BRITE IDEA ENERGY OWNERSHIP
Ownership (Commercial and Residential):
The production of your own electricity can offset up to 100% of the kWh portion of what you currently purchase from the utility company. As electric rates continuously increase over time these electrical savings become more and more significant.
Solar Renewable Energy Certificates (SRECs):
New Jersey’s Renewable Portfolio Standard (RPS) places an obligation on electricity suppliers to produce a specified portion of their electricity from renewable energy sources. One SREC is generated for every 1000 kilowatts of electricity a system produces, and can be sold on the open market to these electric providers.
Investment Tax Credit:
Homeowners and businesses benefit from a 30% federal tax credit which will reduce taxes dollar-for- dollar.
Depreciation (Commercial only):
Depreciation is an income tax deduction available to commercial projects that allows a taxpayer to recover the cost or other basis of certain property. It is an annual allowance for the wear and tear, deterioration, or obsolescence of the property. The depreciation cost basis for solar projects is 85% of the installed system cost. In 2012, businesses can deduct 50% of the cost basis and utilize the MACRS five-year accelerated depreciation schedule.