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Vermont · Updated August 2026
Vermont solar incentives in 2026
Every solar incentive a Vermont homeowner can actually use in 2026, and the trend in net metering credit rates that argues for acting sooner rather than later.
7 yearsConsecutive years Vermont has cut its net metering adjustorRanked #1 by Solar Power World · Inc. 5000 · 20,000+ installations
The numbers
What Vermont actually offers in 2026
| Measure | Current | Detail |
|---|---|---|
| Net metering | Available | Category I through IV by system type |
| Category I adjustor | Reduced 7 years running | The credit rate has declined annually |
| State solar rebate | None | No upfront rebate program |
| Green Mountain Power rate | ~21¢ | 28% above the national average |
| Small system permitting | Streamlined | Vermont has one of the simpler processes for small residential |
| Federal residential credit (25D) | Ended | For systems purchased after Dec 31, 2025 |
Figures as published August 2026. Utility rates change on published schedules — check your own bill for the rate that applies to your account.
Why the number is what it is
The adjustor has moved one direction for seven years
Vermont net metering applies an adjustor to the credit rate, and the Category I adjustor — the one covering most residential rooftop systems — has been reduced in seven consecutive years.
Systems are generally grandfathered at the adjustor in effect when they interconnect. That makes the timing of an interconnection application worth more in Vermont than in states with a stable rate.
What Vermont has instead of a rebate
There is no upfront state rebate. Green Mountain Power’s rate of roughly 21¢ is 28% above the national average, and Vermont keeps one of the more streamlined permitting processes in the region for small residential systems.
The case here is straightforward rate exposure rather than a stack of programs, and it is worth being honest that Vermont is a thinner incentive environment than Massachusetts or Rhode Island.
The federal residential credit ended. Here is what that actually means.
The 30% federal Residential Clean Energy Credit under Section 25D ended for systems purchased after December 31, 2025. If you buy a system with cash or a loan in 2026, you cannot claim it. Any site still advertising "30% federal tax credit" for a homeowner purchase is running outdated information.
What remains is Section 48E, the commercial investment credit. It applies to third-party-owned systems — leases and power purchase agreements — where the system owner claims it rather than the homeowner. That is precisely what makes $0-down possible: the credit stays with whoever owns the equipment, and under a PPA that is not you.
We would rather tell you that plainly than let you find out at tax time.
Two ways to pay for solar, and they are very different
If you buy the system
You own the equipment, you keep any renewable energy credits, and you carry the maintenance responsibility. Installed pricing varies by roof, shading and system size.
If you use a PPA
$0 upfront. We install and own the system; you buy the power it produces at a rate set in your agreement, and you only pay for what it actually generates. The system owner carries maintenance for the life of the agreement.
The residential federal tax credit (25D) ended for systems purchased after December 31, 2025.
You will still see ads promising a 30% credit that “ends December 31.” Read the date on them. If you buy a system today as a homeowner, you cannot claim that credit. What remains applies to the owner of the system — which, under a PPA, is us. SolarAmerica does not provide tax advice; talk to your tax professional about your situation.
Who you would be working with
SolarAmerica
We design your system and manage the project; installation is performed by vetted licensed partners in your area.
Vermont questions
The things people actually ask
Why is Vermont's Price to Compare lower than PPL's but the all-in rate higher?
Because the two numbers measure different things. Vermont's supply charge is lower; its distribution charges and riders are higher. What matters to your budget is the all-in figure — your bill divided by your kilowatt-hours.
How often does this change?
Four times a year: March, June, September and December.
Can I shop for supply?
Yes. Vermont is deregulated, and switching suppliers changes only the supply portion of your bill.
See what your roof and Vermont actually add up to
About 60 seconds. No cost, no obligation, and we will tell you if solar does not make sense for your home.
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