How Much Do Solar Panels Cost In Colorado Springs?
March 30, 2021
Colorado Springs — home to the Rocky Mountains, Pikes Peak, Garden of the Gods Park, and so much more — is a place of stunning natural beauty. And as a leader in the renewable energy revolution, the state of Colorado is serious about protecting and preserving that irreplaceable environment. In fact, the Centennial state has pledged to draw 100% of its electricity from renewable sources by 2050, making Colorado Springs one of the most ideal places in the country to add a solar panel installation to your home.
In Colorado and across the United States, homeowners are powering their homes with energy from the sun more than ever before. Harnessing clean, sustainable energy lets you become your own energy station, locking in electricity rates and drastically reducing your monthly utility bills — or even eliminating them entirely!
So how much does it cost to start your solar journey? That depends on a few different factors, including where you live, the price of electricity in your area, the size of your solar panel setup, and how much energy you use each month. Of course, a rough estimate can help homeowners like you feel more financially prepared, and it’s important to know what kind of cost you should expect.
The average Colorado Springs homeowner pays about $35,000 for a 7 kilowatt (kW) residential SunPower system, which doesn’t include the helpful tax credits and local rebates that we’ll cover below. That average cost covers all necessary parts, including:
- Solar panels
- Mounting equipment
- Conduit and other components
- Installation labor
- Project management, including HOA approvals, permitting, and inspections
Thanks to a record-breaking surge in US installations, the cost of going solar is now lower than ever. Solar energy is shaping up to be cost competitive with the electricity sold by your local utility company. And here’s the best part: there are countless financial incentives available from states, utility companies, and the federal government to drop those costs even further.
Curious about making the switch to solar? Keep reading as we cover all the different ways you can save on a solar panel installation for your Colorado Springs home.
Solar Incentives to Help You Save
Making the switch to solar provides a dramatic reduction in your monthly utility bills. But it’s also the first step in the transition to a future of clean, sustainable energy. That’s why governments and utility providers throughout the US offer tax breaks and financial incentives to help make going solar as affordable as possible, including:
- Local rebates. Residents of Colorado Springs are eligible for both state and municipal incentives designed to help offset the cost of a solar installation.
- Federal rebates. Because of the federal solar tax credit, homeowners can save 30% on the cost of a solar panel installation.
- Manufacturer rebates. Some solar panel manufacturers are offering limited-time-only rebates to make your solar installation more affordable.
- Promotions. If you purchase your solar panels at the right time, you’ll be eligible for limited-time-only financial incentives.
Saving Money with Local Rebates
Even though Colorado doesn’t offer a state-led solar tax credit or solar rebate program, there are still a number of financial incentives available for homeowners in Colorado Springs. Here are some of the best ways to save on your solar installation:
- Utility providers: Thanks to the Colorado Springs Utilities Renewable Energy Rebate Program, homeowners with solar installations are eligible for a rebate of $0.20 per watt. Up to 40% of the total cost of the installation may be covered by rebates and tax credits.
- Net metering: On sunny days, your meter actually runs backward. Thanks to Colorado’s net metering, you can sell that excess electricity back to the grid in exchange for credits on your electricity bill.
- Property tax exemption: If you live in Colorado, you are entitled to a property tax exemption for a solar panel installation. As a result, you’ll continue to save money, without burden, throughout the lifetime of your solar panels.
- Equipment tax exemption: The Sales and Use Tax Exemption for Renewable Energy Equipment applies to the sales tax for solar panel systems purchased in the state of Colorado.
Saving Money with Federal Rebates
If you’re worried about how to afford a solar panel installation, the federal government wants to help. The Solar Investment Tax Credit (ITC) was designed to subsidize the purchase and installation of a solar panel installation for homeowners throughout the US.
With this financial incentive, you’re eligible to claim the investment tax credit (ITC) for solar when you file your annual federal tax return. And although it was originally set to expire in 2023, the Inflation Reduction Act has extended it by a decade. That means that through 2032, you’ll qualify for a 30% reimbursement of the total cost of your solar panel system — arguably the most significant solar incentive that exists. The credit reduces to 26% in 2033 and 22% in 2034, after which it will expire unless Congress renews it again.
Saving Money with Manufacturer Rebates
It’s not just the government that wants to help. Manufacturers of solar panels also want more homeowners to transition to green energy. For example, SunPower periodically offers rebates of up to $1,000 to help reduce solar panel installation costs. Contact us to find out which manufacturer rebates will help you save the most.
Saving Money with Promotions
When you buy at the right time, you can help offset the cost of your installation with promotions. At Freedom Solar, we offer plenty of promotions throughout the year to help our customers save on their solar panel systems. Contact us for our current promotions, and we’ll help ensure that you’re getting the best deal possible.
Colorado Springs Installers Who Can Help You Save
Here at Freedom Solar Power, we know that choosing the right team to work on your home is a big deal — so you need solar panel installers you can trust. As the largest residential solar provider in Texas, we’ve outfitted countless homes with installations. Even big-name businesses like Whole Foods and Office Depot have chosen our team of experts to help them make the switch to solar!
When you’re ready, we’re here to help you get started. Our friendly team of solar experts will review your energy bill, evaluate your sunlight exposure, and estimate your incentives and costs so that you can determine whether solar panels are worth it for your Colorado Springs home. Contact us today for a free consultation.