Connecticut solar rebates and incentives: 2026 guide
The average Connecticut solar shopper may see some savings with local incentives.
Updated Oct 1, 2026
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Going solar in Connecticut is more affordable than most people realize. While your state may not have the flashiest incentive programs in the country, there are still meaningful ways to reduce your system costs—and more importantly, solar's real value comes from decades of electricity savings, not just upfront rebates.
Connecticut homeowners have access to some incentives that can help offset installation costs. But the biggest financial advantage of going solar? Dramatically lowering your electric bills for 25-30 years, especially as utility rates keep climbing. Here's what you need to know about solar incentives in Connecticut.
Connecticut offers some solar incentives, which can help lower the price. Here are the ones to know about:
Incentive | Average savings in Connecticut | Description |
|---|---|---|
Smart-E Loans | Varies depending on how you finance your system | Connecticut Green Bank provides long-term, low-interest financing for home energy upgrades including solar panels |
Smart E-Loan program (CT Green Bank)
Choosing the best financing solution for your solar panel system can be tricky. Connecticut Green Bank's Smart-E Loan program makes it easier. As long as you live in your home and it doesn't include more than four residential units, you should be eligible. This loan program covers many different types of energy home improvements, including solar, heat pumps, insulation, and more. You'll also need to have a qualifying credit score and debt-to-income ratio.
As of October 1, 2026, you can borrow up to $50,000 over 5–15 years at 6.99%–7.99% APR, depending on the term. Check current rates.
One other benefit of choosing a Smart-E Loan is that you can use up to 25% of it for non-energy-related home improvements. For example, if you need to replace or repair your roof before going solar, you can use the loan to cover at least part of it.
In addition to the great rebates and incentives above, Connecticut also offers tax exemptions for solar panel systems. The solar sales tax exemption ensures that you won't have to pay a sales tax on your system, while the solar property tax exemption means you don't need to pay a higher property tax for adding solar panels to your house.
Tax exemption | Description |
|---|---|
Connecticut solar sales tax exemption | You don't need to pay any sales tax on new solar panel systems in Connecticut, saving at least 6.35% of your system costs. |
Connecticut solar property tax exemption | If you use solar energy as a source of power, you won't need to pay a tax on the value your solar panels add to your property. |
Connecticut no longer offers net metering, but if your solar panel system is less than or equal to 25 kW and connected to the grid, you can benefit from its Residential Renewable Energy Solutions (RRES) program.
Under the RRES program, there are two different types of tariffs you can sign up for, the Netting Tariff and the Buy-All Tariff. You're locked into either tariff for 20 years, at which point you'll be put on whatever tariff exists at that time.
Netting Tariff
The Netting Tariff is the best option for homeowners. It's very similar to net metering in that you earn credits when you send excess electricity from your solar panels to the grid. When the sun isn't shining and you need to pull electricity from the grid, your utility will apply the credits to your bill.
Under the former net metering program, your credits were valued at the retail electricity rate if you used them by March 1. After that date, they were paid out at the lower wholesale electricity rate. But with Connecticut's Netting Tariff, your credits now roll over indefinitely, making it better than net metering.
Buy-All Tariff
With the Buy-All Tariff, instead of powering your home with solar panels, you send all that electricity directly to the grid and purchase all your power from your utility company. The value of the credits you earn remains the same throughout the 20 years at $0.3289 per kWh. You can choose to receive the credits to offset your monthly bill or earn a cash payment every quarter–or you can do a combination of both. A the end of the year, you'll receive a payout for any credits you didn't use to offset your bill.
The Buy-All Tariff makes the most sense for companies that offer power purchase agreements (PPAs) and want to ensure a guaranteed return on investment.
A note for new enrollees
If you're installing solar after January 1, 2026, be aware that new RRES enrollees pay a non-bypassable charge of 4.02¢/kWh on all solar production. This charge applies to your system's total monthly output, regardless of how much you consume on-site or whether you have battery storage. Homeowners who enrolled before January 1, 2026 are not affected.
Learn more about the RRES programs available in Connecticut:
Yes, Connecticut's Energy Storage Solutions program helps offset the cost of a home battery and rewards you for making it available to the grid during periods of peak demand. The program was restructured in April 2026, shifting from a large upfront payment to a smaller enrollment incentive paired with higher ongoing performance payments over 10 years.
Upfront enrollment incentive
Customer type | Incentive amount |
|---|---|
Standard residential | $30/kWh |
Grid Edge residential (frequent/long-duration outages) | $130/kWh |
Performance incentive (paid over 10 years, per kW dispatched)
Customer type | Annual incentive |
|---|---|
Standard residential | $300/kW |
Low-income residential | $550/kW |
To earn performance payments, you participate in active dispatch events—approximately 50 times in summer and 5 times in winter—where your utility (Eversource or United Illuminating) draws on your battery during peak grid stress. You retain control over dispatch scheduling outside of those events.
The total value of the program over 10 years can be substantial, particularly for low-income households and Grid Edge customers.
If you're looking for solar installers in Connecticut, here are some popular suggestions:
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Is solar worth it in Connecticut?
Solar panels are often worth it in Connecticut. If you pay for your system with cash, you'll save about $81,753 over 25 years (the warranty term of most solar panels) on electricity costs with a 12.04 kW system in Connecticut based on real solar quote data from our Marketplace.
Can you get solar panels for free in Connecticut?
Unfortunately, you can't get free solar panels in Connecticut, though incentives can dramatically lower the price you pay. But, if you sign a solar lease or PPA, you can go solar with no upfront payment and start saving right away—you just won’t officially own your system, which will limit your access to any available incentives.
How much does it cost to install solar in Connecticut?
As of October 2026, the average solar panel cost in Connecticut is $2.68. If you install a 12.04 kW system it will cost you between $27,414 to $37,090, with an average cost of $32,252.
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