Frequently Asked Questions
What is the 26% Federal Tax Credit?
The solar Investment Tax Credit (ITC) is a 26% federal tax credit for solar systems
placed in service prior to 1/1/2023. The credit is a dollar for dollar reduction in the
income taxes of the claimant. The value of the ITC is an estimate and is not
guaranteed. You should consult your tax advisor to determine your eligibility.
What is Net Metering?
Net Metering enables residential customers who generate their own electricity to
pump excess electricity back to the utility's power grid. All electricity not used by
the home and sent back to the grid is credited at a 1-1 retail rate. The utility
effectively becomes a built-in battery for the solar system.
Will I still receive an electric bill from the utility if I have solar?
Unless your solar energy system is outfitted with battery storage and you are
completely off the grid you will still receive a bill from the utility. That being said,
you can reduce your bill significantly or even lower the total amount to $0 when
the solar system produces as much electricity as your house consumes.
Does my solar system produce electricity when the sun isn’t shining?
The amount of solar power your system generates depends on the level of sunlight
it is exposed to. Thus, your solar panels will produce slightly less power on a cloudy
day than a sunny day and no energy at night time. Our solar designers utilize a
sophisticated program that looks at 50 plus years of weather data to determine the
estimated average amount of solar a homeowner can expect in a year.
Does my solar system work if the utility power is out?
All of Palmetto’s systems are connected to the grid, if the grid is down then your
solar system will shut off. Your system is shut off to prevent it from sending
electricity to the grid where utility workers could be injured by the electric