2024 Oregon Solar Incentives & Rebates Available

Aerial of the Oregon coast with solar shining down through the clouds

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What are the Oregon Solar Incentives?

2024 Oregon solar incentives can come in the form of cash-incentives, tax breaks, grants, and other methods of compensation for installing new solar energy systems at your home or business. Some solar incentives are federally allocated while others are through the state or local government, utility companies, and so forth.

Oregon has some of the best solar incentives in the country that can help you reduce the upfront cost of installing a solar energy system as well as benefit you financially for the entire lifetime of the system. Let’s take a look at some of the best incentives in Oregon.

Aerial of the Oregon coast with solar shining down through the clouds

Pacific Power Solar Incentives Qualifications in Oregon

The Energy Trust of Oregon (ETO) provides rebates for Pacific Power (PP) customers. To qualify for these rebates, you must live in or own a business within the service area of one of this utility company and install a new solar energy system that uses warrantied, UL-listed equipment and is compliant with all standards and regulations.

The solar panel system must also be grid-tied, net metered (for residential solar customers), installed by an Energy Trust solar trade ally contractor (such as us at Precision Solar), and meet site requirements such as total solar resource fraction ratings. The rebate amount differs by company, so let’s break down the differences:

Pacific Power Solar Rebate Rate for 2024

Pacific Power now offers a flat $600 per projectFor those considering solar strongly, we recommend moving forward sooner than later as incentives will continue to drop over time. Contact us for the latest rate.

Solar Within Reach Program

Solar Within Reach program are unique Oregon solar incentives that is designed specifically for low-income residents in order to provide extra financial support and incentive to go solar. To qualify for this program, you must own a residence (single-family or multi-family), work with an ETO-approved contractor, and not exceed the program’s gross annual income limits based on how many residents are in your home:

  • 1 resident – $58,688
  • 2 residents – $76,744
  • 3 residents – $94,802
  • 4 residents – $112,860
  • 5 residents – $130,918
  • 6 residents – $148,976
  • 7 residents – $152,362
  • 8 residents – $155,746

This incentive is offered at a rate of $1.00 per watt and has a maximum allowed amount of $6,000 per residence.

ODOE Rebate for Solar and Battery Backup Systems

The Oregon Department of Energy offers a new battery rebate that applies to both standalone solar energy storage systems as well as systems that incorporate backup batteries. This rebate covers up to 60% of the net cost of installing your new solar energy system, up to $5,000 for standalone solar energy systems and up to $7,500 for systems that include batteries.

To qualify for this rebate, your solar installation must be installed on property that is completely within Oregon state lines, have a total solar resource fraction of at least 75%, and it must be purchased and installed by an ODOE-approved contractor.

 

The Oregon Department of Energy offers a new battery rebate that applies to both standalone solar energy storage systems as well as systems that incorporate backup batteries. This rebate covers up to 60% of the net cost of installing your new solar energy system, up to $5,000 for standalone solar energy systems and up to $7,500 for systems that include batteries.

To qualify for this rebate, your solar installation must be installed on property that is completely within Oregon state lines, have a total solar resource fraction of at least 75%, and it must be purchased and installed by an ODOE-approved contractor.

ODOE Incentive Guidelines For Low- Or Moderate-Income Families

100% Oregon State Median Income Guideline

30% Federal Solar Tax Credit

The federal investment tax credit allows you to deduct 30% of the total cost of installing your solar energy system from your federal tax liability amount. There is no cap on this credit and any unused credit can be rolled over to subsequent years as long as the program is still active.

The amount will be reduced to 26% and in 2033, 22% in 2034, and in 2035 and beyond there will be no more federal tax credit for solar unless congress renews it.

Residential Solar Tax Credit

  • Until 2032 – 30%
  • Year 2033 – 26%
  • Year 2034 – 22%
  • 2035 & Beyond – 0% (Unless Congress renews it)

Commercial Solar Tax Credit

  • Until 2032 – 30%
  • Year 2033 – 26%
  • Year 2034 – 22%
  • 2035 & Beyond – 0% (Unless Congress renews it)

Oregon Net Energy Metering allows you to sell excess energy that your solar panels produce to the utility grid and be compensated with credits on your account. This means that you don’t have to “use it or lose it” with your solar energy, but rather you can essentially bank your energy in the grid for later use.

Your utility company will install a special two-way meter at your home that will measure the flow of energy from the grid to your home and vice versa to determine what your net energy usage is each month – if that net amount is negative you will be compensated and if it’s positive you will pay the utility company for that amount.

a diagram of net energy metering in oregon and washington state

The United States Department of Agriculture (USDA) offers the Rural Energy for American Power (REAP) program which provides guaranteed loan funding and grants to rural small business owners and agricultural producers who earn more than 50% of their gross annual income from farming. Funding from this program can be used to implement new renewable energy sources or improve the overall energy efficiency of the farm or business by upgrading existing systems.

For example, funds can be used to install renewable energy systems that get energy from solar, wind, ocean, biomass, hydrogen, hydropower, or geothermal sources. Upgrades can include things like replacing HVAC systems, lighting systems, insulation, windows and doors, refrigeration units, or systems that currently rely on fossil fuels.

Grants can be between $1,500 and $250,000 while loans can be between $5,000 and $25 million. Applicants must be able to cover 75% of the project cost if they are applying for a grant and 25% of the project cost if they are applying for a grant or a combination of loans and grants.

solar farm blue skies sunny day

The Columbia River People’s Utility District offers a $1,000 rebate to customers who install a new solar energy system that is pre-approved, grid-tied, net-metered, and at least 1,000W in size.

Pacific Power Blue Sky Community Project Fund

Pacific Power also has a Blue Sky Community Project Fund that is amassed from voluntary payments by PP customers in order to have more sustainable energy projects in their communities. In order to be eligible for funding, projects must include wind, solar, geothermal, hydropower, ocean, or biomass energy generation, they must be interconnected with the grid, be less than 10 MW in size, non-residential, and locally owned.

Is Solar Worth It in Oregon?

It certainly is. Despite the PNW’s reputation for rainy and dreary weather, Oregonians actually enjoy long, sunny summer days as well as relatively mild temperatures year-round, which is optimal for solar efficiency. Plus, advanced solar technology can collect the sun’s rays even from diffused lighting, such as what we would experience on overcast days.

Additionally, the moderate temperatures mean that extreme heating and air conditioning won’t be necessary, so even a small to moderate solar energy system can be enough to significantly offset energy costs throughout the year. In fact, most Oregonians who install solar energy systems save money; an average of $800 per year on their electric utility bills.

Solar power will not only keep more money in your pocket, but it will also allow you to do your part to protect the environment by making the switch to a green, renewable, emissions-free energy source.

To help homeowners and businesses get started, we offer free quotes so you can make an informed decision. Get started today.

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