LAS VEGAS (KTNV) — The 30% federal home solar tax credit is coming to an end this year, causing a surge in demand as homeowners rush to install systems before the December 31 deadline.
Local contractors Las Vegas are experiencing an uptick in demand while preparing for industry changes once the incentive expires.
VIDEO: Geneva Zoltek speaks to a local contractor on the uptick in solar and how to avoid scams
"Hundreds of people are calling. It's just kind of off the charts, so we're manning up. We're working extra hours and we're having fun," said Rob Kowalzik, president of Robco Electric.
Kowalzik's company handles the entire solar installation process from sales to warranty. "We're just one stop shop," he said.
But the looming deadline has created uncertainty in the industry. "It's this big peak, but that unknown come December 31st, there's uncertainty there, so we're kind of like, okay, what's next?" Kowalzik said.
Residential solar has not been an industry without controversy and scams, and Kowalzik said he urges his customers to do their research.
"There's a lot of bad actors out there that really can ruin a good thing. We see a lot of companies coming in from all over the country with just some really harsh sales tactics and all I would say is just do your homework," he explained.
For homeowners considering solar installation before the deadline, the Nevada State Contractors Board recommends the following:
- Be cautious of unsolicited door-to-door sales
- Verify contractors have proper Nevada licensing
- Avoid pressure to sign contracts immediately
- Don't wait until the last minute, as systems must be certified and operational by year-end
According to Kowalzik, the solar industry could get backlogged in the coming months due to demand, and procrastination is not a good idea, as the certification process takes at least 20 business days.
"What we know of right now is your system needs to be fully commissioned [by the deadline], so that means NV Energy has to come out, change out the bidirectional meter. You gotta have your building department inspections, which allows NV Energy to swap out the meter, but you have to, as a homeowner, you gotta get your paperwork turned into them as well," he explained.
While solar energy will remain a viable option after the tax credit expires, the financial equation will change significantly.
"You can get solar later on, you're just gonna miss out on the sale. You know, the 30% federal tax sale," Kowalzik said.
Previously, I spoke with resident Lyn Twitchell, who told me his home solar system — which he acquired with the federal tax credit — helped his bottom line.
"It's been a good experience for us to only have an NV Energy bill of less than $10 a month," he said.
He believes the investment will continue to pay off as energy costs rise.
"They say it goes up and down, the cost per unit of power. In reality, it's gonna go up," Twitchell said.
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