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.
In Maryland, solar incentives are abundant. There are solar tax credits, county property tax credits, battery backup incentives, and a mature solar energy renewable energy certificate sales program which helps homeowners further monetize the green production of their systems.
The federal government will also give you a tax credit equal to 30% of what you pay for solar. All these incentives add up to substantial savings for you who want to do the right thing for the environment and your pocketbook.
Maryland's solar success is driven by its Renewable Portfolio Standard (RPS), which ensures a commitment to growing the share of electricity generated from renewable sources.
Learn what solar incentives are available to Maryland homeowners
See what Maryland solar incentives you qualify for based on your utility company and city
Find out how much these incentives and/or Maryland 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 Maryland
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 ensures you get credits for all the energy you produce and send back to your utility company when you aren’t able to use it. Your utility will track how much solar power you produce and how much you use.
Fortunately, in Maryland, your utility company is required to credit you for all the solar power you send back to them at full retail rates. Any difference is credited to your subsequent power bill and reset annually. That’s a huge benefit to you as a solar owner, and a strong policy we’d like to see expanded throughout the country.
Maryland offers a flat $1,000 solar rebate for any solar energy system larger than 1 kW in system size. That’s a meaningful bonus!
Maryland is a state which has compelled its public utilities to derive electricity from clean sources, like solar panels on your rooftop. Instead of paying hefty alternative compliance fees to the state, utilities can purchase clean energy certificates for the amount of electricity produced by solar owners, large and small.
Maryland has created a solar renewable energy certificate market (SREC), based on the state’s commitment to derive 14.5% of its electricity mix from solar energy by 2030.
Current market prices are about $75 per SREC. An average 10-kW solar installation in Maryland will produce about 13 SRECs annually. That amounts to $900 in SRECs you can sell annually back to your utility company, in addition to your electric bill savings.
According to SRECtrade, there may be an SREC oversupply in the Maryland market coming for the next few years. Regardless, you can count on a sizable amount of value to come from your ability to sell these certificates to your power company over the next decade.
Maryland legislators have created a battery backup tax credit of 30% of your installed costs up to $5,000. The credit has a budget of $750,000 annually, and as of late 2020 there’s still over $600,000 in the pool. At that rate, you don’t have to worry about the credit exhausting itself this year, or probably next.
The battery storage tax credit can be paired with the 30% Federal Solar Investment Tax Credit to maximize your savings, even if the battery is not paired with solar.
For example, you can take 30% of the $15,500 cost of installing a Tesla Powerwall, which will earn you $4,650. You can then earn another $4,650 through the federal tax credit, resulting in $9,300 total in tax credits to reduce the cost of your battery installation!
You can expect tens of thousands of dollars of property value increases with your Maryland solar installation. Fortunately, Maryland homeowners who go solar won’t need to pay any tax increases on that home value increase.
Also, when you install a residential solar system in Maryland, you are exempt from 100% of sales taxes on your equipment. That’s a smart legislative move to help you save even more money on your solar installation upfront.
If you’re lucky enough to live in Prince George’s county, you can get a property tax credit for up to $5,000, carried forward for two years. In Harford or Anne Arundel counties you will receive a one time annual property tax credit for 100% of your property tax bill up to a maximum of $2,500. That’s a pretty sweet deal.
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Prices based on a 9.9kW system, after 30% federal tax credit
50 solar companies in Maryland provide pricing on SolarReviews. Here are the best rated companies near you.
4.91 173 Reviews
Jay Sandhaus, 1 week ago
Jim and the team from Celestial were great — I knew very little about solar and they talked me through the process, explained the cost & payback, talked me through my questions about the equiptment, and helped design an ideal system for my house. Installation was quick and efficient and before I knew it I was generating electricity! Jim was there throughout the process to answer questions and help. He was engaged and I felt like he really cared about getting a good outcome.
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Jay Sandhaus, 1 week ago
Jim and the team from Celestial were great — I knew very little about solar and they talked me through the process, explained the cost & payback, talked me through my questions about the equiptment, and helped design an ideal system for my house. Installation was quick and efficient and before I knew it I was generating electricity! Jim was there throughout the process to answer questions and help. He was engaged and I felt like he really cared about getting a good outcome.
4.91 403 Reviews
Ray Liu, 6 days ago
I am perhaps the first Delaware customer of Lumina Solar. It took a long time from contract signing to electricity production, but it was mainly due to permitting by local/state governments and utility companies. Once all permits were in place, installation by Lumina took less than a day. All Lumina employees were very courteous and professional. Special shoutout to Courtney Sollenberger who guided me through the whole process. Her prompt responses to all my questions made the process a lot less stressful.
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Ray Liu, 6 days ago
I am perhaps the first Delaware customer of Lumina Solar. It took a long time from contract signing to electricity production, but it was mainly due to permitting by local/state governments and utility companies. Once all permits were in place, installation by Lumina took less than a day. All Lumina employees were very courteous and professional. Special shoutout to Courtney Sollenberger who guided me through the whole process. Her prompt responses to all my questions made the process a lot less stressful.
4.85 118 Reviews
Brook Valley Farm , over 1 month
Great experience from start to finish. From grant applications to installation everyone was very professional. Thanks for the great job.
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Average cost (5kW system)
$16,000 ($3.20 per watt)
Brook Valley Farm , over 1 month
Great experience from start to finish. From grant applications to installation everyone was very professional. Thanks for the great job.
4.81 572 Reviews
Don't do it, 2 days ago
Price point was very good. Installation was very good. It took about a month. From planning to full installation. Service was terrible. We never saw another service team after the install to address the full operation of the solar system. It is like going to a 5 star restaurant, the waiter tells you about the 4 course menu and how amazing it is. You order it. After entree /3rd course, you never saw the waiter again. You go to the host desk and ask about your waiter. They tell you to use an email to get your last course! You have to pay NOW using phone or a computer. However, you haven't gotten your last course. How do you like that service?
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Don't do it, 2 days ago
Price point was very good. Installation was very good. It took about a month. From planning to full installation. Service was terrible. We never saw another service team after the install to address the full operation of the solar system. It is like going to a 5 star restaurant, the waiter tells you about the 4 course menu and how amazing it is. You order it. After entree /3rd course, you never saw the waiter again. You go to the host desk and ask about your waiter. They tell you to use an email to get your last course! You have to pay NOW using phone or a computer. However, you haven't gotten your last course. How do you like that service?
4.78 87 Reviews
Ruben B, over 1 month
I have recently (finally) gone solar, after a long period (years, actually) of going back and forth doing research and trying to cut through the maddening cacophony of "expert" advise online. At the end of the day, serendipitously and fortunately, I went with Solar Energy Services: I can't recommend SES strongly enough. Erin was our project coordinator, she was amazing, but the entire team was truly outstanding, remarkably professional, educating me and guiding me throughout the process. I am sure most people (like me) can find this process a bit intimidating (so many details and options to consider; companies sound all alike; prices are all over the place) but having found SES was a turning point. I have read so many horror stories that I consider myself very lucky, it is obvious that SES cares about its reputation. Should any of you readers out there decide to go solar, I have no doubt Erin and her people will be happy to educate you and help you get there, just like they did for me. Ruben B.
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Ruben B, over 1 month
I have recently (finally) gone solar, after a long period (years, actually) of going back and forth doing research and trying to cut through the maddening cacophony of "expert" advise online. At the end of the day, serendipitously and fortunately, I went with Solar Energy Services: I can't recommend SES strongly enough. Erin was our project coordinator, she was amazing, but the entire team was truly outstanding, remarkably professional, educating me and guiding me throughout the process. I am sure most people (like me) can find this process a bit intimidating (so many details and options to consider; companies sound all alike; prices are all over the place) but having found SES was a turning point. I have read so many horror stories that I consider myself very lucky, it is obvious that SES cares about its reputation. Should any of you readers out there decide to go solar, I have no doubt Erin and her people will be happy to educate you and help you get there, just like they did for me. Ruben B.
4.77 198 Reviews
H, 3 weeks ago
The phone scheduler was great and understood that as an EE, and someone that's done research on this, I had a goal in mind and just needed to chat about price and warranties offered. The sales rep, who is also their marketing manager, started our visit with a few sales faux pas: 1) He refused to take off his shoes when asked; 2) He used the bathroom. Setting those aside, his first business comment to me was, "Where's your husband?" I informed him I was the sole home owner. Then he commented, "Well....this is a mighty big house..." as if I couldn't handle my own home, alone, and/or without a man. Then he continued to insult my intelligence when I informed him I'm an electrical engineer, so I understand how solar works, and made me watch the videos on solar because I "couldn't possibly understand how solar works, it's so complicated." I tried to skip those, but he shooed my hand away from his screen. Then he dropped the bomb of DOUBLE the price for a system with less efficient panels and inverters than I was interested. I informed him that other companies were half that price, which he scoffed because of his 11 years in the business, he never heard of them. When I told him of the better panels I was interested in, he scoffed again because he also never heard of them (a leading solar panel company for the last 30 years). He eventually offered me $5k off his price, because the owner of the company is a nice guy and the chairman of the MHIC, if I put signs in my yard and told 4 friends who eventually get solar from them. Then dropped the price another $20k if I pay cash up front. He didn't even leave information with me except his price tag. I sure will tell everyone I can about this company - and to stay away! If this is the person representing your company for sales and marketing in the age of cancellation, Mr. Chairman, I wish you luck, sir.
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H, 3 weeks ago
The phone scheduler was great and understood that as an EE, and someone that's done research on this, I had a goal in mind and just needed to chat about price and warranties offered. The sales rep, who is also their marketing manager, started our visit with a few sales faux pas: 1) He refused to take off his shoes when asked; 2) He used the bathroom. Setting those aside, his first business comment to me was, "Where's your husband?" I informed him I was the sole home owner. Then he commented, "Well....this is a mighty big house..." as if I couldn't handle my own home, alone, and/or without a man. Then he continued to insult my intelligence when I informed him I'm an electrical engineer, so I understand how solar works, and made me watch the videos on solar because I "couldn't possibly understand how solar works, it's so complicated." I tried to skip those, but he shooed my hand away from his screen. Then he dropped the bomb of DOUBLE the price for a system with less efficient panels and inverters than I was interested. I informed him that other companies were half that price, which he scoffed because of his 11 years in the business, he never heard of them. When I told him of the better panels I was interested in, he scoffed again because he also never heard of them (a leading solar panel company for the last 30 years). He eventually offered me $5k off his price, because the owner of the company is a nice guy and the chairman of the MHIC, if I put signs in my yard and told 4 friends who eventually get solar from them. Then dropped the price another $20k if I pay cash up front. He didn't even leave information with me except his price tag. I sure will tell everyone I can about this company - and to stay away! If this is the person representing your company for sales and marketing in the age of cancellation, Mr. Chairman, I wish you luck, sir.
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.
4.76 71 Reviews
Geeksmith, over 1 month
I did a lot of homework between personal research and evaluating 5 different area solar installers and their quotes. KW Solar stood out because of its detailed and straightforward approach. They were informative, providing upfront information on sizing, mounting options, grants, loans, power company applications, permitting, and everything that goes into the process. I did not feel like they were a company selling to me but rather a consultant providing guidance. I could tell their goal was to provide the information I needed to make the most informed decision and would be happy with the result. The process and communication were painless and every person we interacted with from KW Solar was friendly, informative, and appreciated us as a customer. When it came to installation we knew exactly what to expect and the team did an excellent job minimizing the impact to our home, landscaping, and driveway. When a county inspector threw a curve ball with an uncommon interpretation of a code, they could have challenged it and won. Still, they were most concerned with not delaying so they absorbed the additional time and cost to satisfy the inspector. I didn't even know about the small hiccup until it was already being addressed. It has been 3.5 years since our installation and that system has performed without issue and the system production and savings have aligned with estimates and our expectations.
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Geeksmith, over 1 month
I did a lot of homework between personal research and evaluating 5 different area solar installers and their quotes. KW Solar stood out because of its detailed and straightforward approach. They were informative, providing upfront information on sizing, mounting options, grants, loans, power company applications, permitting, and everything that goes into the process. I did not feel like they were a company selling to me but rather a consultant providing guidance. I could tell their goal was to provide the information I needed to make the most informed decision and would be happy with the result. The process and communication were painless and every person we interacted with from KW Solar was friendly, informative, and appreciated us as a customer. When it came to installation we knew exactly what to expect and the team did an excellent job minimizing the impact to our home, landscaping, and driveway. When a county inspector threw a curve ball with an uncommon interpretation of a code, they could have challenged it and won. Still, they were most concerned with not delaying so they absorbed the additional time and cost to satisfy the inspector. I didn't even know about the small hiccup until it was already being addressed. It has been 3.5 years since our installation and that system has performed without issue and the system production and savings have aligned with estimates and our expectations.
4.71 608 Reviews
unsatisfied, 2 weeks ago
Scheduled an appointment and didn't bother to cancel. They called, but I block calls not in my contact list. They could have sent an email or at least cancelled the google invite they had sent. When I enquired about why they didn't notify, they said they "didn't want to waste my time". I suspect they didn't want to waste THEIR time. I wasted quite a bit of time waiting for them to not show up.
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unsatisfied, 2 weeks ago
Scheduled an appointment and didn't bother to cancel. They called, but I block calls not in my contact list. They could have sent an email or at least cancelled the google invite they had sent. When I enquired about why they didn't notify, they said they "didn't want to waste my time". I suspect they didn't want to waste THEIR time. I wasted quite a bit of time waiting for them to not show up.
4.71 52 Reviews
Eric Matheson, 2 weeks ago
I selected Bright Eye Solar, after seeking proposals from a number of recommended solar PV residential contractors, based on their knowledgeable sales staff, responsiveness in questions, 14 years of experience, competitive pricing, overall solar PV package [including getting the garage EV ready]. And, most importantly, they delivered on everything promised, in half the time I expected. Their entire organization, from sales, to engineering, permitting, and overall project management to billing demonstrates they are a well-oiled machine. At this point [still waiting on PECO for net meter switch out, which is scheduled to be very soon], I highly recommend the Bright Eye. A little shout out to PECO too for their very efficient interconnection process - much improved from the past.
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Average cost (5kW system)
$12,000 ($2.40 per watt)
Eric Matheson, 2 weeks ago
I selected Bright Eye Solar, after seeking proposals from a number of recommended solar PV residential contractors, based on their knowledgeable sales staff, responsiveness in questions, 14 years of experience, competitive pricing, overall solar PV package [including getting the garage EV ready]. And, most importantly, they delivered on everything promised, in half the time I expected. Their entire organization, from sales, to engineering, permitting, and overall project management to billing demonstrates they are a well-oiled machine. At this point [still waiting on PECO for net meter switch out, which is scheduled to be very soon], I highly recommend the Bright Eye. A little shout out to PECO too for their very efficient interconnection process - much improved from the past.