Mississippi 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 Mississippi solar incentives 2020

Another year, another new decade, but legislators in Jackson haven’t really done anything of note to help promote adoption of home solar here. However, since there's quite a bit of sunshine hitting the state, solar panels can still be a compelling addition to your home. Read on to learn more about your potential savings with home solar in Mississippi.

On this page, you can:

  1. Learn what solar incentives are available to Mississippi homeowners

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

  3. Find out how much these incentives and/or Mississippi 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 Mississippi

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 Mississippi

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, and make sure you get credit for the surplus.

Mississippi is one of only six states in the nation without statewide net metering standards in place. Net metering remains completely at the discretion of the utility companies. That’s a raw deal for Mississippi homeowners, unless you happen to live in the TVA service area, it might be difficult to figure out how your panels will affect your electricity bill.

Here’s how Mississippi Power refers to its net metering policy: "the rate paid for electricity placed on the grid by a net metered customer is 2.5 cents/kWh above the company's avoided-cost rate” which “currently ranges from 2.29 to 3.62 cents/kWh.” (at the time of this writing; late 2020).

Every 15 minutes, Mississippi Power will determine how much solar energy your system sent to the grid and credit you about 5.5 cents/kWh for it. They’ll happily charge you an average of 7.5 cents/kWh for energy you buy from them when the sun isn’t shining.

Mississippi solar rebates

While Mississippi does not have a dedicated state rebate for solar panel installation, some manufacturers like LG offer their own solar rebates. These programs are usually time sensitive. For example, LG offers a $600 solar rebate on their equipment, which your installer can help you redeem over the next year.

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

Solar prices near you

Cost range of local prices

$20,458-$25,004

Payback period

10.7-13.1 years

Net profit (savings less system cost)

$32,779-$40,063

Average size system installed in MS in 2020

11.4kW

Solar panel cost calculator

Best 10 solar companies in Mississippi

4 solar companies in Mississippi provide pricing on SolarReviews. Here are the best rated companies near you.

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