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21 Mar 2024

2024 Guide to North Carolina Tax Credits, Incentives and Rebates

North Carolina’s solar market is on the move—from ranking 16th in the nation just two years ago to now being the 4th largest in terms of solar installations across the United States as of 2024, ranking only below Texas, California, and Florida. 

This leap is a testament to the state's commitment to sustainable energy solutions bolstered by supportive state legislation, enticing financial incentives, and an ideal climate conducive to solar energy production for homeowners and businesses.

This is your guide to taking advantage of North Carolina’s generous solar incentive infrastructure.

Cost of Home Solar Power in North Carolina

The past decade has witnessed a significant reduction in solar prices within the state, plummeting by 42%, making solar installations more economically accessible to a wider audience of homeowners. 

NC Solar is enough to power nearly 860,000 homes and contributes to around 7% of the total energy production in this state.

In North Carolina, the typical price for installing solar panels ranges from $12,452 to $16,848 to install a 5-kilowatt solar panel. On a cost per watt basis, the price for solar panel installations in the state varies between $2.49 and $3.37.

The state's comprehensive framework of tax credits, rebates, and exemptions has made solar investments increasingly attractive, offering an average payback period of around 13.02 years. Let’s take a look. 

North Carolina Incentives & Rebates

North Carolina State Rebates

Duke Energy Solar Rebate Program

*Ended in 2023

The Duke Energy company offers its exclusive North Carolina Solar Rebate Program at $0.40-per-watt for systems up to 10 kilowatts. To qualify for the rebate, participants needed to be Duke Energy customers in North Carolina and have installed a new solar panel system. 

North Carolina Solar Incentives

PSNC Energy Green Building Rate Discount

PSNC extends a discount to customers whose building or residence meets stringent energy efficiency criteria. Residential clients must furnish a statement from a certified professional affirming that their home's energy consumption aligns with or surpasses the standards set for an EnergyStar-certified home through the PSNC Energy Green Building Rate Discount.

Homeowners are required to provide a certification from a licensed professional engineer confirming that their residence consumes no more energy per square foot than a home that meets Energy Star standards. Once this certification is submitted and verified, PSNC Energy will transition the homeowner's account to Rate Schedule 102. This schedule offers a reduced rate per therm compared to Rate Schedule 101.


Duke’s PowerPair Program

Duke Energy's PowerPair incentive further sweetens the deal by offering North Carolina homeowners who opt for a qualified solar + battery installation can qualify for one-time incentives totaling up to $9,000. The program offers up to $3,600 for solar installations and an additional $5,400 for battery systems when installed together. 

North Carolina Loan Programs

Piedmont Electric Energy Efficiency and Renewable Energy Loan Program

The Piedmont Electric Energy Efficiency and Renewable Energy Loan Program program provides eligible PEMC members with financing options to purchase and install energy-efficient upgrades or renewable energy systems in their homes. Approved members may borrow up to $15,000 for seven (7) years at five percent (5%) interest.

Additionally, they provide Solar Energy Systems Tax Credits for certified systems generating at least half their energy from the sun.

Federal Rebates

Federal Solar Tax Credit

The federal solar tax credit, also known as the Investment Tax Credit (ITC), is a nationwide incentive allowing homeowners across the nation to receive a tax deduction for expenses related to solar panel installation. 

This credit provides owners of solar systems with a 30% reduction in their overall system costs. For example, if you purchase a solar system with a capacity of 5 kilowatts (kW) for $18,000, you would be eligible for a tax credit amounting to $5,400.

How US Solar Supplier Can Help You Save on Your Next Project

Your project is our priority. Let us know what your looking for and we’ll help you find it. Not sure? Give us your energy goals and we’ll get you there! 

Let US Solar Supplier guide your solar energy project! Consult with us today to match the perfect system to your needs. 

Resource Section

Dominion Energy: North Carolina Programs

Energy Sage: North Carolina Local Pricing and Data