Maryland Solar Incentive Programs

The Maryland Solar Access Program (MSAP) provides an upfront cash grant of $750 per kW of installed solar capacity, capped at $7,500 for systems up to 10 kW. FY27 opened on July 29, 2026, with an estimated $10 million in available funding. MSAP is Maryland's most direct solar cash incentive, but it is first-come, first-served and historically exhausts its annual budget within weeks to months of opening. If you are planning a Maryland solar install, apply as soon as your system is installed and interconnected. The grant is paid by MEA after you submit proof of installation and interconnection approval from your utility.

• Income-eligible Maryland household using an MSAP participating contractor
• System installed at your primary or secondary Maryland residence
• System interconnected and approved by your utility
• Application submitted while FY27 budget remains available
• System size ≤ the grant-eligible capacity (grant caps at 10 kW / $7,500)

Maryland's Renewable Portfolio Standard (RPS) requires electric suppliers to source a percentage of electricity from qualifying solar. This creates a market for Solar Renewable Energy Credits (SRECs), one SREC is generated per MWh your system produces, and you sell these on the open market. Standard SREC prices fluctuate with market supply and demand; as of September 2026 the approximate spot price is ~$40/SREC. Building-integrated (BT-certified) systems, where solar panels are structurally part of the building, like a solar roof or integrated panel, earn the higher BT-SREC rate of approximately $59.50/SREC. SRECs are valid for 5 years from the date created. Prices can change significantly, lock in contracts through SREC brokers if you want price certainty.

• Solar system registered with PJM-GATS (Generation Attribute Tracking System) in Maryland
• Any grid-tied residential system (any utility territory)
• BT-certified rate: system must meet building-integrated standards (verify at time of installation)

Maryland currently requires investor-owned utilities (BGE, Pepco, Delmarva Power, Potomac Edison) to credit solar exports at the full retail rate. Full-retail NEM is available until July 1, 2027, or until statewide net-metered capacity reaches 3,000 MW, if that happens first. Customers already net metering on July 1, 2027 stay eligible unless they expand or repower the system. As of September 2026, approximately 44% of the 3 GW cap is utilized. After the cap or deadline is reached, the Maryland Public Service Commission will establish new net metering terms, which could be at reduced rates. If you want to lock in full retail NEM, interconnect your system before the cap is hit or before July 2027.

Under Maryland Tax-General Article §11-230, qualifying solar energy equipment is exempt from the Maryland 6% sales and use tax. On a $24,000 system, this saves approximately $1,440 upfront. The exemption is applied by your installer at the point of sale, no separate application is required on your part. Verify that no Maryland sales tax appears on your final contract.

Under Maryland Tax-Property Article §7-242, solar energy property and residential wind energy equipment are exempt from property taxation. This statewide mandate means no county or Baltimore City can assess your solar installation as added property value. On a $25,000 system in a county with a 1.0% effective tax rate, this saves approximately $250/year or $5,000 over 20 years. The exemption is automatic upon installation. If your property tax assessment incorrectly includes your solar system's added value, contact your county's State Department of Assessments and Taxation office.

• Solar or wind energy system installed on Maryland real property
• Any Maryland county or Baltimore City
• Residential or commercial (exemption applies to both)

The Residential Clean Energy Storage (RCES) grant provides cash grants to Maryland homeowners who install battery storage systems alongside solar. FY26 funding closed prior to September 2026. MEA's FY27 Energy Storage Program is now open, with up to $4 million expected, and accepts applications until 3 PM ET on May 31, 2027, or earlier if funds are fully requested. Check MEA's program page for current grant amounts and eligibility, and apply promptly.