2024 Solar Incentives Guide for Worthington, MN - Tax Credits & Rebates

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

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 Worthington solar installers to see how much you can save.

By EcoWatch Local Advisors

Data Analysis: James Savino

Ranking Methodology: Karsten Neumeister

Updated May 20, 2024

Why you can trust EcoWatch

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 Worthington?

Solar Energy Sales Tax Exemption

Incentive Type:
Sales Tax Incentive
100% exemption

Wind and Solar-Electric (PV) Systems Exemption

Incentive Type:
Property Tax Incentive
Solar: 100% exemption from real property taxes
Wind: 100% exemption from real and personal property taxes

Wind Energy Sales Tax Exemption

Incentive Type:
Sales Tax Incentive
100% of sales tax

Brainerd Public Utilities - Residential Energy Efficiency Rebate Program

Incentive Type:
Rebate Program
Dishwasher: $35
Clothes Washer: $35
Electric Clothes Dryer: $35
Refrigerator: $35
Freezer: $35
Dehumidifier: $20
Room/Window A/C: $35
High Efficiency Electric Water Heater: $35
Central A/C Tune-Up: $35
Central A/C: $200-$350
Mini Split/Ductless A/C: $250
ECM Replacement Motor: $100
Furnaces: $200-$375
Heat Pump Water Heater: $250
Air Source Heat Pump: $250
Geothermal Heat Pump: $100/ton

Connexus Energy - Residential Energy Efficiency Loan Program

Incentive Type:
Loan Program
$7,500
OR
$20,000

Great River Energy (28 Member Cooperatives) - Energy Wise Residential Efficiency Rebates

Incentive Type:
Rebate Program
Varies by measure and member cooperative offering.

Home Energy Loan Program

Incentive Type:
Loan Program
$20,000

Fix-Up Loan

Incentive Type:
Loan Program
$15,000. Applicants may be eligible for higher loan and term amounts depending on income

Renewable Energy Production Incentive

Incentive Type:
Performance-Based Incentive
1.5¢/kWh
1.0¢/kWh for certain hydro facilities in need of repair

Missouri River Energy Services (23 Member Cooperatives) - Residential Energy Efficiency Rebate

Incentive Type:
Rebate Program
Rebates vary from one participating utility to another. For specific details on the incentives offered by a particular utility check the program website. The rebate incentives listed below are an estimate using Adrian Public Utilities as an example, for your Utility please confirm online with your local utility.
ENERGY STAR:

Clothes Washer: $25
Dehumidifier: $25
LED Lighting: $1.50-$4.00
Refrigerator: $25
Room A/C: $25

Heating and Cooling:
Central A/C or Heat Pump Tune-Up: $30
Air-Source Heat Pump: $250 - $950
Mini Split/Ductless Air Source Heat Pump/Air Conditioner: $250 /Outdoor Condensing Unit
Central A/C: $250 - $450/unit
Geothermal Heat Pump: $200/ton
Heat Pump Water Heater: $150
Programmable thermostat: $25

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/


The term "solar incentives" covers a range of financial incentives implemented to make installing and using solar panels more affordable. This is done to encourage people to switch to renewable energy. You may be eligible for different kinds of incentives, including cash back, discounts or monthly utility bill credits, depending on your situation. Some incentives come from your specific utility company, county or municipality, some from the state of Minnesota and others from the federal government. Some broad categories of solar incentives include:

  • Tax Credits: Tax credits reduce, dollar-for-dollar, the total amount of tax you owe the federal government. These are different from tax deductions.
  • Tax Exemptions: Tax exemptions may come in one of two forms. The first is sales tax exemption, which is applied at the time you purchase your solar panels. The second is property tax exemption. This allows you to exclude the value added by your solar system when calculating property tax for your house.
  • Net Metering: You may be able to sign a net metering agreement with your Worthington utility company. This agreement may apply to all or a percentage of the excess electricity that is generated by your solar panels. They will then deduct this value from your monthly utility bill.
  • Rebates: Rebates, or partial refunds after a purchase, are typically given prior to any solar tax credits being calculated. Rebates may be given by your local utility company, by your state or by your county.

Best Social Impact

Palmetto Solar

★★★★★
4.0
  • Expansive service area
  • Makes charitable contributions
  • Certified B Corp
  • No leases or PPAs
  • Quality of installation may vary by location

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

Federal solar incentives are probably the first thing that comes to mind when thinking about solar incentives. The Federal Solar Investment Tax Credit, or ITC, is probably the best-known federal solar incentive. The ITC provides you with a tax credit for a predetermined percentage of the cost of your solar system.

The ITC applies to the value of a solar system installed on your primary or secondary residence in the United States. The solar system must have been installed on a property you own after January 1, 2006, for you to claim the credit. Initially, the ITC applied to 30% of all installation costs (panels, equipment, labor and accessories), although the covered amount has fluctuated slightly over the years between 26-30%. The amount you qualify for will depend on when your solar system was installed. There is no cap on the claim amount.

To know exactly how much money the ITC could save you, speak with your local Worthington solar panel installer.

The Inflation Reduction Act, passed in August 2022, added more provisions to the ITC (as well as renaming it to the Clean Energy Credit). With the new provisions, solar installation projects begun after January 1, 2022, and finished by December 31, 2032, can qualify for a 30% tax credit. This credit amount will then decrease slightly each year until the end of the current Clean Energy Credit in 2035. The expansion also makes credits for energy storage systems even easier to claim, beginning in 2023.

Click here to learn more about the new Inflation Reduction Act. The easiest way to learn more about how the new Clean Energy Credit will apply to you is to get in touch with your local Worthington solar panel installation expert.

State & Local Solar Incentives

There are more than just federal solar incentives; rebates, tax credits and more may be offered at the local or state level. Incentives might be provided by the state of Minnesota, or by your county or municipality. Some incentives may be available for only a limited time, while others are ongoing.

Next Steps for Installing Solar in Worthington

Solar incentives can be provided by your local utility company, the Minnesota government or the federal government. The large number of available incentives has contributed to a large increase in solar energy use in the last 15 years. Contact your local solar panel installation expert today to learn more and to save as much money as possible on solar panels for your Worthington home.

EcoWatch's Worthington, MN Solar Incentives FAQs

How can I learn if I qualify for specific solar incentives?

Typically, solar incentives apply to:

  1. a new solar panel system
  2. installed on a property that you own
  3. within the U.S.
  4. within the date range specified by a particular incentive.

Specific incentives, including ones handled by the Minnesota government or by your county/municipality, could have additional qualifications. Talk to your local Worthington solar installer to learn more about what incentives your project will qualify for.

What are the environmental benefits of switching to solar energy?

You can reduce your carbon footprint by 450 pounds of CO2 annually by switching to solar panels. This adds up to around 9,000 pounds over 20 years. Solar is also a renewable energy source, meaning 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, previously called the ITC and now named 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.

If I change out my appliances for ones that utilize solar energy, are there any benefits I can claim?

The recently passed Inflation Reduction Act introduces a number of incentives meant to reward homeowners for making eco-friendly upgrades. Some of these incentives include rebates and tax credits for installing new electric appliances. You can find more details about these incentives here.

Can I use solar and another type of renewable energy in combination to power my home?

You can use multiple types of renewable energy, or a combination of renewable and non-renewable energy, to power your home. Make sure you go over your ideas with your local Worthington solar installation expert. They can help you as you plan for your project and educate you on the various incentives that you will or won't qualify for.

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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