Federal ITC 30% (tax credit)
State tax credit: Yes ($5,000)
Net metering (by utility)
There can be solar tax credits and incentives available at the federal, state and local levels. The calculator above will show you the value of all incentives your home is eligible for.
New York is the best place to go solar in the country. Legislators have created the right mix of industry and residential programs to spur huge solar growth, with over two gigawatts installed. Things are looking bright for the future, as the state is on pace for six gigawatts installed by 2025.
Between the New York state solar rebates and federal tax incentives, you could save 40% off the up-front cost of solar, and your panels will pay themselves off in just a few short years, leaving you with free electricity for the next few decades!
Learn what solar incentives are available to New York homeowners
See what New York solar incentives you qualify for based on your utility company and city
Find out how much these incentives and/or New York solar tax credits will reduce your cost to go solar and add batteries
The federal solar investment tax credit will have the biggest impact on the cost you will face to go solar in New York
If you install your photovoltaic system before the end of 2032, the federal tax credit is 30% of the cost of your solar panel system. This is 30% off the entire cost of the system including equipment, labor, and permitting.
Example: If your solar energy system costs $20,000, your federal solar tax credit would be $20,000 x 30% = $6,000.
The federal tax credit falls to 26% starting in 2033.
With net metering in some states, you get full retail rate credit for the amount of electricity you send back into the grid with your solar panels.
In New York, utility companies must provide net metering services for residential systems up to 25 kW. Any net excess electricity generation is credited to your next bill at the retail rate. Excess generation is reconciled annually at the avoided-cost rate.
However, solar customers do have to pay a monthly Customer Benefit Charge (CBC) that cannot be offset by solar generation. The customer benefit charge is based on the size of your solar system and your utility company. The CBC will equate to a few extra dollars per month and doesn't drastically impact your solar investment. CBC charges vary with your utility company, so a customer going solar with National Grid will have a different charge than an NYSEG solar customer or Con Edison customer.
However, New York is looking to transition to a new solar billing structure called the Value of Distributed Energy Resources (VDER), or Value Stack, program. This program seeks to credit solar energy producers more accurately without pushing costs onto non-solar customers.
Through the NY-Sun PV Incentive Program, New York residents statewide are looking at rebate rates of $200 to $400 per kW on solar installations up to 25 kW. That means you can expect a rebate of $1,200-$2,400 on a 6 kW system. Be aware, however, that the incentive values get lower as state solar capacity goals are met. Long Island is already out of funding, so don’t be late to the awesome incentives party if you live in other areas of New York!
In addition to the 30% federal tax credit, you can qualify for a sizable 25% New York solar tax credit. You simply take 25% of your total installation cost (after you take the NY-Sun rebate) and file this handy New York tax form IT-255 to receive the credit.
Be mindful that there’s a cap of $5,000 on this. So, if your cost is more than $20,000, you won't get a tax credit bigger than $5,000 back from the state.
Lawmakers in New York have been doing their best to make going solar easier for residents. In addition to the above solar power rebates and tax credits, adding solar panels to your home is exempt from property tax increases for a solid fifteen years, even though installing solar panels adds roughly 20 times your annual electricity bill savings to your property value. In the case of our 6 kW example, that's about $28,000 of additional value to your home that you don't have to pay.
Also, contrary to other home upgrades like new kitchen stoves or bathroom fixtures, with solar panels in New York, you will not have to pay any sales taxes on your system! That's a bunch of cash you're saving right up front.
NYSERDA offers battery storage incentives for New York City, Westchester, Long Island, and the rest of the state (ROS). The funding is meant to be paired with the NY-Sun rebate outlined above.
As of 2022, there are only single-family residential incentives for battery storage available in Long Island.
The incentive amount is $250/kWh. So, if you install a Tesla Powerwall battery with a capacity of 13.5 kWh, your Powerwall system would be eligible for a rebate of $3,375. Your costs could be even lower if you are able to take the state and federal tax credits.
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Prices based on a 8.6kW system, after 30% federal tax credit
108 solar companies in New York provide pricing on SolarReviews. Here are the best rated companies near you.
4.86 115 Reviews
Al, 1 week ago
The crew worked well together, efficient and very concerned with safety. They took time to answer all my questions with professionalism. I am pleased with the instillation. I just wish they could make it so that it is only cloudy at night.
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Average cost (5kW system)
$16,000 ($3.20 per watt)
Al, 1 week ago
The crew worked well together, efficient and very concerned with safety. They took time to answer all my questions with professionalism. I am pleased with the instillation. I just wish they could make it so that it is only cloudy at night.
4.83 228 Reviews
Noreen , over 1 month
From start to finish, everything went well. Thank you to Lenney and the rest of the team at Harvest Solar Power. They handled everything professionally and with great efficiency. All of my questions were answered and I feel very confident recommending to my friends and family.
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Noreen , over 1 month
From start to finish, everything went well. Thank you to Lenney and the rest of the team at Harvest Solar Power. They handled everything professionally and with great efficiency. All of my questions were answered and I feel very confident recommending to my friends and family.
4.82 264 Reviews
Ed M., over 1 month
Installation was prompt, fast, extremely neat and professional. We are very happy with our system so far.
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Average cost (5kW system)
$13,750 ($2.75 per watt)
Ed M., over 1 month
Installation was prompt, fast, extremely neat and professional. We are very happy with our system so far.
4.74 580 Reviews
Warren F, 2 days ago
I never thought I would go solar but from the salesperson to follow up it was so professional, real customer service! The installation team was so efficient so instructive and so professional. So if you want to go solar strongly suggest you do go Venture Solar. I am so enjoying watching my net meter going backwards since the installation, it looks like I with Venture Solar will produce 100% of my electricity needs!
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Warren F, 2 days ago
I never thought I would go solar but from the salesperson to follow up it was so professional, real customer service! The installation team was so efficient so instructive and so professional. So if you want to go solar strongly suggest you do go Venture Solar. I am so enjoying watching my net meter going backwards since the installation, it looks like I with Venture Solar will produce 100% of my electricity needs!
4.74 80 Reviews
Demetrios D, over 1 month
We started our solar panel install journey about a year ago. After multiple estimates from the big solar companies we were lucky to find SunBlue Energy through our roofing contractor. All the big companies were telling us we can fit 25-26 panels on our roof, basically taking up every inch of space. We would have had big problems if we proceeded with those guys. Chris Hale from SunBlue explained to us that every village and town in the area has their own fire codes when it comes to solar panels on roof. Setbacks from ridge and sides is mandatory for pathways should there be a fire emergency. Chris was able to get us 22 panels at a great price and gave us a modest estimate of solar production. We are 8 months in and our highest ConEd bill is $30.86. We used to average $215 a month. Our system has had zero issues and runs flawlessly every day thanks to the great install crew. And everyone that works in the offices are always there to help and respon to any emails promptly. I can’t recommend SunBlue Energy enough.
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Average cost (5kW system)
$17,150 ($3.43 per watt)
Demetrios D, over 1 month
We started our solar panel install journey about a year ago. After multiple estimates from the big solar companies we were lucky to find SunBlue Energy through our roofing contractor. All the big companies were telling us we can fit 25-26 panels on our roof, basically taking up every inch of space. We would have had big problems if we proceeded with those guys. Chris Hale from SunBlue explained to us that every village and town in the area has their own fire codes when it comes to solar panels on roof. Setbacks from ridge and sides is mandatory for pathways should there be a fire emergency. Chris was able to get us 22 panels at a great price and gave us a modest estimate of solar production. We are 8 months in and our highest ConEd bill is $30.86. We used to average $215 a month. Our system has had zero issues and runs flawlessly every day thanks to the great install crew. And everyone that works in the offices are always there to help and respon to any emails promptly. I can’t recommend SunBlue Energy enough.
4.72 108 Reviews
Jennifer MacVicar, over 1 month
Was very happy with the company until the leaks started. They said the roof was in good enough shape to put panels on. Now there's water POURING into my house and not only are they are saying it's not their fault, but that there were holes there before they put them on. So why did they not mention that before? They are now charging me hundreds of dollars to take the panels off to replace a roof that passed THEIR inspection less than a year ago. I am so surprised by the customer service for an issue I thought would be a non issue. You gave an inspection, saw no issues, but now say the holes were there and that’s not your fault? Water pouring in your house is incredibly stressful and I expected more.
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Jennifer MacVicar, over 1 month
Was very happy with the company until the leaks started. They said the roof was in good enough shape to put panels on. Now there's water POURING into my house and not only are they are saying it's not their fault, but that there were holes there before they put them on. So why did they not mention that before? They are now charging me hundreds of dollars to take the panels off to replace a roof that passed THEIR inspection less than a year ago. I am so surprised by the customer service for an issue I thought would be a non issue. You gave an inspection, saw no issues, but now say the holes were there and that’s not your fault? Water pouring in your house is incredibly stressful and I expected more.
4.71 26 Reviews
cheryl, over 1 month
I spoke with Dov at Powerlutions regarding our solar contract. He was very knowledgeable, patient and extremely pleasant to work with. The installation team was very respectful and professional, it was very impressive to watch them do the job. I am looking forward to geeting good use out of our new solar panels. Thank you Dov and Powerlutions for an excellent experience.
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cheryl, over 1 month
I spoke with Dov at Powerlutions regarding our solar contract. He was very knowledgeable, patient and extremely pleasant to work with. The installation team was very respectful and professional, it was very impressive to watch them do the job. I am looking forward to geeting good use out of our new solar panels. Thank you Dov and Powerlutions for an excellent experience.
4.70 66 Reviews
Mike K, over 1 month
Very happy with this company, everything went smoothly. Would recommend to anyone.
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Mike K, over 1 month
Very happy with this company, everything went smoothly. Would recommend to anyone.
4.69 91 Reviews
Nick , over 1 month
I’m happy to give this review as my experience was very positive with New York State Solar. After years of contemplating solar and after narrowing it down to 3 different companies it was my salesperson that finally made me comfortable enough to explain it all to me in detail where I decided now was the time to commit to getting it. Special thanks to salesperson Danny (Cheong) who was very nice to work with along the way. He made things clear and was in constant contact every step of the way (even on his honeymoon.) I have since recommended him a few times and will continue doing so. If you are looking to get solar he is worth listening to. Contact him at DCheong@nystatesolar.com
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Nick , over 1 month
I’m happy to give this review as my experience was very positive with New York State Solar. After years of contemplating solar and after narrowing it down to 3 different companies it was my salesperson that finally made me comfortable enough to explain it all to me in detail where I decided now was the time to commit to getting it. Special thanks to salesperson Danny (Cheong) who was very nice to work with along the way. He made things clear and was in constant contact every step of the way (even on his honeymoon.) I have since recommended him a few times and will continue doing so. If you are looking to get solar he is worth listening to. Contact him at DCheong@nystatesolar.com
4.69 135 Reviews
J.Lynch, 2 weeks ago
Recently I've had solar panels installed by Power Solutions, and I couldn't be happier with the experience. Matt, the representative who helped me, was fantastic. From the very beginning, Matt and his team were incredibly helpful. They were patient and thorough and answering all my questions, no matter how big or small. Matt was always available to speak with me, even outside of regular business hours. This made a huge difference in my comfort level, as I was completely new to solar power. Matt's of the time to explain the entire process, from the initial consultation to the final installation. He broke down the technical aspects of the system into easy to understand terms, ensuring I fully grasp how the panels and the entire setup would work together. If you're considering solar panels, I highly recommend power solutions. They're commitment to customer service is truly unmatched, and Matt's expertise and patients were invaluable throughout the process.
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J.Lynch, 2 weeks ago
Recently I've had solar panels installed by Power Solutions, and I couldn't be happier with the experience. Matt, the representative who helped me, was fantastic. From the very beginning, Matt and his team were incredibly helpful. They were patient and thorough and answering all my questions, no matter how big or small. Matt was always available to speak with me, even outside of regular business hours. This made a huge difference in my comfort level, as I was completely new to solar power. Matt's of the time to explain the entire process, from the initial consultation to the final installation. He broke down the technical aspects of the system into easy to understand terms, ensuring I fully grasp how the panels and the entire setup would work together. If you're considering solar panels, I highly recommend power solutions. They're commitment to customer service is truly unmatched, and Matt's expertise and patients were invaluable throughout the process.
For more information about going solar near where you live, check out the following resources:
NYSERDA - NY SUN Smart Energy Loan Program