Pub. 18 2019-2020 Issue 2

N E W J E R S E Y C O A L I T I O N O F A U T O M O T I V E R E T A I L E R S 15 new jersey auto retailer W W W . N J C A R . O R G Solar offers the unique ability to move the traditionally fixed cost of energy to a variable expense, giving dealer principals a smart way to reduce overhead, enhance their marketing strategy and gain a new competitive edge. The State of New Jersey economics are among the best in the nation. For example, the recent installation of a medium-sized system just went live in September at a Maple Shade Township dealership. An average of just 2% of their energy now comes from the utility company, with 98% of their electricity now produced off their 280kW rooftop system, which will pay for itself in about two years. Solar as a Marketing Strategy Solar can be a powerful marketing tool and compet- itive differentiator that helps attract and close cus- tomers, especially millennials. As dealerships look for ways to attract this environmentally-conscious audience, sustainability becomes another arrow in their quiver. “Walking the walk” engenders trust, es- pecially among female customers who influence 85% of new car buying decisions. Green initiatives are gaining strength with all man- ufacturers, especially with imports. Manufacturers such as Honda, Toyota and Nissan are all leading the auto industry with electric vehicles, and sustainability tends to resonate with their buyers. Solar for deal- erships appears inevitable with growing EV invest- ments. Brands like VW, Porsche and Audi encourage planning now for EV infrastructure with integrated solar, carports and charging stations. Get the Facts If your dealership is interested in exploring solar, the first step is to take a look at your energy use, local utility rate structure, and energy rebates to determine how quickly solar could produce a return on invest- ment ( ROI ) for your dealership. Choose a reputable solar company in your area that will prepare a solar proposal that includes a feasibility analysis, complete Tax Incentives Federal incentive programs • Solar Investment Tax Credit (ITC): 30% federal income tax credit for solar on residential and commercial projects * • Modified Accelerated Cost Recovery System (MACRS): Tax credit for corporations equivalent to annual depreciation of solar system area 0 5 10 15 20 25 30 35 Now-Dec 31st 2019 Jan 1 - Dec 31st 2020 Jan 1 - Dec 31st 2021 Jan 1 2022+ Incentive step-down starts Jan. 2020 with information on how your facility consumes energy, the savings that solar could yield, as well as local, State and federal incentives. Going solar can be a wise investment in a dealership’s future – potentially reducing its tax burden, cutting costs and putting an extra shine on your brand image. * Incentives, rebates, and tax credits vary and are subject to change. SunPower does not warrant, guarantee or otherwise advise its customers about specific tax outcomes. Consult your tax advisor regarding the solar tax credit and how it applies to your specific circumstances. Please visit the dsireusa.org website for detailed solar policy information. Ryan Ferrero is National Auto Dealer Vertical Manager at Sunpower, a global manufacturer of solar products. He can be reached at ryan.ferrero@sunpower.com or 970-214-4433.