Solar & Net Metering Policy
Net metering is available in Illinois, allowing solar owners to send excess electricity back to the grid and receive credits on their utility bill. Available, but transitioning to supply-only crediting once utility-specific caps are met. Illinois does not currently offer a state solar tax credit, though the federal 30% ITC still applies to qualifying installations. Additional savings are available through a property tax exemption on the added home value. Illinois has an active SREC (Solar Renewable Energy Certificate) market, allowing solar owners to earn additional income by selling certificates for the electricity they generate.
Net Metering Notes
Available, but transitioning to supply-only crediting once utility-specific caps are met.
SREC Market Details
Illinois Shines (Adjustable Block Program) offers 15-year fixed-price SREC contracts.
Utility Rebate Details
ComEd and Ameren offer smart inverter rebates.
Does Illinois have net metering?
Yes. Illinois has net metering, which allows solar panel owners to receive credits for excess electricity sent back to the grid. Available, but transitioning to supply-only crediting once utility-specific caps are met.
What solar tax credits are available in Illinois?
Illinois does not currently offer a state solar tax credit. However, the federal Investment Tax Credit (ITC) provides a 30% tax credit on qualifying solar installations nationwide.
What is the federal solar tax credit and does it apply in Illinois?
The federal Investment Tax Credit (ITC) provides a 30% tax credit on the total cost of a solar installation. It applies in Illinois 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 Illinois?
Yes. Illinois offers a property tax exemption for solar installations, meaning the added home value from your solar system is not subject to additional property taxes.
Is there a sales tax exemption for solar in Illinois?
Illinois 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 Illinois have an SREC market?
Yes. Illinois has an active Solar Renewable Energy Certificate (SREC) market. Solar owners earn one SREC for every megawatt-hour (MWh) of electricity generated, which can be sold to utilities or brokers. Illinois Shines (Adjustable Block Program) offers 15-year fixed-price SREC contracts.
Are there utility rebates for solar in Illinois?
Yes. Utility rebates are available in Illinois. ComEd and Ameren offer smart inverter rebates.
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Official Source
Illinois Public Utility Commission
Last verified: 2026-03-24 · Always confirm current incentives before installing solar.