If you've been holding off on going solar, now is the time to act — and fast. Solar energy experts warn that new legislation in Congress could cut key money-saving clean energy incentives that have made solar more affordable for millions of Americans.
What's happening?
In a recent EnergySage article, Charlie Hadlow, president and COO of the solar energy company, cautioned that residential solar tax credits are "under attack on Capitol Hill."
Hadlow wrote that these clean energy incentives, which put "thousands of dollars back in average homeowners' pockets," are at risk of ending due to a budget bill moving through Congress.
As Hadlow explained, the bill proposes ending clean energy tax credits and incentives nearly a decade earlier than planned. Instead of clean energy incentives continuing through 2034 as originally legislated in the 2022 Inflation Reduction Act, the 30% tax credit on solar panels could effectively "disappear" at the end of 2025.
"The residential solar tax credit has democratized solar and accelerated the American transition to energy independence," Hadlow said in a statement to The Cool Down, echoing the thoughts in his recent article. "Yet the current House bill threatens to terminate this pivotal program without providing time for the industry to adapt. That would deal a huge blow to millions of homeowners looking to lower their electric bills and increase their energy security — both in red and blue states. The fight to preserve the residential solar tax credit is far from over, but I want to be crystal clear: I'm telling my friends and family that if they've ever wanted to go solar, they should take action now."
In the article, Hadlow explained that the average American could lose out on $9,000 in savings if they don't install solar before tax credits end.
Hadlow added that to qualify for the credit, your solar system must be fully installed and operational by December 31, 2025. With those interested in solar rushing to meet this possible deadline for incentives, he cautioned that equipment availability could tighten and installers could book up months in advance.
Why is going solar so important?
Going solar is a smart move if you're looking to lower your energy bills and do something good for the planet. Solar energy is clean, renewable, and helps you rely less on the grid, which still runs mostly on dirty fuels like gas and coal.
Recent data shows that about 79% of the country's power still comes from these dirty fuel sources, pumping carbon and other pollutants into the air. Choosing solar instead helps lower rising global temperatures, keeps the air cleaner, and protects the environment.
Though installing a system requires an upfront investment, solar can save you a lot of money on energy costs in the long run. EnergySage reports that solar panels can save the average homeowner anywhere from $28,000 to $120,000 over 25 years. If you don't stay in your home that long, solar panels can increase your home's resale value — and attract more buyers.
What's being done to save solar incentives?
In the article, Hadlow said that EnergySage is currently working with industry partners on an "aggressive advocacy campaign" to help save these incentives and tax credits.
Several senators have voiced their support for solar incentives, including a supportive op-ed by Utah Republican Sen. John Curtis. A recent letter from 13 House Republicans, who helped pass the bill through the House, called Senate leaders to "substantially and strategically" improve clean energy tax credit provisions in the bill.
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On an individual level, you can advocate for clean energy incentives by contacting your congressional representatives to voice your support for clean energy legislation.
"This isn't just about solar panels or tax credits," Hadlow wrote in the article. "It's about energy independence for American families, supporting small businesses, building a more resilient grid, and, yes, fighting climate change. This is about people, not politics."
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The cost 💰 If you want to claim solar incentives before they disappear, EnergySage makes it easy.
The company's free tools offer quick estimates and compare quotes from top installers. EnergySage also offers a helpful mapping tool that shows the average cost of a home solar panel system on a state-by-state level. The tool also outlines available solar panel incentives for each state. Together, these tools can help you get the best price for rooftop solar panels and snag all of the incentives that could be available to you
By helping you navigate incentives and the complex world of solar installation, EnergySage's no-cost service can help homeowners tap into an average of up to $10,000 in savings, making solar more affordable than you might think.
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