News > Solar tax credits helped Indiana homeowner go solar, now she helps others do the same

Solar tax credits helped Indiana homeowner go solar, now she helps others do the same

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  • Gabe Hutchison
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In Bloomington, Indiana, Anne Hedin is helping her community tap into the benefits of distributed renewable energy and highlighting the importance of solar tax credits in the Hoosier state. Her journey to becoming a solar advocate began when she purchased a system of her own in 2012. 

Anne had long considered solar, but the upfront cost held her back. The birth of her granddaughter served as an inflection point, jump-starting her embrace of renewable energy. “It just became a matter of conscience at that moment as opposed to a matter of preference,” said Anne. 

While her granddaughter inspired her to take the first step, the projected financial benefits ultimately solidified her decision to go solar. By 2012, Anne was widowed, retired, and looking for ways to make living on a fixed income more manageable. “I really wanted, since I was going to be on fixed income, to be on fixed expenses as much as possible,” she said. “Going solar became a part of my retirement plan.” Anne sought advice from local nonprofit Solar Indiana Renewable Energy Network (SIREN), which walked her through going solar and helped her choose a reputable local vendor that installed a 5.52-kilowatt roof-mounted array on her home. 

To lower her upfront costs and help make solar fit within her retirement plan, Anne was able to use the solar investment tax credit (ITC), which allows homeowners to deduct up to 30% of the cost of a solar system from their federal income taxes. “I did have to finance part of it, but the investment tax credit made a huge difference,” she said. Through the ITC, Anne reduced her cost to go solar by $6,600, which meant she avoided pulling money from her retirement savings to pay for the system. “The investment tax credit made a major difference to the affordability. I don’t think I would have been able to do it without that.”

By establishing energy independence, Anne locked in her cost of power. “It was so useful to me in terms of financial planning because at that point the rate of increase for utility bills for the previous 10 years had been dramatic and I expected more of the same going forward.” That hedge has paid off. “May I say, I just have not been disappointed about that — utility rates have increased significantly,” she noted wryly.  

In the nearly 13 years since her installation, Anne’s investment in solar has proved a prudent one. “I have not had to pay anything more than what I prepaid by buying that solar system, and so my cash flow situation in retirement is much better than it would have otherwise been,” she shared. Anne now runs an Airbnb on her property. The solar system covers all of her guests’ electricity needs, too. “It supports my earning capacity during this fixed income period, and so it’s made a big difference to my ability in retirement to live on my income.”

Since going solar, Anne has become involved as a volunteer with SIREN, the group that supported her installation, and Indiana Solar for All, a partner nonprofit that helps income-qualified families go solar for free through donation-funded grants. Between 2016 and 2022, the groups helped 600 people in Monroe County go solar through several bulk purchase campaigns. Another 48 homes received solar through the grant program. “Once you get solar, you really get enthusiastic about it — about generating your own energy and contributing to clean air and all the social benefits that come from having a renewable energy source,” shared Anne. “It turns out that people who get solar … want to share with their neighbors.”  

Rooftop solar provides a pathway to energy independence, which benefits individuals, businesses, and their communities. It lowers energy costs, creates solar jobs, and reduces strain on our energy grids by decentralizing power production. Eliminating the primary federal solar incentive available to homeowners would severely hamstring its potential to benefit South Central Indiana. 

“Electricity is as vital as water to a modern family, and the electricity rates are rising, so anything that makes electricity less affordable makes families less functional as members of the society we live in now,” reflected Anne. She hopes her elected officials will recognize this fact and vote to protect programs like the ITC. “It’s not just a matter of access to solar; it’s a matter of seeing that the financial well-being of families now is inextricably tied to the availability of electricity.”

Act Now: Urge Congress to protect solar energy tax credits for all Americans

Solar energy is garnering support from both sides of the aisle. You can help keep up the momentum by making it loud and clear to your Senators and Representatives that Americans support federal solar investments. 

Some members in Congress want to repeal successful policies that have made going solar more affordable for American families and businesses. Please use the form on this page to tell your federal representatives that you support smart investments, like the 30% solar tax credit.

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