State solar guide
Mississippi solar economics in 2026 depend entirely on your utility rate, available state incentives, and net-metering rules. The federal residential credit expired December 31, 2025. We present the honest picture for your location.
Sources: ElectricChoice June 2026 via Electric Choice electricity-prices-by-state | Research dossier south-central.md June 2026 | EnergySage May 2026 (typical 10.73 kW system at $27,664 pre-incentive, averaging $2.58/W) | Federal residential credit: Section 25D expired December 31, 2025, H.R.1 (One Big Beautiful Bill Act).
Net metering
The Mississippi Public Service Commission (PSC) updated Entergy Mississippi's NEM-2 program rates in early January 2025. Under the updated order: standard residential customers receive 5.5 cents per kWh for excess generation credited to their bill. Low-to-moderate income (LMI) customers at or below 225% of the federal poverty level may receive 7.5 cents per kWh, which includes a 2 cent LMI adder. The LMI adder is available to the first 1,000 qualifying customers and is maintained for 15 years from enrollment. A one-time interconnection fee of $95 to $135 applies. System size is limited to the lesser of 110% of the customer's annual peak demand or 20 kW, located on the customer's premises. Self-consumed solar retains the full retail value of 14.72 cents per kWh.
Entergy Mississippi is the primary investor-owned utility and the utility subject to the NEM-2 PSC order. Mississippi Power (a Southern Company subsidiary) serves southern Mississippi and operates under its own export tariff. The LMI adder creates a targeted opportunity for income-qualified households. The NEM-2 rate of 5.5 cents per kWh is modest but higher than several neighboring states. Sales tax exemption status for Mississippi is uncertain (see stateRebateSummary and salesTaxNote).
Program: NM2_avoided_cost. 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 Mississippi 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 Mississippi 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 |
|---|---|---|---|---|
| Entergy Mississippi NEM-2 Export Credit net_metering | 5.5 cents per kWh (standard); 7.5 cents per kWh (LMI, qualifying customers) The Mississippi PSC updated Entergy Mississippi's NEM-2 program in January 2025. Standard residential customers receive 5.5 cents per kWh for excess generation. LMI customers at or below 225% of the federal poverty level may receive 7.5 cents per kWh (first 1,000 qualifying customers, maintained for 15 years). One-time interconnection fee of $95 to $135. | Entergy Mississippi residential customers. LMI adder for customers at or below 225% of federal poverty level (first 1,000 qualifying, 15-year term). | Active | DSIRE (opens in new tab) |
| Mississippi Property Tax Exemption for Solar property_tax_exemption | Full solar-added assessed value excluded Mississippi law exempts the solar-added home value from residential property tax assessment. Solar installations do not increase the property tax base. | Residential solar installations in Mississippi | 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 Mississippi
Mississippi has no statewide battery storage incentive or rebate program as of June 2026. No SGIP-equivalent or battery-specific state credit exists. No utility battery rebates identified for Mississippi residential customers. The Entergy Mississippi NEM-2 LMI adder applies to solar export credits only, not to battery systems.
Savings example
This example uses real Mississippi 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.
System size 10.7 kW at $2.58 per watt (EnergySage May 2026). Annual production estimated at 14,000 to 17,000 kWh based on Mississippi peak sun hours of 4.5 to 5.4. Assumes 75% self-consumption at 14.72 cents per kWh retail plus 25% exported at Entergy Mississippi NEM-2 rate of 5.5 cents per kWh. Federal residential credit: $0 (expired). Figures are illustrative; your in-home assessment will use your actual utility bills and current Entergy Mississippi rate schedule.
Mississippi Entergy Mississippi standard customer (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
Mississippi does not have a statewide residential solar permit fee cap. Permit requirements, fees, and timelines vary by local Authority Having Jurisdiction (AHJ) and municipality. Major metro areas (Jackson, Gulfport, Biloxi) typically have permit timelines of 2 to 4 weeks. Entergy Mississippi interconnection review adds 4 to 8 weeks. Contract to energization typically runs 10 to 16 weeks. Gulf Coast properties may have additional structural review requirements related to hurricane wind loads.
Mississippi Power territory customers (southern Mississippi, including the Gulf Coast) should verify that utility's specific interconnection requirements, which may differ from Entergy Mississippi's NEM-2 process. Gulf Coast hurricane wind load requirements may affect permit specifications.
Commercial solar in Mississippi
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 Mississippi 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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Frequently asked
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