Connecticut solar rebates and tax credits calculator

Solar incentive

Federal ITC 26% (tax credit)

State tax credit: No

Net metering (by utility)

Calculate for your homes location

There can be solar tax credits and incentives available at the federal, state and local levels. The calculator above will show you the value of all incentives your home is eligible for.

Summary of Connecticut solar incentives 2020

Connecticut has ranked in the top ten states for solar policy and incentives, and also in solar installations per year for the past few years. With solar net energy metering offered for 20 years for people who install solar in 2020, the financials look great for those who install now. People who wait may miss out. Connecticut has also rolled out a low and moderate income solar program. Read on to learn more!

On this page, you can:

  1. Learn what solar incentives are available to Connecticut homeowners

  2. See what Connecticut solar incentives you qualify for based on your utility company and city

  3. Find out how much these incentives and/or Connecticut solar tax credits will reduce your cost to go solar and add batteries

Federal solar investment tax credit

The federal solar investment tax credit will have the biggest impact on the cost you will face to go solar in Connecticut

This perk is commonly known as the ITC, short for “Investment Tax Credit”. If you install your photovoltaic system in 2020, the federal tax credit is 26% of the cost of your solar panel system. This is 26% off the entire cost of the system including equipment, labor and permitting.

Example: If your solar energy system costs $20,000, your federal solar tax credit would be $20,000 x 26% = $5,200.

The federal tax credit falls to 22% in 2021. Unless new legislation is introduced in Washington D.C., this program will be gone in 2022.

Net energy metering in Connecticut

With net metering in some states, you get full retail rate credit for the amount of electricity you send back into the grid with your solar panels.

With net metering, your utility company is required to track the amount of solar power you send back into the grid and how much you use, and credit you for the difference at retail prices. The difference is reflected as a credit on your next bill, and reset annually. This is a huge benefit to you as a solar owner, and a policy we’d like to see expanded in most other parts of the country.

Nearly unanimously in late 2019, the Connecticut Senate saved the state’s solar industry by extending its current strong net metering policy through 2021. Those who go solar now can have their net metering locked in until 2040!

If, however, you miss the boat on Connecticut net metering, you'll be subject to whatever "feed-in tariff" (FIT) your utility company manages to push through the state's Public Utilities Commission. A FIT is the price you get paid for a kWh of solar energy, and the FITs in Connecticut are sure to be less than the price you'll be paying for electricity from the utility company.We’re hopeful the state legislature can design a longer term successor which is fair and creates more long-term reliability for installers and homeowners alike.

Connecticut solar rebates

Connecticut has generous solar power rebates, for up to a 10-kilowatt installation. If you use enough energy to justify a 10-kW system, the state offers $426 back per kW. This means the max you can get from the program is $4,260. That’s pretty sweet.That amount is typically paid directly to your solar contractor from the state, so expect to see it reflected on your quote and handled by them.

The state also offers incentives for third-party companies who install and maintain solar panels on homes and lease the systems to homeowners, which makes Connecticut one of the best places in the country for solar leasing!

Sales and property tax exemptions

When solar panels are installed on your home, its value increases. We’re talking many thousands of dollars of instant property value goodness. But wait, that isn’t even the best news! Connecticut has provided residents a way out of paying more property taxes for putting solar panels on their roofs since 1977, thanks to the Connecticut solar energy property tax exemption.

As long as you file a claim with the board of assessors before the first day of November in the applicable assessment year, you will not have to pay a single penny more in property taxes for that shiny new PV system.

What’s more, your solar installation in Connecticut is also 100% exempt from sales taxes, saving you 6.35% right out of the gate!

Low income solar program

Connecticut has a low-income solar program! Called the Solar For All Program, it's helped nearly 2,000 low-income Connecticut homeowners get solar panels installed on their roof and save money on their electric bill.

Unlike other states, Connecticut doesn't promote solar ownership, but instead engages in a public/private partnership to install solar systems under a kind of third-party ownership called a power purchase agreement, or PPA for short.

A PPA makes the solar installation company essentially your second electricity provider—you pay for all the energy the solar panels generate, at a lower rate than you had been paying the electric company. In the case of the Solar for All program, the cost of a PPA is considerably less than retail energy, because Connecticut subsidizes the systems and the savings are passed on to the low-income homeowner.

Cost of solar panels in your part of Connecticut after all applicable solar incentives

Showing data for:

Utility provider: Eversource Energy Connecticut
Utility bill: $ 179

Prices based on a 9.5kW system, after 26% federal tax credit

Solar prices near you

Cost range of local prices

$19,178-$23,440

Payback period

5.5-6.8 years

Net profit (savings less system cost)

$65,549-$80,116

Average size system installed in CT in 2020

9.5kW

Solar panel cost calculator

Best 10 solar companies in Connecticut

19 solar companies in Connecticut provide pricing on SolarReviews. Here are the best rated companies near you.

Useful links

Connecticut Smart E-loans - No money down low interest financing to upgrade home energy performance

Solar Energy Industries Association (SEIA)

Related solar news