Here in the south, we've been cooking due to the heat, and with the extreme temperatures, we’ll see rising energy bills. Solar panels are a great way to offset energy costs, reduce the environmental impact of your home, and provide a host of other benefits! Looking to install panels on your home? Here are the top four benefits as I see them: 1. Reduce or eliminate energy bills. This one is pretty amazing. We live in San Antonio Texas, which has an above average amount of sun, but it’s enough to power our home of four kids and two adults at net zero energy consumption? On warm spring days, we generate a lot more than we consume, and then we trade that with the utility. On hot summer days, when we run the air conditioning, or on cloudy days, we draw from the grid. Even if you live somewhere cloudy, such locations typically receive more than two hours of sunlight per day, while sunny locations receive an average of 5.5 hours of sunlight per day. Although sunny days will produce more solar energy, solar panels will continue to draw energy even when the weather is cloudy. Indirect, or diffused, sunlight will still help to power your home. Cloudy days usually produce around 10 to 20 percent of the power generated on sunny days. 2. Earn tax credits and rebates. I didn’t realize how big of a benefit this one would be, but our solar panels are actually paying us. To start, you will get 26 percent of total system costs back from equipment and installation as a federal income tax credit when you file your taxes. This means you would save $7,500 on a solar system worth $25,000. They say that everything is bigger in Texas, and the benefits of solar are no exception. With some of the strongest sunshine in the country and lower-than-average solar costs, it’s no wonder that the Solar Energy Industries Association ranks Texas as a top 10 state for solar. Going solar is easier than ever thanks to some major solar incentives and rebates. Homeowners in cities across Texas have access to significant rebate programs and special policies that can help them save thousands on the cost of installing a solar energy system on their roofs. These are just a few of them: Texas solar rebate programs While Texas doesn’t have a statewide solar tax credit or solar rebate program, many utilities (large and small) and local governments offer incentives to homeowners who want to go solar. Here are some examples: Austin Energy : If you live in Austin, you can get a rebate of $2,500. Plus, you’re eligible for Austin Energy’s Value of Solar Tariff, which pays you $0.097 for every kilowatt-hour (kWh) your solar panels can generate. CPS Energy : If you’re a CPS Energy customer, you can receive up to $1.20/W of solar panels that you install on your roof. Like Austin Energy, the value of the incentive drops as more solar is installed, so now’s the time to go solar if you are in the CPS Energy service area. Guadalupe Valley Electric Cooperative , and the City of Sunset Valley all also offer rebates for homeowners in their areas. Renewable energy systems property tax exemption Beyond saving you money on your electricity bills, solar has another financial benefit – it can increase the value of your home. While higher home values typically bring higher property taxes, Texas has a renewable energy property tax exemption so that residents of the Lone Star State don’t pay extra taxes as a result of the value that their solar panels add. 3. Start saving from day one. Annual energy costs can be in the thousands. In fact, the average annual energy expenditure per person is $3,052, including transportation and residential energy. Solar power can reduce or eliminate these costs as soon as they are installed. They also offer long-term savings, because it’s basically free to capture the power of the sun. Texas net metering Although Texas doesn’t have a statewide net metering policy, many utilities in the state (including El Paso Electric , the City of Brenham , CPS Energy , and Green Mountain Energy ) have policies that credit owners of solar energy systems for the electricity that their panels produce. If your utility has a net metering policy, you receive credits on your electric bill for all of the extra electricity your solar panels produce. When your panels aren’t producing enough electricity to meet your use (like at night or if it’s cloudy outside), you can draw on those Texas net metering credits instead of buying electricity from the utility. Solar rights law If you live in a neighborhood governed by a homeowners’ association (HOA), also known as a property owners’ association, you might be worried that HOA regulations will keep you from being able to go solar. Luckily, Texas has a solar rights law that prevents HOAs from banning solar energy systems on their properties, so you can go solar with confidence. The federal solar tax credit Don’t forget about federal solar incentives! With the Investment Tax Credit (ITC) , you can reduce the cost of your PV solar energy system by 26 percent. Keep in mind that the ITC applies only to those who buy their PV system outright (either with a cash purchase or solar loan), and that you must have enough income for the tax credit be meaningful. Solar panels significantly improve your resale value. Most home buyers understand what a home with solar panels means—especially because the system is already in place and they didn’t have to make the initial investment and installation. According to research, most homeowners see a $5,911 resale value increase per installed kilowatt. That means if you install a 3.1 kilowatt system, you could improve your home’s resale value by nearly $18,000. Solar panels also extend the life of a roof, because they protect from the elements, such as rain, snow and debris. They make the house more energy-efficient in the summer because the hot sun is not beating down on the roof directly—it is instead being absorbed by the panels, keeping the house temperature lower. 4. Help the environment and help us all. Solar power systems derive clean, pure energy from the sun. Installing solar panels on your home helps combat greenhouse gas emissions and reduces our collective dependence on fossil fuel. Traditional electricity is sourced from fossil fuels such as coal and natural gas. When fossil fuels are burned to produce electricity, they emit harmful gases that are the primary cause of air pollution and global climate change. Not only are fossil fuels bad for the environment, but they are also a finite resource. Because of this, the price is constantly fluctuating and can increase in a short period of time. Renewable energy also improves public health. Coal and natural gas plants produce air and water pollution that is harmful to human health. But replacing fossil fuels with renewable energy sources, such as solar power, can reduce premature mortality as well as overall health care costs. Although fossil fuel production requires significant water resources and causes water pollution, solar energy requires little to no water to operate. So, not only does solar power not pollute water resources, it also doesn’t put a strain on the world’s water supply. Solar power also works during a drought or heat wave. Coal, natural gas and nuclear power use large amounts of water for cooling. During heat waves or severe droughts, as we’ve experienced in recent years, electricity generation is at risk. But solar power systems do not require water to generate electricity. In addition, solar power creates jobs in clean energy. The U.S. has been leading the world in clean energy. Hopefully this trend will continue, in the face of government budget cuts to EPA and DOE, as innovative and forward-thinking companies continue to embrace the changing landscape of energy production and move to renewables. Find out how affordable solar is for your home by getting a quote today!