Solar & Net Metering Policy
Net metering is available in Idaho, allowing solar owners to send excess electricity back to the grid and receive credits on their utility bill. Transitioning; Idaho Power moving toward a lower export credit rate and separate rate classes for solar. Idaho offers a state solar tax credit of Tax deduction up to $20,000, which can be combined with the federal 30% Investment Tax Credit (ITC) for significant savings.
Net Metering Notes
Transitioning; Idaho Power moving toward a lower export credit rate and separate rate classes for solar.
Tax Credit Details
State offers an income tax deduction: 40% of the cost in the first year and 20% for three years.
Does Idaho have net metering?
Yes. Idaho has net metering, which allows solar panel owners to receive credits for excess electricity sent back to the grid. Transitioning; Idaho Power moving toward a lower export credit rate and separate rate classes for solar.
What solar tax credits are available in Idaho?
Idaho offers a state solar tax credit of Tax deduction up to $20,000. State offers an income tax deduction: 40% of the cost in the first year and 20% for three years. This can be combined with the federal Investment Tax Credit (ITC), which provides a 30% credit on the cost of your solar system.
What is the federal solar tax credit and does it apply in Idaho?
The federal Investment Tax Credit (ITC) provides a 30% tax credit on the total cost of a solar installation. It applies in Idaho for qualifying residential and commercial installations. The ITC is claimed on your federal tax return in the year the system is installed.
Is solar equipment exempt from property tax in Idaho?
Idaho does not have a statewide solar property tax exemption. The added value from a solar installation may be included in your property assessment. Check with your county assessor for local rules.
Is there a sales tax exemption for solar in Idaho?
Idaho does not currently offer a sales tax exemption for solar equipment. Sales tax applies to the purchase of solar panels and installation materials at the standard state rate.
Does Idaho have an SREC market?
Idaho does not currently have an active SREC market. Solar owners in Idaho cannot generate additional income through SREC sales at this time.
Are there utility rebates for solar in Idaho?
Statewide utility rebates are not currently available in Idaho. Some local utilities may offer their own programs — contact your utility directly for any available incentives.
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Official Source
Idaho Public Utility Commission
Last verified: 2026-03-24 · Always confirm current incentives before installing solar.