Is solar worth it in Massachusetts?
For a typical Massachusetts home in 2026, solar is worth it: about a 7.6-year payback and $60,167 saved over 25 years after paying for the system. Check your own home, because roofs, usage and utilities vary a lot.
- Payback, typical home
- 7.6 yrs5.3 kW, paying cash
- Electricity price
- 30.4¢per kWh, U.S. 18.0¢
- Solar production
- 1,292kWh per kW per year
- Exports credited at
- RetailFull retail net metering
The numbers for a typical Massachusetts home
| Electricity use | 573 kWh a month (Massachusetts average) |
|---|---|
| Best-value system | 5.3 kW, producing 6,848 kWh a year (100% of use) |
| Price | $18,605 at about $3.35/W; $17,605 after state incentives |
| First-year savings | $1,992 |
| Payback | 7.6 years |
| 25-year net | $60,167 (13.9% a year return) |
| Rate increase assumed | 4.0% a year, from Massachusetts's 2015–2025 history |
Paying cash, no federal credit, 5% discount rate, microinverters, $25 per kW a year for maintenance and repairs. Methodology.
Why it comes out this way
- Electricity is expensive: 30.4¢ per kWh over the last 12 months, 69% above the U.S. average (18.0¢).
- Most utilities credit exported solar at or near the retail rate, so you get full value for midday surplus.
- A typical system here produces about 1,292 kWh per kW per year (ranked #41 of 51).
- There is no federal tax credit for homeowners who buy in 2026, which adds several years to payback compared with 2025.
Net metering and export rules in Massachusetts
Full retail net metering. Massachusetts investor-owned utilities credit residential solar exports at close to the full retail rate (net metering credits), and credits roll over indefinitely. On top of that, the SMART 3.0 program pays a fixed per-kWh incentive for 20 years.
Class I (<=60 kW) net metering credit = basic service + distribution + transmission + transition charges (excludes a few small surcharges), ~90-95% of the all-in retail rate.
- Netting: monthly
- Unused credits: Dollar credits carry forward indefinitely; can be allocated to other accounts.
- System size limit: 60 kW
- Fixed charges: Standard customer charges (~$7-10/month). No solar minimum bill (MMRC was authorized but never implemented).
- Last major change: SMART 3.0 (225 CMR 28) launched Oct 15, 2025; DOER final PY2026 report (Dec 1, 2025) sets flat incentive for <=25 kW, open Jan 1-Dec 31, 2026; draft PY2027 report issued.
- Pending: DOER annual SMART rate resets; DPU grid modernization/TOU dockets may shift rate structure.
Read net metering explained to see why export rules can swing payback by years.
| Utility | Export credit | Notes |
|---|---|---|
| Eversource (NSTAR Electric) | ~95% of retail | Class I net metering credits near retail. EIA ID uncertain. |
| National Grid (Massachusetts Electric) | ~95% of retail | Class I net metering credits near retail. |
| Unitil (Fitchburg Gas & Electric) | ~95% of retail | Same statewide rules. |
| Municipal light plants (e.g., Braintree, Taunton) | Varies by utility | Not subject to state net metering law; policies vary widely. |
Solar incentives in Massachusetts
The federal 30% Residential Clean Energy Credit ended for systems installed after December 31, 2025. What that means.
| Program | Type | What you get | Status |
|---|---|---|---|
| SMART 3.0 | performance payment | Fixed per-kWh payment for 20 years on top of net metering. PY2026 residential base ~$0.03/kWh (low-income ~$0.06/kWh; storage adder ~$0.04/kWh; building-mounted adder). Rates reset annually by DOER - verify current block. Eligibility: IOU territory; behind-the-meter <250 kW uncapped in PY2025 | active |
| Massachusetts residential renewable energy income tax credit | tax credit | 15% of system cost up to $1,000; carryforward 3 years. Eligibility: Primary residence | active |
| Sales tax exemption | sales tax exemption | Residential solar equipment exempt from 6.25% sales tax. Eligibility: Residential | active |
| Property tax exemption | property tax exemption | Solar systems exempt from local property tax for 20 years (MGL c.59 s.5 cl.45). Eligibility: Systems serving the property | active |
| ConnectedSolutions (Mass Save) | battery incentive | Pay-for-performance battery demand response, ~$275/kW of average summer discharge (rate locked 5 years); ~$1,000-1,500/yr typical. Eligibility: IOU customers with qualifying battery | active |
| Mass Solar Loan | loan program | Former MassCEC low-interest loan with income-based buy-downs; check whether open. Eligibility: Residential, income tiers | unknown |
What solar costs in Massachusetts
A fair cash price is around $3.35 per watt before incentives. For the 5.3 kW system that fits a typical home, expect roughly $15,100 to $21,300; smaller systems cost more per watt.
Public installation records (LBNL Tracking the Sun and state data, 307 owned systems since 2024) show a median of $3.74/W, with the middle half between $3.36 and $4.48. These prices include loan dealer fees, which is why cash quotes are often lower.
How many homes have solar
- Homes with net-metered solar (2025)
- 209,993
- Share of homes
- 6.9%
- Residential solar capacity
- 1,618 MW
- Growth over the past year
- +12.4%
- New systems with a battery
- 27%
- New systems leased or PPA
- 0%
Sources: EIA-861 (2025), EIA small-scale solar estimates, LBNL Tracking the Sun and state interconnection data.
Electric utilities in Massachusetts
| Utility | Homes served | Price (2026 est.) | Typical use | Typical-home verdict |
|---|---|---|---|---|
| Eversource Massachusetts | 1,274,856 | 32.4¢ | 548 kWh/mo | Worth it |
| National Grid Massachusetts | 1,231,865 | 33.9¢ | 549 kWh/mo | Worth it |
| City of Taunton | 34,952 | 18.8¢ | 693 kWh/mo | Worth it |
| Town of Reading | 26,573 | 20.0¢ | 826 kWh/mo | Worth it |
| Fitchburg Gas & Electric Light | 26,409 | 36.7¢ | 533 kWh/mo | Worth it |
| City of Chicopee | 23,231 | 16.2¢ | 726 kWh/mo | Worth it |
| City of Peabody | 22,697 | 16.9¢ | 716 kWh/mo | Worth it |
| City of Westfield | 16,386 | 18.5¢ | 678 kWh/mo | Worth it |
| Town of Shrewsbury | 15,206 | 15.5¢ | 770 kWh/mo | Worth it |
| City of Holyoke | 15,155 | 16.4¢ | 619 kWh/mo | Worth it |
| Town of Middleborough | 14,978 | 15.6¢ | 795 kWh/mo | Worth it |
| Town of Braintree | 14,090 | 16.2¢ | 721 kWh/mo | Worth it |
| City of Norwood | 13,617 | 17.6¢ | 558 kWh/mo | Worth it |
| Nantucket Electric | 12,966 | 36.0¢ | 855 kWh/mo | Worth it |
| Town of North Attleborough | 12,650 | 15.9¢ | 781 kWh/mo | Worth it |
| Town of Danvers | 11,677 | 16.6¢ | 701 kWh/mo | Worth it |
| Town of Hudson | 11,582 | 13.2¢ | 779 kWh/mo | Close call |
| Town of Mansfield | 9,406 | 15.0¢ | 737 kWh/mo | Worth it |
| Town of Wellesley | 9,338 | 16.1¢ | 1,013 kWh/mo | Worth it |
| Town of Littleton | 6,762 | 14.2¢ | 894 kWh/mo | Close call |
Solar by city in Massachusetts
- Boston7.4-yr payback · Worth it
- Worcester7-yr payback · Worth it
- Springfield7.4-yr payback · Worth it
- Cambridge7.1-yr payback · Worth it
- Lowell7-yr payback · Worth it
- Brockton6.9-yr payback · Worth it
- Quincy7-yr payback · Worth it
- Lynn7-yr payback · Worth it
- New Bedford7.1-yr payback · Worth it
- Fall River7-yr payback · Worth it
- Newton7.2-yr payback · Worth it
- Lawrence7-yr payback · Worth it
- Somerville6.9-yr payback · Worth it
- Framingham7.2-yr payback · Worth it
- Haverhill7.4-yr payback · Worth it
- Malden6.9-yr payback · Worth it
- Waltham7.2-yr payback · Worth it
- Brookline7.3-yr payback · Worth it
- Taunton11.2-yr payback · Worth it
- Revere7-yr payback · Worth it
- Medford6.9-yr payback · Worth it
- Weymouth Town6.9-yr payback · Worth it
- Chicopee12.8-yr payback · Worth it
- Peabody12.2-yr payback · Worth it
- Methuen7.2-yr payback · Worth it
- Everett6.9-yr payback · Worth it
- Barnstable Town7-yr payback · Worth it
- Attleboro6.9-yr payback · Worth it
- Arlington7.2-yr payback · Worth it
- Salem6.7-yr payback · Worth it
- Leominster6.9-yr payback · Worth it
- Pittsfield7.3-yr payback · Worth it
- Beverly6.8-yr payback · Worth it
- Woburn7.2-yr payback · Worth it
- Fitchburg6.9-yr payback · Worth it
- Marlborough7.2-yr payback · Worth it
- Westfield11.7-yr payback · Worth it
- Chelsea7-yr payback · Worth it
- Braintree Town7-yr payback · Worth it
- Amherst Town7.1-yr payback · Worth it
- Holyoke13.3-yr payback · Worth it
- Watertown7.6-yr payback · Worth it
- Randolph Town12.4-yr payback · Worth it
- Lexington7.3-yr payback · Worth it
- Franklin Town7.3-yr payback · Worth it
- Needham7.2-yr payback · Worth it
- Norwood7.2-yr payback · Worth it
- North Attleborough Town6.8-yr payback · Worth it
- Northampton7.2-yr payback · Worth it
- Wellesley7.2-yr payback · Worth it
- Gloucester6.8-yr payback · Worth it
- Melrose7.2-yr payback · Worth it
- Saugus7-yr payback · Worth it
- West Springfield Town13-yr payback · Worth it
- Milton6.9-yr payback · Worth it
- Agawam Town11.6-yr payback · Worth it
- Bridgewater Town6.9-yr payback · Worth it
- Danvers6.9-yr payback · Worth it
- Wakefield6.9-yr payback · Worth it
- Milford7-yr payback · Worth it
- Belmont7.2-yr payback · Worth it
- Burlington7.2-yr payback · Worth it
- Reading7.2-yr payback · Worth it
- Dedham7.1-yr payback · Worth it
Protect yourself when buying
- Check the license. Home Improvement Contractor (HIC) registration and Construction Supervisor License for structural work; Massachusetts electrician license (Board of State Examiners of Electricians) for electrical. Look up an installer
- Cancellation rights. 3 business days to cancel many home-solicitation sales. SMART program disclosure forms for incentive projects; home improvement contractor law. How to cancel
- HOA and solar access. Yes - MGL c.184 s.23C voids restrictions on solar; c.40A s.3 limits zoning prohibitions.
- Community solar. Yes - community shared solar under SMART.
Installers active in Massachusetts
Ranked by installations in public records, not by payment. Volume isn't quality: always check licenses and reviews.
- Sunrun 36,793 installs
- Tesla Energy 23,114 installs
- Trinity Solar 12,347 installs
- Boston Solar 2,880 installs
- Sungevity 2,796 installs
- Sunbug Solar 2,202 installs
- Freedom Forever 1,671 installs · bankrupt
- Pv Squared 1,494 installs
- New England Clean Energy 1,187 installs
- Palmetto 1,126 installs
- Bright Planet Solar 1,120 installs
- SunPower 1,039 installs · bankrupt
- Cotuit Solar 984 installs
- 1St Light Energy 889 installs
- Great Sky Solar 834 installs
Questions about solar in Massachusetts
Is solar worth it in Massachusetts in 2026?
For a typical Massachusetts home, solar is worth it. A 5.3 kW system costing about $17,605 after state incentives saves about $1,992 in the first year and pays back in about 7.6 years. Your result depends on your roof, usage, utility and price, so run the calculator for your address.
How much do solar panels cost in Massachusetts?
A reasonable cash price is around $3.35 per watt before incentives, or roughly $15,100 to $21,300 for a 5.3 kW system. Public installation records for Massachusetts show a recent median of $3.74/W, which often includes loan dealer fees.
Does Massachusetts have net metering?
Massachusetts investor-owned utilities credit residential solar exports at close to the full retail rate (net metering credits), and credits roll over indefinitely. On top of that, the SMART 3.0 program pays a fixed per-kWh incentive for 20 years.
Is there a solar tax credit in Massachusetts?
The 30% federal credit for homeowners ended for systems installed after 2025. Massachusetts offers: Massachusetts residential renewable energy income tax credit. Solar may be exempt from property tax.
How do I check a solar installer's license in Massachusetts?
Home Improvement Contractor (HIC) registration and Construction Supervisor License for structural work; Massachusetts electrician license (Board of State Examiners of Electricians) for electrical.. Look up any installer with the state's license search at https://www.mass.gov/check-a-license.
Policy research current as of October 2026; sources include mass.gov, masscec.com, energysage.com. Electricity data: EIA, through July 2026. Found something out of date? Tell us.