Don't be left out because you don't have a tax bill
Churches, schools and other nonprofits may have a heap of assets, but they can't take advantage of the industry-driving federal and state tax credits thanks to their tax-exempt status. Further complicating the dilemma is the fact that third-party PPAs or power purchase agreements that would allow direct sales of energy to another organization are not permitted here in NC.
We provide two simple solutions to help overcome this obstacle here in NC depending on the circumstances of a particular organization.
Donor Deduction & Credit - Due to special legislation here in NC, donations to a 501(c)3 for the purpose of constructing a solar system can not only claim the federal deduction, but also the NC personal tax credit even when the solar system is installed on the tax-exempt facility (GS 105-129.16H). Collaborative Solar is happy to assist with not only the construction of the system but aslo the accompanying accounting to ensure the community entity and their donors have what they need. This methodlogy returns 40-70% of the orignal contributions to the respective donors.
Third-Party Investment- Although you can own systems on another property in NC, investors are left to sell their clean energy directly to the serving utility at a fraction of retail cost. To overcome the "sell-all" arrangement that provides investors with minimal return, we employ a strategy already widespread here in NC. Renewable Energy Credits or RECs are voluntarily purchased everyday and are used to subsidize projects up to 5kW under the current NC GreenPower arrangement. Depending on your organization's base, we can use RECs to catalyze internal or external investment.
We are also happy to provide a non-biased opinion on contractor proposals or develop an Request for Proposals (RFP) for you project. If your nonprofit is interested in learning more, please contact us at or (704)438-2222.