How to Pay For a New Alternative Energy System 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.

Another opportunity is the new American Recovery and Re-investment Act of 2009. Renewable energy and the development of alternative energy products were given a big boost by removing "cost caps" from the 2008 alternative energy tax credit 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.

So how does all this help you? Simple: businesses that sell alternative energy or green products are more willing to negotiate price, the government is allowing for large tax credits, and energy costs are skyrocketing again. Together this means you can put something in place now to reduce your electrical bill that will last for 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).

This is a win-win situation for everyone involved. You get cheap electricity, the local business get installation contracts, the manufacturers sell a great product, the government gets payroll taxes and doesn't have to pay for unemployment, and the environmental impact has been reduced with the use of green products.

Michael

< Prev		Next >