Commercial Solar Incentives in Alaska

This material has been prepared for informational purposes only. Greentech Renewables does not provide tax, legal, or accounting advice. Information displayed is not project-specific and will require an official written proposal by a certified installer. 

Domestic Content Bonus Tax Credit

Alaskan business owners can qualify for the Domestic Content Bonus, which provides a 10% extra tax credit for projects using U.S.-manufactured materials, and the Energy Community Bonus, offering an additional 10% credit for projects in areas such as former coal communities. These federal solar incentives, available for up to 10 years after installation.

Golden Valley Electric Association's SNAP Program

The Golden Valley Electric Association's SNAP or Sustainable Natural Alternative Power program encourages members to install renewable energy systems, including solar systems of 25 kW or less, by offering an incentive payment for connecting the system to the electrical distribution grid. Businesses can participate in the SNAP program, where all the system's power is sold back to the grid, or the SNAP Plus program, which offers participants an annual payment along with a monthly credit for any net excess generation their system produces. Find out more about the Golden Valley Electric Association's SNAP Program. 

Net Metering Program 

Alaska's net metering program is available to any customer who generates electricity with their solar system with a capacity up to 25 kW. Through this program, you can receive credit for any excess energy your commercial solar system generates to use towards future utility bills, which significantly reduces or even eliminates monthly bill if the system generates enough energy. 

Business owners may also take advantage of several federal solar incentives that could be combined with Alaska's current incentives. When applied, these solar incentives have the potential to significantly reduce the cost of installing a solar system. 

Business Energy Investment Tax Credit (ITC)

The business Energy Investment Tax Credit program allows businesses to claim 30% of their solar system costs as a federal tax credit. Additional tax credits are available depending on the district. 

Connect with a local installer to find out if you qualify for additional tax credits. 

Renewable Electricity Production Tax Credit (PTC)

Business owners in Alaska may take advantage of the federal renewable electricity production tax credit (PTC). This provides an inflation-adjusted per-kilowatt-hour (kWh) tax credit for electricity generated by qualifying energy sources. Projects under 1 megawatt (MW) can receive 1.5 to 2.75 cents/kWh depending on the type of facility. Projects over 1 MW will receive a base tax credit of 0.5 cents/kWh.

Keep in mind that solar project owners cannot claim both the ITC and PTC for the same property. Discuss with a solar installer to understand which tax credit incentive you should claim for your solar system.

Modified Accelerated Cost-Recovery System (MACRS)

Alaska business owners can take advantage of the Modified Accelerated Cost Recovery System (MACRS). This program allows business owners to recover some of the costs of solar panel installation through a five-year MACRS schedule.

Alaska Commercial Property-Assessed Clean Energy (C-PACE)

C-PACE is a financing program that allows approved commercial property owners to borrow money to pay for energy improvements without a large upfront cost coming out of the business' pocket.

Rural Energy for America Program (REAP Grant) 

The USDA's "Rural Energy for America Program," or “REAP,” offers a grant to cover 50% of commercial solar system costs to encourage agricultural and rural businesses to maximize their energy efficiency with solar.

Learn More!

Connect with a local Alaska installer to see which incentives can contribute to your solar system. 

Get Started!