IRA Beyond the Tax Credit
We’ve talked a lot about the Inflation Reduction Act’s increase and extension of the solar tax credit, but what other benefits are there?
HEERA: High-Efficiency Electric Home Rebate Act
In addition to receiving 30% back on solar installations, HEERA offers up to $14,000 per year in discounts for low- to mid-income households for purchases of electric appliances. You can receive rebates for heat pumps for heating and cooling (up to $8000), electric stoves (up to $840), and insulation (up to $1600). Medium-income is defined as up to 150% of the local median income, and low-income includes households making less than 80% of the median income.
HOMES: Home Owner Managing Energy Savings
Everyone qualifies for this rebate program based on the amount of energy saved by household upgrades. This includes adding insulation, upgrading old windows, and using more efficient appliances. You can receive $4000 by cutting 20% of household energy costs, and up to $8000 for cutting use by 35%. Low- and medium-income households may qualify for twice those amounts and can be eligible to have 80% of project costs covered.
(Both HEERA and HOMES are expected to be implemented in 2023, and last through September 2031).
SEMA: Solar Energy Manufacturing for America Act
Is it possible for 30% of the United States’ energy generation to come from solar by 2030? SEIA says yes! Some of the money set aside for tax credits in the IRA include manufacturing production credits. Domestic solar manufacturing will cut down on shipping and associated environmental costs, create jobs in the United States, and will reduce our reliance on fossil fuels and foreign energy.