The new residential Small Wind Turbine Federal Tax Credit for Energy Efficiency is a large credit with many advantages. The old tax credit was capped at $2,000. With the new one one you can claim 30% of cost, up to $500 per .5 kW of power capacity, for a new system. It expires 12/31/2016. This Federal tax credit works well when coupled with a state rebate program. Combine this with state rebates like those in California or New York and you have a sweeter deal. Moderate sized 10 kW wind power systems cost over $50,000. The rebate has a nameplate capacity limit of no more than 100 kilowatts.
Existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify.
The Federal Tax Credits for Consumer Energy Efficiency reduces the amount of tax you owe. The credit is a reduction of total income tax at the bottom of your return. This tax credit is a non-refundable tax credit. Consult your tax adviser for details. Use it or lose it!
A reminder that there is a Federal Tax Credit for Energy Efficiency on Qualifying GeoThermal Heat Pumps, with no cap. If you have been thinking about replacing these items, you might as well upgrade now and save some money.
For 2012, the Federal Tax Credit for energy efficiency for GeoThermal heat pumps is 30% of the cost (including installation/labor costs), with no upper limit . (2010 Federal Tax Credit information)
Existing home and principal residence. New construction and rentals do not qualify.
Units must be placed into service by December 31, 2016.
Geo-thermal heat pumps are similar to ordinary heat pumps, but use the ground instead of outside air to provide heating, air conditioning and, in most cases, hot water. Because they use the earth’s natural constant heat, they are among the most efficient and comfortable heating and cooling technologies currently available. This allows the system to reach fairly high efficiencies (300%-600%) on the coldest of winter nights, compared to 175%-250% for air-source heat pumps on cool days.
Units can cost from $5,000 to $10,000 installed and take about 5-10 years for payback.
The 2011 tax credit reverted to 2005-2008 levels. Anyone who previously took advantage of the program can’t apply for incentives that exceed $500. IE If you claimed $500 between 2005 – 2008 on a previous energy efficiency project, or at least $500 tax credit from 2009 – 2010, you are ineligible for the 2011 energy efficiency tax credit.
If you used say $200 of the $500 energy efficiency tax credit from 2005 – 2008, and did not utilize the 2009 – 2010 energy efficiency tax credit, you would still have a $300 credit available.
Double dip! Local utilities like PG&E have their own rebates for Energy Efficient Appliances. To find out if rebates or other incentives are available in your area, visit the ENERGY STAR Rebate Finder.
Get a Free Solar Power Estimate from a local vendor by clicking the advertisement above.
2012 continues the very popular residential Solar Federal Tax Credit first enacted in 2009. The previous solar tax credit program was capped at $2,000. With the new one one, you can claim up to 30% of solar power costs for a new solar electric system.Existing homes & new construction qualify. Both principal residencesand second homes qualify. Rentals do not qualify. Expires: December 31, 2016
This Solar Federal Tax Credit especially well when coupled with a state rebate program. (CA, CT, NJ, NY) Also look for city solar incentive programs, that can also save you money on your solar panels.
On the tax credit, existing homes & new construction qualify. Both principal residences and second homes qualify. Rentals do not qualify.
This Solar Federal Tax Credit reduces the amount of tax you owe. The credit is a reduction of total income tax at the bottom of your tax return. This tax credit is a non-refundable tax credit. Consult your tax adviser for details about solar power. Use it or lose it!
Example Solar Electric System cost with Rebates
A 3kW solar electric system costing $24K would get $5K in California state rebates and $7.2k Federal rebate. Final price $11.8k. System payback time could drop to 6-7 years. Rebates vary depending on location of course. Rebates make solar power Very attractive!
A reminder that there is a Federal Tax Credits for Consumer Energy Efficiency on Qualifying Insulation. If you have been thinking about replacing these items, you might as well upgrade now and save some money. Improve the R-value of attic, wall, and crawl space insulation.
Existing home and principal residence. New construction and rentals do not qualify.
Expires December 31, 2011
Insulation must meet 2009 IECC & Amendments. Rebate does not cover installation/labor costs. Do it yourself-ers can also get the credit.
Typical bulk insulation products can qualify, such as batts, rolls, blow-in fibers, rigid boards, expanding spray, and pour-in-place.
Using blown fiberglass insulation is one of the best methods of energy efficiency for the home. Proper insulation using this keeps rooms tightly sealed, as compared to the old standard of fiberglass sheets, or batts. Spray foam is the fiberglass industry’s newest product that does not contain harmful chemicals. Though the cost of blowing fiberglass into wall cavities is 40% more than utilizing the traditional batts, using spray foam is up to 50% cheaper. The overall energy savings of the home will offset the higher insulation costs over several years.
Weatherize your home. Products that air seal (reduce air leaks) can also qualify, as long as they come with a Manufacturers Certification Statement, including:
The 2011 tax credit reverted to 2005-2008 levels. Anyone who previously took advantage of the program can’t apply for incentives that exceed $500. IE If you claimed $500 between 2005 – 2008 on a previous energy efficiency project, or at least $500 tax credit from 2009 – 2010, you are ineligible for the 2011 energy efficiency tax credit.
If you used say $200 of the $500 energy efficiency tax credit from 2005 – 2008, and did not utilize the 2009 – 2010 energy efficiency tax credit, you would still have a $300 credit available.
Double dip! Local utilities like PG&E have their own rebates for Energy Efficient Appliances. To find out if rebates or other incentives are available in your area, visit the ENERGY STAR Rebate Finder.
Tesla Model S is the first luxury production electric car.
Nissan Leaf Electric Car, the first affordable mass-market zero emissions electric car, is now available for ordering with a whopping $7500 Federal Tax Credit on New Qualified Plug-In Electric Drive Motor Vehicles through December 31, 2011. The credit will begin to be phased out for each manufacturer in the second quarter following the calendar quarter in which a minimum of 200,000 qualified plug-in electric drive vehicles have been sold by that manufacturer for use in the U.S. The credit is available against the alternative minimum tax. The Leaf is a real car with speeds up to 90 mph and 100% available torque right off the line.
We drove the Nissan Leaf in late November 2010 at the San Francisco International Auto Show and found that this virtually silent car drives just like any other car. It has very light steering and is very fast off the line. The interior dashboard is very high-tech, while the cabin is similar to other cars in its class. They say it seats five people but the rear seating area is pretty cramped. All in all we were pretty impressed by this cutting-edge vehicle.
Replacing a vehicle with a fuel efficient model has the biggest aggregate potential reduction in green house gas emissions at 31.4 millions of metric tons of carbon a year. Even more than Weatherizing a home (21.2), buying energy efficient appliances (11.7), or carpooling (6.5).
The drops the price to as little as $25,280 after-tax savings. California adds a Electric Vehicle Purchase Rebate $5000 rebate while funds last dropping it even further to $20,280! See what type of conventional car you can buy for $20k. Check your local state for its rebates. The Chevy Volt unfortunately does not qualify for this level of rebate. Georgia also has a $5000 rebate that the Nissan Leaf should qualify for.
It is all electric, not a hybrid car and is rated for a 73 mile range on a single charge by the EPA, although this might vary. Nissan has been quoting a 70 – 130 mile range depending on driving technique and terrain. The Leaf has regenerative braking that recharges the battery when applying the brakes. The car gains about 30% from this technique. Using the air conditioner or heater will reduce range by 10% or more. This car is not for everyone. The Leaf is made in Japan and Tennessee. Nissan makes it, so you don’t have to worry about an unknown new company that may go out of business in a couple years. The car is partly made of recycled materials and they use wind power to power a portion of their factory.
The Leaf comes with a home charging dock that requires a Level 2 or 220/240V 40AMP dedicated electric circuit (even though it uses only 20A), so additional costs of approximately $2200 (50% tax credit available via Alternative Fuel Vehicle Refueling Property Credit) will be incurred to upgrade your garage. An electrical conduit must be run from your electrical panel to the vehicle parking area. You can use a standard 110V outlet for charging, but charging times are extremely high. This is most helpful in topping off your charge while at, say a friends house.
Approximately 3000 free level 2 chargers are available in San Diego and Los Angeles Counties to owners of Nissan Leafs and Chevrolet Volts.
Charging Times and Energy Cost
Charging the battery to 80% of its capacity with a special rapid 440V charger takes about 25 minutes. Note that the 440 V charging requires an optional $700 port on the Nissan Leaf. There are limits to the number of times you can fast charge per day. After three fast charges, The Leaf will slow down charging due to heat worries.
A full battery charge occurs in eight hours with 220/240V charging and cost approximately $2.28 in electricity at normal electricity rates. EPA rates this as a 99 “miles per gallon equivalent (MPGe). The energy content of 1 gallon of gasoline is 33.7 kilowatt-hours. The 2011 Nissan Leaf has a 24-kWh battery pack of which it uses approximately 80 percent. (Approx 19 kWH of charging, average per kW of electricity is an expensive $0.12/kW in California.) The EPA quotes $561 as the average annual electricity cost for the Leaf. By comparison, the annual fuel cost of a Toyota Prius, which the EPA estimates gets 50 miles a gallon, is $867. An average car is rated at $1000+.
Nissan’s ads quote 38 miles traveled for one dollar of cost vs 19 for a Toyota Prius Hybrid. Kiplinger listed Nissan Leaf fuel cost at an optimistic 2 cents per mile, Prius 6 cents, VW Jetta Diesel 9 cents, and Honda Accord 11 cents. The Leaf is projected to use 0 – 76g of Carbon Dioxide (CO2) per mile driven compared to 153-229 for a Prius Hybrid.
The Nissan Leaf includes a GPS that will tell you how close the nearest charging stations are. This information is updated as new charging stations are built. The onboard computer also communicates with smart phones to alert you to charging status and more. Three years of updates are included in the purchase price.
Several electric utility companies have special rate plans for charging electric vehicles. Some of these rate plans require installation of a second power meter, so they can measure how much energy you are using to charge your plug-in electric vehicle.
Consumers Energy has a flat $35 rate for each vehicle, up to 300 kWhr
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