Agriculture plays an important role in Idaho. According to the state department of agriculture, Idaho agriculture is the “single largest contributor to Idaho’s economy, accounting for 18% of Idaho’s total economic output.” If you’re a farmer or own an agricultural business, you know how important sunlight is. You’ve also most likely experienced the struggle of high operating costs. Switching to solar is a great solution if you’re looking for a cost-effective way to power your agricultural business. Here are some benefits and things to consider when switching to solar.
Solar Power for a Brighter, Cleaner Future
As a farmer, you care for the animals you raise and the land you cultivate. Sustainability practices in agriculture allows you to work with the natural resources around you, benefitting the environment. There is an abundance of sunshine in Idaho, and switching to solar is a great way to take advantage of this natural resource. As you switch to solar, you are contributing to a brighter, cleaner future.
Lower Your Energy Bills
As a farmer or owner of an agricultural business, your power bill may fluctuate each month. By switching to solar, you’ll know what to expect when it comes to your power bill. An example of how switching to solar can reduce costs is on a dairy farm. On a dairy farm, up to 40% of the energy is utilized for water heating. A solar water heater can reduce heating costs up to 85% each year. Additionally, when using solar, you won’t be tied to power companies that can raise your energy bills due to inflation.
Generate Clean Energy
Along with lowering your energy bill, switching to solar will allow your farm to potentially generate large amounts of clean energy. This clean energy can help power irrigation systems, lighting, and heating on your farm. Switching to solar will also potentially allow you to sell unused electricity to the local power grid.
Solar Incentives for Agricultural Businesses in Idaho
Installing solar for your business is an investment that will pay for itself over time by saving you money on electricity bills. Agricultural businesses in Idaho have solar incentives.
- One of the incentives is the Business Energy Investment Tax Credit (ITC). This incentive provides a tax credit of 10% or 30% for eligible renewable energy systems and technologies installed on farms, such as solar panels. The credit can help offset the cost of installing solar.
- Another incentive is the USDA – Rural Energy for America Program (REAP) Grants. The USDA Rural Energy for America Program (REAP) Grants provide funding for solar energy projects on farms and rural businesses. These grants can cover up to 25% of the total project costs for installing solar, helping to reduce energy expenses and promote clean energy.
- An additional incentive is the Modified Accelerated Cost-Recovery System (MACRS). MACRS is a tax depreciation method. It allows faster recovery of the cost of renewable energy systems like solar panels, encouraging investment by offering quicker tax benefits.
Power Your Agricultural Business in Idaho With Solar
Solar is an investment in the future of your agricultural business, and we are pleased to offer financing options to help your project get started as soon as possible. If you’re interested in learning more about how solar can benefit your agricultural business in Idaho, reach out to Magic Solar today.