Connecticut has some of the highest electricity rates in the U.S., making solar especially valuable for long-term savings.
Residential solar systems benefit from full retail net metering, allowing exported solar energy to earn credits at the same rate homeowners pay.
The state does not levy a sales tax, helping reduce upfront solar installation costs.
Solar installations are generally excluded from increased property tax assessments.
Major utilities such as Eversource and United Illuminating support residential solar through standardized net metering programs.
Solar production earns Class I Renewable Energy Credit (REC) value under Connecticut’s Renewable Portfolio Standard.
Community solar and virtual net metering provide options for homeowners and renters without suitable rooftops.
Homeowner Rebates, Tax Benefits, Net Metering & SRECs for Connecticut Homeowners
Connecticut homeowners are increasingly adopting solar to manage rising electricity costs, improve resiliency during winter storms and summer heat waves, and gain greater control over long-term energy expenses.
With substantial heating and cooling loads and a high cost of delivered energy relative to nearby states, solar can significantly reduce utility bills over time — especially when paired with energy storage for outage protection.
The average residential electricity rate in Connecticut is 23–25¢ per kWh, placing the state well above the national average. In 2026, a combination of state incentives, utility programs, and net metering policies continues to make solar compelling for many Connecticut households.
Here's what homeowners need to know about Connecticut solar incentives in 2026.
Connecticut Solar Incentives for Homeowners
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Property tax treatment: Solar equipment generally exempt from increased property tax assessments
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Sales tax exemption: Connecticut does not levy a statewide sales tax, reducing upfront solar costs
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State renewable energy policy: Solar qualifies under the Renewable Portfolio Standard (RPS) and broader clean energy goals
Connecticut’s lack of a state sales tax helps lower upfront solar costs for equipment and installation. In addition, most jurisdictions exempt solar from increasing property tax assessments, ensuring homeowners do not incur higher annual property taxes due solely to the value of their solar system. These baseline incentives help improve solar economics when combined with utility and production-based incentives.
Utility-Specific Solar Incentives in Connecticut
Connecticut’s solar incentive landscape is shaped by several investor-owned utilities and municipal providers that offer net metering and energy crediting for residential solar customers.
Eversource Connecticut
Eversource Connecticut serves much of the state and supports residential solar through standardized interconnection and net metering crediting. Homeowners who export excess solar generation can receive credits on their utility bills to offset future energy use.
United Illuminating (UI)
United Illuminating serves southwestern Connecticut, including the Bridgeport and New Haven areas. UI offers residential solar interconnection and net metering under state policy, applying bill credits for exported solar energy that offsets future grid consumption.
Municipal Utilities (e.g., Connecticut Municipal Electric Energy Cooperative members)
Some Connecticut homeowners are served by municipal utilities or cooperative providers that follow state net metering guidelines. While specific programs may vary, these providers generally offer export crediting and interconnection processes in line with state rules.
Net Metering for Residential Solar in Connecticut
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Supported by: Eversource, United Illuminating, municipal utilities
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Credit method: Full retail net metering credits for excess solar generation
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Rollover: Credits roll forward monthly and reconcile annually
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System limits: Residential systems sized to mirror household usage
Connecticut mandates full retail net metering for residential solar customers, allowing exported solar energy to earn credits at the same rate homeowners pay for electricity. Net metering credits roll forward month to month and reconcile annually, providing substantial bill savings when systems are sized to match or slightly exceed household consumption. This full retail treatment remains one of the strongest aspects of residential solar economics in the state.
SREC and Production-Based Incentives in Connecticut
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Statewide SREC market: Not a broad, open market
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Production support: Solar Renewable Energy Credits (Class I REC attribute within RPS)
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Utility compliance: REC procurement supports demand for solar attributes
Connecticut does not operate a tradable SREC market in the way some other states do, but solar production earns Class I Renewable Energy Credits (RECs) that utilities must procure to meet the state’s Renewable Portfolio Standard. Homeowners typically participate in utility or third-party programs that manage REC tracking and compensation, which adds production value in addition to net metering savings.
Why Use Energy Storage in Connecticut
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Winter resilience: Batteries provide backup during ice storms and winter outages
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Peak shifting: Storage shifts excess daytime solar to evening usage
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Self-consumption optimization: Increases value of solar production
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Rate plan flexibility: Supports time-of-use or demand-based pricing strategies
Energy storage enhances residential solar in Connecticut by allowing homeowners to store excess solar production and use it during high-usage evening hours or outages.
Storage also improves self-consumption, which complements net metering credits and boosts overall system value, especially under time-of-use or demand-oriented rate plans. Batteries offer added resilience when weather events interrupt grid service.
Community Solar Options in Connecticut
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Program structure: Virtual net metering and shared solar projects
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Eligibility: Homeowners and renters
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Credit application: Bill credits applied to host and subscriber meters
Connecticut supports community solar and shared renewable generation through virtual net metering, enabling both homeowners and renters to benefit from off-site solar projects.
Subscribers receive bill credits proportional to their share of the system, applied directly to their utility account, much like traditional net metering.
Need Help Navigating Incentives? Reach Out to US Solar Supplier
Connecticut homeowners benefit from no state sales tax, full retail net metering with major utilities, and REC value tied to production, making solar a strong long-term investment when systems are sized correctly.
Maximizing these incentives depends on understanding local utility policies, optimizing system design for consumption patterns, and integrating storage where beneficial.
US Solar Supplier helps homeowners with materials selection, residential system design, storage planning, REC tracking support, and utility compliance. Whether you’re installing rooftop solar, subscribing to community solar, or adding battery backup for winter resilience, our team can help design an incentive-ready system tailored to Connecticut conditions.
👉 Contact US Solar Supplier for personalized guidance on solar equipment, design services, and homeowner-focused solar planning in Connecticut.
Are there still solar incentives for homeowners in Connecticut in 2026?
Yes. Even without direct federal homeowner incentives in 2026, Connecticut homeowners can still benefit from full retail net metering, property tax exemptions, no state sales tax, and production-based REC value tied to the state’s Renewable Portfolio Standard.
Does Connecticut still offer net metering?
Yes. Connecticut continues to offer full retail net metering for residential solar systems. Excess electricity exported to the grid earns bill credits at the same rate homeowners pay for electricity, which is one of the strongest solar policies in the country.
Which utilities support residential solar in Connecticut?
The primary utilities supporting residential solar are Eversource and United Illuminating (UI). Some homeowners are also served by municipal or cooperative utilities that follow state net metering rules. Program details can vary slightly by provider.
Do solar panels increase property taxes in Connecticut?
No. Residential solar systems are generally excluded from increasing property tax assessments. Homeowners can add solar without triggering higher annual property taxes, even if the system increases home value.
Is solar equipment subject to sales tax in Connecticut?
No. Connecticut does not impose a statewide sales tax, which helps reduce the upfront cost of solar equipment and installation compared to many other states.
Does Connecticut have an SREC market for homeowners?
Connecticut does not operate an open, tradable SREC market like some neighboring states. However, solar production earns Class I Renewable Energy Credits (RECs) under the state’s Renewable Portfolio Standard, which utilities must procure. These RECs are typically managed through utility or third-party programs on behalf of homeowners.
Are batteries required with solar in Connecticut?
No. Battery storage is not required for residential solar installations. However, many homeowners choose to add batteries for backup power during winter storms, grid outages, or to increase self-consumption of solar energy.
Why would a Connecticut homeowner add battery storage?
Batteries provide backup during outages caused by snow, ice storms, or grid failures. They also allow homeowners to store excess solar energy for evening use, increasing energy independence and reducing reliance on the grid during peak demand periods.
