State solar guide
Connecticut has strong solar fundamentals in 2026. The federal residential credit expired December 31, 2025, but state incentives and net-metering rules still support solid payback timelines for qualified homeowners.
Sources: ElectricChoice June 2026 | NREL PVWatts (verify at your assessment) | EnergySage mid-2026 | Federal residential credit: Section 25D expired December 31, 2025, H.R.1 (One Big Beautiful Bill Act).
Net metering
Connecticut's Residential Renewable Energy Solutions (RRES) Program provides solar export credits through Eversource Connecticut and United Illuminating, using a netting tariff structure rather than traditional net metering. Systems enrolled before January 1, 2026 continue under grandfathered full-retail netting credit terms. Systems applying for interconnection on or after January 1, 2026 are subject to a Solar Energy Adjustment (SEA) charge of $0.0402 per kWh assessed on total solar production, including both self-consumed and exported kilowatt-hours, which reduces but does not eliminate the financial benefit of solar. At Connecticut's retail rate of 30.77 cents per kWh, the SEA costs approximately $394 per year on a 9,800 kWh system, but the savings from avoided grid purchases and netting credits still substantially exceed that charge. As of 2026-06, verify current RRES enrollment terms at portal.ct.gov or with your installer.
Eversource Connecticut and United Illuminating (acquired by Avangrid/Iberdrola) are the two investor-owned electric utilities administering RRES in Connecticut. The SEA charge of $0.0402 per kWh applies to all solar production (both self-consumed and exported) for new 2026 interconnections.
Program: CT_sea_charge_2026. Last verified: June 1, 2026. DSIRE source (opens in new tab).
Verify with your utility
Net-metering rules change by utility and program cycle. Confirm current export credit rates and eligibility with your specific Connecticut utility before contracting. Current program details at DSIRE (opens in new tab).
State incentive stack
The federal residential credit expired December 31, 2025. The programs below are what remains for Connecticut homeowners. Amounts and availability change; every program is date-stamped and linked to its DSIRE source.
Federal residential solar credit (Section 25D): expired. The Section 25D residential investment tax credit expired December 31, 2025. The residential credit rate is 0%. State and local incentives below may still significantly reduce your net system cost. Commercial systems still qualify for Section 48E (30%).
| Program | Benefit | Eligibility | Status | Source |
|---|---|---|---|---|
| RRES Netting Credit (Solar Energy Adjustment applies for 2026 interconnections) Net metering tariff The SEA charge is a 2026 policy change that reduces the economics for new installs. Verify your RRES enrollment tier with your utility to confirm which SEA terms apply to your system. | Full netting credit at retail rate, minus SEA of $0.0402 per kWh on all production (new 2026 installs) Connecticut Residential Renewable Energy Solutions (RRES) Program provides solar export credits. Pre-2026 systems: full netting credit at retail rate. Systems interconnecting January 1, 2026 or later: subject to Solar Energy Adjustment (SEA) of $0.0402 per kWh charged on total solar production. The SEA reduces but does not eliminate the financial benefit of solar for new installs. | Connecticut residential customers of Eversource Connecticut or United Illuminating with residential solar systems under 25 kW. | Active | DSIRE (opens in new tab) |
| Connecticut Green Bank Battery Storage Incentive Rebate (battery storage) Incentive amounts and availability change as Connecticut Green Bank program steps fill. Verify current step price and available capacity with the Connecticut Green Bank before including this amount in your payback calculation. | $250 to $600 per kWh of battery capacity; maximum $16,000 Incentive for residential battery storage systems: $250 to $600 per kWh depending on system type, customer income, and whether the property is in an underserved community. Maximum incentive up to $16,000 for qualifying systems. Administered by the Connecticut Green Bank. Income-qualified and underserved community customers receive higher incentive rates. | Connecticut residential customers with a qualifying battery storage system. Income verification required for enhanced incentive tiers. Underserved community location may increase incentive rate. Verify current program availability with Connecticut Green Bank. | Active | DSIRE (opens in new tab) |
| Connecticut Green Bank Smart-E Loan Low-interest financing Interest rate and availability subject to change. Verify current rates and lender availability with the Connecticut Green Bank. | Financing at 6.99 to 7.99% APR (verify current rates) Low-interest financing for solar and energy efficiency upgrades at 6.99 to 7.99% APR. No upfront payment required; loan repaid on utility bill. Administered by the Connecticut Green Bank through participating lenders. | Connecticut homeowners with qualifying solar or energy efficiency upgrades. Must work with a participating lender in the Smart-E network. | Active | DSIRE (opens in new tab) |
| Connecticut Property Tax Exclusion for Solar Property tax exemption Confirm exemption is properly applied with your local assessor after installation. | Full assessed value increase excluded (no dollar cap) Permanent exclusion of solar-added property value from local tax assessments. No local opt-out for residential installations, applies statewide. | Connecticut residential property with a qualifying solar energy system. | Active | DSIRE (opens in new tab) |
| Connecticut Sales Tax Exemption on Solar Equipment Sales tax exemption Confirm exemption is applied by your installer at the time of purchase. | Full exemption from 6.35% state sales tax 100% exemption from Connecticut 6.35% state sales and use tax on residential solar energy equipment and installation labor. | Residential solar energy equipment purchased and installed in Connecticut. | Active | DSIRE (opens in new tab) |
Data last verified June 1, 2026. Incentive programs change; verify current amounts and availability at dsireusa.org (opens in new tab) before committing to a project.
Battery storage incentives in Connecticut
Connecticut Green Bank Battery Storage Incentive: up to $16,000 for qualifying residential battery storage. Incentive rate is $250 to $600 per kWh depending on system type, income eligibility, and whether the property is in an underserved community. This is among the most generous residential battery incentives in the Northeast. Verify current program availability and incentive step with the Connecticut Green Bank.
Savings example
This example uses real Connecticut market data. No federal residential credit is applied. Figures are illustrative; your in-home assessment uses your actual utility bills and the current rate schedule for your specific utility.
Annual production estimated at 9,800 kWh based on 4.0 peak sun hours in Connecticut. Net metering credits at 30.77 cents per kWh for self-consumed solar, with SEA charge of $0.0402 per kWh on all production reducing net benefit by approximately $394 per year. Rate escalation at 3% annually. System price at $2.67 per watt market average. Federal residential credit: $0 (expired). Figures are illustrative; your in-home assessment uses your actual utility bills.
Connecticut homeowner savings example, Eversource territory (illustrative)
Illustrative example. Federal residential credit: $0 (Section 25D expired December 31, 2025). Your estimate will use your actual utility bills and current rate schedule.
Permitting
Connecticut solar permitting is managed at the municipal level. No statewide permit fee cap as of 2026. Permit timelines vary by town: larger cities (Bridgeport, Hartford, New Haven) average 3 to 6 weeks; suburban and smaller towns average 2 to 4 weeks. Utility interconnection with Eversource Connecticut or United Illuminating adds 4 to 8 weeks after permit issuance. SolarAPP+ automated permit approval has limited adoption in Connecticut as of 2026. PURA (Public Utilities Regulatory Authority) oversight of the RRES program means additional utility coordination is required for new 2026 installs subject to the SEA charge. Contract to energization typically runs 10 to 16 weeks.
The Solar Energy Adjustment (SEA) charge for 2026 interconnections requires utility confirmation at enrollment. Confirm with your installer that the RRES enrollment documentation is correctly processed, as the SEA affects the economics of your system.
Commercial solar in Connecticut
The commercial solar credit (Section 48E, 30 percent) remains available for qualifying commercial projects. Construction must begin by July 4, 2026 to qualify for the full placed-in-service window. Combined with MACRS accelerated depreciation and 100 percent first-year bonus depreciation, the combined first-year federal benefit can reach 45 to 55 percent of project cost for many Connecticut business owners. Direct Pay is also available for nonprofits, municipalities, and other tax-exempt entities.
Commercial solar overviewCommercial solar projects must begin construction by July 4, 2026 to qualify for the 30 percent Section 48E federal tax credit. After that date, the system must be placed in service by December 31, 2027.
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