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Grants for Solar Power for Homes in Louisiana

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    • Louisiana is a Department of Energy "Solar America City."Solar hoch auf dem dach image by DevilGB from Fotolia.com

      Options for Louisiana homeowners to get funding for solar power projects include federal grants in addition to state and local incentives. Solar power is not only better for the environment than conventional power sources, but is good for supplying power in emergency situations, when the electricity grid fails, something Louisiana residents know all about. Getting a grant involves understanding eligibility requirements and the application process. A 2006 National Renewable Energies laboratory study ranked Louisiana 12th out of all states in solar power potential.

    Rural Energy for America Program Grants

    • These grants help with up to 25 percent of the total costs in developing solar power systems. It is available to ranchers, farmers and rural small businesses that have financial need. U.S. Department of Agriculture Rural Development's website states the maximum grant is $500,000, with a minimum of $2,500.

      Simplified applications are available for solar project that have a total cost of less than $200,000. Check the USDA Rural Development website for a Notice of Solicitation of Applications for specific deadlines. Also contact the local Rural Development Office for more information.

    Solar Energy Property Tax Exemption

    • When appraising a home for tax purposes, attachments, equipment and upgrades required for adding a solar power system are not considered. This amounts to a 100 percent tax exemption for qualifying solar projects on Louisiana homes.

      Eligible solar power projects include passive solar space heat, solar water heat, solar space heat, photovoltaics and solar pool heating according to the Database of State Incentives for Renewables & Efficiency (DSIRE). For more information see the Louisiana Department of Revenue website or call at 225-219-0102.

    Solar Power Tax Credit

    • This tax credit is 50 percent--of the first $25,000--for buying and installing any solar thermal system or solar photovoltaics for your home or rental property. It can be combined with any federal tax credit but not any other state credits that may apply.

      DSIRE states that House Bill 858 made it so anyone who purchases and installs the solar power system can get the credit, not just the property owner. The summary of Louisiana Act 371 explains the requirements of claiming the credit in the same year the installation of the solar system takes place. It also states refunding excess credit "within one year of receiving the claim" is the practice of the Louisiana Department of Revenue.

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