State solar guide
North Carolina 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 | NREL PVWatts (verify at your assessment) | EnergySage May 2026 | Federal residential credit: Section 25D expired December 31, 2025, H.R.1 (One Big Beautiful Bill Act).
Net metering
North Carolina's residential net metering is in a transitional period as of 2026. Duke Energy Carolinas and Duke Energy Progress closed the prior Rider NM program to new customers on September 30, 2023. A Bridge Rate remains open to new Duke customers through December 31, 2026, offering better export credits than a time-of-use or avoided-cost tariff but still below full retail. After the Bridge Rate expires, Duke Energy is expected to move new applicants to a time-of-use or avoided-cost export credit structure. Dominion Energy customers in northeastern North Carolina retain traditional 1-to-1 full retail net metering under a separate policy.
Duke Energy Carolinas and Duke Energy Progress (most of North Carolina): Bridge Rate available to new customers through December 31, 2026; export credits better than avoided cost but below full retail. After Bridge Rate closes, Duke will move to time-of-use or avoided-cost export pricing. Dominion Energy North Carolina (northeastern NC): full 1-to-1 retail net metering retained under traditional policy. Electric Membership Corporations: verify net metering terms directly with your local co-op, as cooperative policies vary.
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 North Carolina 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 North Carolina 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 |
|---|---|---|---|---|
| North Carolina Solar Incentives State and local programs Incentive amounts and availability change frequently. Verify at dsireusa.org before relying on any program. | See description Duke Energy PowerPair rebate: up to $9,000 for qualified solar plus battery paired system (up to $3,600 for solar and up to $5,400 for battery storage). Program is first-come first-served with limited capacity; verify availability. Duke Energy Power Manager (EnergyWise Home): up to approximately $92 per month (roughly $1,100 per year) in energy credits for battery dispatch control enrollment. No statewide rebate program. Dominion Energy NC does not currently offer a broad residential solar rebate. | North Carolina homeowners. Verify current programs at dsireusa.org. | Limited | DSIRE (opens in new tab) |
| North Carolina Solar Property Tax Exemption Property tax exemption Confirm exemption filing requirements with your county assessor. | Exemption on solar-added home value (amount varies by local tax rate and system size) North Carolina provides a 100% exemption on the added home value from residential solar installations for property tax purposes. The exemption is automatic for qualifying residential properties. | North Carolina residential property owners with qualifying solar installations. | 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 North Carolina
Duke Energy PowerPair rebate: up to $9,000 combined for a qualified solar plus battery storage system in Duke Energy Carolinas and Duke Energy Progress service territory (up to $3,600 for solar and up to $5,400 for battery). First-come first-served with limited capacity; verify current availability with Duke Energy before relying on this amount. Duke Power Manager (EnergyWise Home): up to approximately $92 per month (roughly $1,100 per year) in energy credits for customers who enroll their battery system in Duke's dispatch control program. These storage incentives are specific to Duke Energy North Carolina service territory and do not apply to Dominion Energy NC customers.
Savings example
This example uses real North Carolina 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.
An 8 kW system at the EnergySage May 2026 North Carolina average of $2.31 per watt costs approximately $18,480. The federal residential credit is zero (Section 25D expired December 31, 2025). North Carolina has no state income tax credit. The 100% property tax exemption on added home value reduces ongoing carrying costs but is not a direct system cost reduction. Under Duke Energy's Bridge Rate (available through December 2026), export credits are better than a pure avoided-cost tariff but below full retail. Dominion Energy NC customers with full retail net metering would see a slightly shorter payback. Estimated annual electricity bill savings are $1,200 to $1,500, producing an illustrative payback of 13 to 15 years. Duke PowerPair customers pairing solar with battery storage may qualify for a separate rebate of up to $9,000 that would materially shorten payback. Figures are illustrative. Your in-home assessment will use your actual utility bill, rate schedule, and current program availability.
North Carolina homeowner savings example (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
Permit requirements in North Carolina vary by municipality. Verify permit timelines and fees with your installer and local Authority Having Jurisdiction (AHJ).
Commercial solar in North Carolina
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 North Carolina 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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