2026 Solar Outlook: Navigating New Laws to Secure Your Energy Independence
At Jamar Power Systems, we’ve spent decades helping Santee and San Diego families break free from the cycle of rising utility rates.
While federal tax laws have recently shifted with the passage of H.R. 1, “The One Big Beautiful Bill” (OBBB), our mission remains the same: providing you with the most cost-effective path to owning your power.
The landscape for clean energy incentives has changed, but for the savvy homeowner, the opportunity to save has never been better. Here is how we are navigating the 2026 energy market together.
The Evolution of Residential Ownership
It is true that as of December 31, 2025, the traditional Section 25D direct federal income tax credit for homeowners who purchase systems outright has been retired.
However, this doesn’t mean the “ownership” dream is dead. In fact, for many of our customers, owning your system remains the ultimate goal to ensure you aren’t beholden to utility monopolies for life.
Solar still provides a massive hedge against inflation. While SDG&E rates continue to climb, a solar system allows you to produce your own power at a fixed, predictable cost.
Direct Purchase: Why “Straight-Out” Ownership Still Wins
For many San Diegans, the math for a direct purchase still makes incredible sense, even without a federal tax credit. Here is why buying your system outright remains a top-tier investment:
Immediate Equity: Just like paying off a mortgage, a direct purchase adds immediate value to your home. You own the asset from day one, with no liens or third-party interference.
Maximum Long-Term ROI: While leases and PPAs offer lower entry costs, a direct purchase offers the highest lifetime savings. Once the system has paid for itself—typically in just a few years—your electricity is essentially free for the next two decades.
Freedom from Utility Hikes: By owning your system, you are no longer at the mercy of SDG&E’s annual rate increases. You have effectively “pre-paid” for 25 years of energy at a fraction of the utility’s cost.
Introducing “Transitional Ownership”: The Best of Both Worlds
How do we get you the benefits of a tax credit when the personal credit is gone?
Through an Energy Savings Agreement.
This is zero-down, hybrid financing that allows you to benefit from the tax credits that companies can still claim, which drastically lowers your entry cost by at least 40 percent in San Diego County.
The “Shared Benefit” Model: Because a third-party finance partner technically owns the system for the first few years, they can utilize the federal credits that are still available to commercial entities. They pass those massive savings on to you in the form of lower monthly payments.
Five-Year Path to Ownership: Unlike a traditional 25-year lease where you never own the equipment, this program features an Early Buyout Option (EBO). After just 5 years, ownership automatically transfers to you.
Upfront Protection: During those first five years, you enjoy comprehensive professional protection, including performance guarantees and full operations and maintenance coverage.
It’s the smartest way to “own” your power in 2026: lower costs today, full ownership tomorrow.
Commercial Solar: A Critical Window for Businesses
For our local Santee business owners, the Investment Tax Credit (ITC) remains a powerful tool, though the clock is ticking.
To secure these incentives, commercial projects generally must commence construction by July 4, 2026, and be operational by the end of 2027.
Jamar Power Systems is currently prioritizing our commercial pipeline to ensure local businesses can lock in these credits before the deadlines shift.
EVs and Smart Charging in San Diego
While the OBBB terminated federal credits for EV chargers and vehicle purchases, the fundamental math hasn’t changed: electricity is still cheaper than gasoline.
Jamar Power Systems remains San Diego’s premier choice for Level 2 charger installations.
We provide the high-quality electrical infrastructure you need to turn your home into a high-speed fueling station, tax credit or not.
Why Solar is Still a “Must-Have”
San Diego remains one of the most expensive utility markets in the country.
Solar isn’t just about a one-time tax break; it’s about long-term energy security.
Whether you choose a traditional purchase or our new transitional “lease-to-own” model, the goal is the same: stop renting your power and start owning your future.
Don’t let legislative changes slow you down.
Let’s look at your roof, your usage, and the new options to find your perfect fit.
Request Your FREE 2026 Energy Independence Analysis
Or call the Jamar team at (619) 448-7770
Disclaimer: We are not tax advisors. This article is designed to provide basic information on the 2025 HR1 federal tax credit changes for solar energy systems and solar batteries. You should use this information as a point of reference rather than as a guide for financial or tax guidance. We are not responsible for its accuracy. Consult your tax advisor for exact details and how they apply to you.
2026 Note on Incentives (San Diego Homeowners)
The federal residential solar/battery tax credit has ended, but homeowners still have smart ways to lower the net cost of solar + storage.
One popular option is our Energy Savings Agreement (ESA)—a prepaid lease-style program where a financing partner applies available incentives to reduce total cost, and you can own the system in about 5 years.
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