MadisonSolar Incentives 2026: Rebates, Tax Credits & Net Metering
Madison homeowners stack the 30% federal tax credit and Madison Gas & Electric net metering. At 4.4 peak sun hours a day, a home with a $110/month bill (about 786 kWh) needs roughly a 7.4 kW system — 19 panels — and pays back in about 10.2 years.
Solar Incentives Available in Madison
Solar incentives in Madison come in three layers. First, every homeowner qualifies for the 30% federal Residential Clean Energy Credit on the full installed cost, claimed on IRS Form 5695. Wisconsin does not add a state income tax credit, so the federal credit is the main up-front incentive. Third, Madison Gas & Electric sets the local rules for crediting the solar power you export.
Madison Gas & Electric offers net metering in Madison, and Wisconsin's Focus on Energy adds a modest solar reward.
How Much Solar Madison Homes Produce
Madison gets 4.4 peak sun hours a day, so each 1 kW of panels produces about 1,285 kWh per year here. A 7.4 kW system — the size that fits a typical $110/month Madison Gas & Electric bill — generates roughly 9,508 kWh annually, worth about $1,331 in avoided electricity in year one and more as rates rise.
Madison Gas & Electric Net Metering in Madison
Madison Gas & Electric credits excess solar generation from Madison homes under Wisconsin's full retail-rate net metering (~100% of retail). A right-sized system can bring net annual electricity costs close to zero. See full Wisconsin net metering rules →
How Much Do Solar Panels Cost in Madison?
At Wisconsin's 2026 average of $2.95/watt, the 7.4 kW system most Madison homes need runs about $21,830 before incentives. The 30% federal credit takes off $6,549 — landing the net cost near $15,281, with payback around 10.2 years.
Get matched with vetted solar installers in Madison
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.
Compare Free Quotes →SolarIQ may earn a commission when you request quotes through our partners, at no cost to you. This never affects our incentive data or recommendations.
Frequently Asked Questions
Solar Incentives in Other Wisconsin Cities
See your exact Madison solar savings
Enter your Madison Gas & Electric bill and we'll apply every Wisconsin and federal incentive to your real numbers — system size, net cost, payback, and 25-year savings.