Summary of Delaware solar incentives 2021
Delmarva Power now offers a nice solar rebate program called a Green Energy Grant if you’re looking to install solar on your home in Delaware. There’s a cap of 6 kilowatts (about 20 average solar panels), and that grant has a maximum value of $5,000. Even if you’re not a Delmarva customer, DEC and DEMEC offer their own similar solar rebate programs. Not too shabby!
Delaware has also carved out 3.5% of it’s ambitious state renewable energy standard to come from distributed solar generation by 2027, like panels on your rooftop. That’s a strong move.
Coupled with this requirement is an incentive which pays homeowners $32 per Solar Renewable Energy Credit (SREC) generated by home solar panels (if your installer is savvy enough to claim them on your behalf). This works out to about $250 annually over the 20 years. Solid. Read on to learn more about how all the programs for home solar work in Delaware!
On this page, you can:
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Learn what solar incentives are available to Delaware homeowners
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See what Delaware solar incentives you qualify for based on your utility company and city
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Find out how much these incentives and/or Delaware 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 Delaware
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% at the end of 2022.
Net energy metering in Delaware
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.
Net Metering requires your utility to monitor how much energy your solar power system produces and how much energy you actually consume to make sure you get credit for the surplus.
Delaware’s net metering law is straightforward and pretty much perfect. Any net excess generation (i.e. any surplus electricity) you produce is applied to your next bill as a credit at the full retail rate.
If you run a surplus for a full 12-month period you may elect to have the electric company cut you a check for the surplus, again at the full retail rate. Note, however, that nothing in the net metering law requires you to request the check. If it’s easier for you, you can just keep the credit rolling over onto your bill indefinitely.
Delaware solar rebates
Delmarva Power, DEMEC and Delaware Electric Cooperative all offer solar rebate programs.
If you’re lucky enough to be a Delmarva Power customer, you can qualify for a Green Energy Grant to go solar. The grant pays out $600 per kilowatt (kW), up to a maximum amount of $5,000 for your home solar installation! For example, on an average sized 6kW system, you can expect a rebate of $3,600.
The DEMEC green energy program rebate pays out $1,000 per kW, up to a maximum of $3,500. You’d max out that incentive with a small-ish 3.5kW system.
The Delaware Electric Cooperative’s green energy rebate pays out $500 per kW, up to a maximum of $2,500. So, to get maximum credit, you’d need to install a 5kW system.
Solar SRECs in Delaware
Delaware has a strong RPS, mandating 25% renewable energy by 2025-2026 (compliance years run from June to May). The current minimum level of renewable energy is 13% of total retail electric sales. That requirement will raise by 1% per year through 2025-2026. Delaware’s RPS is critical to strong renewable energy policy. Utility companies aren't really all that gung-ho about you producing your own power. After all, it costs them money when you use less of their electricity. They also don’t naturally want to give you big payments for energy you're feeding back into the grid. The main reason the utilities are aiding your transition to lower electric bills and offering you incentives to put solar on your roof is because the state forces them to. If the utilities don't hit their RPS numbers, they have to pay large fees back to the state.So, instead they’re willing to pay you for your solar renewable energy certificates (SRECs) that your home solar panels generate. By owning those, they can meet their RPS goals more easily and avoid alternative compliance fees.
Delaware has carved out 3.5% of it’s ambitious state renewable energy standard to come from distributed solar generation, like panels on your rooftop. That’s a strong move. Coupled with this requirement is an incentive which paid homeowners $32 per SREC generated by home solar panels last year. If that rate continues, the amount works out to about $250 annually over the 20 years. Solid.
To sign up, get quotes and talk to installers about the details.
Cost of solar panels in your part of Delaware after all applicable solar incentives
Showing data for:
Prices based on a 10.6kW system, after 26% federal tax credit
Solar prices near you
Payback period
9.4-11.5 years
Net profit (savings less system cost)
$41,164-$50,312
Average size system installed in DE in 2021
10.6kW
Solar panel cost calculator
Best 10 solar companies in Delaware
9 solar companies in Delaware provide pricing on SolarReviews. Here are the best rated companies near you.
2.96 793 Reviews
Latest review
Ken D, over 1 month
I shopped around, and no one was able to compete with their price!
Read more
Average cost (5kW system)
$10,000 ($2.00 per watt)
Latest review
Ken D, over 1 month
I shopped around, and no one was able to compete with their price!
4.85 66 Reviews
Latest review
Great company!, 3 weeks ago
We have had our solar array up and running since late July, and I'm anxious to see our next electric bill to see how much we have saved. Nate was great to work with, and answered all our questions. He is always easy to contact if we have additional questions, and we're waiting for our final "interview" with the company.
Read more
Average cost (5kW system)
$16,000 ($3.20 per watt)
Latest review
Great company!, 3 weeks ago
We have had our solar array up and running since late July, and I'm anxious to see our next electric bill to see how much we have saved. Nate was great to work with, and answered all our questions. He is always easy to contact if we have additional questions, and we're waiting for our final "interview" with the company.
4.81 159 Reviews
Latest review
Dee Kauffman, 2 weeks ago
American Solar Sentry is a reliable company I can trust. They have been in business many years, have top ratings in the solar industry, and use quality materials. On average the cost of going solar is no different than the cost of my electric bill. Once the panels are paid off the return on investment will be fantastic. What I appreciate most is that American Sentry Solar handles all the details including permits, financing, and installation. Aside from the initial consultation, all I had to do was schedule the surveying/planning, installation, and final inspection. All went off without a hitch and in just over a month I had solar and an app on my phone where I could track how much energy my panels were producing compared to how much I was consuming. It's a very cool app and I feel good about using a clean, renewable energy source which is friendly to our increasingly precious environment.
Read more
Latest review
Dee Kauffman, 2 weeks ago
American Solar Sentry is a reliable company I can trust. They have been in business many years, have top ratings in the solar industry, and use quality materials. On average the cost of going solar is no different than the cost of my electric bill. Once the panels are paid off the return on investment will be fantastic. What I appreciate most is that American Sentry Solar handles all the details including permits, financing, and installation. Aside from the initial consultation, all I had to do was schedule the surveying/planning, installation, and final inspection. All went off without a hitch and in just over a month I had solar and an app on my phone where I could track how much energy my panels were producing compared to how much I was consuming. It's a very cool app and I feel good about using a clean, renewable energy source which is friendly to our increasingly precious environment.
4.78 231 Reviews
Latest review
Briggs, 1 week ago
had the system installed without major difficulties last winter. Then a couple of weeks ago I get a message from Enphase that only about half of the microinverters are working. Took four phone calls to SEW to get someone up on the roof to check it out. I was told it was either a lighting strike or a "grid event." No other evidence of lightning strike and no grid event on record. Said they were not responsible and I should contact my insurance company. What is frustrating is the lack of a definitive answer. I KNOW they failed, but why? My insurance company is balking due to lack of details. VERY frustrating and expensive. They say I have to pay for new panels and installation. And I assume with no guarantee this won't happen again. So much for saving money going solar. Briggs
Read more
Latest review
Briggs, 1 week ago
had the system installed without major difficulties last winter. Then a couple of weeks ago I get a message from Enphase that only about half of the microinverters are working. Took four phone calls to SEW to get someone up on the roof to check it out. I was told it was either a lighting strike or a "grid event." No other evidence of lightning strike and no grid event on record. Said they were not responsible and I should contact my insurance company. What is frustrating is the lack of a definitive answer. I KNOW they failed, but why? My insurance company is balking due to lack of details. VERY frustrating and expensive. They say I have to pay for new panels and installation. And I assume with no guarantee this won't happen again. So much for saving money going solar. Briggs
4.68 57 Reviews
Latest review
Witman , over 1 month
Made a good choice with this company. Felt very comfortable and trusting from the first phone call and meeting. Explained everything so we could understand. Did all the paper work for us when they could. Even after we were up and running helped with a problem on Delmarva's end. Truely a wonderful bunch of peope.
Read more
Latest review
Witman , over 1 month
Made a good choice with this company. Felt very comfortable and trusting from the first phone call and meeting. Explained everything so we could understand. Did all the paper work for us when they could. Even after we were up and running helped with a problem on Delmarva's end. Truely a wonderful bunch of peope.
4.19 34 Reviews
Latest review
Anonymous, over 1 month
No issues from technical side, but after-sales customer support is not professional. Our Zantrex/Snider box stopped inverting during real-life grid outages. Standard Solar sent a technician who couldn't find or fix the problem, but sent $760 bill without explanation or warning. We had to deal with Snider on our own, and Standard Solar had problem to find proof of purchase. When they send technician to the house, they charge $92/hour, including transportation, on-site downloading manufacturer's instructions, etc. Not the level of service one would expect.
Read more
Average cost (5kW system)
$27,750 ($5.55 per watt)
Latest review
Anonymous, over 1 month
No issues from technical side, but after-sales customer support is not professional. Our Zantrex/Snider box stopped inverting during real-life grid outages. Standard Solar sent a technician who couldn't find or fix the problem, but sent $760 bill without explanation or warning. We had to deal with Snider on our own, and Standard Solar had problem to find proof of purchase. When they send technician to the house, they charge $92/hour, including transportation, on-site downloading manufacturer's instructions, etc. Not the level of service one would expect.
4.17 4 Reviews
Latest review
Anonymous, over 1 month
I am very pleased with the finished product. The process can get very frustrating. It requires a lot of patience and a great outfit like Clear Horizon to make it all come together. I have to say that these guys are very professional and hard working. They make sure that you are completely satisfied. Thank you for making a dream turn into reality. It was a pleasure doing business with them!
Read more
Latest review
Anonymous, over 1 month
I am very pleased with the finished product. The process can get very frustrating. It requires a lot of patience and a great outfit like Clear Horizon to make it all come together. I have to say that these guys are very professional and hard working. They make sure that you are completely satisfied. Thank you for making a dream turn into reality. It was a pleasure doing business with them!
4.04 66 Reviews
Latest review
Judy Gergen, 1 day ago
We like receiving money from the Electric company rather than getting a $300-400 bill every month! On and beyond that fact, we have helped our environment by saving CO2 Emissions of 47,468.5 lbs. and the Equivalent trees planted of 359 since May of '20. We would do it all again. The set up was so easy, Joe Sarb, sales rep. did all the planning over the computer, even planning exactly how to place the panels. The Installation was also quite seamless and clean, not like the usual construction projects. Joe is still just a text message away from my questions. Thank you, Joe. We went with battery backup with Tesla and love them too. Nice to not have to use the grid during the night or on cloudy, rainy days.
Read more
Latest review
Judy Gergen, 1 day ago
We like receiving money from the Electric company rather than getting a $300-400 bill every month! On and beyond that fact, we have helped our environment by saving CO2 Emissions of 47,468.5 lbs. and the Equivalent trees planted of 359 since May of '20. We would do it all again. The set up was so easy, Joe Sarb, sales rep. did all the planning over the computer, even planning exactly how to place the panels. The Installation was also quite seamless and clean, not like the usual construction projects. Joe is still just a text message away from my questions. Thank you, Joe. We went with battery backup with Tesla and love them too. Nice to not have to use the grid during the night or on cloudy, rainy days.
3.08 1 Reviews
Latest review
Anonymous, over 1 month
I have a solar panel system that was installed by wanex and it has rodent damage that was found by Sun power. The technician from Sun Power told me that I would not have had this damage had I been given the option of having a rodent guard system installed at the time of the installation. I at now at a loss of over $5000.00 over negligence on the contractors part. I had also asked the contractor to split the install on my garage roof because of the weight of the panels (over 40lbs.) each and since they did not listen to me at the time of the install my garage which is sitting on stone has since sunk into the ground on the side the panels are installed on and continues to sink. At this point we do not know what to do because these damages are not covered by homeowners insurance.
Read more
Latest review
Anonymous, over 1 month
I have a solar panel system that was installed by wanex and it has rodent damage that was found by Sun power. The technician from Sun Power told me that I would not have had this damage had I been given the option of having a rodent guard system installed at the time of the installation. I at now at a loss of over $5000.00 over negligence on the contractors part. I had also asked the contractor to split the install on my garage roof because of the weight of the panels (over 40lbs.) each and since they did not listen to me at the time of the install my garage which is sitting on stone has since sunk into the ground on the side the panels are installed on and continues to sink. At this point we do not know what to do because these damages are not covered by homeowners insurance.
Useful links
Energize Delaware Solar Loan - Provides 3.9% interest loans for home solar installations with a 10 year term
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