In the early 2000s, Massachusetts was one of the leading states in the initial solar energy revolution that began sweeping across the United States. The industry has grown tremendously since those early days and Massachusetts continues to be a pioneer, ranking in at No. 6 for Solar Growth and often providing some of the most aggressive payback period for homeowners in any state.
While many other municipalities have joined in and are now embracing solar, Massachusetts continues to promote the technology and experience some of the highest growth due of positive public policies and a solar friendly grid which helps promote renewable and other forms of distributed power.
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In Massachusetts alone, over 14,582 residents identify as being involved in the solar energy industry within some capacity. MA is home to over 500 companies and estimates claim these numbers may double over the next 5 years. Because of install and equipment price declines of nearly 55% over the last 5 years, the regions solar production is quickly approaching 2,000 MW of generating power. In fact, it is estimated the growth will continue to increase at an increasing rate and quickly top over 3,000 MW of capacity within the next few years.
*Image source: seia.org
Massachusetts legislatures recently debated some of the issues that accompany such explosive growth and are currently looking at ways to address the explosive growth. Currently there are minimal effects on the public utility grid, however, officials are concerned that as the State approaches 3,000 megawatts, a majority of energy might be installed in places where the grids are not able to handle such large amounts of energy generation. This would be due to an excess of energy being produced which is higher than the current demand.
Unlike other solar states, Massachusetts' summer climate is much milder than southern states and this issue remains a great concern, especially in the higher elevations of the State and along the coastline. Comparatively, these areas require less energy usage during hot summer months when solar produces a bulk of energy. Energy events are less common which means the supply of energy might exceed the grid’s capacity to carry the energy outside of localized areas.
This can cause grid strain and utilities are looking to enact measures that give them the authority that temporarily suspends net metering in order to prevent overcharging of power lines. (*in southern states, energy usage spikes higher during hot summer days than in these effected areas- these are called “events” and oversupply has a higher threshold).
If you are considering solar today, do not let this deter you. In fact, 2018 is expected to be one of the best years for solar in Massachusetts and local legislators are hoping for this to occur. In 2016 the Legislature and Governor passed An Act Relative to Solar Energy in order to continue promoting a homeowner’s ability to install solar on their home. This legislative action raises the cap of solar energy allowed in the State to the maximum load that the grid may handle (raising from 5% to 8% of total state energy usage coming from Solar Energy). The act was passed with a bipartisan measure which recognizes the positive effects that solar energy has on both the environment and economy of Massachusetts, especially smaller town or suburban area surrounding Boston.
If you are considering Solar Energy on your home, and live in Massachusetts, below is a list of the various benefits, laws, and incentives to take action now. As the State approaches the 8% threshold, many of the economic benefits may be reduces so therefor, we recommend speaking with a licensed solar expert to consider taking action as soon as possible.
These incentives can be combined with several Federal Programs that include the same 30% tax credit that many homeowners are currently allowed to take.
As one can imagine, Massachusetts is a very serious state when it comes to cleaning up the environment and promoting the use of renewable and distributed energy products. As the State approaches the 8% limit, many of the programs are set to be reduced or simply expire, making 2018 to be the year of solar according to several industry insiders.
When you combine these incentives with the low cost of installing solar and various financing options, there are several scenarios where solar will make the best sense for Massachusetts homeowners.