Home solar in Maryland

Net metering Net metering changing

Today your utility credits each kWh you send to the grid at the full retail rate. Extra credits roll over month to month, and any left each April are paid out at the average supply rate. Under the 2026 Utility RELIEF Act, net metering closes to new customers at 3,000 MW statewide or July 1, 2027, whichever comes first. Systems connected before then keep it until they are replaced or enlarged. Source

• 2026-12-15: PSC report on the successor program
• 2027-02-01: PSC successor framework due
• 2027-07-01: net metering closes to new customers (or earlier at 3,000 MW)

Solar credits (SRECs) Market open

Each 1,000 kWh your panels make earns one SREC that you can sell to suppliers. The legal price cap (solar ACP) is $45 per SREC in 2026, falling to $35 in 2027, $32.50 in 2028, $25 in 2029 and $22.50 from 2030. Systems of 20 kW or less placed in service from 7-1-2024 through 1-1-2028 earn certified SRECs worth 150% of a normal SREC. Source

Taxes

Property tax: Exempt: solar equipment is not counted in your home's assessed value (Tax-Property §7-242).
Sales tax: Exempt: no 6% sales tax on solar equipment (Tax-General §11-230), and no sales tax on solar power sold to your home (§11-207). Source

Solar laws

• HB 1532, Utility RELIEF Act (Ch. 353) (2026). Sets the net-metering cutoff, requires counties to use instant solar permitting software by 8-1-2027, caps rooftop permit fees at $500 for systems under 20 kW, and sets 5-business-day inspections. Source
• Plug-in (balcony) solar, HB 1532 (2026). One UL-certified plug-in solar unit up to 1,200 W per meter is allowed with no utility approval or fee. Source
• HOA solar access, Real Property §2-119 (2025). An HOA may not set unreasonable limits on roof solar. Unreasonable means it adds 5% or more to the cost or cuts output 10% or more; the owner proves it with a qualified designer's report. HOAs may still ban solar on common areas. Source

Community solar

Yes: Maryland's permanent community solar program lets renters and shaded homes subscribe to a local solar farm for bill credits.

Timeline

1. 2024-07-01 Certified (150%) SRECs start for small systems
2. 2025-06-30 $1,000 Residential Clean Energy Rebate ends (FY25 last year)
3. 2025-12-31 Federal 30% homeowner tax credit (25D) ends
4. 2026-05-12 Utility RELIEF Act signed
5. 2026-07-29 FY27 MSAP rebate opens
6. 2027-02-01 PSC due to set the post-net-metering program
7. 2027-05-31 FY27 MSAP application deadline (or sooner if funds run out)
8. 2027-07-01 Net metering closes to new customers (or sooner at 3,000 MW)
9. 2027-08-01 Counties must offer instant solar permits; $500 fee cap
10. 2028-01-01 Last day to be placed in service for 150% certified SRECs

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

• HB 1532 (2026) enrolled bill
• HB 1532 fiscal and policy note
• PSC net metering report 2025
• Public Utilities §7-705 (solar ACP)
• Public Utilities §7-709.1 (certified SRECs)
• PSC SB 783 fact sheet
• MEA FY27 MSAP announcement
• Tax-Property §7-242
• Tax-General §11-230
• Real Property §2-119

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.

Ask for a free home review in Maryland