A deadline to claim federal tax incentives for clean energy installations is fast approaching.
That 30% federal tax credit expires on December 31st due to provisions found under President Donald Trump’s One Big Beautiful Bill Act, which was signed into law earlier this year.
The expiration of those tax credits is leading to residents trying to get installations in under the wire, and some are being turned away.
“We’re already hearing from some customers that have reached out to some installers that have already said they’re not taking any more installs that are going to be guaranteed to be installed this year,” said Dorian Breuer, who owns Ailey Solar.
Breuer, who says calls to his company have increased by two to threefold, says over time, customers can see big savings on their energy bills by switching to solar.
“The general number is around 80% over the lifetime of the solar system, which is 25-30 years,” he said.
Breuer and others in the industry are concerned fewer people will turn to rooftop solar because of hefty upfront installation costs.
Sean Gallagher, the Senior VP for policy at the Solar Energy Industries Association (SEIA) says the initial expense is around $25,000.
“The tax credit would shave off 30% of that cost, and the customer could either save that right up front if they’re going to buy the system, or they could save it over time if they’re going to lease the system,” he said.
Gallagher fears the elimination of the credit will also lead to lost jobs in the industry.
Illinois ranks 13th in the country for solar jobs, according to SEIA, with 336 solar companies and 5,975 jobs across the state.
Demand for electricity across the country is growing, in part due to new artificial intelligence data centers and manufacturing facilities.
Abe Scarr, the director of Illinois PIRG, says renewable sources are the cheapest and quickest way to meet growing demand. He also notes the social benefits to going solar.
“We don’t have to necessarily invest as much in grid upgrades if we have to deliver less power to a neighborhood because a number of households are generating their own power. Our electric utility may need to pay less for grid upgrades, which we all pay for through our utility bills,” said Scarr.
When federal incentives expire in December, there are still ways to save money or get reimbursed for switching to solar in Illinois.
Illinois Shines provides a list of reputable installers and information about how solar works and available incentives.
Commonly asked questions about solar:
NBC 5 Responds took some of the most common questions about solar energy to Ailey Solar.
What is the average yearly maintenance cost to residential rooftop solar?
No maintenance is really required. In our view, it’s a good idea to see if you can look under the modules (even from the ground if possible) to check to make sure no critters are creating any nests under there – so that’s something to try to do annually.
You can also monitor your system online and report anything you notice to your installer. They can book a service call to check it out (this usually starts with the office review of the data, which may be all that is needed).
How resilient are the panels to extreme weather?
The modules are designed to withstand extreme snow and freezing temperatures – and most modules can withstand all but the most extreme of hail events. An extreme and rare hail storm may damage the modules, but it is a remote possibility. Ailey Solar has installed over 30,000 solar panels in the Chicagoland area in our company’s history, and we’re not familiar with any cases where local hail storms have created any damage.
Are solar panels covered under insurance?
Homeowners insurance policies should cover solar systems installed on the home – but it is a good idea to confirm with one’s insurance company. The homeowner should confirm that hail damage will be covered, for example, as well as the possibility of critter damage to the system.
Is there an average number of sunny days per year needed to make switching to solar worthwhile for homeowners?
In the Chicagoland area, we have plenty of sunny days (or sun-hours per year) – even accounting for the winter and snow, as well as cloudy and rainy days. Some key drivers for the cost-effectiveness of residential solar include: a) if the south, east, west roofs are shaded by trees or other obstructions like buildings, b) if the roof doesn’t have enough unobstructed areas on the roof to attach groups (arrays) of modules, or if the roof space itself is small.
While some homeowners find out solar is not for them, mostly due to shading or having too small a roof or available solar space, but we find the vast majority of homes do get enough sunlight and have enough space to make a solar system worthwhile.
The good news is solar installers are happy to help interested homeowners out and run a design on their roof to let them know if it will be worthwhile for them – all for free for the homeowner.
And if the homeowner’s roof isn’t suitable for solar, then the homeowner can always choose Community Solar as a great way to participate in greening your energy source while at the same time saving money.
(Except for the headline, this story has not been edited by PostX News and is published from a syndicated feed.)