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.
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, with a maximum value of $6,000. 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!
Learn what solar incentives are available to Delaware homeowners
See what Delaware solar incentives you qualify for based on your utility company and city
Find out how much these incentives and/or Delaware solar tax credits will reduce your cost to go solar and add batteries
The federal solar investment tax credit will have the biggest impact on the cost you will face to go solar in Delaware
If you install your photovoltaic system before the end of 2032, the federal tax credit is 30% of the cost of your solar panel system. This is 30% 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 30% = $6,000.
The federal tax credit falls to 26% starting in 2033.
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.
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 $700 per kilowatt (kW), up to a maximum amount of $6,000 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.
Delaware has a strong RPS, mandating 40% renewable energy by 2035 (compliance years run from June to May). As part of that 40%, the state also has a specific target for solar electricity generation (called a "solar carve-out"), with an ultimate goal of 10% of all electricity sales coming from solar. The current minimum level of renewable energy is 22% of total retail electric sales, with 2.75% coming specifically from solar.
Those requirements will raise a little each year until 2035. 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.
In Delware, distribution utilities purchase SRECs from system owners on 20-year contracts. Each year, the SRECDelaware Program opens a competetive bidding process for SRECs. In 2021, the average purchase price of a Tier 1 SREC (from systems less than 50 kW) was $26.50. With a typical-sized system in Delwarae generating around 8 SRECs per year, that price works out to a payment of $212 per year, or $4,240 over the 20-year contract term. Not bad!
To sign up to sell your SRECs begin by, getting solar quotes and talking to installers about your options.
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Prices based on a 10.6kW system, after 30% federal tax credit
13 solar companies in Delaware provide pricing on SolarReviews. Here are the best rated companies near you.
4.90 429 Reviews
paul casciotta, 4 weeks ago
I am very happy with Jack and the Lumina Solar team with my Solar installation. A stellar company and staff. They went a above my expectations.
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paul casciotta, 4 weeks ago
I am very happy with Jack and the Lumina Solar team with my Solar installation. A stellar company and staff. They went a above my expectations.
4.81 594 Reviews
Hsiang Wei Tsao, 1 day ago
My experience with the sales, Steven Fulginiti, was great, who answered all my questions and followed up with me on installation.
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Hsiang Wei Tsao, 1 day ago
My experience with the sales, Steven Fulginiti, was great, who answered all my questions and followed up with me on installation.
4.77 200 Reviews
Marc and Debi Stewart, over 1 month
Working with American Sentry Solar was easy process start to finish. Two of our neighbor has previously purchased solar panels from American Sentry. After speaking with them and seeing how the panels were producing electricity, this made a decision to proceed. Starting with Stan Kovachki (sales) explaining the system and process to purchase, to the electric installation crew explaining their process, to the panel installation crew explaining what they would be doing. And finally Brett who completed the process by scheduling the county inspector and BGE meter switch. Very satisfied with the whole American Sentry Solar team. Panels started producing before they install crew has left the property.
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Marc and Debi Stewart, over 1 month
Working with American Sentry Solar was easy process start to finish. Two of our neighbor has previously purchased solar panels from American Sentry. After speaking with them and seeing how the panels were producing electricity, this made a decision to proceed. Starting with Stan Kovachki (sales) explaining the system and process to purchase, to the electric installation crew explaining their process, to the panel installation crew explaining what they would be doing. And finally Brett who completed the process by scheduling the county inspector and BGE meter switch. Very satisfied with the whole American Sentry Solar team. Panels started producing before they install crew has left the property.
4.76 83 Reviews
Rich Connor, over 1 month
Very professional and efficient installation. 12 panels on the garage, 14 more above the attic. All work completed in one day - started at 9 AM, completed by 4:15 PM. We couldn’t be happier with Green Street.
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Rich Connor, over 1 month
Very professional and efficient installation. 12 panels on the garage, 14 more above the attic. All work completed in one day - started at 9 AM, completed by 4:15 PM. We couldn’t be happier with Green Street.
4.69 613 Reviews
Kevin E, 1 week ago
call was clear and covered all my concerns
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Kevin E, 1 week ago
call was clear and covered all my concerns
4.63 58 Reviews
Russell, over 1 month
We had CMI install our solar system several years ago and were very happy with the work and the system. Earlier this year we asked them to help us with a generator hookup. We had no problems until several weeks ago. We contacted CMI and they were able to correct the problem. We definately appreciate the overall quality of their install and their willingness to stand by their work to resolve any issues.
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Russell, over 1 month
We had CMI install our solar system several years ago and were very happy with the work and the system. Earlier this year we asked them to help us with a generator hookup. We had no problems until several weeks ago. We contacted CMI and they were able to correct the problem. We definately appreciate the overall quality of their install and their willingness to stand by their work to resolve any issues.
4.19 34 Reviews
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.
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Average cost (5kW system)
$27,750 ($5.55 per watt)
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.
3.76 31 Reviews
Reggie Thomas, over 1 month
Great rate! Beat other companies by a mile
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Reggie Thomas, over 1 month
Great rate! Beat other companies by a mile
3.75 2 Reviews
Mary Spencer, over 1 month
What a great experience working with Clean Energy USA on my residential install. I would highly recommend this team to anyone looking to install solar. Everyone at Clean Energy USA was a pleasure to interact with and highly knowledgeable. As a new customer to solar I could not be more appreciative of the efficient and smooth process from sales, back office and intstallation.
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Mary Spencer, over 1 month
What a great experience working with Clean Energy USA on my residential install. I would highly recommend this team to anyone looking to install solar. Everyone at Clean Energy USA was a pleasure to interact with and highly knowledgeable. As a new customer to solar I could not be more appreciative of the efficient and smooth process from sales, back office and intstallation.
3.75 1 Reviews
Ashley, over 1 month
Our electric bills were getting out of hand so we started getting estimates from multiple companies and went with Ryan and his company. Best decision ever.
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Ashley, over 1 month
Our electric bills were getting out of hand so we started getting estimates from multiple companies and went with Ryan and his company. Best decision ever.
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