EXECUTIVE鈥橲 DESK
Fortson: How solar can help reduce rising summer electricity bills
New Mexico summers bring rising temperatures and higher energy bills.
For many Albuquerque families, air conditioners run longer and harder during June, July and August, making electricity one of the largest monthly household expenses. Furthermore, Public Service Company of New Mexico鈥檚 summer rates during these specific months are inherently more expensive than the rest of the year. This seasonal pricing structure results in even heavier financial burdens for residents.
With more than 300 days of sunshine annually, Albuquerque homeowners have a natural advantage in generating solar electricity. Unlike utility bills, which can fluctuate wildly, rooftop solar and batteries allow homeowners to produce their own electricity. It reduces dependence on an aging electrical grid and provides peace of mind from windstorms, wildfires and brownouts.
Helping the grid and earning credits
Solar delivers its greatest value in the summer. Systems generate peak electricity exactly when temperatures and air-conditioning demands are highest. The production of local energy during these critical times helps alleviate stress on the utility grid, benefiting the entire community. Any surplus electricity your system produces is returned to the grid and credits your PNM account.
Accessible financing Options
One of the biggest misconceptions about solar is that homeowners must pay the entire cost upfront. Today, companies offer several financing options designed for nearly any budget.
Purchasing a solar system: Homeowners purchasing a system directly provides the greatest long-term financial return regarding pure energy generation. They enjoy decades of electricity production with minimal operating costs, though this option requires available capital.
Solar loan programs: Loans allow homeowners to spread payments over time, often making monthly payments comparable to or lower than existing electric bills. Homeowners own the system and benefit fully from predictable energy savings.
Solar leases and power purchase agreements: Since the 30% federal residential clean energy tax credit expired at the end of 2025 under the One Big Beautiful Bill Act, and the New Mexico Legislature failed to expand tax incentives in February, solar leases and PPAs have become increasingly popular to eliminate upfront costs. Structured as commercial transactions where a third party owns the equipment, the system still qualified for federal commercial tax credits. The company claims the credit and may pass the benefit to the homeowner via a lower rate, typically over a 25-year agreement.
Not all leases are created equal: Positive Energy Solar has created an innovative, shorter 15-year lease program with a prepayment covering the first five years (60 months) at a discounted rate, with the opportunity to purchase the system outright at month 61. It鈥檚 an IRS-compliant approach that effectively brings back the equivalent of federal tax credit savings.
Prioritize accountability
These diverse programs make solar accessible, but selecting the right solar installation company is critical. A few tips to thoroughly evaluate installers will help ensure you aren't left in the dark after the sale:
Look for local experience: New Mexico鈥檚 climate, utility and permitting requirements, and building conditions are unique. Companies with extensive local experience better understand these nuances and design systems specifically for Albuquerque homes.
Verify licensing and certifications: Believe it or not, the company providing your proposal and contract might just be a middle-man sales team subcontracting the work, which often leads to accountability issues. Reputable solar companies must be properly licensed and insured to perform electrical work. Certifications and manufacturer partnerships can indicate a commitment to quality workmanship.
Review warranties carefully: Solar equipment carries manufacturer performance warranties, but you must also scrutinize the installer's workmanship warranty to understand what is covered regarding system downtime, roof penetrations, labor and more.
Inquire about after-sales support: What happens if a panel underperforms or your system goes offline? The installer should have a dedicated local service team and a clear, accountable protocol for diagnosing and fixing post-installation issues.
Avoid high-pressure sales tactics: Quality solar companies educate rather than pressure. If a solicitor insists on a 鈥渢oday only鈥� decision, insinuates a relationship with a local utility, or hides detailed pricing, it is wise to get additional quotes. While price matters, long-term performance, customer service, quality and a company reputation provide the best true value.
Questions every homeowner should ask
Before signing a contract, protect your investment by asking:
How long has the company been operating in New Mexico?
Who will be performing the installation 鈥� in-house employees or subcontractors?
How are service claims handled, and is there a dedicated local service team?
Are there escalator clauses that will increase my payments over time?
What warranties and guarantees are offered, and what is specifically covered?
How are you ensuring you will be around for the life of my warranty?
As temperatures rise this summer, a little research today could lead to decades of savings and peace of mind tomorrow.
Christopher Fortson is the marketing director for Positive Energy Solar, a local, employee-owned solar installation company serving New Mexico for nearly 30 years. Executive鈥檚 Desk is a guest column providing advice, commentary or information about resources available to the business community in New Mexico. To submit a column for consideration, email mnarvaiz@abqjournal.com.
