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Selling solar power.

tiredretired

tiredretired

The Old Salt
I have an opportunity, very preliminary, to invest in a solar power co-operative.

How it works is one buys blocks of solar power from the co-operative with all generation sold back to the power company for $.21 per KW/H.

Crunching a few numbers seems to work for me but my question is does anyone know if selling power back to a utility would generate a Schedule C thus a 1099 for monies earned to be claimed on my income tax?

I would assume it would, but with solar and the libturds running the operation, who knows how the laws have been warped to make all this look good?
 
Will you be selling it to the same utility that you buy power from ?
Might it be a credit against your bill?
 
$0.21 seems incredibly cheap, maybe $21/KWH? As conventional power is 0.07-0.15 KWH.

These things are not designed to cash flow. Your main benefit may be tax loss carry forward upon bankruptcy.

Caveat: the wealthy buy the assets & tax benefits at pennies on the dollar at auction to cover other actual money making enterprises.
 
grizzer said:
$0.21 seems incredibly cheap, maybe $21/KWH? As conventional power is 0.07-0.15 KWH.

These things are not designed to cash flow. Your main benefit may be tax loss carry forward upon bankruptcy.

Caveat: the wealthy buy the assets & tax benefits at pennies on the dollar at auction to cover other actual money making enterprises.
Click to expand...

Here's the deal. I pay $.14 per kilowatt hour of electricity used from the utility.

I would earn $.21 per kilowatt hour of electricity generated from my share of in the co-op. $.14 of it will offset directly to my electric bill as this is all the same utility. $.07 is considered excess and a check will be cut to me annually. I will most likely have to pay tax on this pittance.

I am not sure of the cost but I believe it is around $2500 per 1000 watts of power generated. Anyway, I won't bore any one with the numbers but it does appear it would take about 12 years to get my money back before I start making money. If I was a younger man, I would most likely look into it further and give it more consideration. At my age, I believe i may just move on. I have better things to do with my money. :biggrin:

Funny thing is, the only ones I can see that could benefit from this short term are drug dealers, looking for a way to launder their money.:yum:
 
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