Wholesale Solar Logo
1-800-472-1142
You're logged in as a dealer. Where applicable, special dealer pricing is shown with a purple "Add to Quote" button instead of the blue "Add to Cart" button.

Add State and Local Incentives to the 30% Federal Tax Credit
Learn about solar incentives and solar rebates. Find out what is available to you through federal, state and local programs, as well as local utilities.
State and Local Solar Panel Rebates
Combining the Federal tax credit with state incentives you qualify for may significantly reduce the cost of your solar PV system.

Read more good news about these programs and important tips on qualifying below.
Federal Solar Tax Credit
30% of the cost of your Solar Electric System and installation can be deducted from your federal tax bill.

Read more about this credit and what qualifies.





Solar Incentives by State… Click on your state to see what is available.    
Solar States


— You may be able to afford a larger solar PV system than you originally thought!
— You may be able to add the battery backup system you were planning to buy in a year or two



The Good News About Solar System Incentives, Qualifications and Tips
Some solar incentive programs pay you back over time, based on the energy you generate. Other solar incentives are one-time payments of rebates or credits. Incentive requirements and definitions may vary between states.

Incentive types can be specifically for residential, schools, business, or industrial; or inclusive of all of them. Solar incentives are mainly for grid tied systems and are sometimes available for off grid systems.

The incentives may be only for solar photovoltaic (electric), for electricity generated by wind, or for solar thermal (hot water generation). Other types of incentives may incorporate multiple solar technologies.

Programs with yearly or periodic application dates have credits or rebate rates that may be stepped down over time.

To qualify for incentives, your solar system may have to be installed by a licensed Photovoltaic System Installer, and/or connected to the grid by a licensed Electrician. This may be particularly true for Grid-Tie (Grid-Intertied) systems.
Plan ahead and act quickly. Many incentive programs are time sensitive. First-come-first-served programs, such as lotteries, can be spoken for in minutes after the opening of their application date.

Be careful including incentives in your PV system's budget due to requirements and possible deadlines to meet before qualifying.

Always consult a tax professional in regards to your eligibility for tax incentives.





Solar Incentive Glossary
Battery Backup Systems
Battery backup systems can store electricity from the grid or a fuel-powered generator to provide emergency power when the grid goes down. It can also store energy created PV system to power appliances and lights at night after the sun goes down.

Feed in Tariffs,
a Performance Based Incentive, or PBI

(Available for Grid Tied Systems.)
Feed-in Tariffs are typically long term contracts with your local utility for performance-based compensation.

The contracts are typically a 15-25 year purchase agreement at a guaranteed rate. The rate may decrease over time as specified in the agreement. Feed-in Tariffs may ultimately pay for your PV system or even exceed your initial investment depending on the specifics in the contract.

Originally started in Germany in 1990 and restructured in 2000 to include the right to interconnect to the utility grid. It was designed as an incentive to promote cost-effective renewable energy use and advancements in technologies. Due to its success, the current German policy is the cornerstone for the creation of many feed-in tariff programs around the globe.

Green Building Programs
(May be available for Off-grid and/or Grid-tied Systems.)
Green Building Programs are generally for new construction and remodeling, or just adding a solar electric system. The most common incentives are reductions or waivers of building permit fees. Some state or local organizations offer coupons that reduce construction and/or installation costs to homeowners. The home or business owner usually gives the coupon to their program-authorized installer/contractor. Once the system is installed the installer/contractor can be reimbursed for the amount of the coupon by the program's organization.

Grid-Tied PV Systems
Grid tied systems are inter-connected to send energy back to the grid when your solar electric system creates more than you're using; and you can receive energy from the grid when you're using more electricity than your system is generating at the moment. Learn more about grid-tied solar systems.

Loans
(May be available for Off-grid and/or Grid-tied Systems.)
State or local governments may offer low or zero interest loans for renewable energy projects. Terms are typically 10 years or less. If you are going to purchase or remodel a home that you are going to add a solar system to you may also want to see the Energy Star website for information on Energy Improvement Mortgages (EIMs).

Property-Assessed Clean Energy (PACE) financing may be offered by states that have been authorized to participate in this program. The amount of the loan is determined by a special assessment of your property and is typically repaid over a period of years.

Check with your local banks and credit unions as they may offer renewable energy loans for less than the prime rate. Also consider that mortgage loans and home equity loans can offer several advantages: longer terms, lower interest rates than conventional bank loans, and tax-deductible interest.
Net Metering
(Available for Grid Tied Systems.)
As of January 2012, only four states do not have net metering policies ‐ South Dakota, Mississippi, Alabama and Tennessee. These programs are for utility customers who generate their own electricity and feed excess energy back into the grid. Net-metered customers may use grid energy when their electrical demand exceeds their solar electric system's output. Solar electric credit rates are applied to the customer's total electric use and are shown on the utility bills.

The credit rates and rules vary from state to state. Unused solar electric system credits may expire in a specified time period or they may be carried over from year to year. The credits may only be applied to the utility bill or you may be allowed to get a refund check at the end of a designated period, usually the end of the year.

Off-Grid PV Systems
Off grid systems do not feed energy back to the grid. You may be completely independent from the grid or you may be receiving grid electricity to supplement your system (Grid-Assisted). Learn more about off-grid solar systems.

Solar PV System (Photovoltaics)
A solar PV system uses photovoltaic panels (or modules) to create electricity. This powers appliances, lights, and other electric equipment.

Solar Thermal System
A solar thermal system uses panels (or modules) to heat water. The hot water is typically used instead of a water heater for everyday water use, or in a radiant heating system to warm the air.

State and Local Tax Incentives
(May be available for Off-grid and/or Grid-tied Systems.)
  • Personal tax incentives include income tax credits (dollar-for-dollar reduction on what you owe) and income tax deductions (reduces your taxable income).
  • Property tax exemptions, exclusions and credit incentives generally exclude the added value of the system from your yearly property tax. Abatements may reduce a percentage of your yearly property tax over time.
  • State sales tax incentives can be an exemption from or a credit towards the applicable sales tax.
Utility Rate Discounts & Rebates
(Available for Grid Tied Systems.)
Some utilities and state or local programs may offer temporarily reduced rates on utility bills, or one time rebates on the installation of solar systems and purchases of energy efficient appliances and/or HVAC systems.


Updated: 09/24/2016
Close X
Alaska solar rebates and solar tax credits California solar rebates and solar tax credits Oregon solar rebates and solar tax credits Nevada solar rebates and solar tax credits Arizona solar rebates and solar tax credits New mexico solar rebates and solar tax credits Utah Solar solar rebates and solar tax credits Idaho solar rebates and solar tax credits Washington solar rebates and solar tax credits Montana solar rebates and solar tax credits Wyoming solar rebates and solar tax credits South Dakota solar rebates and solar tax credits North Dakota solar rebates and solar tax credits Minnesota solar rebates and solar tax credits Wisconsin solar rebates and solar tax credits Colorado solar rebates and solar tax credits Nebraska solar rebates and solar tax credits Kansas solar rebates and solar tax credits Iowa solar rebates and solar tax credits Missouri solar rebates and solar tax credits Oklahoma solar rebates and solar tax credits Texas solar rebates and solar tax credits Louisiana solar rebates and solar tax credits Arkansas solar rebates and solar tax credits Mississippi solar rebates and solar tax credits Tennessee solar rebates and solar tax credits Alabama solar rebates and solar tax credits Florida solar rebates and solar tax credits Georgia solar rebates and solar tax credits South Carolina solar rebates and solar tax credits North Carolina solar rebates and solar tax credits Illinois solar rebates and solar tax credits Michigan solar rebates and solar tax credits Indiana solar rebates and solar tax credits Kentucky solar rebates and solar tax credits Ohio solar rebates and solar tax credits West Virginia solar rebates and solar tax credits Virginia solar rebates and solar tax credits Pennsylvania solar rebates and solar tax credits New York solar rebates and solar tax credits Maine solar rebates and solar tax credits District of Columbia solar rebates and solar tax credits Maryland solar rebates and solar tax credits Delaware solar rebates and solar tax credits New Jersey solar rebates and solar tax credits Connecticut solar rebates and solar tax credits Rhode Island solar rebates and solar tax credits Massachusetts solar rebates and solar tax credits New Hampshire solar rebates and solar tax credits Vermont solar rebates and solar tax credits Hawaii solar rebates and solar tax credits
Hawaii Solar Incentives
Updated: 09/24/2016
Close X
INCENTIVE NAME: Solar and Wind Energy Credit (Corporate)
CATEGORY: Financial Incentive
TYPE: Corporate Tax Credit
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI02F
DETAILS:
Incentive Amount - Solar Thermal and PV: 35%;
Wind: 20%
Maximum Incentive - Varies by technology and property type (see summary for details)
Eligible System Size - Not specified
Equipment Requirements - System must be new and in compliance with all applicable performance and safety standards.
Carryover Provisions - Credit may be carried forward until exhausted.
WEBSITE: http://tax.hawaii.gov/geninfo/renewable/
LAST UPDATE: 05/29/2015

INCENTIVE NAME: Solar and Wind Energy Credit (Personal)
CATEGORY: Financial Incentive
TYPE: Personal Tax Credit
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI01F
DETAILS:
Incentive Amount - Solar Thermal and PV: 35%;
Wind: 20%
Maximum Incentive - Varies by technology and property type (see summary for details)
Eligible System Size - Not specified
Equipment Requirements - System must be new and in compliance with all applicable performance and safety standards.
Carryover Provisions - Excess credit may be carried forward until exhausted.
WEBSITE: http://tax.hawaii.gov/geninfo/renewable/
LAST UPDATE: 05/29/2015

INCENTIVE NAME: Solar Rights
CATEGORY: Regulatory Policy
TYPE: Solar/Wind Access Policy
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI02R
LAST UPDATE: 09/09/2014

INCENTIVE NAME: Solar Contractor Licensing
CATEGORY: Regulatory Policy
TYPE: Solar/Wind Contractor Licensing
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI03R
WEBSITE: http://hawaii.gov/dcca/pvl/boards/contractor/
LAST UPDATE: 06/02/2015

INCENTIVE NAME: Net Metering
CATEGORY: Regulatory Policy
TYPE: Net Metering
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI04R
DETAILS:
Applicable Utilities - All utilities
System Capacity Limit - 100 kW for HECO, MECO, HELCO customers; 50 kW for KIUC customers
Aggregate Capacity Limit - 15% per circuit distribution threshold for distributed generation penetration
Net Excess Generation - Credited to customer's next bill at retail rate; granted to utility at end of 12-month billing cycle
Ownership of Renewable Energy Credits - Not addressed
Meter Aggregation - Virtual net metering tariffs due October 15, 2015
WEBSITE: http://energy.hawaii.gov/
UTILITIES: Hawaii Electric Light Co Inc, Kauai Island Utility Cooperative, Maui Electric Co Ltd, Hawaiian Electric Co Inc,
LAST UPDATE: 10/21/2015

INCENTIVE NAME: Renewable Portfolio Standard
CATEGORY: Regulatory Policy
TYPE: Renewables Portfolio Standard
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI06R
DETAILS:
Standard - 100% by 2045
Technology Minimum - No
Credit Trading/Tracking System - No
WEBSITE: http://energy.hawaii.gov/renewable-energy
LAST UPDATE: 06/10/2015

INCENTIVE NAME: City and County of Honolulu - Solar Loan Program
CATEGORY: Financial Incentive
TYPE: Loan Program
SECTOR: Local
TECHNOLOGY: Solar Photovoltaics,
CODE: HI15F
DETAILS:
Maximum Loan - 0% loan up to a 20 year payment term; Certain borrowers may qualify for a reduced minimum payment
WEBSITE: http://www.honolulu.gov/cms-dcs-menu/site-dcs-sitearticles/1852-cad-solar-loan.html
LAST UPDATE: 09/02/2014

INCENTIVE NAME: Interconnection Standards
CATEGORY: Regulatory Policy
TYPE: Interconnection
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI01R
DETAILS:
Applicable Utilities - Investor-owned utilities
System Capacity Limit - No limit specified
Standard Agreement - Yes
Insurance Requirements - Generally required
External Disconnect Switch - Required
Net Metering Required - No
LAST UPDATE: 09/09/2014

INCENTIVE NAME: Renewables and Efficiency in State Facilities & Operations
CATEGORY: Regulatory Policy
TYPE: Energy Standards for Public Buildings
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI10R
WEBSITE: http://energy.hawaii.gov/lead-by-example
LAST UPDATE: 09/09/2014

INCENTIVE NAME: Priority Permit Processing for Green Buildings
CATEGORY: Financial Incentive
TYPE: Green Building Incentive
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI25F
LAST UPDATE: 08/28/2014

INCENTIVE NAME: Farm and Aquaculture Alternative Energy Loan
CATEGORY: Financial Incentive
TYPE: Loan Program
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
SOURCE: HI Department of Agriculture
CODE: HI27F
DETAILS:
Maximum Loan - $1,500,000 or 85% percent of project costs, whichever is less
Loan Term - 3% interest rate for agriculture, 5% interest rate for aquaculture, 40-year term
WEBSITE: http://hdoa.hawaii.gov/agl/alternative-energy-loan-program/
LAST UPDATE: 09/19/2014

INCENTIVE NAME: City and County of Honolulu - Real Property Tax Exemption for Alternative Energy Improvements
CATEGORY: Financial Incentive
TYPE: Property Tax Incentive
SECTOR: Local
TECHNOLOGY: Solar Photovoltaics,
CODE: HI28F
DETAILS:
Incentive Amount - 100% exemption for 25 years.
WEBSITE: http://www.realpropertyhonolulu.com/portal/rpadcms/Exemption?parent=FORMS&tree=forums&li=exemption
LAST UPDATE: 09/02/2014

INCENTIVE NAME: GreenSun Hawaii
CATEGORY: Financial Incentive
TYPE: Loan Program
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
SOURCE: The American Recovery and Reinvestment Act of 2009 (ARRA)
CODE: HI32F
DETAILS:
Loan Term - Varies by lender
BUDGET: $2,670,000
WEBSITE: http://www.hcrc-hawaii.org/community-development/financing-programs2.html
LAST UPDATE: 09/03/2014

INCENTIVE NAME: Green Infrastructure Bonds
CATEGORY: Financial Incentive
TYPE: Bond Program
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI35F
LAST UPDATE: 09/03/2014

INCENTIVE NAME: Feed-in-Tariff
CATEGORY: Financial Incentive
TYPE: Feed-in Tariff
SECTOR: State
TECHNOLOGY: Solar Photovoltaics,
CODE: HI37F
DETAILS:
Incentive Amount - Rates for Tier 1 and Tier 2 vary by system size and technology and rates for Tier 3 vary by technology
Eligible System Size - Systems up to 5 MW are eligible, though system size cap varies by technology and island
Duration - 20 years
Ownership of Renewable Energy Credits - Utility
WEBSITE: http://www.heco.com/portal/site/heco/menuitem.508576f78baa14340b4c0610c510b1ca/?vgnextoid=0b0a8618ce4f7210VgnVCM1000005c011bacRCRD&vgnextchannel=3220894ba55bb210VgnVCM1000005c011bacRCRD&vgnextfmt=default&vgnextrefresh=1&level=0&ct=article
LAST UPDATE: 06/08/2015

Solar questions? Website problems? Please contact us.