Can I Get A Tax Incentive For Solar Power In Arkansas?

Can I Get A Tax Incentive For Solar Power In Arkansas?

Solar power usage has increased across the country in recent years. According to the Solar Energy Industries Association, Arkansas ranked 30th in the country in 2021 for solar usage. One of the main determining factors for homeowners and business owners to consider is the cost of installing solar. While the cost has decreased overall in the past decade or so, it can still cost homeowners upwards of $15,000 or more to install solar panels in Arkansas.

However, tax credits and other incentives are available to help offset this cost, and we are here to help you understand these incentives.

1. Federal Tax Credit For New Solar Panel System Installations

The state of Arkansas doesn’t offer a tax credit or incentive for installing a new solar panel system. However, consumers can take advantage of the federal Investment Tax Credit of 26%, which is available to homeowners, commercial customers, and utility investors. It’s important to note that the 26% tax incentive is only valid through December 31, 2022 and it will decrease to 22% on January 1, 2023. After 2023, the incentive is scheduled to expire unless Congress renews it. So even though Arkansas does not offer any state-level tax incentives, the federal incentive is still significant enough to help consumers offset some of the cost of installing solar.

2. Understanding Arkansas Net Metering

One state-level benefit you can take advantage of in Arkansas is net metering. This means no matter which utility company you use, you can receive a full retail electricity credit when your solar panels produce more electricity than you need. The utility provider will monitor these numbers to ensure you receive credit for any surplus electricity generated. The credit you receive will vary from month to month, but the savings can add up over time.

3. Take Advantage Of Solar Cost Savings

Think about the example above in which you could save 26% on the cost of solar installation. Now think about the future cost savings on your energy bill, which can equate to anywhere from $400 per year to a couple of thousand dollars per year, depending on the size of your home or business and how you use energy. It’s reasonable to think the average consumer will recover the entire cost of the solar system in 10-15 years. When financing your project, you will often see savings starting month 1.

So if you plan on living in your current home for the next couple of decades, then a solar system is an investment worth pursuing. But even if you sell your home before you recoup your investment, homebuyers are attracted to solar systems and your property value could increase as a result.

Seal Solar wants to help you save as much money as possible on solar panels in Arkansas. The federal tax incentive for 2022 and favorable net metering laws makes it worth not putting off installing a solar system any longer. Investing in solar power will pay for itself over time regardless of these credits and incentives, but who wouldn’t enjoy some extra money back in their pockets? We will help you sort through all of your options and develop a customized quote for your property.

Don’t hesitate to contact us to get the process started and be on your way to reducing your energy bills and contributing to the environment in a positive way.

Is it Expensive to Install Solar Power in Arkansas?

Is it Expensive to Install Solar Power in Arkansas?

As traditional energy costs continue rising across the country, many homeowners are pursuing other options to help lower their energy bills. Going solar is a popular choice, but the question property owners often have: “Is it worth it?”

There’s no doubt installing solar panels in Arkansas can create some level of sticker shock to consumers when they see the upfront cost. But there are more factors to consider than just the initial cost, including the long-term savings, tax breaks, and much more. We’ve broken down the facts so you can understand the true cost of solar power in Arkansas.

1. Average Solar Panel Installation Cost In Arkansas

The cost of installing solar panels in Arkansas depends on many factors, including the size of your property, how much energy you use, and more. However, just to provide numbers, you can expect to pay around $15,000-$50,000 for a solar array in Arkansas. These initial numbers can deter people from even considering solar panels, but let’s take a closer look at what’s involved in the cost and how solar can be more affordable upfront, and how soon you can recover your entire investment.

2. Break Down The Cost Into Multiple Factors

The solar panels themselves typically account for about 25% of the cost. The largest percentage of the cost involves permits, monitoring, connection fees, and other operational costs. The cost of the solar panels themselves depends largely on how many panels you need which is determined by the sunlight exposure they’ll receive on your roof. The property’s orientation, roof type, and shade cover also factor into the cost, so you’ll need to have a complete evaluation to fully determine the price of installing solar panels.

3. Will Your Investment Be Recovered?

If you’re pursuing solar power in Arkansas, you’ve likely heard going solar will pay for itself over time. But how long will it really take to recover the large investment? The cost of solar panels has declined over the years even as utility bills have risen. So when you install solar panels in Arkansas, you immediately enjoy a reduction in your energy bill. Depending on how much energy you use, how large your property is, what your current electricity cost is, and other factors, you could recover your solar system investment in as little as five years. If your property is in an ideal location for solar power, you might be able to recover the investment quicker.

4. Take Advantage Of Any Incentives Available

Another major factor to consider when budgeting for solar power in Arkansas is the incentives offered. You can enjoy a federal tax credit of 26% if you install solar panels in 2022. This credit applies to both homes and businesses. So for a solar system that initially costs $20,000, the tax incentive would reduce the price to around $15,000. 

If the upfront cost after all tax breaks and incentives are still a little high for your budget, you can also apply for financing. By financing the array, you can pay for your system in monthly payments. There are plenty of ways to make solar arrays in Arkansas more affordable.

5. Enjoy The Long-Term Benefits Of Going Solar

When it comes to installing solar panels on your home or business, remember it takes time to get a full return on your investment. By reducing your monthly energy bills, the savings will add up quickly and you will lock in your utility bills for the next 20+ years in a rising utility rate environment. 

Seal Solar provides free online estimates so you can learn solar panels will cost. We also inform you of all incentives available to help you save as much money as possible. 

Are you ready to own a residential solar array? Learn more about solar and how it works by viewing our Solar Power 101 series!

Get your free estimate today and make the switch!

How to Prevent Arkansas Power Outages with Solar Power

How to Prevent Arkansas Power Outages with Solar Power

Arkansas can experience tornados, hailstorms, heavy rain, and flooding in any given year. It’s no wonder Arkansas was the #4 state with the most power outages in the past year. Power outages can end almost as soon as they begin, but some can last much longer.

Did you know that adding solar power and batteries is the best way to prevent power outages?

Solar batteries recharge through the day to keep your home running, even if an extended outage occurs. In Arkansas, extended outages are not uncommon.

In the following article, we share how you can best prevent power outages with solar panels and battery storage if you’re an Arkansas homeowner.


What Is a Solar Array

Solar power is produced when energy from the sun is converted into electricity. There are many benefits to installing a residential solar panel system, including:

  • Save on utility bills
  • Enjoy tax rebates and incentives
  • Reliable energy source
  • Increase home value
  • Low maintenance costs
  • Easy installation
  • Less impact to the environment than traditional fossil fuel

Many Arkansans have recently chosen to add batteries to their solar arrays to optimize solar power. A solar battery lets you store the excess electricity your panels create to use later, usually when the sun is down or during a storm or power outage.


Types of Solar Arrays

It’s essential to understand the main types of solar systems, as they all perform slightly differently. There are three main types of solar power systems: grid-tied, hybrid, and off-grid systems.

  1. Grid-Tied Systems

Grid-tied systems are the most popular solar array type. This system is connected to the electrical power grid. The system relies on this grid to produce usable solar energy when the solar panels aren’t producing enough energy to power the home. These arrays can be installed on your roof or on the ground.

  1. Hybrid Systems

A hybrid system is a solar power system that uses solar energy and battery storage to supply power to your home. The stored energy in the battery allows this system to work as a backup supply, giving energy for the home to use when the sun is down or during a power outage.

  1. Off-Grid Systems

As the name suggests, off-grid systems require no connection to the grid. The home runs entirely off of energy generated by the solar panels and is stored on-site with batteries. This high-quality solar system provides reliable power without any compromise to your lifestyle.


How Do Solar Batteries Work? 

Solar batteries store energy for later use.

During the day, sunlight is collected by the solar panels and converted into useable energy. This energy can then be used to power appliances in your home directly or stored in a solar battery to use after the sun goes down.

When you install a battery with your solar array, you’ll have the ability to take energy from your solar panels, the grid, or your battery when it’s charged. Even though you’re still connected to the grid, you can go temporarily “off-grid.” In the event of a power outage, you’ll still be able to power your home.

Ability to power your home when the grid is down is a significant reason people choose to purchase a battery-powered solar system.


How to Use Solar Panels During a Power Outage

During a blackout, solar panels cannot serve as backup power – they are automatically shut off to protect utility line workers working to restore power. However, if you have a battery, you can still safely power your home.

There are two main ways you can still have electricity during a power outage with solar energy:

  1. Off-grid solar arrays
  2. Battery-backed solar arrays

Let’s look at how each operates when the lights go out.

  1. Off-Grid Solar Systems

During a power outage, off-grid solar arrays will continue to supply power to your home. They consist of a roof or ground-mounted solar array, a battery bank to store energy, an integrated backup generator, and an inverter.

Off-grid systems give you complete energy independence, meaning you can continue to use full power when the grid goes down.

An off-grid system may be worthwhile if you live in a remote area in Arkansas or experience  frequent power outages.

  1. Battery-Backed Solar Arrays

You can still have a grid-tied system and have backup power during an outage if you install a solar battery.

A solar array backed up with a battery such as a Tesla Powerwall is another way to power your appliances during power outages. Your home will have power throughout the day and night while storing up electricity using your solar array during the day when the sun is out. The battery operates without upkeep, fuel, or noise.

The batteries charge with the excess electricity generated by the solar panels. The excess energy is sent to the battery bank rather than back to the grid. It The energy is stored until you need it.

Solar and battery storage are the number one way to prevent power outages in Arkansas from negatively impacting your family, especially for those living in severe weather-affected areas.


Is a Power Backup System Right for You? 

residential solar battery can help you collect, store, and redistribute the excess energy produced by your solar panels. Batteries are an excellent source of backup power as they increase your energy independence.

The benefits of a solar battery include: 

  • Self-powered home
  • Eliminates outages
  • Enhances savings
  • Increases property value

Seal Solar is a proud certified installer of the Telsa Powerwall, the most popular solar battery on the market, to help you reduce your reliance on the grid.


Want to Prevent Power Outages? Switch to Solar Panels with battery storage in Arkansas

Are you tired of losing power during severe weather?

The good news is that you can prevent Arkansas power outages with solar power and batteries. Solar panels in Arkansas will help you lower your home’s energy bills while decreasing your carbon footprint and batteries allow you to power your home even when the grid goes down.

With tax incentives and financing options, producing, and installing solar panels and batteries is more affordable than ever.

At Seal Solar, we are the solar and battery experts. We want to help  keep your family safe and comfortable in case of a power outage.

Are you ready to own a residential solar system? Learn more about solar and how it works by viewing our Solar Power 101 series!

Get your free estimate today and make the switch!


Solar Power in Arkansas eBook

All You Need To Know!

Renewable energy can make sense on the surface, but there’s also a lot of facts to digest to ensure you make the right decision. Some of the information in our eBook includes:


  • How solar power works
  • What solar panels in Arkansas cost
  • Understanding the categories of solar arrays
  • Benefits of switching to solar power
  • And much more