Alternative energy development and investment expertise to meet the complex demands of solar energy projects in Massachusetts
Cape Cod Renewable Energy Initiatives
Benefits of Solar Installations in Massachusetts
Third-Party Investor Lease Financing
Tax Credits, Deductions and Exemptions
Basic Green Energy Economics
Commercial solar projects provide returns in the range of 15-20% IRR and higher, dependent upon the owner’s use of 30% investment tax credit and five year depreciation. Alternatively, lease purchase packages can be arranged which are cash flow positive in year one without any cash outlay. The Salt Works Energy team arranges financing and the placement of solar green energy credits. State incentives provide green credits in the range of 20-25 cents per kilowatt hour over ten years.
Net metering allows customers of certain electric distribution companies in Massachusetts to generate their own electricity in order to offset their electricity usage. Consumers receive credits for any electricity that they generate but do not use. For more information, visit the Commonwealth of Massachusetts Net Metering website.
Solar Tax Deductions and Exemptions
“In the state of Massachusetts, businesses may deduct from net income expenditures paid or incurred from the installation of any "solar or wind powered climatic control unit and any solar or wind powered water heating unit or any other type unit or system powered thereby," including labor expenditures.
Massachusetts law also exempts any "solar or wind powered climatic control unit and any solar or wind powered water heating unit or any other type unit or system powered thereby," that qualifies for the state’s excise tax deduction. The exemption is in effect for the length of the system’s depreciation period.