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Discover the Power of Solar Energy in Maryland!

Welcome to Maryland, a state known for its picturesque landscapes, from the Appalachian Mountains to the Chesapeake Bay, and an increasing commitment to renewable energy. Maryland?s climate, offering a mix of sunny days throughout the year, creates a fertile environment for solar power adoption. This opportunity invites homeowners and businesses alike to explore the potential of clean, renewable energy, perfectly aligning with the state?s goals to reduce carbon emissions and promote sustainability. With substantial incentives designed to ease the financial impact of solar installations and a community passionate about protecting its diverse ecosystems, Maryland is poised for a significant transformation towards solar energy. Learn how tapping into Maryland?s solar resources can illuminate your home, cut down on energy costs, and contribute to a healthier environment in the Old Line State. Join us in harnessing the sun?s infinite power and stepping into a brighter, more sustainable future in Maryland.

Solar State Incentives

Maryland State Solar Incentives

Community Solar Energy Generation System Pilot Program
Maryland's legislation has significantly improved solar energy accessibility and sustainability from 2015-2022, with laws facilitating community solar initiatives and large-scale solar projects.
Maryland Smart Energy Communities Grant
Maryland's Energy Administration provides financial incentives for local governments to promote energy efficiency and renewable energy through the Maryland Smart Energy Communities initiative.
Solar Renewable Energy Certificates (SRECs)
Maryland law requires electricity suppliers to purchase and retire solar renewable energy credits (SRECs) to meet their compliance obligations, or pay a Solar Alternative Compliance Payment (SACP) for shortfalls. SRECs represent a significant source of revenue for owners of qualifying solar facilities. The price of SRECs is determined by demand in the trading market.
Parking Lot Solar PV with EV Charger Grant Program
Maryland Energy Administration initiates a program for the integration of solar technology in parking lots with EV chargers, offering grants up to $300,000 per project.
Permits and Variances for Solar Panels, Calculation of Impervious Cover
Maryland's 2012 legislation promotes solar energy adoption by streamlining permits, reducing installation costs, and incentivizing solar installations across the state.
Baltimore County - Property Tax Credit for Solar and Geothermal Devices
Baltimore County offers property tax credits for solar and geothermal energy conservation devices in residential buildings, promoting energy conservation.
Sales and Use Tax Exemption for Residential Solar and Wind Electricity Sales
Maryland enacted a law in May 2011 granting a tax exemption for residential use of electricity from solar and wind energy equipment.
Anne Arundel County - High Performance Dwelling Property Tax Credit
Maryland allows local governments to offer property tax credits for high-performance buildings. Anne Arundel county provides tax credits for dwellings meeting LEED or NGBS standards.
Sales Tax Holiday for Energy-Efficient Appliances
Maryland offers a sales tax holiday for certain energy-efficient appliances, qualifying items must meet ENERGY STAR requirements. Holiday runs Feb 14-16 annually.
Baltimore County - Property Tax Credit for High Performance Buildings and Homes
Maryland allows local governments to offer property tax credits for high-performance buildings. Baltimore County provides credits for new and existing residential and commercial buildings that meet certain standards.
Commercial Clean Energy Rebate Program
Maryland Energy Administration provides rebates for businesses installing solar and geothermal systems, subject to funding availability. Incentives depend on system capacity.
Howard County - High Performance and Green Building Property Tax Credit
Maryland allows local governments to offer tax credits for high-performance buildings and energy conservation. Howard County offers such credits for certain residential and commercial buildings, and for energy conservation in LEED-certified structures.
Montgomery County - High Performance Building Property Tax Credit
Montgomery County, Maryland offers property tax credits for new or extensively modified buildings that meet high performance standards, including LEED ratings.
Prince George's County - Solar and Geothermal Residential Property Tax Credit
Prince George's County offers a property tax credit for residential structures with solar and geothermal systems. Credits also extended to leases and solar power purchase agreements.
Sales and Use Tax Exemption for Renewable Energy Equipment
Maryland legislation exempts geothermal, solar, and residential wind energy equipment from sales and use tax. The law, effective since 2008, has been expanded in 2009.
Anne Arundel County - Solar and Geothermal Equipment Property Tax Credits
Anne Arundel County offers a one-time tax credit for residential properties using solar or geothermal energy systems installed after specific dates.
Harford County - Property Tax Credit for Solar and Geothermal Devices
Harford County offers tax credits for residential and nonresidential buildings using solar or geothermal devices, with credits limited to $5,000 per property annually.
Property Tax Exemption for Solar and Wind Energy Systems
Maryland established a property tax exemption for residential solar energy systems in 2007, later amended to include wind energy equipment and solar thermal electric energy devices.
Local Option - Property Tax Credit for High Performance Buildings
Maryland's property tax code offers optional tax credits for high performance, green buildings. Conditions apply and vary by county.
Energy Conservation in State Buildings
Maryland Governor Wes Moore signs executive order to double energy conservation goal for state-owned buildings to 20% by 2031, aiming for net-zero emissions by 2045.
Renewable Energy Portfolio Standard
Maryland's Renewable Energy Portfolio Standard mandates electricity suppliers to source a minimum of 50% of their retail sales from eligible renewable energy sources by 2030. Compliance is monitored through renewable energy credits.
Residential Clean Energy Rebate Program
Maryland's Residential Clean Energy Grant Program offers financial incentives for homeowners installing clean energy systems. Grants are subject to funding availability.
Interconnection Standards
Maryland's Public Service Commission is revising the small generation interconnection process, including electronic applications and energy storage addition.
Clean Energy Procurement
DGS uses a 'Block and Index' strategy to purchase electricity for Maryland state agencies, saving $4.7M in 2019. Maryland aims for 30.8% of electricity to be from renewable sources in 2021.
Montgomery County - Green Power Purchasing
Montgomery County pledges to transition to renewable energy for heating all county-owned buildings and powering all vehicles by 2050.
Net Metering
Maryland's net-metering policy allows residents and businesses to generate electricity from renewable resources. It includes provisions for third-party ownership, micro-CHP systems, and a 3,000 MW aggregate capacity limit.
Local Option - Property Tax Credit for Renewables and Energy Conservation Devices
Maryland's property tax code offers a local tax credit for properties with solar, geothermal, or energy conservation devices, with the credit amount and definition of devices determined by each county.
Jane E. Lawton Conservation Loan Program
The Jane E. Lawton Conservation Loan Program offers loans for energy-saving projects to local governments, nonprofits, and businesses in Maryland.
Maryland Solar Easements & Rights Laws
Maryland law protects solar energy system owners, prohibiting any restrictions that significantly increase costs or decrease efficiency of solar systems.

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.