Understanding Solar, Financing, and What to Expect
We do more than just save you money!
General Questions
For commercial solar projects
Q: How can I be sure I’m going to save what I’m told I’ll save?
A: We guarantee it! Advanced Solar provides a “power-generation guarantee” meaning we stand behind the projected solar production stated at the time of contract. By guaranteeing the kWh’s the system is designed to produce. Please see our “power generation guarantee” for specific details.
Q: How reliable is solar?
A: Extremely. Warranty issues with solar panels are incredibly rare, and inverter warranty claims run around 1% within their warranty period. Solar production is also very consistent and predictable, so Advanced Solar guarantees that production.
Q: How does the CPS Energy rebate and Federal payment get applied?
A: Both incentives are designed to help you purchase solar and the energy independence that it provides. Payments are issued by check and will be applied directly to your purchase amount when they come in. Advanced Solar “defers” those incentive payments until they are paid out so you do not have to pay those amounts up front.
Q: If we use your zero-down program, will a lien be filed on our property or building?
A: NO. We file a simple UCC with the state on the SOLAR EQUIPMENT ONLY.
Q: What is the lifespan of the system?
A: A conservative lifespan for a solar system is 25+ years. Depending on model and brand, solar panels include a 25–30-year linear power warranty. Over the past 15 years Advanced Solar has installed approximately 5,000 solar systems locally and we estimate 99% of those are still in service today.
Q: Does CPS Energy buy my surplus solar power?
A: Yes, most of the solar power you produce will go directly into your facility, therefore not be “sold back”, but will simply reduce your bill by that amount. At any time your solar is producing more than you are using, your meter will essentially “go backward” generating a credit. At the end of the month when the meters are read, if you have produced more solar that what you consumed for the month, creating a “net overage” only that “net overage” value will be discounted but it is still bought back. Within your monthly usage you get full retail credit for your solar each month.
Q: How do I know my roof can support the weight of solar?
A: Solar weighs less than most people may think. A standard rooftop solar system weighs about 3–4 lbs per sq. ft. Modern construction typically supports 16–22 lbs per sq. ft. of “live load”, so structural capacity is not usually an issue. Most commercial jobs require a 3rd party structural engineer assessment which we provide.
Q: Is hail going to damage my solar panels?
A: Not likely. It can happen, but it takes extreme hail. Solar panels are generally more resilient than the roof itself. It’s not uncommon for a roof to need repair after a hailstorm while the solar panels remain undamaged. In those situations, we remove and reinstall the solar system while the roof work is completed.
Non-Profit Specific Questions
For non-profit Federal elective pay, and ZERO DOWN solar program
Q: If we are a non-taxable organization, how do we qualify for a federal tax credit?
A: Under the IRA (Inflation Reduction Act of 2022), the solar tax credit became available to non-profit organizations even though they don’t have tax liability.
Q: If we don’t have any tax liability to apply this credit toward, how do we get paid?
A: This is referred to as the “elective pay” option, where you receive a check directly from the U.S. Treasury.
Q: If we don’t normally file with the IRS, will this require us to file each year going forward?
A: NO. You will not need to file annually based solely on filing for the solar tax credit.
Q: Do we get to keep the IRS check when it comes in?
A: No. This payment is part of the cost of your solar system, which makes the savings so great. Advanced Solar defers this portion until the check arrives, you must forward that payment when received.
Q: Do we need to hire an accountant to process this federal incentive payment?
A: NO. Advanced Solar works with a third-party firm that handles this for you.
Q: How does the CPS Energy rebate get paid?
A: They write a check shortly after the completion of the project. This check is applied to the cost of the system and CPS has already paid out approximately $400m in solar rebates!
Q: If we use your zero-down program, will a lien be filed on our property or building?
A: NO. We file a simple UCC with the state on the EQUIPMENT ONLY.
Q: Do we have to qualify for credit with the zero-down program?
A: NO. Advanced Solar carries this debt internally through a “retail installment contract,” so there are no credit applications, personal guarantees, or credit reporting but you must own the building.
Q: Who services the system and warranties?
A: Advanced Solar does! With over 15 years in the local market, we are the most experienced solar company for any long-term service needs.
Q: With incentives like the rebate and federal tax credits, do we have to file ourselves?
A: NO. We handle all of the paperwork for you!
Q: Do we own the system, or is it a lease or third-party ownership arrangement?
A: You own it from day one.
Q: If Advanced Solar is financing this, is there interest involved?
A: Yes. It’s very competitive at 1.99% or 3.99% depending on the term you choose.
Q: What happens at the end of the loan once we’ve made the last payment?
A: You own it free and clear and essentially have free power generation thereafter.
Q: What is the lifespan of the system?
A: Depending on model and brand, most solar panels include a 25–30-year warranty. A conservative lifespan for a solar system is 25+ years.
Q: What happens if the system underperforms?
A: We guarantee that it will produce the kWh it is designed and forecasted to produce.