Springfield, IL

Illinois offers a property tax exemption for homeowners who install solar energy systems on their residential property. This incentive allows you to claim an alternate valuation for your home that prevents your property taxes from increasing due to the added value of your solar installation. When you file for this exemption, your county assessor will compare your home’s value with solar panels to what it would be worth with a conventional heating or cooling system, then apply whichever valuation is lower.

The financial benefit varies by property but can result in significant annual savings on your property tax bill. Since solar systems typically add substantial value to homes, this exemption protects you from paying higher property taxes on that increased value. To qualify, your solar energy system must be used primarily to offset your electricity consumption (estimated at 110% or fewer kilowatt-hours than you used in the previous 12 months) and must conform to state standards. You’ll need to file a claim with your chief county assessment officer to receive this alternate valuation, and you must notify them within 30 days if you stop using the solar system for heating, cooling, or electricity generation.

The Smart Inverter Rebate is a state program offered by Illinois utilities ComEd and Ameren to encourage homeowners to install solar panels with smart inverter technology. A smart inverter is a special device that allows the utility company to better manage the flow of electricity from your solar system to the electrical grid, helping maintain grid stability and reliability.

While the provided information confirms that both ComEd and Ameren offer rebates for installing solar panels with smart inverters, the specific dollar amounts and rebate percentages are not detailed in the source material. The program is only available to customers of ComEd and Ameren Illinois – homeowners served by municipal utilities or rural electric cooperatives are not eligible for this particular rebate. To learn the exact financial benefit and application requirements, you’ll need to contact your utility company directly, as rebate amounts and terms can vary between the two utilities and may change over time.

Illinois Shines is a state-run solar incentive program that helps homeowners and businesses reduce the cost of installing solar panels through Renewable Energy Certificate (REC) payments. The program works by having approved solar vendors receive incentive payments from utilities for the clean energy certificates your solar system generates, and these vendors can pass those savings on to you through reduced equipment costs, lower installation prices, or discounted lease payments.

The program offers multiple ways to go solar, including purchasing your system outright (with cash or loans), leasing panels with monthly payments, or entering power purchase agreements where you pay for the electricity generated. All participating solar companies must provide standardized disclosure forms that clearly outline total costs, payment terms, and how much of the REC incentive savings they’re passing on to you. The program includes strong consumer protections, requires vendors to meet specific qualifications, and offers 15- or 20-year REC contracts. Illinois Shines operates on a block system with limited capacity, so timing can be important – it’s wise to get multiple bids from approved vendors and carefully review all contract terms before making your decision.

Illinois Solar for All (ILSFA) is a state program that makes solar energy accessible to income-eligible households, nonprofits, and public facilities. The program was created to help Illinois reach its renewable energy goals while ensuring that low-income communities can benefit from solar energy savings. Income-eligible homeowners and renters can participate through rooftop solar installations or community solar subscriptions, while nonprofits and public entities in environmental justice communities can install on-site solar projects.

The program offers significant financial protection with no upfront costs for participants. For rooftop solar installations, homeowners only pay 50% of the value of the bill credits they receive, guaranteeing savings on their electricity bills. Community solar participants receive electricity credits on their bills based on their subscription share of a solar project’s production. The program ensures that ongoing costs and fees never exceed 50% of the energy value produced, providing strong consumer protection against unfair business practices.

To be eligible, homeowners and renters must meet income requirements and work with solar developers registered with the Illinois Power Agency’s ILSFA program. These contractors handle the application process and receive payments for 15 years of Renewable Energy Credits (RECs) from the solar systems, which helps offset customer costs. The program is administered by Elevate Energy and provides economic benefits while supporting job creation in historically underserved communities throughout Illinois.

Illinois’ Net Billing program allows homeowners with solar panels to receive credits for excess electricity they send back to the grid. The value of these credits and how they can be used depends on when your solar system receives Permission to Operate (PTO) and which utility company serves your area.

For systems that receive PTO by December 31, 2024, you’ll benefit from full retail net metering at rates between 6.8-8.3 cents per kWh depending on your utility (ComEd, Ameren, or MidAmerican Energy). Your excess credits roll over month to month but expire annually in April or October with no compensation. Starting January 1, 2025, the program changes significantly – new systems will only receive credits for the supply and transmission portions of electricity rates (called Price to Compare rates), which are lower than full retail rates. These credits can only offset specific charges on your bill, not delivery charges, customer fees, or taxes, but they do roll over indefinitely until used.

The timing of your system’s PTO date is crucial, as systems installed before 2025 receive more favorable credit rates. Municipal utilities like Naperville and Springfield offer their own net metering programs with different terms, including annual credit expiration dates and lower buyout rates around 4.3 cents per kWh. Homeowners should carefully consider system sizing to avoid forfeiting unused credits and work with their installer to understand which utility rules apply to their specific location.