2023 Maryland Solar Incentives, Grants, Rebates and Tax Credits
Maryland Grants for Homeowners
Maryland Clean Energy Residential Grant Program
Offers $1,000 grants for homeowners who have installed solar panels (minimum size 1kW- DC). Grant applications must be submitted to the MEA within 12 months of installation, and the installer must be NABCEP certified.
Note: Funds for the FY23 are no longer available and applications are not currently being accepted. Check back at the link listed above for information on FY24’s program as it becomes available.
Maryland Solar Rebates and Tax Credits for Businesses
Maryland Commercial Clean Energy Grant Program
The State of Maryland provides Clean Energy Rebates through the Commercial Clean Energy Rebate Program (“C-CERP”) to businesses, nonprofits, local governments, and State of Maryland government agencies and departments that install clean energy systems on facilities located within the State.
High-Performance Building Property Tax Credits
Many Maryland counties offer high-performance building property tax credits for new or extensively modified commercial and multi-family buildings. These structures must be certified as High Energy Performance buildings.
Maryland Solar Property and Use Tax Exemptions
Maryland solar energy systems that are used to heat or cool a structure, or provide hot water, are now exempt from both state and local real property taxes. The Maryland Property Tax Exemption for Solar and Wind Energy Systems applies to both commercial and residential properties. There is also a Maryland Sales and Use Tax Exemption for Residential Solar and Wind Electricity Sales.
Local Solar Tax Credits
Many Maryland counties offer substantial tax credits for the installation of solar energy systems.
Maryland Energy Storage Income Tax Credit
The tax credit is available to residential and commercial taxpayers who have installed energy storage systems in Maryland.
Anne Arundel County Solar Tax Credits
Residents of Anne Arundel County can apply for a one-time property tax credit of up to $2,500 for residential dwellings that utilize solar energy for heating and cooling, water heating, and generation of electricity. Learn more about this and other local property tax credits available to residents in Anne Arundel County by visiting the Tax Credit Division web page.
Note: The application deadline has passed for the taxable year beginning July 1, 2023, and ending June 30, 2024. Check the Anne Arundel County Forms and Publications Page frequently for information about next year’s application.
Federal Tax Credits for Maryland Residents
In addition to state and local incentives, homeowners can take part in a federal program through the Investment Tax Credit (ITC). You can qualify for this credit as a homeowner if you purchase your solar photovoltaics system (PV) fully with cash or through a solar loan. You claim the credit when you file your federal taxes for the year.
Maryland Solar Renewable Energy Certificates (SRECs)
Maryland residents who own solar systems can hear money by selling excess power generated back to the grid. (Learn more about SRECs)
