New Mexico is located in the Southwestern region of the United States. Due to its fascinating natural beauty and rich history, New Mexico is rightly known as the Land of Enchantment. To preserve the environmental integrity of the state, more emphasis is being laid on the use of nature-based solutions such as power production through renewable energy sources.
The geographic location of New Mexico makes it ideal for energy production through photovoltaic technology. On average, New Mexico receives an abundance of sunshine for 293 days in a year. The state of New Mexico has introduced multiple solar-friendly incentives and rebates to make solar energy more affordable and financially beneficial for the community.
New Mexico has ambitious clean energy targets which include 100% electricity generation on a state level through renewable energy sources by 2045. By 2030, New Mexico also aims to reduce its greenhouse gas (GHG) emissions by 45%.
For meeting these targets, New Mexico has formulated an ambitious Renewable Portfolio Standard (RPS) according to which the state should meet 20% of its energy needs through renewable sources. Of this 20%, solar’s share is estimated at around 4%.
Solar Friendly Incentives and Rebates
Net Metering
New Mexico boasts one of the most customer-friendly net metering laws in the country. Net metering is applicable for systems that have a generation capacity of 80 MW or less. If the cost of excess generation is less than $50, the surplus electricity is rolled over to the subsequent month.
Sustainable Building Tax Credit
To encourage environmental conservation, New Mexico has introduced certifications in recognition of the efforts to make a building more environmentally sustainable. The US Green Building Council is the certification body responsible for issuing the certificates. Installing a solar system at your premises will earn you considerable points in your efforts of making the building more environmentally sustainable.
If you qualify for sustainable building certification, you can earn a tax credit of up to $6.50 per square foot.
Property Tax Exemption
When a solar system is installed at a property, it increases its value which means that a higher property tax is levied. However, in New Mexico, as per the law, all commercial and residential properties are exempted from an increase in property tax even after the installation of a solar system.
New Mexico State Solar Tax Credit
As per the State Solar Tax Credit, installing a solar system at your premises can reduce your state tax payments by up to 10% of the cost of your solar system. The limit for this tax credit is capped at $6,000.
The Federal Solar Tax Credit
According to The Federal Investment Tax Credit, you can receive a tax credit for up to 26% of the cost of your solar system.
Thanks to all the solar-friendly rebates and incentives, the cost of solar panel installation in New Mexico is somewhere between $2.68 to $3.62 per watt.
The following statistics give us an idea about the state of solar energy in New Mexico:
- Solar Installed (MW): 1,270.4
- National Ranking: 19th (30th in 2021)
- Percentage of State’s Electricity from Solar: 6.55%
- Solar Jobs: 1,880
- Solar Companies in State: 69 (13 Manufacturers, 40 Installers/Developers, 16 Others)
- Total Solar Investment in State: 2.5 billion
- Prices have fallen 4% over the last 5 years
- Growth Projection and Ranking: 3,054 MW over the next 5 years (ranks 13th)
- Number Of Installations: 37,341
Need for Solar Panel Recycling Solutions in New Mexico
New Mexico is making multiple efforts to tap its true potential for solar generation. Ambitious targets and solar-friendly legislation have put New Mexico on a path to achieving energy sufficiency through the use of solar energy. However, the rapid proliferation of photovoltaic technology also raises the alarming question about the decommissioning and disposal of end-of-life solar panels. Most experts agree that recycling old solar panels is the most cost-effective and eco-friendly waste disposal option for solar waste.
If you are looking for decommissioning of solar systems or large-scale solar panel recycling solutions in New Mexico, contact We Recycle Solar. We provide recycling solutions for solar panels, batteries, and other equipment. Our processes are safe, efficient, and compliant with all federal and state laws.
Looking for decommissioning or large-scale New Mexico solar panel recycling solutions?
Unless otherwise noted, all data from SEIA/GTM Research U.S. Solar Market Insight