Yes—Here’s How It Works in Oregon
Battery storage is booming in Oregon, and for good reason. With more frequent outages, rising electricity rates, and new tariff pressures, having a home battery isn’t just about backup power—it’s about energy independence.
But here’s a common question we hear: “Do batteries qualify for the 30% federal solar tax credit?”
Short answer: Yes. But there’s a catch—you need to install them the right way.
Let’s break it down:
The Basics: What Is the Federal Battery Tax Credit?
Under the Investment Tax Credit (ITC), homeowners can deduct 30% of the cost of battery storage from their federal income taxes, as long as the batteries meet certain criteria. This is part of the Inflation Reduction Act and is currently scheduled to last through 2032.
This applies to residential lithium-ion battery systems, including:
- Enphase IQ batteries
- Tesla Powerwalls
- And other similar systems
How to Qualify: Grid-Tied vs. Standalone Batteries
There are two main paths to claiming the battery credit:
- Installed with a Solar System: This is the most common and the easiest way to qualify. If your battery is charged exclusively by your solar panel system, it’s eligible for the full 30% credit.
- Standalone Battery Installations: As of 2023, standalone batteries are also eligible for the 30% credit, even if they aren’t paired with a solar installation. The battery must have a minimum capacity of 3 kWh, which most modern residential systems exceed. This is great news for homeowners in Portland, West Linn, or Oregon City who already have solar and want to add backup power without replacing their current system.
What Costs Are Covered?
The 30% tax credit applies to the total cost of the project, including:
- Battery hardware
- Installation and labor costs
- Electrical panel or wiring upgrades
- Sales tax and permitting fees
This means if your battery project costs $15,000 fully installed, you could see a $4,500 federal tax credit—just for the battery.
Local Incentives for Oregon Homeowners
In addition to the federal tax credit, Oregonians may qualify for:
- Energy Trust of Oregon battery incentives
- Net metering programs for systems that export solar energy
- Lower interest financing through PSCCU and local credit unions
We help customers across Northwestern Oregon—from Salem to Sherwood, Oregon City to McMinnville—understand and apply for all available programs.
How to Get Started
Whether you’re just exploring backup options or ready to pair a battery with a new solar system, we’re here to help. As a local installer based in Oregon City, we handle everything from design to installation, permitting to paperwork—and we’ll make sure you get every credit and rebate you’re eligible for.
✅ Request Your Free Battery + Solar Proposal
📧 Email: colton@esolutions-or.com
📞 Phone: 503.217.4307