The Energy Policy Act of 2005 will have provisions for energy tax breaks
if energy efficient improvements or purchases are made between January 1, 2007 and December 31, 2008.
These tax credits would simply be subtracted from the homeownwer's tax bill.
Improvements to existing homes can qualify up to a $500 tax credit if improvements are made to the building
envelope, for example, adding insulation, sealing leaks, upgrading doors and windows, metal roofing, etc.
Energy efficient heating and cooling equipment, including geothermal heat
pumps also qualify for the tax credit.
Builders can qualify for a tax credit up to $2000 for implementing
renewable energy resources.
Beginning January 1, 2006, North Carolina will now allow
"net-metering" from renewable energy systems. This means
that home owners, businesses, and farmers that use solar photovoltaics systems that are grid tied can receive credit
for any excess electricity if their meter begins to turn backward.
