Adding solar panels and switching rate plans can lower your Alliant Energy electric bill
Updated: October 22, 2020Installing solar panels can help reduce your Alliant Energy bill, thanks to Florida’s sunshine and the company’s net metering program! Combined with the 30% solar tax credit, KUA customers can see great savings when they switch to solar!
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Solar panel cost calculator
Are solar panels worth it for Alliant Energy customers?
The answer is, absolutely. With a state tax credit for home solar, Alliant Energy’s strong net metering policy, and sales and property tax exemptions available, solar panels make a whole bunch of sense in Iowa, especially for Alliant Energy customers! Alliant Energy’s net metering ensures you get credited on your power bill for the excess solar electricity your panels produce. Your credits roll over to the next month’s bill.
Does Alliant Energy offer net metering credits for exported solar power?
Yes, Alliant Energy offers net metering credits.
Under the Alliant Energy net metering program, solar panels will first send energy to your home. Any excess solar energy is sent to the grid and purchased in the form of a bill credit. The credit value is determined by the Tri-Party Net Metering Power Purchase Agreement. KUA customers are billed for all of the electric energy delivered to them by the company.
What incentives, tax credits, and rebates are available to Alliant Energy customers for installing solar?
The biggest financial incentive for solar homeowners is the 30% federal solar tax credit. The tax credit equals 30% of the solar installation costs and directly reduces your federal income tax liability.
Some states and local governments offer additional solar incentives. These incentives include state tax credits, rebates, or performance-based incentives like Solar Renewable Energy Credits (SRECs). The best part is that these local incentives can be used in addition to the federal tax credit!
Here is every incentive you may be eligible for as a Alliant Energy customer:
Table 1: Incentives
| Upfront Incentives | Value* |
|---|---|
| Residential Clean Energy Tax Credit (Federal) | -$8,948 |
|
Net Metering
(State)
State law requires utilities to offer compensation for net excess generation. Utilities can offer a cash out where remaining excess generation is credited at the avoided cost rate or customers can receive kWh credits that can be carried over to offset costs. |
Varies |
|
Property Tax Exemption for Renewable Energy Systems
(State)
100% of assessed value of solar system is exempt from homeowner's property taxes |
Varies |
|
Renewable Energy Equipment Exemption
(State)
State law prevents the addition of sales and use tax on solar equipment. |
Varies |
| TOTAL | -$8,948 |
*Based on 12.74 kW system, average installation cost $29,828
How much does installing solar panels save the average Alliant Energy residential customer?
If you input the details for a Alliant Energy customer with a power bill of $300 per month into the best online solar panels calculator, it tells you that you need a 12.74 kW solar system that will produce 16,757 kWh per year and that this system will return the owner a $42,787 profit after repaying the cost of the system.
The solar savings possible for you as an Alliant Energy customer will depend on the amount of electricity you use and the cost of the solar system you buy. Savings also vary based on the direction of your roof or any shading of your roof that affects output.
Here is a monthly and lifetime solar savings estimate for the same relatively typical Alliant Energy customer with a $300 per month electric bill prior to solar and who installs a 12.74 kW solar system.
How much do residential solar panels cost for Alliant Energy customers?
Solar prices near you
Net profit (savings less system cost)
$41,185-$50,337
Payback period
8.9-10.9 years
Recommended size for the selected utility bill
13.6kW
Solar panel cost calculator
Detailed information about your estimate
Table 2: Estimate details
|
System Size (for 100% usage offset) 12.74 kW |
|
Annual Power Generation 16,757 kWh |
|
Pay-back time (assuming Cash purchase) 9.2 Years |
|
Internal Rate of Return (IRR) on Investment 6.6% |
|
Gross cost $29,828 |
|
Total Upfront Incentives and Rebates -$12,756 |
|
Net Cost of System after rebates and incentives $17,074 |
|
Total Cost of Utility Power Avoided over 25 years $59,861 |
Please note that the investment return figures do not include the possible increase in property value.
What are the environmental impacts of Alliant Energy customers installing solar panels?
While most homeowners decide to install solar panels because of financial savings over time, the environmental impacts of this choice are the primary motive for others. Here is a breakdown of the environmental benefits from an Alliant Energy customer installing a 12.74 kW solar system on their property:
A solar system generating 16,757 kWh per year will save you money AND make the world a nicer place
Saves you
$1,711
on average per year
Reduces CO2 emissions
8.29
tons per year
Equivalent to planting
58 trees
per year
Equivalent to driving
18,350 mi
less per year
CO2 emissions calculation based on the electricity generation and emissions data for your state in 2015 as published by the US Government Energy Information Administration.
What factors affect the price of solar panels for Alliant Energy customers?
The cost of installing solar panels will vary with brands of solar panels and inverters you choose and also the installation company you choose to install them.
It is common to see really good systems, using quality brands of equipment, being sold for around $2.34 per watt or $17,074 for a standard 12.74 kW solar system after the customer claims the 30% federal solar tax credit.