State Solar Rebates & Incentives
State solar incentives and rebates change frequently, and in many states are decreasing. Upgrade to home solar with SunRun now.
In addition to the federal tax credit, many states offer solar rebates for home solar power systems. Since SunRun owns your home solar power system, we manage all the applicable solar rebates and immediately pass on the benefits in the form of a lower electricity bill. With SunRun, there's no waiting and no paperwork.
Solar rebate and incentive programs vary among states and even among utility companies in the same state. Below is information about solar rebates in the most solar-friendly states:
Arizona Solar
The Arizona solar rebate program is funded by electricity ratepayers and administered by individual utility companies. The solar rebate for most homeowners ranges between $1.95 and $3.00/Watt but can be reduced based on expected performance of the home solar power system. Read further for more details about Arizona's solar incentives.
California Solar
California has long supported solar energy. In January 2007, California launched Go Solar California, which includes two solar incentive programs: (1) New Solar Homes Partnership, which provides incentives to energy efficient construction for new homes; and (2) California Solar Initiative (CSI), which offers rebates for owners of existing homes.
Colorado Solar
Xcel, the largest utility in Colorado, offers a $2.00/Watt standard rebate and a second upfront payment for Solar Renewable Energy Credits (SRECs). The value of SRECs decline as new home solar power systems are added to the residential solar market.
Connecticut Solar
The Connecticut Clean Energy Fund (CCEF) provides a performance-based solar rebate for Connecticut homeowners. The basic rebate is $5.00/WWatt for the first 5kW and $4.30/WWatt for the next 5 kW. Homeowners must work with the program's pre-approved solar installers to be eligible for the rebate.
Maryland Solar
The Maryland Solar Energy Grant Program rebate is $2.50/Watt, up to $10,000 for solar power systems up to 20kW. Because Maryland sets aside a limited amount of money per year for solar rebates, you may be put on a waiting list.
Massachusetts Solar
After the success of the Commonwealth Solar Rebate program, which awarded rebates for 23.5 megawatts of solar energy in less than two years, Massachusetts has launched a new home solar rebate program: Commonwealth Solar II. The Commonwealth Solar II Rebate program provides rebates for home solar power systems that are up to 5kW DC in size. The basic rebate is $1.00/Watt with an additional $0.10/Watt for systems that use equipment made in Massachusetts and $1.00/Watt for either moderate home value or moderate household income. Home solar power systems in Massachusetts also generate solar renewable energy credits (SRECs). Home solar power system owners can sell SRECs each year to utilities and others in the electricity market who need to acquire SRECs to comply with the state’s renewable energy laws.
Minnesota Solar
Minnesota's solar rebate program is funded by Xcel Energy. Homeowners can get a $2.00/Watt rebate up to $20,000 with an additional $0.25/Watt rebate for home solar power systems installed by NABCEP certified installers.
New Jersey Solar
New Jersey's Renewable Energy Incentive Program awards rebates to owners of home solar power systems up to 50KW DC in size. The rebates decline with volume in the residential solar market but are always $0.20/Watt higher if the homeowner completes an energy efficiency audit prior to the solar installation. home solar power systems in New Jersey also generate solar renewable energy credits (SRECs). System owners can sell SRECs each year to utilities and others in the electricity market who need to acquire SRECs to comply with the state’s renewable energy laws.
New Mexico Solar
The New Mexico solar rebate program focuses on Renewable Energy Credits (RECs). The utility company, PNM, buys RECs from customers with home solar power systems up to 10kW for $0.13/kWh.
Oregon Solar
The Energy Trust of Oregon's solar Electric Buy-Down Program is available to homeowners in Pacific Power and PGE. The Pacific Power solar rebate is $2.00/Watt and the PGE solar rebate is $2.25/Watt up to $10,000. The Eugene Water and Electric Board's Solar Electric Program solar rebate is $2.00/AC Watt up to $10,000.
Pennsylvania Solar
The governor of Pennsylvania committed $100 million to provide loans, grants, and rebates for home solar power systems. The Pennsylvania Sunshine Rebate program was set up to provide rebates for homeowners at starting at $2.25/Watt. This incentive will drop quickly and is already unavailable for small businesses.
The Database of State Incentives for Renewables and Efficiency has the most comprehensive and up-to-date solar state rebate information available.
- How does solar affect my home's value?
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A home solar electric system can significantly increase the value of your home. An ICF Consulting study concluded that saving $1 every year on energy costs adds $20 to a home's value. This conclusion is based on the assumption that the savings from the solar electricity allows the homeowner to spend more on other things, including another home improvement or larger mortgage.
- What is the payback period for a home solar power system?
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The payback for your home solar power system depends on lots of variables, including how much electricity you use, the size of your home solar power system, how much sun your system gets, and whether you decide to purchase it or simply do a SunRun Power Plan (also known as a solar lease or power purchase agreement). For a cash purchase, your payback could be anywhere between 5 and 15 years. A SunRun Power Plan payback is much less, usually between 2-4 years, because we require very little upfront (usually between $0 and $1000) and you simply pay for the solar electricity you generate.