Solar Panels in Massachusetts 2022 Cost and Incentives| SaveOnEnergy®

Massachusetts Solar Panels: Pricing and Incentives

How much do solar panels cost in Massachusetts?

home with solar panels on the roof

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Massachusetts was an early adopter of solar energy, which is evident in how successful the state has been in replacing traditional electricity generation with solar power. Thanks to the state’s investment, it’s easier than ever for residents to take advantage of the benefits of solar. 

Are you considering installing solar panels on your home? Keep reading to learn about the costs and benefits of solar panels in Massachusetts and how to decide if they’re right for your home.

Massachusetts solar panel cost

The cost of a solar panel system depends on a variety of factors, including the size of your system, the type of solar panels you choose, your roof’s age and condition, installation costs, and more. In general, the average cost of a residential solar system ranges from $3 to $5 per watt, normally totaling between $15,000 and $25,000.

Luckily, tax credits and other financial incentives can help to reduce the cost of solar panels. Between these incentives and the energy savings you can have with solar panels, the average payback period for a home solar system is just 6-9 years.

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Massachusetts solar panel incentives or rebates

There’s no doubt that solar panels are a major investment, but the federal government and many state and local governments offer incentives to reduce the financial burden. 

The federal government offers a 26% solar tax credit on the purchase of a solar panel system. The tax credit can save you thousands of dollars on your purchase because it credits you 26% of the total cost of your system back during tax season. However, the federal tax credit is set to reduce to 22% in 2023 and will disappear in 2024 if Congress doesn’t renew it.

The state of Massachusetts also has financial incentives in place to help consumers save on solar panels. The state offers a 15% tax credit with a maximum credit of $1,000. The state also has both sales and property tax exemptions, meaning you won’t pay additional taxes on your solar panel purchase. Other state initiatives include net metering options and a solar loan program.

Why choose Massachusetts solar power?

There are several benefits to choosing solar power in Massachusetts, including financial and environmental incentives. Here are three of the main reasons consumers choose to go solar.

Lower energy costs

One of the biggest perks of installing solar panels on your home is the ability to reduce your energy costs. When powering your home with solar energy instead of traditional electricity, you can save upwards of $1,000 on your annual energy costs. Additionally, solar panels can increase the value of your home, which is an enticing benefit if you decide to sell your home.

Establish energy independence

Another perk of installing solar panels on your home is that it helps you gain more energy independence, meaning you aren’t as reliant on the traditional electricity grid to power your home. Taking a step towards energy independence means you are more protected from energy rate increases when energy demand is high. While most solar consumers choose to remain connected to the grid, they have more control over their electricity costs because they rely more on the solar power that their system produces.

Go green

Traditional electricity sources like oil and gas produce harmful greenhouse gasses that pollute the air and water. Greenhouse gasses such as carbon dioxide have been linked to climate change and are bad for the environment. Luckily, solar power is a form of renewable energy and is a green power source. Generating solar energy doesn’t produce greenhouse gasses and is considered a more sustainable and environmental source of electricity.

Want to learn more about solar energy

Here at SaveOnEnergy, we’re your guide to everything solar energy, from checking your availability and discussing your home’s needs to getting you customized options to go solar with ease. Want to talk with a human? Call our dedicated solar advisors to discuss your solar energy options. Give us a call at 866-288-9807.

Should I buy or lease my solar panels?

When you decide to invest in solar panels, you’ll have the option to either buy or lease your solar panels. While both options have some key benefits, buying solar panels is ultimately the most cost-effective. Purchasing your own solar panels upfront lets you to take advantage of available federal and state tax credits. If you lease your system, you will not qualify for many tax incentives, including the federal solar tax credit. Additionally, owning your solar panels will provide the greatest long-term energy savings. And if you own your solar system, the resale value of your home will increase by an average of $15,000.

While leasing solar panels may not be quite as cost-effective as buying, it still offers plenty of benefits. First, leasing makes solar panels more affordable upfront. You’ll have the monthly costs associated with your lease, but lower costs initially. Leasing may also make more sense for people who rent their homes instead of owning them or for consumers who may move to a new home before the payback period is over.

Another alternative to buying or leasing solar panels is participating in a community solar project. When you sign up for one of these shared solar programs, you’ll receive a portion of the solar power the project produces. You don’t have to pay the upfront costs associated with buying solar panels, nor do you have to install panels on your home.

Massachusetts solar panel companies

With the rise in popularity of solar panels in Massachusetts, there are also an increasing number of solar panel companies available. When you find an installer, that company will guide you through the process of building your home solar panel system. Before finding a solar installer in your area, use the solar resources in SaveOnEnergy’s library to help you familiarize yourself with the expected costs, process, and more.

The history of solar power in Massachusetts

Like many states, Massachusetts began implementing solar policies in the late 1970s and early 1980s. Some of the first policies the state enacted were the tax credits and exemptions that exist today. It also began encouraging solar energy development through its net metering policy, which allows homeowners to sell their excess energy back to the electricity grid. The state has passed a number of solar policies in the years since.

Massachusetts’s investments in solar power have paid off. The state now ranks 8th in the nation for solar energy generation. Almost 12% of the state’s total electricity comes from solar power. The past decade has seen a drastic increase in utility, commercial, residential, and community solar installations.

Important solar installation factors to consider

Solar panels can be an excellent investment, but there are a few things to consider before you install them on your home:

  • According to the Department of Energy, solar panels are most effective on south-facing roofs with slopes between 15 and 40 degrees. They are also best for roofs in good condition that won’t need to be replaced soon.
  • Solar panels can help to drastically reduce your energy costs, but only if they actually capture sunlight and produce solar energy. It’s important to consider the weather patterns in your area and the amount of sunlight your solar panels will get.
  • Some homeowners associations have restrictions around the use of solar panels. If you have a neighborhood organization, find out the rules ahead of time, as there may be restrictions on solar panel size, or you may need approval before you install them.

Solar power FAQs

How much would solar cost in Massachusetts? Expand / Collapse Toggle

The cost of solar panels depends on a variety of factors, including the size of your system, the type of solar panels you install, local installation costs, and more. In general, you can expect to pay between $15,000 and $25,000 before factoring in tax credits and other incentives that can lower the total cost.

Is solar power a good investment in Massachusetts? Expand / Collapse Toggle

Solar power can be an excellent investment, helping you to reduce your energy costs and gain more energy independence. However, it’s important to consider the weather patterns in your state and your energy usage habits to determine if it’s the right decision for you. If solar panels don’t make sense for your home, they might not be a good investment in the long run.

How much could I save by investing in solar? Expand / Collapse Toggle

The amount you could save by investing in solar power depends on the amount of energy your solar panels produce and your current energy usage habits. Massachusetts residents paid an average electricity bill of $152.19 in December 2021. As a result, the average resident could expect to save more than $1,600 per year (and that doesn’t take into account federal, state, or local financial incentives).

Where can I find a good solar panel installer in Massachusetts?  Expand / Collapse Toggle

If you’re ready to look into solar panels for your home, we can help. SaveOnEnergy offers plenty of resources to help you learn more about the solar panel market. That information can help you choose the right solar installer. Be sure to thoroughly research your options before signing a solar contract.

How does solar power help the environment? Expand / Collapse Toggle

Unlike traditional electricity generation, solar power is a renewable resource and doesn’t emit carbon dioxide or other harmful greenhouse gasses. Installing solar panels on your home can reduce your home’s environmental footprint because you will rely more on a green energy source than traditional power sources like oil and gas.