South Carolina Solar Power Rebates, Tax Credits, and Incentives

South Carolina Picture
A pier on Myrtle Beach

Solar Legislator Score:  South Carolina Solar Power Rebates, Tax Credits, and Incentives South Carolina Solar Power Rebates, Tax Credits, and Incentives South Carolina Solar Power Rebates, Tax Credits, and Incentives

Updated February 2010

South Carolina is home to waterfalls, lakes, and the Blue Ridge mountains as well as amazing beaches and coastal resorts. The Palmetto state is also filled with historical sites dating back to the Civil War and the Revolution. Using clean energy will keep the waters clear and the skies above blue. Read on to see what the state legislature has done to promote solar and other renewable power sources.

STATE LEGISLATION

In 2007, the South Carolina legislature passed Senate Bill 243, an overhaul of its omnibus renewable energy policy. It includes tax credits for solar electricity systems. The legislature also passed the South Carolina Renewable Energy Grant Program. What does it do? Well, it offers up to $200,000 to build renewable energy demonstration systems, including solar photovoltaic electricity and solar water heating systems.

NET-METERING

South Carolina has yet to develop a net-metering plan, although the Public Service Commission has set rules for the interconnection of residential systems up to 20kW and business systems up to 100kW.

STATE INCENTIVE PROGRAMS, UTILITY REBATES, UTILITY LOANS, AND UTILITY INCENTIVES

In 2007, the state legislature passed Senate Bill 243, which gives some tax credits for installing solar electricity systems. Individuals and businesses are allowed a tax credit amounting to 25% of the cost of their system, but this is capped at $3,500 (or 50% of the individual’s or business’s tax liability). 2007 also brought the South Carolina Renewable Energy Grant Program, designed to fund demonstration projects for solar electricity among other things.

Check out these other South Carolina solar rebates and incentives:

Corporate Tax Credit

* Biomass Energy Tax Credit

* Solar Energy Tax Credit – Corporate

Personal Tax Credit

* Solar Energy Tax Credit – Personal

Sales Tax Exemption

* Sales Tax Exemption for Hydrogen Fuel Cells

State Grant Program

* Renewable Energy Grant Program

State Loan Program

* ConserFund Loan Program

* Renewable Energy Revolving Loan Program

Utility Loan Program

* Santee Cooper – Good Cents Energy Efficiency Loan Program

* Santee Cooper – Renewable Energy Resource Loans

Utility Rate Discount

* Progress Energy – Rate Discount for Energy Star Homes

* Santee Cooper – Residential Good Cents Energy Efficiency Rate Discount Program

Utility Rebate Program

* Palmetto Electric Cooperative – Buried Treasure Rebate Program

EXAMPLE 3KW SYSTEM – HOME INSTALLATION COST

A typical 3kW solar electricity system installed in Columbia would cost around $24,000 (We’re assuming $8/watt installed cost.) After state ($3,500) and federal tax credits ($8,000), the net cost could be around $12,500. South Carolina has a solar rating of Good, so with that much sun falling on your solar panels, the system should pay for itself in under 10-15 years, depending on how fast electric rates rise. All that time, you’ll be saving over $1,000 each year on your utility bills and adding over $13,000 to the value of your home. Best of all, you know that you’re keeping tons of greenhouse gasses out of the atmosphere.

CONSENSUS

The South Carolina legislature has taken some important, though small steps toward developing renewable energies in general and solar power in particular. Offering tax credits for the installation of solar panels and giving grants for demonstration initiatives should help get the ball rolling for the state’s renewable energy market, but much more needs to be done.

Click here to see if solar group purchasing  discounts are available for your South Carolina home or business.

Read the 19 brilliant comments below or add yours!

Larry Grant
Comment on May 21st, 2008.

I am a 59 year old male who has been around the world a few times with the U.S. AIR fORCE. It does not supprise me that our Goverment(Gov.) is still in the anchient ages. It seems that someone would be bright enough to put in some types of reliefs to the South Carolina People. Solor power is clean and effeciant for the earth, what is our (Gov.)doing. I am also a Disabled Vetran and I have done enough damage to the earth, now I am trying to help clean it up.

adub
Comment on August 4th, 2008.

Renewable resources are the wave of the future, we are living in history right now. We can change things right now, we have the power to do it. The question is are we going to change? There is alot more involved than just swirly light bulbs and solar panels. It’s a complete economic lifestyle change. We can do this, with the right educating, commitment, and working together. Solar panels is a great start. Think smater, think for the Earth.

carol
Comment on September 16th, 2008.

I have an 1,000 sq ft home ranch. I have always been interested in solar heating and cooling, only recently have I been able to find out a little more about it. From the quote about the price, how does that work? There must be something smaller and less expensive for a small home?

Comment on September 17th, 2008.

Hi Carol, I’d need to know more information. Please email me directly and maybe I can answer your questions.

Comment on September 28th, 2008.

It’s very disappointing to see states such as SC do next to nothing to encourage people to use renewable sources of energy. $50,000 gets you a tax credit of about 10%? Not very generous… But, the state will give hundreds of millions in tax breaks to corporations for a whole host of other things. Once again, it proves that SC as well as other states don’t “really” want to make a difference.

Jon Bayer
Comment on November 12th, 2008.

Is there a program for tall buildings. I live in a four building, four story Villa. Is there something for this type of building? Our current electric bill is $26,000 for this past year, but rates are projected to rise by 30% I believe on Hilton Head. Thanks for your help.

Ron Sebeczek
Comment on November 20th, 2008.

The solar rebates for South Carolina is 25% of the cost up to $35,000 with the max each year for 10 years is $3,500.

http://www.energy.sc.gov/index.aspx?m=1&t=5&h=19

Peter Karns
Comment on January 2nd, 2009.

It is getting better. The Federal tax rebate for residential is no longer capped @ $2000. It is now 30% of system cost. There are also many grants and rebates available depending upon your situation. If we all chip in, solar can make a difference. http://dsireusa.org/library/includes/map2.cfm?CurrentPageID=1&State=SC&RE=1&EE=1

phil shipley
Comment on February 14th, 2009.

i have a company selling and installing solar water heating systems in the bluffton, hilton head, and savannah area. the problem i am running into are gated communities. their covenents say nothing shall be mounted on roofs. when approached about solar panels they go (duh, what do we do). they have never been approached about solar so they just ignore the idea. what do we do? when are getting a ruling like the fcc for sattelite dishes where they cannot deny someone solar panels

Adrian Day
Comment on March 3rd, 2009.

I am leaving Washington, DC and will be moving to Columbia, SC sometime this coming spring. I am looking for work in the solar/wind industry. Can anyone help me find companies to interview with? Thank you all, my email is adrianj.day@gmail.com.

rich w
Comment on May 23rd, 2009.

I have been involved in the electrical and energy industry for over 25 years in SC. The problem for solar electric is the cost of the cells. Until the price comes down, and the incentives go up, little will change. In Germany, any consumer – business or homeowner – who installs solar electic is guaranteed a fixed electric rate for as long as they own/use the panels. PLUS, if they connect to the grid, they guarantee to be paid excess electric, which goes back on the grid, at the prevailing current rate. What that means is they all put in extra panels (with low interest monies earmarked for the program) and sell back power each month on the grid. The extra power “pays” for the interest and thus they owner has NO electric bill – ever! As rate continue to climb, the owner ends up making income each month.
Wind power for SC is not practical. The cost of a turbine, with our wind potential profile, will never allow a payback. Wind turbines require MUCH maintenance and have a useful life of only 10-20 years, thus no payback (as long as electric rates remain low). Wave power is promising and can be done with limited geographic “damage” to the SC coast. THE answer will remain Nuclear, although the use of coal is MUCH greater than Nuclear over the next 20 years. The saddest thing is that the average person cannot discern the truth about electrical power and the politicians are truly not intelligent enough – or honest enough – to effect a change. And finally, the amount of money a homeowner would spend on solar electric – spend a FRACTION of that cost on improving the energy “envelope” of your house (i.e. overly insulate, seal leaks, high eff AC, etc) and the paybacks are immediate and last a lifetime.

Jeanne Velie
Comment on June 29th, 2009.

I am looking to find accurate information on switching over to solar for both my business and home. I have not had much success finding information that is helpful and find it all very frustration. Your help would be much appreciated.

J.Byers
Comment on July 13th, 2009.

If you think a 19 year byback ob a $50,000 investment is good , then I have some swampland I’d like to sell you.

Comment on August 12th, 2009.

I see there are a lot of questions about solar energy from the posts. I encourage you to check out the SC Solar Council, which is the South Carolina Chapter of the American Solar Energy Society – http://www.scsolarcouncil.org. The purpose of this organization is to educate and advocate for solar energy within our state. We meet quarterly and have an annual workshop series/solar tour around the state. During the month of September we will be having residential solar workshops in Charleston, Greenville, Columbia, and Conway. On October 3rd we will have solar tours in those same areas where you can see an installation up close and personal. Also, in 2009 the SC State Government has increased the state solar tax credit from 25% to 30%. Check out TC-38 (tax form for credit) at http://www.sctax.org. If you still have questions please feel to contact me at the SC Energy Office.

Jan
Comment on November 3rd, 2009.

keep in mind with solar you’ll never have to depend on a utility company again.
That for me is the number one reason
I choose solar. Freedom from rate spikes
and knowing if there is a shortage or other problem I’ll always have the sun.

Clifford
Comment on December 12th, 2009.

I would love to know my neighborhoods total electric footprint. Is there any way other than estimation to get solid numbers for a specific area? I think that breaking down local sectors for energy consumption would be very helpful knowledge.

Mark Coto
Comment on December 18th, 2009.

I’m confused. Is the tax credit $3,500 per year or 50% of tax, whichever is less or is it maxed at $3,500 per year for 10 years. The comment posted by Mr Ron Sebeczek on Nov 20, 2008 implies the later. The link was not definative. If I read it correctly, it was $3,500, period.

Ward Johnson
Comment on February 5th, 2010.

The South Carolina solar energy tax credit is 25% (30% for 2009) of the total cost of the installation. However the actual tax credit you can take for a given tax year is limited to $3500, but not to exceed 50% of your total tax liability for that year. IMPORTANT to note though is that any unused portion of the total tax credit can be carried over for up to 10 years with the same rules, i.e. each year the tax credit you can take on your tax return is limited it $3500 but not to exceed 50% of your tax liability for that tax year. See SC TC-38 for exactly how the math works

Robert Peterson
Comment on July 19th, 2010.

I am looking to get in to business dealing/installing solar energy. Does anyone have any tips or any knowledge they could share as to help me get started? Training, Franchises, and Cost?

Comment on August 9th, 2010.

The cost of a Photovoltaic Array has declined considerably over the past few years. Most systems are called grid tied and they work pretty much the same. Your PV system generates power that is sold to your power provider thus you are in a sense building a savings account against future power usages ( charges ). With current tax credits, incentives and rebates, it is well with in reason to see a return on investment with in 6-10 years. It is well within most home owners reach to obtain and maintain a solar array on their rooftop or via poll mounted system. I suggest you ( readers ) consider the advantages of a residential and or commercial photovoltaic array. I can assure you the cost versus benefits well out weights the investment. I’m not the first to comment on South Carolina’s less then front line approach to Green Energy…But we seem to be experiencing some positive changes. It is up to us to move them in the right direction. South Carolina Goes Green… if we do our part too!

Comment on August 24th, 2010.

All of the above just got South Carolina a score of 7 out of 100 on our report card. North Carolina scored 80 and New Jersey had the highest score. Alaska was lowest with a score of 6. We are blessed with a lot more sun than Alaska. If you missed this report, see this website for details. http://solarpowerrocks.com/reports/spr-report-card-2010-part-2-state-by-state-summary-grades/

Danny
Comment on September 2nd, 2010.

Will Santee Electric/Santee Cooper buy the power you generate at your home from you? If so, what do they pay per kwh you generate? Wholesale, off peak or other? I am planning on generating power with used/treated cooking oil and also solar. Wanting to sell power back to offset/cover my electric bill. I need to find out if I can tie directly back into the grid and if Santee will purchase the power? Also, if I generate more than I use can I sell for a profit? I need to find out what the requirements and specs are to tie the system into the grid? Do I have to furnish all the equipment, inverter/meter/panels etc? I can’t seem to find out much about Santee’s buy-back program if in fact one does exist? I have been an Industrial Electrician most all my life and can build my own solar panels/generating system myself. I just need to find out what the specifications/requirements of the system. Any help would be greatly appreciated. Please email at (chardanio@ftc-i.net) Thanks, Danny

jenn
Comment on October 20th, 2010.

i live in a mobile home my power bill is around 250 to 400 dollars very month i know i need a new a/c but im considering getting solar panels can anyone give me advice is this a good idea or just stick with paying the power co?

Comment on October 6th, 2011.

Shealy Electrical Wholesalers will be hosting a free training class sponsored by SolarWorld on their Sunkits
Date: Wednesday, October 12th
Time: 9:00am to 12:00pm EST
Location: 120 Saxe Gotha Road West Columbia, SC 29172, Corp Headquaters Training Room
Presenters: Roger Locke, Michael Mularski & Randy Castellanos
please feel free to contact me for more information and for registration information

Mary
Comment on December 1st, 2011.

I live in a 28×72 mobile home and my electric bill runs 120 – 200 dollars/ month; we are very conservative with usage. However, we are considering solar power. Will it benefit us to do so.

Todd Wright
Comment on December 22nd, 2011.

I am remodeling a 1200sq ft home with a 1200sq ft basement. I lived in Italy for 4 years and they both heated and cool their homes using pex tubing with water and either a tankless water heater or solar water heater to warm the water under the flooring system. In the summer the water heater is by-passed and routed under ground to a “loop” that was either built into the foundation or underground in the yard. The water is circulated using a small pump which could be powered via solar. If anyone is interested in seeing the system after it is installed and functional let me know I would be happy to share information. toddwright@truvista.net (please no spam)
Thanks
Todd Wright

What do you think? Please leave a comment:

Names and email addresses are required (email addresses are not displayed) URLs are optional. If you want your email address to appear, please leave it in the body of your comment.


Please note, we will not approve your comment if it is spammy or you are blatantly trying to tout your own business. If you've got a reputable solar business and want to connect with us, please send us an email instead. We only connect our readers to trusted installers.