A Conroe church is going green thanks to a federal program that allows nonprofit organizations direct payments from the IRS for solar systems.
Houston-based Texon Solar is working on the more than $1 million project at Grace Crossing Church at 105 FM 1488.
Steven Khan, CEO of Texon, said the Inflation Reduction Act of 2022 is a game changer for nonprofits like churches.
“One of the biggest advantages for going solar is that the government is offering tax credits for individuals and businesses,” Khan said. “They have been doing this since 2005. However, it’s tax credits so churches have never qualified because they don’t pay taxes.”
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According to the Department of Energy, the program gives tax-exempt entities equal access to clean energy incentives by introducing the direct pay option in lieu of a tax credit that for-profit businesses receive.
Khan said nonprofits can get between 30 and 50% of the project’s cost paid through direct payments.
“This is the first of many,” Khan said of the project with the church. “We have several others in the contracting stage now.”
Church officials could not be reached for comment.
Khan said using a year of electric bills, his company can determine the number of panels needed for the building. The project for Grace Crossing includes the installation of 1,220 solar panels. If the usage stays about the same, he added the system will offset the church’s electric bills for up to 30 years.
Khan launched his family-run business about three years ago. Texon Solar focuses on commercial solar projects.
“I started looking into solar about eight years ago and was working for another solar company,” Khan said. “I realized I wanted to do more. I knew (solar) was going to be big in the amount of money businesses, primarily nonprofits, could get back. It’s a great time to be in the solar business because it saves people a tremendous amount of money.”
