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IF YOU CAN, INVEST IN SOLAR, EFFICIENCY AND CLEAN ENERGY SOLUTIONS BEFORE THE END OF THE YEAR

  • Writer: New Energy Economy
    New Energy Economy
  • Jul 14
  • 3 min read


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There is no doubt that the recently passed Big Bad Bill will negatively impact the speed of our transition to clean energy. Last year 90% of new energy generation built in the US was renewable. It is no wonder that fossil fuel companies are pulling out all the stops to preserve their market share. But economics will ultimately prevail.


Lazard, a global financial advisory and asset management firm analyzed the levelized cost of electricity across fuel types in June and found that new-build utility-scale solar, even without subsidy, is less costly than new build natural gas, and competes with already-operating gas plants. Utility-scale solar with battery storage co-located ranges from $0.05 per kWh to $0.131 per kWh, while natural gas peaker plants are far more expensive at $0.138 per kWh to $0.262 per kWh, accounting for a plus or minus 25% fluctuation in current gas prices. The report concludes that renewable energy will continue to play a key role, and that "This is particularly true in the current high power demand environment, where renewables stand out as both the lowest-cost and quickest-to-deploy generation resource.” 


The solar industry is not throwing in the towel, and neither should we. If you've been thinking about solarizing your house, buying an electric vehicle or investing in energy efficiency projects like heat pumps or upgraded windows, now is your moment to act. You can reduce your own fossil fuel consumption, save money, support local solar companies that are facing new headwinds, and poke a finger in the eye of the fossil fuel industry simultaneously!


Important facts to know:

  • The credit for new electric vehicles ($7500) and for some used electric vehicles ($4000) will expire September 30th.

  • If you're planning to install heat pumps, windows, or take other energy efficiency measures, most of those tax credits expire at the end of the year.

  • If you own a business or non-profit, or work at a school or city government agency and want to install solar OR you want to lease a solar array for your home, you could qualify for up to 60% investment tax credit (48E) if the project is under construction by the end of 2025.

  • The residential credit (25d) for rooftop solar will expire Dec 31st 2025, so your system must be fully installed by January 1st to save 30% on your total cost. If you qualify for certain low income or environmental justice community credits you could save even more if the project is done on time.


Current installation timelines in New Mexico range from 3 to 6 months, depending on permitting and utility interconnection. With demand rising, wait times are growing. Signing a contract now is the safest bet to ensure your system is online in time to lock in the full credit. Solar system costs in New Mexico average about $2.90 per watt. A typical 6–8 kW system ranges from $17,000–$24,000 before incentives. With the federal credit and New Mexico’s 10% state tax credit (up to $6,000), the net cost can drop significantly. We recommend reaching out to a reliable local solar installer like Positive Energy Solar today!


Rooftop solar doesn’t just benefit individual households; it also strengthens the electric grid. By reducing peak demand and generating power locally, distributed solar makes the entire system more resilient and less dependent on costly fossil fuel infrastructure. Distributed generation also shifts the balance of power, removing the dependence on a utility that controls pricing, policies, and infrastructure. It keeps energy dollars local and supports a decentralized, more democratic energy system. When paired with battery storage, the benefits multiply.


The bottom line: If you’re thinking about solar, or advising someone who is, don’t wait. Encourage friends, neighbors, and family members to act now.


Not in a position to invest in solar, an EV or efficiency right now? Never fear, there are policy fixes that we can promote on the state level to dramatically reduce the cost of rooftop solar in spite of federal policy. In Australia streamlined automated permitting and other policy fixes helped rooftop solar expand from 7% to 33% of rooftops nationwide in just ten years. With the right policy fixes we could reduce the cost of rooftop solar by more than 50% despite the best efforts of fossil fuel companies.


WE CONTINUE TOWARDS SOL FOR ALL!

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