Massachusetts offers very generous solar rebates to its residents and businesses, but it may be hard to decipher what this actually means for you. First off, there are two different solar rebates available for most customers in Massachusetts – the Commonwealth Solar II Rebate and the Commonwealth Solar Stimulus Program. Your potential solar panel installation will qualify for one or the other, not both.

Both rebates are for grid-tied photovoltaic systems for customers of municipal lighting plants in Ashburnham, Holden, Holyoke, Russell, and Templeton and customers of the following Massachusetts utility companies: Fitchburg Gas and Electric Light (Unitil), National Grid, NSTAR Electric, and Western Massachusetts Electric.

The Commonwealth Solar II Rebate program is for photovoltaic solar installations less than or equal to 10 kW at residential, commercial, industrial, institutional, and public facilities. These rebates are based on the first 5 kW. For projects bigger than 10 kW, rebates are funded through the Commonwealth Solar Stimulus rebate program.

Please remember, the solar rebate is only one out of many incentives that are offered for Massachusetts solar installations. Rebates are not available for “do-it-yourself” projects and installations must be completed by professional, licensed solar contractors. Please talk to a Massachusetts solar installer to schedule a free evaluation to determine if you have good site for solar and find out about the wide range of incentives available to you.

Commonwealth Solar II Rebate

Base Incentive: $1.00 per watt

Adder for Massachusetts company components: $0.10 per watt

To qualify for the MA company components adder, you will have to provide proof that the solar (PV) modules, the inverter(s), or another significant component that is important to the electricity production is manufactured by a company with a significant Massachusetts presence. This is determined at the sole discretion of the Massachusetts Clean Energy Center (MassCEC). Current companies and products on this list are:

Evergreen Solar: modules
Schott Solar: modules (Only Schott ASE 300 series modules)
Satcon: inverters
Solectria Renewables: inverters
Beacon Power: inverters
Panel Claw: mounting systems

Adder for moderate home value: $1.00 per watt (RESIDENTIAL PROJECTS ONLY), or

To qualify for this adder, the System Owner must be the owner and a resident of the home. Moderate home value is determined the most recent tax assessment as determined by the municipality. In order to qualify, the owner’s primary residence must be less than or equal to the following for the appropriate county of residence:

Berkshire, Franklin, Hampden, and Hampshire ≤ $300,000
Bristol, Suffolk, and Worcester ≤ $350,000
Barnstable, Duke, Essex, Middlesex, Nantucket, Norfolk, and Plymouth ≤ $400,000

Please note: The rebate is limited to a solar project on the System Owner’s primary residence, and is only applied to the first 5 kW. A System Owner can qualify for moderate home value adder OR moderate income adder, not both.

Adder for moderate income: $1.00 per watt (RESIDENTIAL PROJECTS ONLY)

A System Owner can qualify for the Moderate Income Adder based on an individual income less than or equal to $75,810 (for single person households) or based on combined household income less than or equal to $95,420 (for households of two or more individuals). Income must be documented on 2009 IRS tax filings for all household members 18 and over.

MAXIMUM REBATE FOR RESIDENTIAL INSTALLATIONS = $10,500

MAXIMUM REBATE FOR COMMERCIAL INSTALLATIONS = $5,500