North Dakota residential solar energy incentives

Renewable energy tax credit:

-This personal tax credit allows the taxpayer to claim an income tax credit of 3% every year for five years for expenditures including labor costs and installation of qualified residential solar-electric systems, solar water heating systems or biomass. Small wind-energy systems and geothermal heat pumps can also be accredited for.
-The excess amount of the federal tax credit may be carried forward to the next five taxable years if it exceeds tax liability.
-Systems must be new and meet all safely and performance requirements to qualify for this tax credit.

Geothermal, solar and wind property tax exemption:

-All geothermal, solar or wind energy device is 100% exempt from local property taxes.
-If these devices are part of a conventional energy system only the total amount of the renewable energy portion is eligible.
-This exemption may be claimed for up to five years from the installation date.

Net metering:

-Net metering is available to residents in North Dakota who have renewable energy systems or combined heat and power systems and are customers of an investor owner electric utility.
-If the customer has any net excess generation at the end of the month the utility will purchase the net excess generation from the customer at the avoided cost rate.
-Customers keep all renewable energy credits connected to the electricity their system generates.
-Systems must have a capacity of 100 kilowatts or less to be eligible for net metering.

Residential renewable energy tax credit:

-This personal tax credit allows the taxpayer to claim a credit of 30% of expenditures including labor costs and installation of qualified residential solar-electric systems, solar water heating systems or fuel cells. Small wind-energy systems and geothermal heat pumps can also be accredited for.
-Solar-electric systems and solar water heaters have a maximum incentive of $2,000 if placed in service before 2009. There is no maximum incentive for systems placed after 2008.
-The excess amount of the federal tax credit may be carried forward to the next taxable year if it exceeds tax liability.
-This can be carried forward until 2016, but after that, it is unknown if the unused credit will be able to be forwarded.

Residential energy conservation subsidy exclusion:

-This is a personal exemption of 100% of energy conservation subsidies provided by public utilities.
-The value of a purchase or installation of any energy conservation measure by a customer such as solar water heat, solar space heat or photovoltaics will not be included in the customer’s gross income.
-Customers of an electric utility company, who participate in the utility’s energy conservation program, may receive a rate reduction of electricity furnished or a nonrefundable credit against the purchase price of the electricity on each monthly electric bill.

Energy-efficient mortgages:

-This is a federal loan program where homeowners can use EEM (energy-efficient mortgages) to finance renewable energy technologies in a home.