New Jersey Commercial Solar
The secret that Commercial Solar Power has never had it so good until now is out. Let NJ Solar Electric show you how to get commercial solar power for free while at the same time make you an enormous amount of money!
COMMERCIAL SOLAR POWER IN NEW JERSEY
What makes commercial solar power so great in New Jersey? Well aside from being literally free and politically correct environmentally, it is a pure money maker. But how is this possible?
Our government treats solar power the same way it treats areas of disaster with urgency combined with massive levels of funding. The exception is that solar electric power is like the tree of the future that bears fruit today that is made of gold unlike some disaster hit areas.
In the gulf port for example, investors were given the opportunity to rebuild vast areas after hurricane Katrina hit by allowing them to depreciate Fifty percent (50%) of their investments in housing during the first year. These tax credits were then made retroactive for the investorsí previous Five (5) yearsí worth of tax liabilities, and for all future taxable earnings while at the same time, the rest of their investment returned to them over the next four years thus essentially making their investment in housing free of cost. Commercial solar investing was also given the same depreciation treatment up until the end of 2009, has since ended, but with its remaining extra incentives it is still relatively free of cost to the investor. Aside from being cost free, solar electric has this power to make investments in this area multiply quickly. It is a feat that is hard to beat by other forms of investments. NJ Solar Electric is in the solar business and is happy to introduce to you Commercial Solar Electric Power. We will try to explain in detail how investing in the solar arena is done.
Before we go on to the aspects of Commercial Solar financing please allow me to dwell on a little bit of the peripheral advantages of a solar installation. As a solar integrator, NJ Solar Electric can tell you that any money made by a solar system in electricity savings alone, not counting the massive amounts of cash produced by SRECís (Solar Renewable Energy Certificates) in the State of New Jersey has returned at least ten (10) fold the underlying value of the commercial Real Estate that hosts it. With a solar installation, you can also redirect part or all of the tenantís electricity bills to your bottom line while other commercial owners just watch as tenant dollars pass by on their way to the utility company. The sun generated electricity is free, and with utility grade meters you can also bill the tenant rather wasting it to the utility company. When solar panels are installed on rooftops, roofs last longer and require less cooling for the environment below; more money for the bottom line if you happen to pay for cooling. Also while the commercial Real Estate value of a solar equipped property increases in value, New Jersey does not allow its counties to tax extra for it. By the way, there is also no New Jersey state sales tax on solar equipment, and no one else can build a higher building than yours if it affects your solar system through shading. Typically solar panels are installed if not on the roof, but also on parking lots, and on south facing walls. The question you should be asking yourself is: why would a massive retail chain like Wal-Mart and others install solar? Please read on as we try to explain it.
Commercial Solar PPA:
With this type of PPA (Power Provided Agreement) a commercial property establishment that includes farms, manufacturing facilities, marinas, building owners, corporations, sellers, renters and leasers of all types of equipment and properties, etc., essentially anyone in the commercial sector, is not required to utilize its own funds. All they have to do is agree to have a solar system installed on their property for a given set of period, typically Fifteen (15) or more years. Arrangements can then be made so that a commercial owner can eventually claim ownership for this solar system free of charge at the end of the contract. We at New Jersey Solar Electric will design and build as well as act as a bridge with an investment bank to finance a solar system project. System maintenance becomes our responsibility. In return you get discounted electricity for the life of the contract and free electricity thereafter. In this scenario the investor reaps the tax benefit of installing the solar system and the cash it produces for the next fifteen (15) years by way of the clean energy certificates it generates.
Commercial Solar Leasing:
With Commercial Solar Leasing, the objective here is to maximize profit derived from a solar installation for the commercial property owner. This is the shortest path to solar system ownership next to an outright purchase. Again, NJ Solar Electric Corporation as the system integrator designs and builds this solar system and acts as a bridge to investment banking to help finance a project with no dollar size limit. Commercial solar power leases come in five (5) to seven (7) years lease terms, or longer with a balloon payment at the end if desired. At the end of the term, ownership can then be transferred for one (1) dollar so that the commercial owner can also begin to collect the substantial positive cash flow generated by this solar power system via the SRECís. Here the Investor initially owns the system and takes advantage of the accelerated depreciation offered by the government but can agree to offset the price of the solar system by allowing the thirty percent (30%) federal tax credit or grant to be deducted from it. Furthermore, the investor may allow the SRECís that the system produces be kept by the commercial owner even though the system itself has not been completely paid, or deducted from its system price to lessen the amount of payments needed for a quicker path to ownership. In the meantime the free electricity that this solar power system produces, and the increased value it enhances the property with can also allow the commercial owner to help leverage financing. All in all it is not a bad way to obtain solar ownership quickly using other peoplesí money. Please consult us regarding this type of financing arrangement.
Commercial Solar Purchase:
When a commercial property owner has the funds to purchase a solar installation on their own they are in an envious position. Federal tax laws that are in place allow them to reap the substantial tax equity; the SRECís generated by the solar system; and for outside of New Jersey, property tax abatements that pay for the solar system itself. Here in the State of New Jersey a commercial owner of a solar power system installed can deduct thirty percent (30%) from the price they paid for it by either a tax credit or a tax grant. Then they are able to depreciate it using an accelerated depreciation method:
For solar property placed in service after 1986, the current Modified Accelerated Cost-Recovery System (MACRS) property class is as follows.
Year Depreciation Rate for Recovery Period
After a solar system is in production it begins to generate SRECís and continue generating for the next fifteen (15) years. SRECís can trade in the open market at an average price of $500 each or more. On top of this, the commercial owner receives free electricity that it can charge to its tenants, plus an enhanced property value to boot. All thanks to a solar installation that can be attained for free after a short initial investment period.
We at NJ Solar Electric encourage all Commercial Owners to go with Solar Power now if their property has a flat roof or a southern exposure and room to install solar panels. NJ Solar Electric also installs solar parking islands, solar decks, solar street lighting, solar signs, solar farms, and others. The NJ State rebate has already been completely eliminated, and the Federal Government's fifty percent (50%) first year accelerated depreciation removed, why wait until all government subsidizing have ended? Get your free commercial solar power while it is still essentially free!
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The NJ Solar Electric Corporation also has clientele that are non-profit and can use a donation of free electricity. If you are in a position to give to a good cause, then you are also in a position to reap the bulk of the benefits offered by the United States Government and of our home States for clean renewable solar energy.