Home > Solar > Georgia Solar Incentives: Tax Credits & Rebates Guide (2023)

Georgia Solar Incentives: Tax Credits & Rebates Guide (2023)

Updated Jan 10, 2023

Updated Jan 10, 2023

Home > Solar > Georgia Solar Incentives: Tax Credits & Rebates Guide (2023)

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Solar energy is gaining considerable traction in residential and commercial settings. Solar is more affordable than ever, with incentives and rebates available for homeowners who make the switch. Read here to learn why solar might be a good choice for your home and to see what tax incentives and rebates you could be eligible to receive as a result.

Georgia isn’t as solar-friendly as other states, but this doesn’t mean installing solar here isn’t a good idea. There are a few rebates and incentives available to homeowners switching to solar; in the long run, solar systems are often well worth it.

Why Go Solar in Georgia?

Compared to other states, Georgia falls behind in incentivizing the switch to solar. This is likely because Georgia is a proponent of natural gas, using it as its primary energy source. However, switching to solar in Georgia can still be a good idea.

Georgia receives 218 sunny days per year, higher than the U.S. average of 205 years. With a large enough system, homeowners could potentially offset their electric bills (or even eliminate them). Although the upfront cost is steep, homeowners that make the switch could reap the benefits of solar for many years.

Incorporating solar into your home is an excellent way to prioritize green energy and reduce your carbon footprint with the bonus of reducing or eliminating electric costs.

In some cases, you might even earn credits through a net metering program to pay for future utility bills.

Georgia Solar Cost

Georgia homeowners choosing to incorporate solar may enjoy lower per-watt costs than most of the country. According to the Solar Energy Industries Association, the national per-watt price for solar sits at about $2.94. In Georgia, the per-watt cost averages about $2.55 per watt.

Although the per-watt cost is lower, most solar energy systems in Georgia cost more, as a larger system is necessary to harness enough energy. A typical Georgia home requires an 11-kilowatt system or larger, so the average cost of going solar is about $28,050.

With the Federal Solar Tax Credit, homeowners can receive a sizeable chunk back in their tax returns, but the upfront cost can be steep.

How Much Can You Save on Solar in Georgia?

Despite the lack of solar incentives local to Georgia, homeowners can still save thousands of dollars on solar. By utilizing the Federal Solar Tax Credit, homeowners can get 26% off the total cost.

While there aren’t many incentives available from Georgia, some homeowners may be able to take advantage of some local incentives. One such program is offered through Jackson EMC, which covers North-East Atlanta. In the long run, switching to solar could save you thousands or more on electric bills, providing you install an adequately-sized photovoltaic system.

The Best Solar Incentives, Tax Credits, and Rebates in Georgia

IncentiveSummaryEnd Date
Federal Solar Tax Credit (ITC)Using the ITC, homeowners can receive 30% of the total solar energy system purchase price back on their tax returns.December 31st, 2032
Jackson EMC Solar Power Rebate ProgramEligible homeowners can receive $250 per kilowatt installed on their homes, capped at $2,500.None
Net MeteringNet metering lets homeowners use the excess energy they produce as credit for future energy bills. Georgia does not provide any net metering.N/A
Georgia Property Tax IncentiveGeorgia does not have a property tax incentive, unlike other states.N/A

Additional solar incentives might be available through specific municipalities and utility companies, although these hinge on your location and electricity provider. Once you find a viable incentive, be sure to do your research. Many incentives require the homeowner to follow specific steps to receive the rebate, so follow the application instructions, permitting, documentation, etc., to a T.

Federal Solar Investment Tax Credit (ITC)

As of 2022, the Federal Solar Investment Tax Credit is available to all 50 states, including Georgia. The credit currently sits at 30%, accounting for a sizeable portion of the purchase price. The ITC returns 30% of the system cost via your tax return after you file.

So, although Georgians have to pay the steep upfront cost, they can get a considerable chunk of this money back they receive their tax returns. Some exceptions exist to the ITC, such as solar leases and power purchase agreements (PPAs). Solar leases and PPAs are exempt from redeeming the ITC.

With the passage of the Inflation Reduction Act in August of this year, the ITC was extended through the end of 2032. This takes some pressure off current homeowners who may be contemplating a switch.

Georgia Solar Sales Tax Exemption

Although multiple states offer a sales tax exemption as an additional enticement to go solar, Georgia provides nothing. Sales tax can account for a sizeable portion of your final cost, so being exempt is handy.

However, Georgia homeowners should budget for more money to devote toward sales tax. As of 2022, sales tax in Georgia is 4%. Based on the average cost of solar in the state ($28,050), homeowners should expect to pay around $1,100 in sales tax.

Georgia Solar Property Tax Exemption

Like sales tax exemptions, many states offer solar property tax exemptions. Generally, any home improvement increases the value of your home, therefore increasing property taxes. Unfortunately, Georgia doesn’t provide solar property tax exemption.

So, Georgia homeowners will have an increase in their home’s value and higher property taxes after installing a solar energy system.

Georgia Net Metering

As of 2022, no Georgia utility company offers net metering. Net metering is a policy that offers customers a way to lower their energy costs or completely offset their electric bills by providing extra electricity to the grid.

When your solar energy system produces more energy than your home uses, the excess energy is sent straight to the power grid. You accrue energy credits on your account from the energy you give to the grid. You can use these credits in scenarios where your solar energy system underproduces, like at night or on cloudy days.

Unfortunately, the Georgia Public Service Commission doesn’t mandate net metering policies, so it likely will not be available through your electric company.

Until 2021, Georgia Power offered a solar buyback program, but funds were capped in 2021. However, the company shut the program down. The program could open up again, but there aren’t any guarantees. You can easily check with your utility company for their policies regarding net metering for home solar systems.

Jackson EMC Solar Power Rebate Program

Jackson EMC is one of Georgia’s few utility companies to offer a solar rebate program. Customers of Jackson EMC can take advantage of this program, which provides a $250 rebate for each kilowatt installed on your home.

However, it’s important to note that your eligibility hinges on passing inspections and obtaining proper permitting. So, your solar company must handle the inverter and solar panel installation the right way for you to cash in on this rebate. Jackson EMC caps the rebate at $2,500, so rooftop solar systems larger than this won’t receive extra rebates.

For example, the average 11-kilowatt system would rack up more of a rebate, but since the company caps it at $2,500, that is all the customer would receive.

Commercial Georgia Solar Incentives

Business owners considering solar don’t fare much better than residential customers in Georgia. Save for the ITC and the USDA REAP grant, both offered at the federal level, there aren’t any solar tax incentives available to commercial customers.

However, these two incentives from the federal government can account for a sizeable portion of the system cost. Considering the size of many commercial solar installations, the ITC can significantly offset the price of a new clean energy system

Solar Incentives for Nonprofits and Businesses in Georgia

Unfortunately, there aren’t any solar incentives specific to nonprofits and businesses in Georgia. That said, several programs at a federal level offer savings plans for companies and nonprofit organizations throughout the country, so it’s worth looking into.

USDA REAP Grant

Agricultural producers and small businesses throughout the United States can take advantage of the Department of Agriculture’s Rural Energy for America Program (REAP). This program helps switch to renewable energy, such as a solar power system.

Applying for grants and loans can be overwhelming so that this program can benefit agricultural producers and small businesses. Instead of stressing over applications, interested, qualified parties simply send their contact information to the USDA.

Upon receiving the information and solar project plan, the USDA applies to all the available grants on behalf of the agricultural producer or small business. So, not only does the USDA assist with loan financing, but they’ll also help small businesses and agricultural producers find and negotiate funding.

Federal Solar Tax Credit for Businesses in Georgia

Aside from the USDA REAP grant program, businesses can take advantage of the Federal Solar Tax Credit. The percentage is set at 30%, just as the residential tax credit is.

The process works similarly to how it does for residential customers – businesses simply receive a tax credit toward the cost of the new solar panel system. Considering the larger solar energy system sizes necessary for most companies, the ITC can easily account for tens of thousands of dollars in savings.

This tax credit was extended through 2032, along with its residential solar counterpart.

Final Thoughts: The Best Georgia Solar Incentives

Although Georgia falls short regarding special solar incentives, solar energy is still a solid choice for homeowners and businesses. The upfront cost may be steep, especially since rebates are few and far between, but the Federal Solar Tax Credit can help offset expenses later down the road. Plus, you can substantially reduce your energy costs or eliminate them with solar power.

As time moves on, solar is becoming more affordable. Today, solar power is cheaper than other forms of electricity, and as the solar industry continues to make it more available, it will likely become more affordable. However, with the Federal Solar Tax Credit disappearing in the next few years, now is the time to pursue solar.

If you’re considering solar for your home or business, now is the time to invest in renewable energy and sustainability, as the ITC is set to expire in 2024. While solar will still be available after the fact, the cost may create a barrier to entry for many homeowners and business owners.

Georgia Solar FAQ

Is solar worth it in Georgia?

Yes, switching to solar is a worthwhile investment in Georgia. Although the state lacks substantial rebates and incentive programs, the Federal Solar Tax Credit can offset a considerable portion of the cost. On top of that, you might be able to majorly lower or eliminate your energy bills with an adequately sized system.

However, you will have to pay added property and sales taxes on the system, so these are aspects to consider.

How much will my electricity bill go down with solar in Georgia?

The amount you save on your electric bill depends on how much electricity you currently use and the size of your solar array. In some cases, homeowners can eliminate their energy bills, but this is highly dependent on the mentioned factors like the amount of sun, home energy use, system size, available net metering programs, etc.

How much does it cost for solar panels in Georgia?

On average, solar energy systems in Georgia cost about $2.55 per watt. Most Georgia homes require a system that is at least 11 kilowatts to accommodate energy needs, so the average system costs about $28,050 before any credits or rebates.

Of course, pricing may vary based on several factors, such as the size of your home, the company you go through, and the extra equipment (like solar batteries) you choose. Your final total may be higher or lower than the state average, depending on your home or business.

Can you get solar panels for free in Georgia?

No, you can’t get solar panels for free in Georgia. Some companies use a marketing gimmick that makes it seem like the panels are free– these are usually power purchase agreements (PPAs) or solar leases. When you lease a solar energy system, you cannot receive any tax credits or rebates since you don’t own the system. You can never get a solar system for free (unless you win some sort of sweepstake).

What solar rebates are available in Georgia?

Unfortunately, solar rebates are few and far between in Georgia. Although many states offer a statewide solar incentive, Georgia doesn’t provide anything. It is one of the few states that doesn’t have its own Renewable Portfolio Standard (RPS), as it primarily focuses on natural gas as its primary energy source.

However, a few rebates are available through local utility companies, including Jackson EMC.

How many homes in Georgia have solar panels?

According to the Georgia Solar Energy Association, about 7,400 Georgia homeowners have solar on their homes. Since Georgia isn’t as solar-friendly as other states, this low number isn’t a surprise.

However, with the Federal Solar Tax Credit, this number may continue to climb unless the bill expires in 2024.

Do solar panels increase property taxes in Georgia?

Unlike several other states, Georgia doesn’t offer property tax exemptions on solar energy systems. So, like any other home improvement, adding a solar energy system to your home will increase your property taxes.

How much can you write off for solar panels on taxes in Georgia?

Although statewide solar tax cuts are few and far between for Georgia homeowners, the Federal Solar Tax Credit is available. The credit is worth 30% of the total system cost and is applied to your federal income taxes for that year.

House Method’s Solar Ranking and Review Methodology

At House Method, transparency and trust are our most important values for the reader. That’s why we took the time to create an objective rating system and score each solar energy company/service according to our methodology.

Our research team dug deep into the fine print of contracts, combed through more than one hundred customer reviews, and thoroughly investigated each solar energy company’s services, costs, and products. We’ve done the homework for you by researching nearly all the solar energy companies on the market so you can have the information you need to make the best choice for your home.

We developed a formula to objectively determine the best solar energy companies and give each a score out of 100 based on the following criteria:

  • Plan Options (30): Do they provide various plan options? We looked at the number of plans each solar energy company offered and the flexibility of adjusting the plan.
  • Services (20): How many services are offered in each plan? We looked at whether the company manufactures its solar panels, whether it contracts out installation, and what additional products each company offers.
  • Trust (10): What do customers say after installing solar panels? Does this company offer a guarantee? We considered how satisfied customers are post-service if the company does what it says it will, BBB accreditation, and service guarantees.
  • Prices (10): How reasonable are the costs of the plan or service in comparison to the industry average? We compared the costs of each company to competitors that offer the same solar energy services.
  • Unique perks (10): Does the company offer discounts or special services such as financial incentives, rebates, or a useful mobile app? We looked for extras each company offers that set them apart from the competition.
  • Customer Service (10): How is the customer experience when contacting the company? We considered the speed of response, weekend/holiday availability, and ease of communication through phone calls, email, and online chat functions.
  • Nationwide availability (10): How many states does the company offer its services? Companies that operate nationally and in all zip codes are favored over those with limited availability.

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