Home solar in Indiana

Net metering Replaced by a lower credit

AES Indiana, CenterPoint, Duke Energy Indiana, Indiana Michigan Power and NIPSCO closed net metering to new customers by July 1, 2022. New systems are on Excess Distributed Generation (EDG): power you use at home the moment it is made saves the full retail rate, but every kWh that flows to the grid is credited at the prior year's average wholesale cost plus 25%. The Indiana Supreme Court upheld this no-netting method in 2023. Older systems keep full net metering until July 1, 2032 (installed 2018 to the cutoff) or July 1, 2047 (installed before 2018). REMCs and city utilities set their own rules. Source

• 2022-07-01: net metering closed to new customers at investor-owned utilities
• 2032-07-01: full net metering ends for systems installed 2018-2022
• 2047-07-01: full net metering ends for systems installed before 2018

Solar credits (SRECs) No market

Indiana has no solar REC requirement or SREC market for homeowners. Source

Taxes

Property tax: Partial/exempt: a deduction removes the added assessed value of a solar power system installed after 2011 (IC 6-1.1-12-26.1); file the deduction form with your county auditor. One summary says this section expires January 1, 2027 (unverified).
Sales tax: None: Indiana has no sales tax exemption for home solar equipment. Source

Solar laws

• SEA 309 (IC 8-1-40) (2017). Phased out net metering for new customers by July 1, 2022 and created EDG credits at 1.25 times the utility's average wholesale (marginal) price from the prior year. Source
• HEA 1196, HOA restrictions on solar (IC 32-25.5-3.5) (2022). If an HOA bans solar, a homeowner can petition neighbors; with signatures from 65% of members (or the amendment threshold in the HOA rules), the board may not deny the system. HOAs can still deny for real siting or technical issues, or if the HOA maintains the roof. Source
• Indiana Supreme Court, CenterPoint EDG case (2023). Upheld utilities measuring EDG on instant flows to the grid (no monthly netting). Source

Community solar

No: Indiana has no community solar law; some REMCs offer their own shared solar.

Timeline

1. 2017-05-09 SEA 309 signed, starting the net metering phase-out (unverified exact date)
2. 2017-12-31 Cutoff for 2047 grandfathering (systems installed by this date)
3. 2022-07-01 Net metering closed to new customers; EDG for all new systems
4. 2023 Indiana Supreme Court upholds no-netting EDG
5. 2025-12-31 Federal 30% homeowner tax credit (25D) ends
6. 2027-01-01 Solar property tax deduction section may expire (unverified)
7. 2032-07-01 Grandfathered net metering ends for 2018-2022 systems
8. 2047-07-01 Grandfathered net metering ends for pre-2018 systems

Federal tax credits

The 30% federal tax credit for homeowners who buy solar (Section 25D) ended for systems placed in service after December 31, 2025, so buying no longer earns a federal credit. If you lease or sign a power purchase agreement (PPA), the panels belong to a company that may still claim a business credit under federal deadlines that tighten through 2027. Ask your installer whether that savings is in your price.

Sources

• IURC 2022 Net Metering Required Reporting Summary
• Solar United Neighbors: Net metering in Indiana
• Solar United Neighbors: Indiana Supreme Court EDG ruling
• pv magazine: Indiana makes it harder for HOAs to ban solar (2022)
• EnergyBot: Indiana renewable energy property tax deduction

Last checked 2026-11-01. Incentives are not guaranteed and can change or run out. Confirm every figure with your utility, installer and a tax professional before you sign. This page is general information, not tax, legal or financial advice.

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