One of the biggest obstacles facing a homeowner attempting to implement solar power may be the starting cost. Solar panels produce more than enough power over their lifetimes to pay for the cost of acquiring and installing them, but paying for ten years or more worth of power at one time is a daunting financial task for the average homeowner. Solar tax incentives such as NJ solar incentives are designed to help reduce that burden through subsidizing or offsetting some of the primary cost.

The state leading the way in solar tax incentives is undeniably California. They started the California Solar Initiative. The initiative was signed by the governor in 2006, paving just how for a goal of 3,000 megawatts of solar generated electricity in that state by the program's end. It was the most serious program of its kind in the us. Other countries, for example Germany and France have a more robust system of rebates, incentives, and subsidies in place.

The most significant difference between European programs and the US solar tax incentives is that European countries implemented net metering. Net metering allows homes with solar, wind, or other alternative energy generators to remain connected to grid power. If those homes produce much more power during their productive hours than they use during their off hours, the power company must pay the homeowner for excess energy.

In the US, net metering has yet to take considerable hold, but when it does, it will offer just one more powerful purpose to go to solar power. Imagine if instead of a bill from your power company each month, you got a check instead!