to $6.50 per square foot of your home, capping at 2,000 square feet. That means you could get as much as $13,000 in tax credits when you buy a solar system. Not sure where to start? We can help with our BrightbuyTM solar plan.
As a homeowner, you know that property tax exemptions can be a pretty big deal. So you’ll be pleased to hear that New Mexico also employs a Property Tax Exemption for Residential Solar Systems.4 And when solar systems can increase the value of your home by $15,000 on average, you can bet that it’ll amount to even more savings.5 The added value to your home from your solar system won’t be taxed, while getting you more bang for your buck if you decide to move.
On top of New Mexico’s solar tax credits and SRECs, solar system owners are also eligible for the federal solar tax credit6 if you buy your own solar system outright.* The federal solar tax credit gives you a dollar-for-dollar reduction against your federal income tax. The 30% tax credit applies as long as the home solar system is installed by December 31, 2019. 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.
Sunrun can help you maximize on all the solar savings available to you.
Our BrightBuy™ and BrightAdvantage™ plans give you the chance to buy your own solar system outright or through a hassle-free loan. We’ll create a customized agreement based on your individual needs. You’ll also get a free, custom solar design that meets the unique needs of your home and lifestyle.
Whichever one you choose, we’ll help you take advantage of the New Mexico solar incentives that might be available to you like net metering and the federal solar tax credit. We’ll even handle the paperwork. All you have to do is sit back and soak up the savings. See why other customers have chosen to go solar with Sunrun. Want to see how much you could save? Get your free quote today.
4. Homeowners who purchase and install a solar energy system generally increase the value of their homes, but NM exempts any property tax increases that would normally occur from that installation. https://www.energysage.com/solar/why-go-solar/increased-property-values/