Solar Opportunities - New Jersey

Solar Offerings and Incentives

New Jersey homeowners who install solar are eligible for a variety of incentives.  In addition, residents who are interested in going solar without installing equipment on their own property may be able to find a solar electricity provider through the CleanPower Choice Program. 

Tax and Financing Incentives

Solar Sales Tax Exemption

New Jersey offers full exemption of sales tax on all solar energy equipment. In order to claim the exemption, the purchaser must fill out a Form ST-4 (Exempt Use Certificate) and submit it to the seller instead of paying sales tax. The form is available here. Also, more information and exceptions can be found here.

Property Tax Exemption for Renewable Energy Systems

Property owners can get exemptions for property taxes associated with their on-site solar systems.  Homeowners must apply for a certificate that reduces the assessed value of the property to what it would be without the renewable energy system. More details on eligibility and further information are available here.

Or obtain the application directly here. 

Solar Renewable Energy Certificates (SRECs)

If you install solar on your home, you will receive SRECs for the production of clean renewable energy from those panels. Those certificates can be sold to utilities who need them to meet New Jersey renewable portfolio standards. More information can be found here. 

Loan Options

The state of New Jersey and a number of  utilities offer financing options. These include PSE&G Loan Program and PACE Financing. They offer 15 year loans that cover up to 60% of costs of a solar project. For more information about these options please visit: http://www.pseg.com/home/save/solar/index.jsp and http://www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=NJ49F&re=0&ee=0.

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Federal Residential Renewable Energy Tax Credit

A federal-level investment tax credit (ITC) is now available to consumers wanting to purchase small wind turbines, solar panels, or geothermal heat pumps.  The ITC, written into law through the Emergency Economic Stabilization Act of 2008, is available for equipment installed from Oct. 3, 2008 through Dec. 31, 2016. The credit covers 30% of the equipment cost, though some technologies have a credit cap of $2000. More details and a complete list of eligible technologies can be found here.

Local programs

CleanPower Choice Program

This program allows customers to opt into purchasing electricity from a cleaner power source.

Eligibility: NJ Resident

For More information: http://www.njcleanenergy.com/cpc and http://www.pseg.com/home/customer_service/energy_choice/clean_power.jsp