Massachusetts Solar Incentives

Massachusetts Solar Incentives, Tax Credits, and Rebates

There are several incentives in Massachusetts that make investing in solar and renewable energy cost-effective.

Massachusetts and the Federal solar tax credit

Massachusetts residents can claim the federal solar tax credit. Currently, the federal solar tax credit is 26% of the total cost of your new solar panel system. This includes the installation labor, equipment, and permitting costs.

For Example, if your solar panel system costs $25,000, your tax credit would be $25,000 x 26% = $6,500.

You can learn more about the federal solar tax credit here.

Net metering in Massachusetts

Net metering is a billing mechanism that allows your solar panels to give you a credit for putting electricity into the grid. When your solar panels produce more electricity than you can use, the leftover energy is back on to the grid and you get credit for the energy you produced.

Massachusetts residents are able to receive bill credits for any excess energy they generate. This is a huge financial incentive since it means you receive financial benefits from every bit of energy you generate. You can find more information on Mass.gov.

Massachusetts Incentive Database

Name	State	Category	Type
Clustered PV Installation Program	MA	Financial Incentive	Rebate Program
Renewable Energy Equipment Sales Tax Exemption	MA	Financial Incentive	Sales Tax Incentive
Renewable Energy Property Tax Exemption	MA	Financial Incentive	Property Tax Incentive
Excise Tax Exemption for Solar or Wind Powered Systems	MA	Financial Incentive	Corporate Tax Exemption
Excise Tax Deduction for Solar or Wind Powered Systems	MA	Financial Incentive	Corporate Tax Deduction
Alternative Energy and Energy Conservation Patent Income Tax Deduction (Personal)	MA	Financial Incentive	Industry Recruitment/Support
Net Metering	MA	Regulatory Policy	Net Metering
MTC - Renewable Energy Credit Payment Options	MA	Financial Incentive	Performance-Based Incentive
Massachusetts Solar Easements & Rights Laws	MA	Regulatory Policy	Solar/Wind Access Policy
Cape Cod & Martha's Vineyard - Green Power Purchasing	MA	Regulatory Policy	Green Power Purchasing
MTC - Matching Grants for Communities	MA	Financial Incentive	Grant Program
Commonwealth Wind Incentive Program - Micro Wind Initiative	MA	Financial Incentive	Rebate Program
Fuel Mix and Emissions Disclosure	MA	Regulatory Policy	Generation Disclosure
Open PV Installation Program	MA	Financial Incentive	Rebate Program
Cape & Islands Self-Reliance Corporation - Home Energy Loan Program	MA	Financial Incentive	Loan Program
Renewable Energy Trust Fund	MA	Regulatory Policy	Public Benefits Fund
Green Buildings Initiative	MA	Financial Incentive	Grant Program
Newton - Solar Hot Water System Rebate	MA	Financial Incentive	Rebate Program
Interconnection Standards	MA	Regulatory Policy	Interconnection
MTC - Large Onsite Renewables Initiative (LORI) Grants	MA	Financial Incentive	Grant Program
Energy Conservation Improvement Program	MA	Financial Incentive	Grant Program
National Grid - Residential (Gas) Solar Water Heating Rebate Program	MA	Financial Incentive	Rebate Program
Holyoke Gas & Electric - Residential Energy Conservation Loan Program	MA	Financial Incentive	Loan Program
National Grid (Electric) - Residential Energy Efficiency Incentive Programs	MA	Financial Incentive	Rebate Program
Wakefield Municipal Gas & Light Department - Residential Conservation Services Program	MA	Financial Incentive	Rebate Program
National Grid (Mass Electric) - Small Business Energy Efficiency Program	MA	Financial Incentive	Loan Program
New England Gas Company - Residential and Commercial Energy Efficiency Rebate Programs	MA	Financial Incentive	Rebate Program
Unitil - Residential Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Unitil (Gas) - Business Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Columbia Gas of Massachusetts - Residential Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Columbia Gas of Massachusetts - Commercial Energy Efficiency Program	MA	Financial Incentive	Rebate Program
National Grid (Nantucket) - Residential Energy Efficiency Incentive Programs	MA	Financial Incentive	Rebate Program
NSTAR (Electric) - Construction Solutions Program	MA	Financial Incentive	Rebate Program
NSTAR (Electric) - Business Solutions Program	MA	Financial Incentive	Rebate Program
National Grid - Commercial Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
National Grid (Gas) - Residential Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Massachusetts Appliance and Equipment Energy Efficiency Standards	MA	Regulatory Policy	Appliance/Equipment Efficiency Standards
MTC - Clean Energy Pre-Development Financing Initiative (Grants)	MA	Financial Incentive	Grant Program
Belmont Municipal Light Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Chicopee Electric Light Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Concord Municipal Light Plant - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Mansfield Municipal Electric Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Marblehead Municipal Light Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
North Attleborough Electric Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
North Attleborough Electric Department - Power Saver Rebate Program	MA	Financial Incentive	Rebate Program
Reading Municipal Light Department - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Reading Municipal Light Department - Commercial Lighting Retrofit Program	MA	Financial Incentive	Rebate Program
Building Energy Code	MA	Regulatory Policy	Building Energy Code
Shrewsbury Electric - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Mass Save - HEAT Loan Program	MA	Financial Incentive	Loan Program
MTC - Massachusetts Green Communities Grant	MA	Financial Incentive	Grant Program
Boston Community Capital - Energy Advantage Program	MA	Financial Incentive	Loan Program
Massachusetts LEED Plus 2.0 Standard for New Construction	MA	Regulatory Policy	Energy Standards for Public Buildings
MTC - Business Expansion Initiative	MA	Financial Incentive	Industry Recruitment/Support
Model As-of Right Zoning Ordinance or Bylaw: Allowing Use of Wind Energy Facilities	MA	Regulatory Policy	Solar/Wind Permitting Standards
Commonwealth Solar II Rebates	MA	Financial Incentive	Rebate Program
Chicopee Electric Light - Residential Solar Rebate Program	MA	Financial Incentive	Rebate Program
Massachusetts Green Power Purchasing Commitment	MA	Regulatory Policy	Green Power Purchasing
National Grid (Gas)â€“ Commercial Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Model Ordinance for Permitting of Small Wind Facilities	MA	Regulatory Policy	Solar/Wind Permitting Standards
NSTAR (Electric) - Small Business Direct Install Program	MA	Financial Incentive	Rebate Program
Eversource (Gas) - Commercial Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Western Massachusetts Electric - Commercial Energy Efficiency Rebates	MA	Financial Incentive	Rebate Program
National Grid (Electric) - Small Business Energy Efficiency Loan/Rebate Program	MA	Financial Incentive	Loan Program
WMECO - New Construction/Major Renovations Program	MA	Financial Incentive	Grant Program
Commonwealth Wind Community-Scale Initiative	MA	Financial Incentive	Grant Program
Marblehead Municipal Light Department - Solar Rebate Program	MA	Financial Incentive	Rebate Program
Cape Light Compact - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Cape Light Compact - Commercial Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
National Grid (Gas) - Commercial Solar Thermal Rebate Program	MA	Financial Incentive	Rebate Program
MassCEC - Commonwealth Wind Incentive Program - Commercial Wind Initiative Loan	MA	Financial Incentive	Loan Program
Commonwealth Hydropower Program	MA	Financial Incentive	Grant Program
Concord Municipal Light Plant - Solar Photovoltaic Rebate Program	MA	Financial Incentive	Rebate Program
Massachusetts - Residential Energy-Efficient Appliance Rebates	MA	Financial Incentive	Rebate Program
MassCEC - Commonwealth Solar Stimulus	MA	Financial Incentive	Rebate Program
Residential New Construction Program	MA	Financial Incentive	Rebate Program
Major Renovations Program	MA	Financial Incentive	Rebate Program
Green Communities Grant Program	MA	Financial Incentive	Grant Program
NSTAR (Electric) - Residential Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
MMWEC Green Opportunity Commercial and Industrial Efficiency Program	MA	Financial Incentive	Rebate Program
City of Boston - Renew Boston Residential Retrofit Program	MA	Financial Incentive	Rebate Program
Residential & Small-Scale Solar Hot Water Program	MA	Financial Incentive	Rebate Program
Taunton Municipal Lighting Plant - Residential Energy Star Appliance Rebate Program	MA	Financial Incentive	Rebate Program
Reading Municipal Light Department - Business Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Reading Municipal Light Department - Residential and Small Commercial Solar Rebate Program	MA	Financial Incentive	Rebate Program
Alternative Energy Portfolio Standard	MA	Regulatory Policy	Other Policy
Gas Networks - Commercial Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Mass Save (Gas) - Residential Rebate Program	MA	Financial Incentive	Rebate Program
Mass Save (Electric) - Large Commercial Retrofit Program	MA	Financial Incentive	Rebate Program
Mass Save - Residential Energy Efficiency Programs	MA	Financial Incentive	Rebate Program
Wellesley Municipal Light Plant - Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
City of Boston - Renew Boston Solar Program	MA	Financial Incentive	Rebate Program
Commercial Solar Hot Water Rebate Program	MA	Financial Incentive	Rebate Program
Mass Save - Financing for Business Program	MA	Financial Incentive	Loan Program
Commonwealth Organics-to-Energy Program	MA	Financial Incentive	Grant Program
ReBuild Western Massachusetts Grant Program	MA	Financial Incentive	Grant Program
City of Cambridge - Cambridge Energy Alliance Solar Hot Water Grant	MA	Financial Incentive	Rebate Program
Hudson Light & Power - Photovoltaic Incentive Program	MA	Financial Incentive	Rebate Program
Chicopee Electric Light - Commercial Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Taunton Municipal Lighting Plant - Residential and Non-Profit Weatherization Program	MA	Financial Incentive	Rebate Program
Commercial Solar Hot Water Financing Program	MA	Financial Incentive	Other Incentive
Commonwealth Outdoor Hydronic Heater Change-Out Pilot Program	MA	Financial Incentive	Grant Program
Commonwealth Small Pellet Boiler Grant Program	MA	Financial Incentive	Rebate Program
Solar Renewable Energy Certificates (SREC-II)	MA	Financial Incentive	Performance-Based Incentive
Residential & Small-Scale Ground-Source Heat Pump Program	MA	Financial Incentive	Rebate Program
Residential & Small-Scale Biomass Heating Program	MA	Financial Incentive	Rebate Program
Solar Renewable Energy Certificates (SREC-I)	MA	Financial Incentive	Solar Renewable Energy Credit Program
Solar Renewable Energy Certificates (SREC-II)	MA	Financial Incentive	Solar Renewable Energy Credit Program
Cape Light Compact- Residential Energy Efficiency Rebate Program	MA	Financial Incentive	Rebate Program
Leading By Example Solar Photovoltaic Canopy Grant Program	MA	Financial Incentive	Grant Program
City of Boston - Green Building Standard	MA	Regulatory Policy	Energy Standards for Public Buildings
PACE Massachusetts Financing	MA	Financial Incentive	PACE Financing
Commercial-Scale Ground-Source Heat Pump Grant Program	MA	Financial Incentive	Grant Program
Solar Massachusetts Renewable Target (SMART) Program	MA	Financial Incentive	Performance-Based Incentive
Energy Storage Target	MA	Regulatory Policy	Energy Storage Target
MassEVIP Fleets Charging Program	MA	Financial Incentive	Grant Program
MassEVIP Workplace and Fleet Charging Program	MA	Financial Incentive	Grant Program
MassEVIP Public Access Charging (PAC) Program	MA	Financial Incentive	Grant Program
MassEVIP Multi-Unit Dwelling (MUD) and Educational Campus Charging Program	MA	Financial Incentive	Grant Program
MassEVIP DC Fast Charging Program	MA	Financial Incentive	Grant Program
MOR-EV	MA	Financial Incentive	Rebate Program
MOR-EV Trucks Program	MA	Financial Incentive	Rebate Program
Braintree Electric Light Department - Bring Your Own Charger Program	MA	Financial Incentive	Rebate Program
Eversource - EV Home Charger Demand Response Program	MA	Financial Incentive	Rebate Program
National Grid (Electric) - Electric Vehicle Charging Station Program	MA	Financial Incentive	Rebate Program
HELPS EV Charger Program	MA	Financial Incentive	Rebate Program
Mass Save - Residential New Home Construction Incentives	MA	Financial Incentive	Rebate Program
Reading Municipal Light Department - Residential and Small Commercial Solar Rebate Program	MA	Financial Incentive	Rebate Program
Wakefield Municipal Gas & Light Department Solar Rebate Program	MA	Financial Incentive	Rebate Program
Shrewsbury Electric & Cable Operations Solar Rebate Program	MA	Financial Incentive	Rebate Program
Town of Ipswich Electric Light Department Solar PV Rebate Program	MA	Financial Incentive	Rebate Program
Diesel Emissions Reduction Act (DERA) Electric Solicitation Grant	MA	Financial Incentive	Grant Program
Clean Peak Energy Standard	MA	Regulatory Policy	Renewables Portfolio Standard
Clean Energy Standard	MA	Regulatory Policy	Renewables Portfolio Standard
National Grid Residential EV Charging Infrastructure Program	MA	Financial Incentive	Rebate Program
Eversource Residential EV Charging Program	MA	Financial Incentive	Rebate Program
Accelerating Clean Transportation (ACT) School Bus Fleet Deployment Program	MA	Financial Incentive	Grant Program
Offshore Wind Energy Target	MA	Regulatory Policy	Offshore Wind Energy Target
Massachusetts - National Electric Vehicle Infrastructure (NEVI) Formula Grant Program	MA	Financial Incentive	Grant Program
City of Boston - Green Building Guidelines	MA	Regulatory Policy	Building Energy Code
Enhancing Massachusetts' Grid Resilience & Reliability Grant Program	MA	Financial Incentive	Grant Program
Tax-Exempt Financing for Green Buildings, Renewable Energy & Brownfield Redevelopment	US	Financial Incentive	Loan Program
Conservation Security Program (CSP) Production Incentive	US	Financial Incentive	Performance-Based Incentive
Business Energy Investment Tax Credit (ITC)	US	Financial Incentive	Corporate Tax Credit
Federal Excise Tax Exemption for Gasohol	US	Financial Incentive	Corporate Tax Exemption
Modified Accelerated Cost-Recovery System (MACRS)	US	Financial Incentive	Corporate Depreciation
Energy Star Financing and Mortgages	US	Financial Incentive	Loan Program
USDA Rural Housing Service Loans	US	Financial Incentive	Loan Program
Residential Energy Conservation Subsidy Exclusion (Corporate)	US	Financial Incentive	Corporate Tax Exemption
Renewable Energy Production Incentive (REPI)	US	Financial Incentive	Performance-Based Incentive
Renewable Electricity Production Tax Credit (PTC)	US	Financial Incentive	Corporate Tax Credit
Small Business Administration Loan Programs	US	Financial Incentive	Loan Program
Energy-Efficient Mortgages	US	Financial Incentive	Loan Program
USDA - Rural Energy for America Program (REAP) Grants	US	Financial Incentive	Grant Program
Office of Indian Energy Policy and Programs - Funding Opportunities	US	Financial Incentive	Grant Program
Green Power Purchasing Goal for Federal Government	US	Regulatory Policy	Green Power Purchasing
Energy-Efficient Commercial Buildings Tax Deduction	US	Financial Incentive	Corporate Tax Deduction
Energy-Efficient New Homes Tax Credit for Home Builders	US	Financial Incentive	Corporate Tax Credit
Energy-Efficient Appliance Manufacturing Tax Credit	US	Financial Incentive	Industry Recruitment/Support
Residential Energy Efficiency Tax Credit	US	Financial Incentive	Personal Tax Credit
Veterans Housing Guaranteed and Insured Loans	US	Financial Incentive	Loan Program
Federal Appliance Standards	US	Regulatory Policy	Appliance/Equipment Efficiency Standards
Energy Goals and Standards for Federal Agencies	US	Regulatory Policy	Energy Standards for Public Buildings
Clean Renewable Energy Bonds (CREBs)	US	Financial Incentive	Loan Program
Qualified Energy Conservation Bonds (QECBs)	US	Financial Incentive	Loan Program
U.S. Department of Treasury - Renewable Energy Grants	US	Financial Incentive	Grant Program
USDA - High Energy Cost Grant Program	US	Financial Incentive	Grant Program
USDA - Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program	US	Financial Incentive	Loan Program
USDA - Repowering Assistance Biorefinery Program	US	Financial Incentive	Grant Program
Title I Property Improvement Loans	US	Financial Incentive	Loan Program
USDA - Rural Energy for America Program (REAP) Energy Audit and Renewable Energy Development Assistance (EA/REDA) Program	US	Financial Incentive	Grant Program
Low Income Home Energy Assistance Program (LIHEAP)	US	Financial Incentive	Grant Program
Weatherization Assistance Program (WAP)	US	Financial Incentive	Grant Program
Fannie Mae Green Financing – Loan Program	US	Financial Incentive	Loan Program
Qualified Commercial Clean Vehicle Tax Credit	US	Financial Incentive	Corporate Tax Credit
Alternative Fuel Vehicle Refueling Property Tax Credit (Corporate)	US	Financial Incentive	Corporate Tax Credit
Alternative Fuel Vehicle Refueling Property Tax Credit (Personal)	US	Financial Incentive	Personal Tax Credit
Previously-Owned Clean Vehicle Tax Credit	US	Financial Incentive	Personal Tax Credit
Tax-Exempt Financing for Green Buildings, Renewable Energy & Brownfield Redevelopment	US	Financial Incentive	Loan Program
Conservation Security Program (CSP) Production Incentive	US	Financial Incentive	Performance-Based Incentive
Business Energy Investment Tax Credit (ITC)	US	Financial Incentive	Corporate Tax Credit
Federal Excise Tax Exemption for Gasohol	US	Financial Incentive	Corporate Tax Exemption
Modified Accelerated Cost-Recovery System (MACRS)	US	Financial Incentive	Corporate Depreciation
Energy Star Financing and Mortgages	US	Financial Incentive	Loan Program
USDA Rural Housing Service Loans	US	Financial Incentive	Loan Program
Residential Energy Conservation Subsidy Exclusion (Corporate)	US	Financial Incentive	Corporate Tax Exemption
Renewable Energy Production Incentive (REPI)	US	Financial Incentive	Performance-Based Incentive
Renewable Electricity Production Tax Credit (PTC)	US	Financial Incentive	Corporate Tax Credit
Small Business Administration Loan Programs	US	Financial Incentive	Loan Program
Energy-Efficient Mortgages	US	Financial Incentive	Loan Program
USDA - Rural Energy for America Program (REAP) Grants	US	Financial Incentive	Grant Program
Office of Indian Energy Policy and Programs - Funding Opportunities	US	Financial Incentive	Grant Program
Green Power Purchasing Goal for Federal Government	US	Regulatory Policy	Green Power Purchasing
Energy-Efficient Commercial Buildings Tax Deduction	US	Financial Incentive	Corporate Tax Deduction
Energy-Efficient New Homes Tax Credit for Home Builders	US	Financial Incentive	Corporate Tax Credit
Energy-Efficient Appliance Manufacturing Tax Credit	US	Financial Incentive	Industry Recruitment/Support
Residential Energy Efficiency Tax Credit	US	Financial Incentive	Personal Tax Credit
Veterans Housing Guaranteed and Insured Loans	US	Financial Incentive	Loan Program
Federal Appliance Standards	US	Regulatory Policy	Appliance/Equipment Efficiency Standards
Energy Goals and Standards for Federal Agencies	US	Regulatory Policy	Energy Standards for Public Buildings
Clean Renewable Energy Bonds (CREBs)	US	Financial Incentive	Loan Program
Qualified Energy Conservation Bonds (QECBs)	US	Financial Incentive	Loan Program
U.S. Department of Treasury - Renewable Energy Grants	US	Financial Incentive	Grant Program
USDA - High Energy Cost Grant Program	US	Financial Incentive	Grant Program
USDA - Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program	US	Financial Incentive	Loan Program
USDA - Repowering Assistance Biorefinery Program	US	Financial Incentive	Grant Program
Title I Property Improvement Loans	US	Financial Incentive	Loan Program
USDA - Rural Energy for America Program (REAP) Energy Audit and Renewable Energy Development Assistance (EA/REDA) Program	US	Financial Incentive	Grant Program
Low Income Home Energy Assistance Program (LIHEAP)	US	Financial Incentive	Grant Program
Weatherization Assistance Program (WAP)	US	Financial Incentive	Grant Program
Fannie Mae Green Financing – Loan Program	US	Financial Incentive	Loan Program
Qualified Commercial Clean Vehicle Tax Credit	US	Financial Incentive	Corporate Tax Credit
Alternative Fuel Vehicle Refueling Property Tax Credit (Corporate)	US	Financial Incentive	Corporate Tax Credit
Alternative Fuel Vehicle Refueling Property Tax Credit (Personal)	US	Financial Incentive	Personal Tax Credit
Previously-Owned Clean Vehicle Tax Credit	US	Financial Incentive	Personal Tax Credit

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.