The Truth About Free Solar Panels in Florida

Finding a company that provides "free solar" could seem like an excellent choice, but in the future, it may reduce your savings and even make you less of a believer of renewable energy.

"Free solar" offers normally refer to power purchase agreements (PPAs) or solar leases. These setups allow you to install solar panels for no cost up front, but you won't be qualify for most solar incentives or really own the system. In most cases, the best option if you want to avoid paying anything upfront is a zero-down solar loan.

Can You Get Solar Panels for Free in Florida?

Some companies typically refer to solar leases or PPAs when they offer "free solar panels" or "no-cost solar programs." With the help of these offers, a solar provider can install panels on your roof without requiring any upfront payments for registration, installation, or upkeep. It sounds fantastic—you get clean electricity and can even flaunt your rooftop solar panels.

In fact, the system isn't technically your own. The solar company controls the system and you pay them for the electricity it produces under solar lease agreements. On your roof, the company set up a small power plant, and it is selling you the electricity. They're essentially another utility company.

Most of the offers will lower the cost of energy, but not as much as if you had the system. You may find yourself consuming more than you do now for electricity if you don't pay attention to the details.

Some companies offer free solar just for your information. These paid Google ads claim "free solar," "no cost solar," and "government funded solar energy." Get a look. All of them are deceiving marketing. Anytime you click on one of those advertisements, a page asking personal information—including your phone number—is shown before you can see the details of the offer.

Even though no money down offers an initial allure, these offers frequently have high interest rates and possibly disadvantageous stipulations, like prepayment penalties. This can reduce your financial flexibility and bring about higher overall expenses. Because solar energy has many benefits it's necessary to be aware of the common scams used by some solar service providers:

Power Purchase Agreements (PPAs) and Solar Leases

As these agreements can involve minimal or no upfront costs, they could be attractive. They can, however, bind houses to contract terms that could lead to higher prices, restrict who owns the solar system, and make it more difficult to take advantage of future savings or improvements in technology.

Financing with No Down Payment

Zero-down financing alternatives may be appealing, but these options often come with hidden costs such as high interest rates and penalties for early repayment. This may lead to increased total expenses and less financial adjustability. Before selecting a decision, it's necessary to carefully go into every contract to understand all the cost of ownership.

The Reality of Solar Panel Costs

While the sustainability of energy savings and green benefits are offered by solar panels, considering the real costs of the set up is necessary for making a good decision.

1. Initial Costs

In Florida, installing a solar panel system requires an expensive upfront cost. The price range varies based on the size of the system, quality of the panels, and complexity of the installation, from $10,000 to $30,000 or more. 

2. Factors Increasing Price

• System Size: Of course, larger systems with higher electrical power come at more cost.
• Panel Quality: Since they are more expensive, high-efficiency panels offer better performance and a longer lifespan. 
• Installation Complexity: Local regulations, accessibility issues, and roof type may affect worker costs.

3. Credit from Federal Solar Energy

One beneficial instrument to lower initial costs is the federal solar tax credit. But you need to keep in mind that this credit is subject to change and may not be available in the future.

What Is A Solar Power Purchase Agreement?

Often, no-cost or zero-down solar programs are usually solar power purchase agreements or leasing programs. In these arrangements, a company installs solar panels at a residence, covering the associated costs. The homeowner, in turn, leases the system. This enables a switch to solar without upfront costs, but it comes with significant drawbacks.

For instance, homeowners in these programs cannot claim solar tax credits nor benefit from increased property value, as the panels are not theirs to keep upon selling the house. While technically “no-cost,” these programs do not offer substantial benefits to Florida homeowners.

Benefits of PPAs

1. No initial costs: The fact that a PPA saves you from paying for the solar panel installation is one of its main advantages.
2. Energy savings that are promised: PPAs may offer a guaranteed rate for the power that comes from the solar panels, meaning consistent costs for energy.
3. With no maintenance: Often all repairs and maintenance are provided by the solar company.

Cons of PPAs

1. Lack of ownership: Since you do not own the solar panels, you are not allowed to get benefits of ownership , such as tax credits or an increase in the value of your house.
2. Not being able to claim tax credits You are not able to benefit from state or federal solar tax credits because you do not own the system.
3. Potential of increased long-term costs: Since you could save money on power, a PPA can end up costing more in total for the contract than buying the system completely.
4. Limit control: Compared to owning the system, you have little impact on how well it works.

Will The Federal Government Pay You To Go Solar?

Although solar panels are not given away by the government, there are some excellent incentives available to assist offset the cost. You could benefit from offers like the Federal Solar Investment Tax Credit (ITC) if you own the solar panel system. About "free" solar programs or PPAs, it's necessary to keep in mind that the solar installers—rather than you—are the rightful owners of the panels installed on your roof. Listed below are some of the top solar incentives currently being offered by the government:

1. Credit for Solar Investment

The best solar incentive, the ITC, can convince you to switch to solar power if you've been considering it. With this government incentive, you can deduct 30% of your equipment and installation expenses from your federal tax liability as of 2024. For any system installed and in operation prior to December 31, 2032, the tax credit value is applicable.

As previously mentioned, your installer gets this credit rather than you if you select a "no-cost" solar plan or PPA. The ITC would give the system owner $3,000, for example if the system on your roof costs $10,000. The installer would get that money since, in a technical sense, they would own the system. You would overlook one of the crucial.

2. SRECs and rewards based on performance

Performance-based incentives and Solar Renewable Energy Credits (SRECs) are two other initiatives. Certain states have solar carve-outs, which require a certain percentage of electricity to be generated solely from solar energy. SREC markets help make solar certificates easier to sell in these states. For every megawatt-hour (MWh) that your system produces, you will receive one SREC. You can exchange your SRECs and get rewarded cash with the help of an aggregator or broker (such as SRECTrade or SolSystems).

Performance-based rebates offer compensation for solar energy production over a certain limit. For example, the power company could compensate you for producing a certain volume of electricity from your solar system, no matter if you consume it or feed it to the grid, if you are eligible for performance-based incentives.

3. Local and state incentives

Although they differ state to state, many states offer incentive schemes similar to tax credits. State net metering schemes, in which your utility provider pays you for surplus kilowatt-hours (kWh) of electricity you create and transfer to the grid, may also be available to you depending on where you reside. Additionally, several nearby counties and cities provide direct incentives to assist with the initial costs of installing solar panels.

Are There Programs That Provide Free Solar Panels in Florida?

Although it sounds good, Florida does not currently provide any programs that provide homeowners with 100% free solar panels. Keep calm, however; there are still plenty of ideal loan options.

For example, you can use your property tax assessments to pay for your solar panels via the Florida Property Assessed Clean Energy (PACE) program. Also, some of utility companies provide incentives or discounts for the set up of solar energy installations.

Conclusion

If you're interested in making a solar energy investment, carefully consider every option and make sure you're aware of all contract details. In the future, owning your solar system outright—whether through a direct purchase or a zero-down solar loan—can offer more significant financial and environmental advantages. Even if solar panels aren't quite free, there are many financing options and incentives available to help lower costs and make the journey to clean energy.

You could pick the best option for your energy needs and contribute to a sustainable future by being careful and up to date.

FAQ

1. Can i get free solar panels from the government?

In short, no, you can not get solar panels for free. What is possible however, is installing solar with a $0-down financing option, whether through a solar lease, PPA or solar loan.

2. Can solar panels be installed for free?

Technically, solar panels can be installed for free. But this doesn’t mean you’ll never pay. Some companies will offer solar lease or PPA agreements, which have zero upfront cost. However, you agree to pay a fixed monthly fee during a specified contract term, and there is typically a high penalty for opting out early.

You can install solar panels at little to no initial cost by combining financial incentives and a low-interest loan. Generally, the monthly loan payments will be lower than the monthly fees in a solar lease or PPA. In other words, your net power bill savings could be much higher.

3. Which states get free solar panels?

There are no states that offer free solar panels. You may find specific government agencies that subsidize solar panels as part of an energy efficiency assistance program, but these benefits are usually exclusive to low-income households.