Solar and Battery

**Go solar and store your power for when it matters most**

With abundant sunshine year-round, Nevada ranks first in the nation for solar potential, putting residents in a perfect position to benefit from solar power. If you’re a Nevada resident who has been considering installing rooftop solar, there has never been a better time.

Solar panels harness sunlight to generate clean electricity and power your home. This means you will create your own power and save on electric bills without producing emissions. To unlock even greater savings and resilience from blackouts, you can also pair solar with a battery system.

Battery systems store the extra energy your solar panels produce during the day, allowing you to use that power later, like at night or during a power outage. Without a battery, most solar systems shut off during outages to protect utility workers making repairs to downed lines. A battery backup is the only way to keep your home powered by solar when the grid is offline.

Thanks to the federal Inflation Reduction Act, tax credits are available for purchasing a solar panel and battery storage system. The Federal Residential Clean Energy Credit (25D) offers a tax credit to cover 30% of the cost of purchasing and installing rooftop solar panels or a battery storage system on your home.

Additionally, through a $156 million award to Nevada, the Inflation Reduction Act helped launch the Nevada Solar For All program that brings the benefits of solar to more families across our state, including low-income households, renters, and affordable housing developments. The program supports rooftop and community solar projects and provides job training opportunities to grow Nevada’s clean energy workforce. Applications are open now.

How do solar panels work?

Solar panels are strategically placed on rooftops to capture as much sunlight as possible. The sunlight is absorbed into photovoltaic cells in the panels that create an electrical current that is converted into electricity that can be used to power your home.

Depending on the amount of energy your home needs, the number of solar panels, weather, and other factors, there may be times when you generate more power than you need. When this happens, homeowners send the excess energy their panels produce back to the grid and earn a credit toward their energy bill for 75% of the retail rate. For example, on a day when a customer’s system provides $10 worth of energy over and above what they need, the electric utility will credit $7.50 on the next bill. This “net metering” program is limited to customers who buy solar or lease panels.

While rooftop solar panel systems help customers save money on electric bills on their own, adding battery backup systems to existing solar systems can help customers save even more.

Battery systems charge batteries with excess power produced during the day and continue providing power to the home into the evening when the sun stops shining. The federal Residential Clean Energy Credit can also be applied to battery storage technology. Your local solar company can help determine whether adding a battery system makes sense for your home.

Frequently Asked Questions

How much can Nevadans save?

With the Federal Residential Clean Energy Credit, you can claim 30% of the cost of your solar and battery system as a tax credit. So if your system costs $20,000, you could save $6,000 on your federal income taxes. This tax credit is uncapped, meaning there is no maximum dollar limitation for the project cost or credit amount.

Together, these savings—plus lower electric bills and credits from net metering—can add up to tens of thousands of dollars over the lifetime of the system. Most moderate-sized residential solar systems pay for themselves within 10 years.

Who qualifies for this tax credit?

The federal Residential Clean Energy tax credit can be applied to your solar and battery projects. This credit is available to individuals of all income levels and must be used toward a primary residence, meaning you must live in the home you are installing the qualified solar or battery system.

Anyone who meets these requirements and pays federal income taxes can claim it on their taxes. The credit restarts each year, so homeowners can apply for new projects on their taxes each year.

What qualifies for this tax credit?

Your solar panel and battery storage purchase must be brand new and be installed between 2022 and 2032. The system must also be installed at your primary residence. This tax credit can be applied to the cost of the solar system and labor related to onsite preparation, assembly, or installation.

This tax credit is non-refundable, so it will only count toward any federal tax liability you may have, but you can roll the excess credit to future tax returns.

If you have questions about a qualifying solar and battery installation, talk with your contractor. They can assist you with finding the right, qualifying technology for your home.

Are rooftop solar and battery systems affordable?

Owning solar panels and a battery system is more affordable thanks to the 30% federal Residential Clean Energy Credit.

Owning your solar panels also allows you to participate in net energy metering, which feeds excess energy back to the grid, adding credits to your energy bill and helps the system pay for itself over time.

Battery storage has become more cost-effective in recent years, and many solar installers offer financing options that allow you to bundle solar and batteries into one monthly payment. That means you can lock in long-term savings while boosting your home’s energy security.

While solar panels and battery systems can be costly, there are many lenders and programs designed specifically for residential clean energy investments. The Nevada Clean Energy Fund’s Residential Energy Upgrade Program (RE-UP) connects Nevada homeowners with financial and technical assistance for clean energy upgrades such as solar.

Are there other options for solar?

Leasing solar panels: Nevada families can benefit from solar by leasing panels from solar providers. The upfront costs are usually low or free. While in these cases, it’s the leasing companies that benefit from tax credits and incentives, homeowners still benefit from lower bills and added reliability without having to make a significant investment.

Community solar projects: The Nevada Solar for All program, administered by the Nevada Clean Energy Fund, provides financial and technical assistance for (1) rooftop solar for single-family homeowners, (2) solar for multifamily affordable housing, and (3) community solar projects that benefit low-income households (including renters). The program also supports quality jobs for Nevadans through workforce development and training opportunities. Read more about the Nevada Clean Energy Fund’s Solar For All program.

**Go solar and store your power for when it matters most**

How do solar panels work?

Frequently Asked Questions

Ready to Start Your New Project?

Learn More About Solar and Battery

Solar United Neighbors Guide to Going Solar

Residential Clean Energy Credit