Non-profit organizations are essential to our communities. They provide a wide range of services that make our lives better, from providing food and shelter to the homeless to educating our children. However, non-profits are often under-funded, and they can struggle to pay their bills. This is where solar benefits come in.
One way that non-profits can save money is by installing solar panels. Solar panels are a clean, renewable source of energy that can generate electricity on-site. This means that non-profits can reduce their reliance on the grid and lower their energy costs.
There are many benefits of solar for non-profits. Here are just a few:
- Reduced energy costs: Solar panels can help non-profits save money on their energy bills. In fact, the average non-profit can save up to 60% and sometimes more on their energy costs by installing solar panels.
- Increased sustainability: Increased sustainability: Solar panels are a clean, renewable source of energy. This means that non-profits can reduce their environmental impact by installing solar panels.
- Improved public image: Improved public image: Non-profits that install solar panels can improve their public image. This is because solar panels are seen as a symbol of sustainability and environmental responsibility.
- Increased fundraising potential: Non-profits that install solar panels can increase their fundraising potential. This is because donors are more likely to donate to organizations that are taking steps to be more sustainable.
BIG NEWS FOR 2023
The federal government’s investment tax credit (ITC) for solar has been expanded in three key ways:
- Nonprofit organizations with no federal tax liability can now apply for direct reimbursement equal to the value of the tax credit.
- Storage-only projects are now eligible for the ITC.
- The ITC now includes several “bonus credits,” which can significantly increase savings for projects serving low-income and underserved communities.
These important changes are outlined in further detail below.
Direct Pay Reimbursement
Nonprofit organizations with no federal tax liability can now apply for direct reimbursement from the federal government. This means that they can receive a check for 30% of the cost of their solar installation, even if they don’t have any federal tax liability. This can be a great way to save money on their solar installation and to make it more affordable.
Storage-only projects are now eligible for the ITC. This means that projects that only install energy storage systems, such as batteries, are now eligible for the tax credit. This is a major change, as it previously only applied to projects that installed both solar panels and energy storage systems.
The ITC now includes several “bonus credits,” which can significantly increase savings for projects serving low-income and underserved communities. These bonus credits are available for projects that are located in certain census tracts or that serve certain populations, such as low-income households or veterans.
These important changes to the ITC make it more attractive for a wider range of organizations to install solar panels. If you are a nonprofit organization or a developer of storage-only projects, or if you are considering installing solar panels in a low-income or underserved community, you should be aware of these changes and how they could benefit you.
If you are a non-profit organization, I encourage you to consider installing solar panels. Solar panels can help you save money, improve your sustainability, and improve your public image. Click here to learn more about federal solar incentives for businesses and non profits.