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Unveil Benefits of Solar
Systems in Virginia

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With an average of 205 sunny days, Virginia is one of the best states for solar installation in the Mid-Atlantic. To help Virginians prepare for a more sustainable future, the Commonwealth of Virginia offers incentives. These incentives encourage homeowners and businesses to embrace renewable energy sources like solar energy. Also, they make it easier to go solar by reducing the costs of going solar and speeding up the return on investment. 

Solar Energy in Virginia Continues to Grow

Many have already taken advantage of solar programs in Virginia. Virginia already has more than 4.8 gigawatts of solar installed across the state. It also has over a half million homes with solar rooftops. Both those factors make it one of the top states for solar across the nation. The popularity of solar there is thanks to dropping solar panel prices, as well as the state and federal incentive programs available in Virginia. These impact the commercial, industrial, and residential sectors in Virginia.

Virginia Solar Incentives for Homeowners

Virginia homeowners interested in installing solar panels are in luck because the state offers several solar incentives and rebates to help. These incentives help offset the upfront costs and lower the cost of switching to solar energy. These are among the most important incentives offered:
SREC in Virginia

Residential Property Tax Exemption for Solar

Solar panels increase the value of your house, just like any other home improvement project. There is a property tax exemption in Virginia to keep this increase in home value from raising your home taxes. For instance, if you install a $20,000 solar power system on a $350,000 home, your home value is taxed at $350,000. That’s rather than the $370,000 it’s worth after installing solar. If the property tax rate where you live is 0.75%, you’re not charged for the additional $150 on property taxes. Without the tax break, you would.

SREC in Virginia

Virginia Solar Renewable Energy Credits (SREC)

Virginia is one of the states where solar is incentivized with Solar Renewable Energy Credits (SRECs). You receive 1 SREC for every 1,000 kilowatt-hours that your solar panels produce. You can sell the SRECs to nearby utility companies and other businesses that must comply with renewable energy regulations regarding their greenhouse gas emissions. That’s in addition to the ongoing savings on electric bills and net metering benefits, helping you recoup your solar installation investment faster.

Virginia Net Metering

Virginia Net Metering

For residential solar systems with up to 25 kW of capacity, Virginia provides net metering. Your power bill is credited with any excess solar generation your system sends to the electric grid. If your excess generation exceeds your monthly consumption, it is credited to your electric bill in the next month and deducted from your next payment. In Virginia, Dominion Energy has the biggest net metering program. On the Dominion Energy website, you can apply to net meter if you’re thinking about installing solar on your house.

Federal Solar Tax Credit

One of the most compelling incentives to install solar panels is the Investment Tax Credit (ITC). This ongoing federal incentive. Home and business owners receive a tax credit for 30% of the total cost of their solar panel installation. It is also known as the Residential Clean Energy Credit. The homeowner can claim these savings in the tax year that follows the solar installation. However, if they can’t take advantage of the full credit the first year, the ITC applies to future tax bills until the full value is credited.

Solar Incentives for Businesses in Virginia

Virginia also provides several incentives and rebates for businesses seeking to install solar energy. These incentives encourage companies to invest in solar power, reduce their carbon footprint, and support the state’s clean energy objectives. The following are some of the more important business incentives:

01- Virginia SAVES Green Community Program

For local utilities, the Virginia Clean Economy Act established a renewable portfolio standard (RPS) with clean energy targets, under which they must purchase SRECs for generating power from polluting sources like fossil fuel. If they purchase SRECs from small-scale solar operators the associated kilowatt-hours for those SRECs count toward their clean energy targets. For instance, purchasing 100 SRECs counts as 100,000 kWh of solar energy (1,000 kWh of solar energy output for each SREC). After 2024 those SRECs must come from Virginia-based generators.

02- Virginia Clean Economy Act

The Virginia Commercial Property Assessed Clean Energy, or C-PACE, helps business owners invest in energy efficiency, water management systems, and renewable energy installations with low interest rates through a property tax assessment. The C-PACE financing is essentially a lien on the property. The initiative has Virginia Energy as a sponsor. Virginia is taking major steps toward a more sustainable future with solar energy incentives for its residents and commercial sectors. This allows homeowners and businesses to enjoy the advantages of clean, renewable energy at lower costs.

03- Commercial Property Assessed Clean Energy (C-PACE) Financing

The Virginia program known as Commercial Property Assessed Clean Energy, or C-PACE, helps business owners invest in energy efficiency, water management systems, and renewable energy installations with low interest rates through a property tax assessment. C-PACE financing is funded by a lien levy on the property. The initiative has Virginia Energy as a sponsor.

Solar SME Installation Services in Virginia

Virginia is taking major steps for a more sustainable future by supporting solar energy and providing incentives to both its residents and commercial sectors. Homeowners and businesses have many opportunities to invest in solar power and enjoy the advantages of clean, renewable energy at lower costs. If you are a homeowner or a business looking for an affordable solar installation in Virginia, Solar SME can help you. 

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Frequently Asked Questions

Yes! Solar panel installations in Virginia are growing quickly throughout the state, and the state is currently ranked ninth in the nation.

Overall, the best orientation for solar panels is south. In almost all cases, directing your panels south rather than any other direction will result in the most electricity bill savings and the quickest payback period.

Net metering is available in Virginia from Dominion Energy. Likewise, you may send power from your own solar system back to the grid, while they do provide solar power in other states.

You must register your system and register with a broker in order to sell your SRECs. Selling SRECs in the Virginia market does not need you to be a customer of Appalachian Power or Dominion Energy.

Solar SME is one of the best solar providers in Virginia. We specialize in providing reliable solar solutions tailored to your needs. Whether you’re interested in reducing energy costs or enhancing your home’s sustainability, our expert team ensure a seamless and efficient installation process.

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