Solar installs are skyrocketing in Iowa and it’s more than just residential and business customers making the switch. The Hawkeye state is known as the first state in the U.S. to adopt a renewable portfolio standard (a policy that encourages utilities to obtain a specific percentage or amount of their energy from renewable sources) all the way back in 1983. From this, we know Iowa is a great place to take your nonprofit solar. Here are a few things you’ll want to know before getting started.
Strategic investments speak volumes for your supporters
For nonprofits, investing in solar is a great way to reduce your overall operating expenses and show your supporters you are committed to sound investments that maximize your financials for the long term.
By choosing solar, you can strengthen your nonprofit’s brand with supporters and stakeholders and help reinforce your mission. Making the switch to solar is a great way to further engage your community (for instance, by introducing an educational component to your solar installation) and show that you care about the stability and security of not only your organization, but the planet as well!
Check out grants and incentives for nonprofits
Thanks to the wide variety of incentives available, there’s no better time for your nonprofit to consider solar. Here are a few of the main incentives available:
To begin, the state of Iowa grants a sales tax exemption for any electrical generating equipment purchased for your solar installation, an effective 6% discount off your solar hardware.
The Investment Tax Credit (ITC) is designed to benefit nonprofits as well, allowing businesses to deduct up to 30 percent of the cost of their solar panel systems from their federal taxes. Nonprofits and other tax-exempt entities—like municipalities and Tribal governments—can apply for direct pay reimbursement equal to the value of the tax credit. There are also six additional bonus credits that can be applied for. Four of the credits relate to Low-Income Communities and there are two other stackable bonus credits of 10% if a project is located in an “energy community” or for projects that meet domestic manufacturing requirements.
As with all solar installations in Iowa, nonprofit customers of MidAmerican Energy and Interstate Power and Light (IPL) are eligible to participate in net metering. This allows you to sell any excess energy your panels produce back to the grid and receive credits for it on your electric bill. These credits can be used when your panels aren’t producing all the electricity you need.
Lastly, the Database of State Incentives for Renewables & Efficiency—or DSIRE—is a site that lists additional solar energy incentives in Iowa and across the United States.
All of these could mean big savings on your nonprofit’s solar panel installation, and long term savings on your organization’s energy bills. Contact us today to see how we can help you get started.
