solar rebates and incentives

Tennessee's solar incentives

From the Blue Ridge Mountains to the Mississippi River, increasing numbers of rooftops across the diverse terrain of Tennessee are sporting solar panels and the residents of these homes are saving on their electric bills. Learn more about the solar incentives currently available in Tennessee and how you can benefit.

The best way to compare your solar options and save money at the same time is by registering on the EnergySage Marketplace. When you compare quotes for solar panels on EnergySage's competitive solar marketplace, you can expect to see prices up to 20% lower than working with a single solar company. Read our updated article on the cost of solar panels to compare solar costs across states and by panel brand.

Tennessee laws help you go solar

Let’s take a look at the top laws in TN that will be beneficial to the prospective solar shopper:

Net metering in Tennessee

Currently, Tennessee does not offer net metering and does not have standardized grid interconnection rules. The Tennessee Valley Authority (TVA) does offer dual-metering for people who participate in its Green Power Providers program. TVA services the majority of the state, and you may be eligible for their Dispersed Power Production Program dual-metering plan.

Tennessee easement laws

Like many other states, Tennessee has solar easement and rights laws that help ensure your solar installation isn’t covered by shade. These easements are tied to the property and protect the access to direct sunlight for your solar energy system.

Tennessee tax benefits for solar

Check out the most significant tax benefits that will sweeten the deal for solar in Tennessee:

Tennessee solar tax exemptions

Tennessee has the Green Energy Property Tax Assessment, which limits the taxable amount of value that a solar system can add to your property. For solar, it states that the assessed value of your property may not exceed 12.5% of installed costs for solar.

The state also has a sales tax credit for commercial and industrial customers who are installing solar. This lets you purchase all of the equipment and materials needed to install your solar system without sales tax.

The federal solar tax credit

Don’t forget about federal solar incentives! With the investment tax credit (ITC), now referred to as the Residential Clean Energy Credit for residential systems, you can reduce the cost of your PV solar energy system by 30 percent. Keep in mind that the ITC applies only to those who buy their PV system outright (either with a cash purchase or a solar loan), and that you must have enough income for the tax credit to be meaningful (unless you’re a tax-exempt entity, in which case you might be eligible for a direct payment).

Is something missing or out of date? Contact us at marketing@energysage.com to get this page updated.
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