Solar Rebates & Tax Credits for Homeowners

Maryland Residential Clean Energy Grant Program

The Maryland Residential Clean Energy Rebate Program offers $1,000 grants for homeowners who have installed solar panels (minimum size 1kW- DC). Grant applications must be submitted to the MEA within 12 months of installation, and the installer must be NABCEP certified.  If you choose Solar Energy World as your Maryland solar panel installer, we take care of all the paperwork ensuring you get all available incentives and income-generating benefits.

Maryland Solar Property & Use Tax Exemptions

Maryland solar energy systems that are used to heat or cool a structure, or provide hot water, are now exempt from both state and local real property taxes. The Maryland Property Tax Exemption for Solar and Wind Energy Systems applies to both commercial and residential properties. There is also a Maryland Sales and Use Tax Exemption for Residential Solar and Wind Electricity Sales.

Local Solar Tax Credits in Maryland

Maryland’s statewide push to go solar has motivated many Maryland counties to offer substantial tax credits for the installation of solar energy systems. Solar Energy World stays on top of current local solar incentives, so you don’t have to worry about missing out on these great money-saving opportunities.

The Maryland Energy Storage Income Tax Credit is available to residential and commercial taxpayers who have installed energy storage systems in Maryland. The Maryland Energy Administration (MEA) may award a total of $750,000 in tax credit certificates during a given tax year.

There are also $2,500 – $5,000 in local credits:

• Prince George’s County Solar Tax Credits: Alternative Energy tax credit of up to $5,000 for installation or construction of solar energy devices in residential structures.
• Anne Arundel County Solar Tax Credits: One-time property tax credit of up to $2,500 for residential dwellings that utilize solar energy for heating and cooling, water heating, and generation of electricity.
• Baltimore County Solar Tax Credits: Property Tax Credit up to $5,000 for property owners who use solar energy to use solar energy for heating and cooling, water heating, and energy generation. The credit applies to single and multi-family dwellings. Learn more at Baltimore County Government’s website
• Harford County Solar Tax Credits: Property tax credit of up to $2,500 for property owners who utilize solar energy for heating and cooling, water heating, and energy generation. The credit applies to residential and non-residential buildings. Learn more at Harford County’s Property Tax Credits web page.

Federal Solar Tax Credits in Maryland

You don’t have to limit yourself to local or state incentives. You can also take part in a federal program through the Investment Tax Credit (ITC). You can qualify for this credit as a homeowner if you purchase your PV system fully with cash or through a solar loan. You claim the credit when you file your federal taxes for the year. This credit covers 30 percent of your system costs. You can see this is a good year to add solar because federal tax credits are available and they provide a huge deduction.

Maryland Solar Renewable Energy Certificates(SRECs)

Maryland residents who own solar systems have the option to earn hundreds of dollars every year by selling excess power back to the grid. We calculate how much excess energy you are likely to generate, and we will set up the automatic system to earn and sell your Solar Renewable Energy Certificates (SRECs). Click for more information on how MD SRECs work.

Net Metering in Maryland

Homeowners and commercial property owners can get credit on their electric bills for excess solar energy. The energy is added back to the grid, where it is available for use by other utility customers. For example, credits generated during the summer can offset higher electric bills during the winter months.   

More Maryland Financial Incentives for Going Solar 

In addition to the rebates and tax credits listed above, there are quite a few monetary and non-monetary Maryland solar incentives that residents are able to take advantage of:

• The Property Assessed Clean Energy Programs or PACE Program
• Electricity rates in Maryland have increased by at least 78% since 2002. Switching to solar panels and solar energy protects you from this volatile market and saves thousands of dollars in long-term energy costs.
• Maryland is a sunlight-rich state. Weather tracking shows that Maryland receives substantially more sunlight than Germany, which leads the world in solar power.
• The National Solar Jobs Census reports that employment in the solar industry has grown by 170%, employing more than 250,000 workers.
• According to Energy.gov, homebuyers across the nation are willing to pay a premium of about 15% more for homes with solar panels.
• When you install solar power systems, you help combat greenhouse gas emissions, thus reducing our dependence on fossil fuels.
• Unlike non-renewable energy sources, solar energy is beneficial to our health.
• Solar energy systems don’t require water to generate energy, even during a drought or heatwave.
• Maryland has quadrupled its solar energy capacity since 2015.

Maryland Energy Storage Rebate Program

Are you considering on-site energy storage? The Maryland solar battery rebate program offers a substantial financial incentive to purchase solar batteries. This Maryland solar tax credit is structured similarly to other tax credits for the installation of solar energy.