Maryland Solar Incentives
This article was last reviewed for accuracy by: George D., SunnyMac Interconnection and Rebates Supervisor, May 2025
If you’re a Maryland homeowner exploring solar energy, you’re fortunate to live in a state with great solar incentives. Maryland offers a wide range of them, including state and federal tax credits, rebates, exemptions, and renewable energy programs that significantly reduce your upfront costs and accelerate your return on investment. At SunnyMac, we believe in making clean energy accessible, affordable, and simple. We manage everything from submitting your permit applications and getting approval to installing your new solar system. We also ensure you get every incentive you are qualified to receive. Learn more about transitioning to solar energy in Maryland.
Residential Clean Energy Credit
When you’re ready to go solar, SunnyMac can provide added value to your investment by replacing your roof at cost as part of your installation. This translates to significant savings for our customers because SunnyMac Solar can tie the projects together and cover them both under the 25-year warranty. Replacing your roof is a sound investment that can instantly increase the value of your property. To provide the perfect foundation for your solar install—now or in the future—SunnyMac will rebuild your entire roof the right way, removing all existing layers down the plywood (or any decking underneath), replacing any damaged wood in the process, and laying down new layers of protective materials before installing new shingles.
Maryland Solar Access Program
The Maryland Solar Access Program is designed to make solar affordable for homeowners of all income levels, with a focus on expanding access in underserved communities. The program offers:
- Incentives based on income
- Reduced upfront costs
- Long-term utility bill savings
Read more in our detailed guides:
What is the Maryland Solar Access Program?
Qualifications for Maryland Solar Access Program
Solar Renewable Energy Credits (SRECs)
For every megawatt-hour (MWh) your solar system generates, you earn Solar Renewable Energy Credits (SRECs) that can be sold for profit. Maryland’s SREC market is advanced, and gives homeowners the ability to earn additional income over time. Unlike rebates, SRECs offer ongoing value. Homeowners won’t just reduce utility bills — they will create a long-term revenue stream. Read our blog to learn more about Solar Renewable Energy Credits (SRECs).
Maryland Solar Sales Tax Exemption
When you have a solar system installed on your home in Maryland, you are 100% exempt from the state’s 6% sales tax on solar equipment. This can mean hundreds in savings upfront.
Example: on a $20,000 system, that’s $1,200 saved immediately.
This exemption applies to rooftop solar, ground mount solar, EV chargers and installation, and solar batteries, making solar even more cost effective for your family.
Maryland Solar Property Tax Exemption
Adding solar panels increases your home’s value, but in Maryland, you won’t be penalized for that increase on your property taxes. The Maryland Solar Property Tax Exemption ensures that your home’s assessed value for tax purposes does not go up due to solar. This applies statewide.
EmPOWER Maryland
The EmPOWER Maryland initiative provides cash rebates and energy efficiency incentives through utility companies. These include home energy audits and potential rebates for solar integration or energy-efficient upgrades.
Participating utilities include:
- Baltimore Gas & Electric (BG&E)
- Potomac Edison Company (PE)
- Delmarva Power & Light (DPL)
- Potomac Electric Power Company
- Washington Gas Light Company
- Southern Maryland Electric Cooperative
Maryland Net Metering
Maryland’s net metering policy allows homeowners to earn credit on their electricity bills for excess energy their solar system sends to the grid. Unlike some states, Maryland does not cap your earnings annually, and your benefits are based only on system size.
Participating utilities include:
- Baltimore Gas & Electric (BG&E)
- Delmarva Power
- Potomac Edison
- PEPCO
- SMECO
- Easton Utilities
- Hagerstown Light Department
- Choptank Electric
Learn more about Net Metering.