2024 Solar Incentives Guide for Waverly, IA - Tax Credits & Rebates

In this guide, we'll cover the latest solar incentives and rebates available in Waverly.

You'll learn about:

  • Local & State Solar Incentives
  • Federal Tax Credits (Updated for 2024 and beyond)
  • Ways to optimize your solar investment

Solar installers are experts in maximizing your solar tax credits and rebates.
Get a free quote from one of our trusted Waverly solar installers to see how much you can save.

By EcoWatch Local Advisors

Data Analysis: James Savino

Ranking Methodology: Karsten Neumeister

Updated April 21, 2024

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We work with a panel of solar experts to create unbiased reviews that empower you to make the right choice for your home. No other site has covered renewables as long as us, which means we have more data and insider information than other sites. Our rankings are never affected by revenue or partnerships.

What Solar Tax Credits, Incentives, and Rebates are Available in Waverly?

Property Tax Exemption for Renewable Energy Systems

Incentive Type:
Property Tax Incentive
100% of value added by renewable system

Renewable Energy Equipment Exemption

Incentive Type:
Sales Tax Incentive
100% of sales tax

Solar Energy Systems Tax Credit (Personal)

Incentive Type:
Personal Tax Credit
50% of Federal ITC (15% for 2019 and earlier, 13% for 2020, 11% for 2021, 5% for 2022, 0% for 2023 and later).

Local Option - Special Assessment of Wind Energy Devices

Incentive Type:
Property Tax Incentive
Property valued at 0% of the net acquisition cost in the first assessment year, increasing annually by 5 percentage points to a maximum of 30% of the net acquisition cost in the 7th and succeeding years

Methane Gas Conversion Property Tax Exemption

Incentive Type:
Property Tax Incentive
100% exemption for 10 years

Geothermal Heat Pump Tax Credit

Incentive Type:
Personal Tax Credit
20% of the Federal Tax Credit, equivalent to 6% of the system cost

Energy Replacement Generation Tax Exemption

Incentive Type:
Corporate Tax Exemption
100% exemption for self-generators, landfill gas and wind
Reduced rate for large hydro

Alliant Energy Interstate Power and Light - Residential Energy Efficiency Rebate Programs

Incentive Type:
Rebate Program
Advanced Power Strips: up to $20
Air Source Heat Pump: $300-$800 for existing homes, $180-$480 for new homes
Appliance Recycling: up to $50
Central A/C: $150-$600 for existing homes, $90-$360 for new homes
Ductless Mini-Split Heat Pump: Varies
Electric Heat Pump Water Heater: $300-$350 for existing homes, $180-$210 for new homes
Electric HVAC System Tune-Up: up to $50
Gas Furnace: $180 for existing homes, $80 for new homes
Geothermal Heat Pump: $1,320-$1,750 for existing homes, $790-$1,050 for new homes
Learning Thermostat: $100 for existing homes, $60 for new homes
LED Light Bulbs: In-Store Rebates
Online Home Energy Assessment: FREE
Room Air Purifier: up to $30
Variable Speed Pool Pumps: up to $220

Waverly Light & Power - Residential Energy Efficiency Rebates

Incentive Type:
Rebate Program
Heat Pump Water Heater: $400
Solar Water Heater: $30 per square foot
AC/Air to air heat pump 17 SEER: $275
Geothermal Heat Pump: $450
Spray foam insulation: $0.20/sq. ft.Air sealing: $0.10/sq. ft.
Appliance Recycling: $50

Waverly Light & Power - Residential Solar Thermal Rebates

Incentive Type:
Rebate Program
$30/sq. foot of collector area

Federal Residential Renewable Energy Tax Credit

Incentive Type:
Personal Tax Credit
30% federal tax credit for systems placed in service after 12/31/2021 and before 01/01/2033. Good for: solar water heat, solar photovoltaics, biomass, geothermal heat pumps, wind (small), fuel cells using renewable fuels.

Source: https://www.dsireusa.org/


Solar incentives are intended to encourage homeowners to switch to renewable energy by offering financial incentives that lower the burden of solar panel installation and use. Incentives could include things like discounts, cash back or credit on your utility bill each month. Some incentives are provided by the federal government, while others are provided by the state of Iowa or your utility company, county or municipality. Some broad categories of solar incentives include:

  • Tax Credits: Tax credits are dollar-for-dollar reductions that lower the amount of income tax you owe the government. (This is different from a tax deduction.)
  • Net Metering: Net metering is an incentive you can get once your solar system is up and running. If you have in place a net metering agreement with your Waverly utility company, the company will subtract the value of the excess energy your solar system produces from your monthly utility bill. In some areas, this is a dollar-for-dollar credit, while in other places you may receive a refund equivalent to a percentage of the value.
  • Rebates: A solar rebate is a partial refund credited to your account after you've paid for your solar system. Rebates may be offered by your local utility company, your state or your county. The cash back that you get from the rebates is normally applied before tax credits are calculated.
  • Tax Exemptions: Your solar system may qualify for exemptions on both sales and property tax. Sales tax exemptions are applied at the time of purchase. Property tax exemptions let you ignore the added value of the solar panels when you are calculating property taxes on your home.

Best National Provider

SunPower

★★★★★
5.0
  • Most efficient panels on the market
  • National coverage
  • Cradle to Cradle sustainability certification
  • Great warranty coverage
  • Expensive
  • Customer service varies by local dealer

Best Technology

Tesla Energy

★★★★★
3.2
  • Price-match guarantee
  • Sleek, efficient, and durable solar panels
  • Best solar battery on the market
  • Some reported issues with customer service
  • Customer service varies by local dealer

Federal Solar Incentives

When someone says "solar incentives," you likely think of federal incentives first. You may have heard of the Federal Solar Investment Tax Credit, or ITC. This is a tax credit equal to a certain percentage of the money you spend installing solar panels.

The ITC applies to the total cost of solar panel installation, including the panels themselves as well as labor, accessories and equipment. You can claim this credit for panels installed after January 1, 2006, on a primary or secondary residence located in the United States that you own. Originally set at 30% of total costs, the credit has fluctuated over time, and you may qualify for different amounts depending on when your project was completed. There is no maximum amount you can claim.

To better understand how the ITC may apply to your situation, speak to your local Waverly solar panel installation expert and ask for more information.

In August 2022, the Inflation Reduction Act expanded and extended the ITC, now referred to as the Clean Energy Credit. For solar system installations that begin after January 1, 2022, and are completed by the end of 2032, homeowners can apply for a credit for 30% of the total cost. The percentage will then decrease annually until the Clean Energy Credit expires in 2035. Starting in 2023, it will also be easier to obtain credits for energy storage systems with the new act.

More information about the new Inflation Reduction Act can be found here. Your local Waverly solar panel installer can answer any questions you have and explain how the new Clean Energy Credit applies to you.

State & Local Solar Incentives

Not all solar incentives are federal; tax credits, rebates and more may be offered at the state and local level. Certain incentives are offered for only a limited time, while others are ongoing. Local solar incentives might come from your county or municipality, or from the Iowa government.

Next Steps for Installing Solar in Waverly

Solar incentives can be provided by your local utility company, the federal government or the Iowa government. The growing number of solar incentives available has facilitated the nationwide growth of solar energy use in the last 15 years. When you're ready to make the switch to solar energy, getting in touch with your local Waverly solar panel installation expert is an excellent place to start.

EcoWatch's Waverly, IA Solar Incentives FAQs

Who installs solar panel systems near me?

To find the right solar panel installer for you, check out our guide to the best solar companies in Waverly.

What are some environmental benefits of adding solar panels to my home?

You can lower your carbon footprint by 450 pounds of CO2 annually by installing solar panels. This adds up to around 9,000 pounds over 20 years. Solar is also a renewable energy source, which means that making the switch lessens the drain on our planet's resources.

How long until the federal solar tax credit ends?

The federal solar tax credit, formerly called the ITC and now called the Clean Energy Credit, is slated to end on January 1, 2035. The current 30% credit will end in 2032, replaced by a 26% credit in 2033 and a 22% credit in 2034.

Can I qualify for incentives both towards the initial cost of solar panels, and later as reimbursement?

The order your incentives will be applied in could vary depending on which incentives you are claiming but typically yes, you can claim multiple types of incentives for your solar project. Get in touch with your solar installer or a local tax professional to ensure you are claiming all possible incentives and applying them in the correct order.

Our goal is to reach as many people as we can with sensible solutions like solar energy. Our team of full-time local researchers collects solar price and installation data for every city in America then compiles it to create these digestible city guides. If you want to read our solar expert's opinion on the top solar companies featured here, follow this link.

Solar incentive research was conducted by Melissa Smith and Karsten Neumeister. Local data analysis was conducted by James Savino. See something we missed or could do better? Email the editor.

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