Alternative Energy Incentives

Alternative Energy Incentives

So what's the deal with alternative energy? We have a vague idea that these types of enhanced natural resources can save our planet, but we also have heard that alternative energy may have some disadvantages that may not be as talked about as they should be.

The fact is alternative energy encompasses a myriad of sub-topics that include wind, water, geothermal, nuclear, and more.

Many think wind is safer than nuclear. But many think just the opposite. The truth is there is so much great information about all these energy forms that you can make your own informed decision. And while you are gathering facts why not take into account some incentives that are available if you use certain types of energy.

Alternative Energy Incentives / Why do we do what we do?

Why do more and more people and commercial organizations these days prefer energy sources, such as solar, wind or biofuel alternative energy to the conventional fuels, such as oil and gas?

As a matter of fact, their motives can be different: someone may just want to contribute into the noble worldwide movement to save the environment for the next generations, others may just follow the fashion buying green products and filling ethanol instead of gasoline into their vehicles…As a matter of fact, it is not so important why you vote “green”, the crucial point is that you do make some efforts to make your life more eco-friendly and 'greener.'

However, the truth is that currently green products and green energies are still more expensive than their traditional counterparts.

This is explained by more complicated technologies, which are necessary to produce energy from sun or geothermal wells and bring it to your house. In order to overcome this financial obstacle and make alternative energy more affordable for greater amount of people, a number of incentives were developed and started during the past years in the USA, as well as in many other countries throughout the world.

Alternative Energy Incentives / Which type of incentive is right for you?

Alternative energy incentives mainly refer to tax credits, rebate programs, net metering and other financial tools, offered for residential, commercial or government sectors. Incentives may vary between states and territories, or may cover the whole country (federal alternative energy incentives).

In addition, incentives are usually focused on particular type of green technology, for example, some programs offer rebates on solar system installation, others allow tax credits for using renewable energy from wind power stations, etc.

There are a great variety of alternative energy incentives in the USA. For example, Residential Renewable Energy Tax Credit is a federal personal tax credit program, which covers solar energy systems, solar water heaters, wind turbines, geothermal pumps and fuel cells.

Those who choose to install any of the mentioned systems in their households may claim a credit of 30% of qualified expenditures (labor costs for onsite preparation, assembly and system installation).

Alternative Energy Incentives / Biofuel Programs Available

According to Biodiesel Income Tax Credit program, a taxpayer that delivers pure, unblended biodiesel (B100) or uses B100 as an on-road fuel in their trade or business may be eligible for an incentive in the amount of $1.00 per gallon of biofuel, agri-biodiesel, or other form of diesel fuel, produced from renewable sources.

The users of alternative vehicle fuels may, in their turn, claim a tax credit of up to 30% of the costs of appropriate equipment installation (Alternative Fuel Infrastructure Tax Credit).

Those, who would like to receive a loan for alternative energy project, should review Clean Renewable Energy Bonds (the loans are issued at 0% interest rate, at least, theoretically). In order to find details on the incentives available in the USA, you may visit the website “Database of Incentives for Renewables & Efficiency”.

Europe Offers Feed-In Tariffs

Feed-in Tariffs, implemented in Europe, Australia and now in the USA, is another example of alternative energy incentives. Feed-in tariffs, in fact, do not offer any financial benefits, - this is a way to provide people with an opportunity to choose a particular amount of clean energy (produced at solar or wind power plants and supplied to households via conventional electric lines) and pay for it.

Alternative Energy Incentives / Sources

http://www.dsireusa.org/
http://www.afdc.energy.gov/afdc/progs/fed_summary.php/afdc/US/0
http://www.thegreenpowergroup.net/policy.cfm?loc=eu

For more information on the alternative energy follow these links:

Alternative Forms of Energy

History of Alternative Energy

Alternative Energy Vehicles

Alternative Energy Companies

Importance of Alternative Energy

Disadvantages of Alternative Energy

Alternative Energy Australia

Alternative Energy for Kids

Key Facts on Biofuel Energy