There are a variety of Federal & State financial incentives available to home-owners & business-owners that are designed to “encourage” energy efficiency upgrades as well as the installation of renewable energy​ additions such as solar hot water and solar PhotoVoltaic systems.
These incentives include rebates, sales tax savings, renewable energy credits (RECs), net-metering, and income tax deductions.  Incentives vary from state to state, and some of them vary depending on which electrical co-operative or utility supplies your electricity.

Most of these incentives are tied to specific state or federal statutes with “use by” dates.  And, of course, statutes can be modified and/or amended, and the specific amount of $$$$ involved can, and often does, change with time.

About Tax Credits

Tax Credits allow you to deduct a percentage of the cost of a qualifying RE system from the income taxes that you owe.  You are normally responsible for paying the full cost of the system installation.  The tax credit will reduce the amount you pay when you file your income taxes. If your income is low enough that you don’t owe income taxes, then you won’t qualify for the tax credit.

NM State RE Tax Credits

New Mexico provides a 10% personal income tax credit (up to $9,000) for individuals, sole proprietorship businesses, and agricultural enterprises who purchase and install certified photovoltaic (PV) and solar thermal systems. Eligible systems include grid-tied commercial PV systems, off-grid and grid-tied residential PV systems, and (active) solar hot water or hot air systems. To be eligible, systems must first be certified by the New Mexico Energy, Minerals and Natural Resources Department. Note that solar pool or hot tub heaters are not eligible for this tax credit.

Credits may be carried forward for a maximum of 10 taxable years until fully expended.

NM’s 10% Renewable Energy tax credits are set to expire December 31, 2016.

See full details here

US Federal Residential RE Tax Credits

A taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer. The federal tax credit for residential energy property applies to solar-electric systems, solar water heating systems, fuel cells, small wind-energy systems and geothermal heat pumps.
If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year.

The Federal Residential Renewable Energy tax credits, which were scheduled to expire at the end of 2016, were extended as a part of the Dec 2015 budget negotiations.

See full details here

US Federal Business Energy Investment Tax Credits

A business may claim a tax credit of 30% of qualified expenditures for a RE system.

The Federal Business Energy Investment tax credits, which were scheduled to expire at the end of 2016, were extended as a part of the Dec 2015 budget negotiations.

Additional Information

Here are links to websites that will give you the latest information & status on the incentives that are available to you: