Solar & Net Metering Policy
Net metering is available in Rhode Island, allowing solar owners to send excess electricity back to the grid and receive credits on their utility bill. Available, but many customers opt into the Renewable Energy Growth (REG) program tariff instead. Rhode Island 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 and a sales tax exemption on solar equipment. Rhode Island 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 many customers opt into the Renewable Energy Growth (REG) program tariff instead.
SREC Market Details
Customers can participate in the REG program which functions as a performance-based incentive/SREC alternative.
Does Rhode Island have net metering?
Yes. Rhode Island has net metering, which allows solar panel owners to receive credits for excess electricity sent back to the grid. Available, but many customers opt into the Renewable Energy Growth (REG) program tariff instead.
What solar tax credits are available in Rhode Island?
Rhode Island 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 Rhode Island?
The federal Investment Tax Credit (ITC) provides a 30% tax credit on the total cost of a solar installation. It applies in Rhode Island 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 Rhode Island?
Yes. Rhode Island 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 Rhode Island?
Yes. Rhode Island exempts solar energy equipment from state sales tax, which can save several percent on the upfront cost of your system.
Does Rhode Island have an SREC market?
Yes. Rhode Island 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. Customers can participate in the REG program which functions as a performance-based incentive/SREC alternative.
Are there utility rebates for solar in Rhode Island?
Statewide utility rebates are not currently available in Rhode Island. Some local utilities may offer their own programs — contact your utility directly for any available incentives.
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Official Source
Rhode Island Public Utility Commission
Last verified: 2026-03-24 · Always confirm current incentives before installing solar.