New tax credits in Iowa are meant to boost the use of solar power

Jun 4, 2012 08:58 GMT  ·  By

Well-known worldwide for its hot summers – which indicate that sunlight is anything but scarce in this part of America, especially throughout the course of these months –, Iowa now takes center-stage environmentally wise due to its decision to invest in generating significant amounts of electricity by means of solar power.

Thus, a new law, for whom governor Terry Branstad is to be held responsible, makes it possible for the residents of Iowa, who wish to switch to solar energy so as to provide for their households and local businesses, to apply for tax credits.

According to earthtechling.com, these tax credits will be somewhere around $3,000 (€about 2,400) for ordinary homeowners, and up to $15,000 (roughly €12,000) for businessmen, with a total of $1.5 million (approximately €1.2 million) available each year for investment in such projects.

As Iowa's Environmental Council told the press, “the new (solar) tax credit has the potential to rapidly expand Iowans’ use of solar power.”

As well as this, senator Rob Hogg, who is now serving his second term as state representative from House District 38 in the southeastern and northeastern parts of Cedar Rapids, also offered his full support to this project, his opinion being that “solar energy works in Iowa. It is clean energy, and it is sustainable for future generations.”

The available money is to be used for more than just installing solar plants wherever the land allows for it. Investments will also be made in geothermal heat pumps, which are expected to heat up and cool down local households and businesses without causing any damage to the environment.

Iowa's decision to invest in developing its solar-energy industry is all the more praise-worthy given the fact that, in 2010, official reports from the American Wind Energy Association already identified this state as the nation's leader in terms of electricity produced from wind power.

It so happens that, even back then, Iowa got 14% of its energy demands met by means of wind turbines.

As if this weren't enough, Iowa is also renowned for its intense use of biofuels, with special attention given to the production and usage of ethanol and biodiesel.

Apparently, in 2011, Georgia took to similar measures meant to encourage the use of solar power amongst its citizens. Thus, Georgia's capital for tax credits aimed at solar energy is to be of roughly $5 million (about €4 million) for 2012, 2013 and 2014, respectively.

All things considered, we believe that it is good thing that more and more states throughout the territory of America are taking a genuine concern in coming up with alternatives to your traditional and polluting power sources.