Solar incentives by state (2026)
With the 30% federal tax credit ended for purchases as of 2026, state, utility, and local incentives are now the main way to bring a cash or loan system down. (A lease or PPA can still pass a 30% credit through.) Here's where every US state stands — full explainer in our incentives guide.
State solar incentives, all 50 states + D.C.
"Est. value" is a modeled average of headline state-level incentives, where applicable. Net metering and federal lease/PPA credit are separate — see each state page.
| State | Est. value | Headline incentive |
|---|---|---|
| Hawaii | $5,000 | 35% state tax credit up to $5,000 per system |
| New York | $4,000 | NY-Sun rebate + 25% state tax credit up to $5,000 |
| New Jersey | $3,500 | SuSI program ($85/SREC-II) + sales tax exemption |
| Illinois | $3,000 | Illinois Shines SREC program + full net metering |
| South Carolina | $3,000 | 25% state tax credit (up to 50% liability/yr) + net metering |
| New Mexico | $2,500 | 10% state tax credit up to $6,000 + full net metering |
| Washington, D.C. | $2,500 | High-value SREC market (among best in US) |
| Maryland | $1,800 | $1,000 state grant + SREC market + full net metering |
| Missouri | $1,500 | Full net metering + utility rebates ($0.25–0.50/W) |
| Oregon | $1,500 | Oregon Solar + Storage rebate + full net metering |
| Idaho | $1,200 | State income tax deduction for solar (up to $20k over 4 yrs) |
| Arizona | $1,000 | 25% state tax credit up to $1,000 + sales/property tax exemptions |
| Massachusetts | $1,000 | SMART program + state tax credit up to $1,000 |
| Minnesota | $1,000 | Full net metering + Solar Rewards rebates |
| New Hampshire | $1,000 | Net metering + $1,000 residential rebate |
| Rhode Island | $1,000 | Renewable Energy Growth program + full net metering |
| Delaware | $700 | Full retail net metering + SREC market |
| Pennsylvania | $600 | Full retail net metering + SREC market |
| Colorado | $500 | Full retail net metering + local utility rebates |
| Montana | $500 | Full net metering + state tax credit up to $500 |
| Texas | $500 | No state mandate; utility solar buyback plans + local rebates |
| Wisconsin | $500 | Full net metering + Focus on Energy rebates |
| California | $400 | NEM 3.0 net billing; SGIP storage rebates |
| Alabama | — | No statewide net metering; some utility buy-back programs |
| Alaska | — | Net metering up to 1.5% of utility load |
| Arkansas | — | Full retail net metering |
| Connecticut | — | Residential Renewable Energy Solutions tariff |
| Florida | — | Full retail net metering + sales/property tax exemption |
| Georgia | — | Limited monthly net metering capacity |
| Indiana | — | Net metering phased out; excess credited at avg rate |
| Iowa | — | Full net metering + property tax exemption |
| Kansas | — | Net metering with utility-set export rates |
| Kentucky | — | Net metering at utility-set rates |
| Louisiana | — | Net metering at avoided-cost rates |
| Maine | — | Full retail net energy billing |
| Michigan | — | Distributed generation (inflow/outflow) tariff |
| Mississippi | — | Net metering plus 3¢/kWh low-income adder |
| Nebraska | — | Full net metering up to 25 kW |
| Nevada | — | Net billing at 75% retail + storage incentives |
| North Carolina | — | Net metering with time-of-use bridge rates |
| North Dakota | — | Net metering + 5-year property tax exemption |
| Ohio | — | Net metering (generation-rate credit) + ECO-Link financing |
| Oklahoma | — | Net metering up to 25 kW (utility-dependent) |
| South Dakota | — | No statewide net metering mandate |
| Tennessee | — | No net metering; TVA Green Connect export program |
| Utah | — | Export credit at reduced rate (~6¢/kWh) |
| Vermont | — | Full net metering with solar adder |
| Virginia | — | Full net metering + property tax exemption (locality) |
| Washington | — | Full net metering + sales tax exemption |
| West Virginia | — | Full retail net metering |
| Wyoming | — | Full net metering up to 25 kW |
Frequently asked questions
Is there still a federal solar tax credit in 2026?
Not for purchases. The 30% federal Residential Clean Energy Credit ended for systems installed after December 31, 2025. A lease or PPA can still capture a 30% commercial credit that the provider passes on, and state incentives remain.
Which states have the best solar incentives in 2026?
It varies, but states with their own tax credits (e.g., New York, South Carolina), SREC markets (e.g., D.C., New Jersey, Illinois), and sales/property-tax exemptions (e.g., Florida) stand out. See your state in the table above.
How do I find every incentive I qualify for?
Start with your state page here, then check the DSIRE database by ZIP code and ask your utility directly. Have any installer itemize and document every incentive they assume in a quote.