Farm Credit Canada Supports Renewable Energy
Are you a farmer or do you work in agriculture? Do you own your land and buildings? Are you looking to generate additional income?
How is Accelerated Depreciation Lowering the Cost of Solar Net Metering?
This is part of a series of blogs looking at the economics of solar power in Canada today. You can read our blog “What Caused Solar Costs to Fall 99%?” to learn more.
Today we will focus on the impact of accelerated depreciation and how it affects the paybacks and economics for solar generation. While capital costs play an important role in the economics of investing in solar power, the cost of electricity, as well as how much sun your system receives, are also both important factors in calculating the payback and return on investment for your solar generator.
However, one facet of solar’s increasingly improved economics that is often overlooked is the tax treatment of investments in solar. In particular, Accelerated Depreciation can greatly improve your case for solar, especially in the first year.