Residential Federal Credit: $0·§25D Ended After Dec 31, 2025·50 States + DC Covered·State Incentives Only·Calculator Uses $0 Federal Credit·Real DSIRE Incentive Data·Commercial §48E: General Info, Not Tax Advice·No Sales Calls · No Email Gates·Residential Federal Credit: $0·§25D Ended After Dec 31, 2025·50 States + DC Covered·State Incentives Only·Calculator Uses $0 Federal Credit·Real DSIRE Incentive Data·Commercial §48E: General Info, Not Tax Advice·No Sales Calls · No Email Gates·Residential Federal Credit: $0·§25D Ended After Dec 31, 2025·50 States + DC Covered·State Incentives Only·Calculator Uses $0 Federal Credit·Real DSIRE Incentive Data·Commercial §48E: General Info, Not Tax Advice·No Sales Calls · No Email Gates·Residential Federal Credit: $0·§25D Ended After Dec 31, 2025·50 States + DC Covered·State Incentives Only·Calculator Uses $0 Federal Credit·Real DSIRE Incentive Data·Commercial §48E: General Info, Not Tax Advice·No Sales Calls · No Email Gates·
::NC_INCENTIVES // 2026

North CarolinaSolar Incentives 2026: Tax Credits, Rebates & Net Metering

Updated October 2026 · Sources: DSIRE, EIA

The 30% federal residential solar credit has ended. Under P.L. 119-21, the §25D Residential Clean Energy Credit terminated for expenditures made after Dec 31, 2025 — a system installed in 2026 cannot claim it. So the honest question in 2026 is: does solar still pay in your state without the federal credit? Run the math with $0 federal credit plus your state's incentives. North Carolina still has its own rules: average monthly bills of $165 and 5 peak sun hours per day. The calculator on this page uses $0 federal credit.

State Tax Credit[ NONE ]
No state credit
Net Metering[ ACTIVE ]
retail rate
SREC Market[ NONE ]
No SREC market
Property Tax Exempt[ ACTIVE ]
Solar excluded from assessment
Sales Tax Exempt[ NONE ]
No exemption
Federal residential credit[ NONE ]
$0 — §25D ended after 2025
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State Solar Tax Credit

North Carolina does not offer a state income tax credit specifically for residential solar, and the federal residential credit does not apply to a system installed in 2026. Model the install at full cost unless a utility rebate or exemption still applies.

Even without a state income credit, North Carolina's property tax exemption on solar equipment significantly reduce effective lifetime cost.

Net Metering in North Carolina

North Carolina requires investor-owned utilities to offer net metering on residential solar systems. The credit rate is the full retail electricity rate.

In practice, this means a properly sized North Carolina system can drive net annual electricity costs to within tens of dollars of zero. Top utilities operating under NC net metering rules include Duke Energy NC, Dominion Energy NC.

North Carolina credits exported solar at roughly ~100% of retail of the retail rate. See full North Carolinanet metering rates & rollover rules →

Cost of Solar Panels in North Carolina (2026)

Solar installs in North Carolina average $2.85 per watt in 2026. A typical 8 kW system runs about $22,800 before incentives. The federal residential credit is $0. Illustrated cost with no state income-tax credit is $22,800.

Your price moves with system size, roof complexity, and equipment tier. Run the North Carolina savings calculator for a number matched to your actual electricity bill.

Are Free Solar Panels Real in North Carolina?

No — there is no government program handing out free solar in North Carolina. “Free solar” and “no-cost solar program” ads are leases or power purchase agreements (PPAs): a company owns the panels and bills you for the power. There is no residential federal credit for a 2026 install for either you or the company to claim.

Buying your system — with the incentives in your name — almost always wins on lifetime savings. Read the full breakdown of “free solar” offers →

Utility Rebate Programs

2 major utilities operate in North Carolina: Duke Energy NC, Dominion Energy NC. Specific rebate availability varies year to year and is typically distributed first-come, first-served until annual budget caps are reached.

Before scheduling any installation, verify current rebate status directly with your utility — programs open and close throughout the year. Most North Carolina installers will pull up-to-date rebate data during a site assessment.

Property & Sales Tax Exemptions

North Carolina excludes the added value of a residential solar system from property tax assessments. A homeowner whose property gains $15,000 in assessed value from a solar install pays no additional property tax on that increase, saving roughly $250 to $400 annually depending on local mill rates.

North Carolina does not exempt solar equipment from sales tax, so installation invoices include standard sales tax on hardware components.

How North Carolina Compares to Neighboring States

Compare North Carolina's solar incentive package side-by-side with adjacent states to see whether you live in a relatively high- or low-incentive market.

How NC Incentives Work in Detail

Frequently Asked Questions

The 30% federal residential solar credit has ended. Under P.L. 119-21, the §25D Residential Clean Energy Credit terminated for expenditures made after Dec 31, 2025 — a system installed in 2026 cannot claim it. So the honest question in 2026 is: does solar still pay in your state without the federal credit? Run the math with $0 federal credit plus your state's incentives. In North Carolina, model an average monthly bill of $165, and net metering. Older SolarIQ averages for a typical NC system — about 8.1 years and $38,900 over 25 years — were modeled while the federal credit applied. They are not a 2026 quote.

Solar Incentives by City in North Carolina

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The incentives on this page tell you what solar is worth. The next step is real quotes. Compare pre-screened local installers through EnergySage — free, no phone spam, and you stay anonymous until you choose to connect.

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See your exact North Carolina solar savings

Plug in your monthly bill. The calculator uses $0 federal credit plus North Carolina incentives — system size, net cost, payback, and 25-year savings.

Calculate My NC Savings →Free · 60 seconds · no obligation