How solar works in Connecticut in 2026
The federal tax credit changed
The 30% federal residential clean energy credit (Section 25D) ended for systems installed after December 31, 2025. If you buy a system outright or with a loan in 2026, you cannot claim it. With a lease or power purchase agreement the solar company owns the system and may still qualify for business credits, which can affect the price you are offered. Ask any provider how this applies to your quote.
RRES: two ways to be paid
Through the Residential Renewable Energy Solutions program, run by Eversource and United Illuminating, you choose a netting tariff, where your home uses its solar first and excess power earns bill credits, or a buy-all tariff, where the utility buys all your solar output at a set rate. Either choice is locked in for 20 years, so compare them carefully.
Energy Storage Solutions
If you add a battery, Connecticut's Energy Storage Solutions program offers incentives for letting the utility draw on it when the grid is under strain.
Community solar through SCEF
The Shared Clean Energy Facility program lets renters and homeowners with unsuitable roofs subscribe to an off-site solar project and receive bill credits.
Tax exemptions
Solar equipment in Connecticut is exempt from sales tax, and residential solar is exempt from property tax on the value it adds.
Utilities: Eversource and United Illuminating.
Common questions
Should I choose the netting or buy-all tariff?
It depends on how much power your home uses and when. The choice lasts 20 years, so it's worth having a specialist compare both for your home.
Can renters in Connecticut get solar?
Often, yes, through the SCEF community solar program.
Official sources
- PURA: Residential Renewable Energy Solutions
- Energy Storage Solutions
- IRS: Residential Clean Energy Credit
This guide is general information, not financial or tax advice. Program rules and rates change; confirm current terms with the program administrator or a tax professional.