If you’ve been considering solar for your home, now is the time to stay informed. A sweeping piece of legislation, commonly referred to as the One Big Beautiful Bill, is making its way through Congress. With the latest version just released by the Senate Finance Committee, it’s becoming clear that federal incentives for solar and clean energy may soon come to an end.
Here’s a breakdown of what’s happening and what it could mean for you:
What’s in the Senate Version?
The Senate’s updated draft aligns closely with the House-passed version: both call for ending the 30% Residential Clean Energy Credit—a cornerstone incentive that has helped millions of Americans afford solar panel systems, batteries, and EV chargers.
According to PBS NewsHour, the Senate version includes a delayed repeal but still phases out these clean energy tax credits. If passed as is, the credit will expire at the end of 2025, or approximately six months after the bill becomes law, whichever comes first.
What This Means for Homeowners
If you’re planning to go solar, timing is everything.
- 30% Tax Credit Ends Soon: Homeowners must complete their solar installations by the end of 2025 to receive the full federal tax credit.
- Battery Storage and EV Chargers: Incentives for energy storage systems and home EV chargers—currently eligible when installed alongside solar—will also be eliminated under this legislation.
- Third-Party-Owned Systems (Leases/PPAs): Tax advantages for companies offering solar leases and PPAs will end, potentially making those options more costly.
According to industry analysts, losing these incentives could increase out-of-pocket costs by up to 30% and extend return-on-investment timelines by over 40%.
What You Can Do Now
At Lumina, our goal is to empower homeowners with the knowledge and tools to make informed decisions about solar. Here’s how to get ahead:
- Schedule a Site Assessment Early: Permitting and scheduling can take time. Don’t wait until the year-end rush.
- Consider Bundling: Solar + battery + EV charger systems maximize your eligible savings while you still can.
- Weigh Your Options: If you’re considering a lease or PPA, speak with a consultant soon to evaluate the most cost-effective route before tax benefits are removed.
Final Thoughts
While the bill has not yet passed, the direction is clear: federal support for residential solar is likely winding down. For homeowners interested in reducing their electricity bills, increasing energy independence, and locking in long-term savings, now is the time to act.
If the One Big Beautiful Bill is signed into law in its current form, systems must be fully installed and operational by December 31, 2025 to qualify for the 30% tax credit.
Don’t leave your solar savings to chance. Connect with Lumina today to start your project and secure your spot on the installation calendar before the window closes.
