Is the Sun Still Shining on Investments in Solar Electric Property?

By Michael J.R. Hoffman and Karen McKenzie

Michael J.R. Hoffman, DBA, EA, and Karen McKenzie, PhD, CPA

Two years have passed since this article's authors looked at whether an investment in residential solar energy property made financial sense (“Shining Light on a Solar Energy Investment,” The CPA Journal, September 2010). Since then, a lot has changed. For example, federal stimulus money for many state-level programs has been spent, equipment costs have decreased, and the underlying technologies have improved. In 2010, the attractiveness of a solar electric investment varied widely among the four states analyzed (New York, New Jersey, Pennsylvania, and Connecticut). Have circumstances changed significantly within the individual states? The short answer is “yes.”