How to Fund Alternative Energy Systems for Your Home or Business

In this edition of Green Products, let’s turn to financing. Many people are going through some hard times and some not so hard. You still want to go green in every way you can, but affording it right now may not be as easy as before. After taking a hard look at this challenge, here are some thoughts:

The first place to look for incentives is the manufacture. They are a business, and they are influenced by the economic downturn just like everyone else. They need to turn inventory to stay in business and that is why some are offering price reductions and rebates on green products.

The next incentive to look at is the one that began on February 17, 2009 when President Obama signed into law the American Recovery and Re-investment Act of 2009. This new law set aside money in the form of tax credits to offset the cost of installing alternative energy systems and green products.

With this new law in effect you can realize a 30% tax credit when you install an alternative energy source in your home or business. If you own a small business, you also have an option to get cash in the form of cash grants instead of the tax credit.

Third – what about your energy cost savings? Spending money on green products during this time may make more sense than you think. With businesses willing to negotiate, tax credits and a reduction in your energy costs, you are putting money in the bank over the long haul. If you plan well, your investment could pay for itself in months, not years.

Finally, many states have a variety ofl incentives in place, including tax credits, rebates, and even buy-back or cash reimbursements when you have negative energy usage (that is, you produced more energy than you consumed, and have added power to the state’s power grid).

We all win by reducing our dependence on foreign oil, reducing emissions, reducing your carbon footprint and a reducing your environmental impact. A final upside is you help keep contractors working, businesses producing green products and reduce the loss of jobs.

Michael