State Banner

Discover the Power of Solar Energy in Delaware!

Welcome to Delaware, a state renowned for its charming landscapes, coastal beauty, and a growing enthusiasm for renewable energy. With its favorable climate featuring plenty of sunny days, Delaware stands as a promising arena for solar power adoption. This potential opens up exciting possibilities for homeowners and businesses to engage with clean, renewable energy. Backed by enticing incentives designed to alleviate the initial outlay and supported by a community keen on sustainable practices, Delaware is well-positioned to undergo a solar evolution. Learn how tapping into solar energy can brighten your home, reduce your energy costs, and aid in fostering a cleaner environment right here in the First State. Join us in harnessing the sun?s endless energy and stepping into a brighter, more eco-friendly future in Delaware.

Solar State Incentives

Delaware State Solar Incentives

Solar-Ready Zones
Delaware's HB 11 mandates "Solar-Ready Zones" in new commercial buildings over 50,000 sq ft, for future solar installations, effective from January 1, 2025, with specific requirements and exemptions.
Delaware - Community Solar Rules
Delaware's Senate Bill 2 promotes community-owned solar projects with a cap of 4 MW per facility, aiming to boost renewable energy adoption within the Delmarva service area.
SREC Procurement Program
Delaware's SREC Procurement Program aids in market creation for SRECs, ensuring utilities meet REPSA goals, with a 2019 average price of $32.75 per SREC.
Solar Renewable Energy Credits (SRECs) Spot Market Program
DE's RPS mandates 25% renewable energy by 2025, with 3.5% from solar PV. SRECs are key for compliance, trading at prices akin to PA's. SACP sets SREC price ceilings, aiming to boost renewable generation and market stability.
Sustainable Electric Utility (SEU)- SREC Purchase Program
DE's RPS mandates solar energy in electricity supply, with SRECs created per 1000 kWh solar output, traded in a regulated market.
Sustainable Energy Utility (SEU) - Revolving Loan Fund
Delaware's Revolving Loan Fund aims to boost energy efficiency and renewable generation in businesses and public entities, requiring that savings outpace costs, including financing.
DEMEC Member Utilities - Green Energy Program Incentives
Newark, DE, offers incentives for solar, wind, geothermal, and fuel cell systems to meet on-site energy needs, with specific rebates for various technologies, while other Delaware municipalities do not provide individual renewable energy rebates.
Delaware Electric Cooperative - Green Energy Program Incentives
DEC offers incentives for renewable energy installations, with specific rebates for solar PV, thermal, wind, geothermal, and fuel cells.
Delaware Solar Rights Law
Delaware's law prevents homeowner associations from banning solar installations on residential homes, updated in 2019 to include all covenants.
Delaware Electric Cooperative - Green Energy Fund
Delaware's Green Energy Funds, established in 1999, offer exemptions from renewable standards. Delaware Electric Cooperative's fund aids renewable projects.
Delaware Municipal Electric Corporation - Green Energy Fund
The Delaware Municipal Electric Corporation's Green Energy Fund, separate from the state fund, supports grants for renewable energy in participating municipal utilities, with fund amounts varying by utility.
Sustainable Energy Utility
Delaware's Sustainable Energy Utility offers incentives for renewable energy and efficiency to all customers. In 2019, Delaware saved 22,447 MWh of electricity and 98,788 MMBtu of gas and fuel.
Energy Conservation Standards for State Facilities
Delaware requires state agencies to purchase ENERGY STAR products, reduce energy use by 30% by 2015, and procure 30% renewable electricity by 2013. New construction must meet LEED Silver standards.
Renewables Portfolio Standard
Delaware's Renewable Portfolio Standard requires 40% renewable energy by 2035, with a 10% solar carve-out. Utilities that fail to comply must pay alternative compliance payments.
Interconnection Guidelines
Delaware utilities must follow interconnection rules for renewable energy systems. Delmarva Power has a tiered review process based on system size and type, with fees and insurance requirements varying by level.
Delmarva Power - Green Energy Program Incentives
The Delmarva Power Green Energy Fund offers incentives for solar, wind, and geothermal systems in Delaware, with 60% of funding for residential projects.
Delmarva - Green Energy Fund
Delaware's Green Energy Fund, created in 1999, supports renewable energy and energy efficiency. It is funded by utilities, with separate funds for Delmarva Power, Delaware Electric Cooperative, and municipal utilities.
Net Metering
Delaware allows net metering for systems up to 25 kW (residential), 150 kW (farms), and 2 MW (non-residential), with excess credits carried forward at the retail rate.

Federal Solar Incentives

USDA - Rural Energy for America Program (REAP) Grants
REAP, administered by USDA, provides financial aid to small rural businesses and agricultural producers for sustainable energy projects. Grants cover 25% of the project cost, up to $25 million.
Interconnection Standards for Small Generators
New FERC order mandates small generators under 20 MW to maintain operation during abnormal frequency and voltage events, enhancing interconnection efficiency.
USDA - Rural Energy for America Program (REAP) Loan Guarantees
The Rural Energy for America Program (REAP) supports agricultural producers and rural businesses in the US by providing financial aid for renewable energy projects and energy efficiency improvements.
Clean Renewable Energy Bonds (CREBs)
Clean Renewable Energy Bonds (CREBs) were used by public entities to fund renewable energy projects. They were repealed in 2017.
Qualified Energy Conservation Bonds (QECBs)
Qualified Energy Conservation Bonds (QECBs) financed energy projects by local governments. Discontinued in 2018, they offered tax credits as interest to bondholders.
Office of Indian Energy Policy and Programs - Funding Opportunities
The DOE's Office of Indian Energy Policy and Programs aids tribes in attaining energy self-sufficiency and economic growth through renewable energy and energy efficiency technologies.
Fannie Mae Green Financing – Loan Program
Fannie Mae's Green Financing offers loans for multifamily properties aiming for energy and water efficiency improvements. Eligible properties can access favorable rates and additional loan proceeds.
Energy-Efficient Mortgages
Energy efficient mortgages (EEM) allow homeowners to finance energy-saving renovations or purchase new energy-efficient homes. These loans, insured by the U.S. government, aim to promote energy efficiency.
Green Power Purchasing Goal for Federal Government
The Energy Policy Act of 2005 set a goal for federal buildings to use 7.5% renewable energy by 2013. This target was increased to 30% by 2025 but later rescinded in 2018.
USDA - High Energy Cost Grant Program
USDA's grant program, enhancing energy generation in rural areas, concluded its latest application period on July 6, 2021. Updates can be found on the program website.
Residential Energy Conservation Subsidy Exclusion (Personal)
US law exempts energy conservation subsidies provided by utilities from taxation but requires adjustments for federal tax credits. IRS guidance on solar rebates is unclear.
Residential Renewable Energy Tax Credit
H.R. 5376 extends tax credit for energy storage systems and excludes biomass heaters, with credit amounts varying by technology type and installation date.
U.S. Department of Energy - Loan Guarantee Program
The Inflation Reduction Act has allocated $11.7 billion to the LPO for new loans, boosting loan authority by $100 billion, and setting up the Energy Infrastructure Reinvestment Program.
Business Energy Investment Tax Credit (ITC)
The Inflation Reduction Act of 2022 updates the federal Business Energy Investment Tax Credit, introducing new eligibility criteria, bonus credits, and transitions the tax credit to a new section.
Renewable Electricity Production Tax Credit (PTC)
The Inflation Reduction Act of 2022 introduces changes to the federal renewable electricity production tax credit, introducing new bonus credits and eligibility criteria.
Residential Energy Conservation Subsidy Exclusion (Corporate)
U.S. energy conservation subsidies provided by public utilities are tax-exempt, but this does not extend to certain electricity-generating systems. Tax credits can't be claimed for unsubsidized expenses.
Modified Accelerated Cost-Recovery System (MACRS)
The Tax Cuts and Jobs Act of 2017 allows 100% depreciation for qualified assets, impacting renewable energy technologies. MACRS classifies these technologies for depreciation purposes.
Energy and Emissions Goals and Standards for Federal Government
President Biden's Executive Order 14057 sets ambitious sustainability goals for the US, including 100% carbon-free electricity by 2030 and a fully zero-emission federal fleet by 2035.