Your electric utility in Chicago is ComEd, and Illinois residential power averages about 20.47 cents per kWh (EIA, April 2026), so a Chicago roof offsets pricey grid power. Systems interconnected after December 31, 2024 now earn supply-only export credits, not full retail, and Illinois Shines SRECs pay the owner separately.
Chicago homeowners pay above-average electricity prices and get enough sun for solar to pay back, but the local details are what decide your numbers: your utility is ComEd, Illinois changed how exported power is credited in 2025, and the City of Chicago runs its own permit process. This page covers what solar actually looks like in Chicago in 2026, how ComEd net metering works now, how Illinois Shines SRECs and Illinois Solar for All stack on top, and the Chicago permitting steps to plan around, then you can check your address in about a minute.
Why solar pays on a Chicago roof
The case for solar in Chicago starts with the price of the power it replaces. Illinois residential electricity averages about 20.47 cents per kWh (EIA, April 2026), above the national average, so every kilowatt-hour your roof makes offsets an expensive one you would otherwise buy from ComEd. A Chicago home spending $120 or more a month on electricity is a solid solar candidate. Read the supply and delivery lines on your ComEd bill to see the exact cents you pay, since both reset on a schedule.
Your production is what turns that rate into savings. According to MySolarFY’s analysis (August 2026), a 6 kW rooftop system at a Chicago ZIP like 60601 produces about 7,851 kWh a year (NREL PVWatts v8), enough to offset roughly $1,600 of grid electricity in a year at the Illinois residential average of 20.47 cents per kWh. Your own output depends on your roof’s pitch, shading, and orientation, and Chicago’s mix of bungalows, two-flats, and tree-lined blocks adds real shading, so estimate your specific roof with the free PVWatts calculator rather than a generic figure. For the statewide payback math, see our Illinois solar cost guide.
See what solar programs are available in your Chicago ZIP code
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Your Chicago utility is ComEd
Every Chicago address is served by ComEd (Commonwealth Edison) for electricity delivery. That is the utility that reads your meter, handles your interconnection, and administers your net-metering credits, so your solar paperwork and your export credits run through ComEd (ComEd net metering, as of 2026). You may buy your supply through a retail supplier or a municipal aggregation program, but ComEd still owns the wires and the net-metering account. For the utility-wide rules behind all of this, see our ComEd solar and net metering guide and the statewide Illinois solar guide.
How ComEd credits the power your Chicago roof sends back
This is the single biggest change for anyone going solar in Chicago now. Under Illinois’ Climate and Equitable Jobs Act, ComEd residential customers who interconnected a system by December 31, 2024 keep full-retail net metering, where exports offset both the supply and delivery parts of the bill, for the life of the system (ComEd net metering FAQ, as of 2026). Homeowners who interconnect on or after January 1, 2025 receive supply-only export credits: your exports are credited at ComEd’s supply price, not the full retail rate, so they no longer erase the delivery charges and fixed fees on your bill. ComEd’s supply price to compare was reported near 10.4 cents per kWh as of June 2026, but it resets, so confirm the current figure with ComEd. For the mechanics of export credits in general, see how net metering credits your solar exports.
What this means in practice: a Chicago system that is sized close to your own annual usage still captures most of its value, because the biggest savings come from the power you use on-site in real time rather than from exporting a large surplus. Oversizing for big exports pays back more slowly under supply-only credits than it did under the old full-retail rule.
| When you interconnect | How ComEd credits your exports | What it offsets |
|---|---|---|
| By December 31, 2024 (legacy) | Full-retail net metering for the life of the system | Both supply and delivery charges |
| On or after January 1, 2025 | Supply-only export credit at ComEd’s supply price | The supply portion of the bill only |
Illinois Shines SRECs stack on top for a Chicago homeowner
Net metering is not the only payment. Illinois Shines, the state’s Adjustable Block Program, pays you for the renewable energy credits (SRECs) your system generates, on top of your bill credits (Illinois Shines; Illinois Power Agency, as of 2026). The value of a Chicago system’s SRECs is set by the state per program year and paid through an approved vendor, not on your ComEd bill. Two things a Chicago owner should know for 2026: the Illinois Power Agency raised SREC block prices for the 2026 to 2027 program year that began June 1, 2026, and the payment schedule for a typical home system under 25 kW now pays part of the value in year one and the rest in quarterly payments over the following years, rather than all at once. Because the exact per-SREC price changes by program year and system size, confirm the current block value with an approved vendor or at illinoisshines.com before you budget around it.
Income-qualified? Illinois Solar for All is a separate, state-run program for income-eligible households, generally at or below 80% of the area median income, that is designed for no up-front cost and guaranteed bill savings, with the system’s renewable credits funding the incentive (Illinois Solar for All, as of 2026). It is a distinct track from standard Illinois Shines, so if your household may qualify, ask an approved vendor about Solar for All specifically. Program budgets and windows are set each year, so verify the current cycle before you apply.
Getting a solar permit in the City of Chicago
Chicago runs its own permitting, and it is more involved than a typical suburb. Residential rooftop solar permits are issued by the City of Chicago Department of Buildings under the Chicago Building Code, with a separate electrical permit under the Chicago Electrical Code for the wiring (City of Chicago Department of Buildings, as of 2026). For small rooftop systems the city offers a streamlined Easy Permit Process rather than a self-service app, and your project is inspected by the Department of Buildings before it can be energized. An installer who works in Chicago regularly will prepare the drawings and pull both permits for you, which is worth confirming when you compare quotes.
| Chicago project step | What to plan for |
|---|---|
| Building permit | Chicago Department of Buildings, often via the Easy Permit Process for small systems |
| Electrical permit | A separate permit under the Chicago Electrical Code for the wiring |
| Older bungalow or two-flat roof | A structural check and, on many older homes, a possible electrical service upgrade |
| ComEd interconnection | Interconnection application and Permission to Operate before you turn the system on |
What the federal tax-credit change means for Chicago
The federal homeowner credit is gone, but Illinois’ programs are not. The 30% federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act, so a Chicago homeowner who buys solar with cash or a loan in 2026 cannot claim it (IRS Residential Clean Energy Credit, as of 2026). Illinois Shines SRECs, ComEd net metering, and Illinois Solar for All were not affected, and over a system’s life those state programs can add up. For the full timeline, see what the federal solar tax credit change means in 2026.
One federal exception exists, and it is not yours to claim. A separate commercial credit, Section 48E, is claimed by the business that owns a leased or PPA system, not by the homeowner (IRS Clean Electricity Investment Credit, as of 2026). On a leased system you do not file for a federal credit yourself; the company that owns the panels does. The 25D homeowner credit, by contrast, ended after December 31, 2025.
Paying for solar in Chicago: cash, loan, lease, or PPA
There is no single right way to pay for solar; the best fit depends on whether you want to own the system and keep the SRECs, or avoid an up-front cost. A lease or PPA can mean no up-front cost for eligible homeowners, but it is a long-term agreement with monthly payments, not free solar, and the company that owns the panels keeps the Illinois Shines SRECs. To weigh the long-run numbers, see whether solar panels are worth it.
| Path | Up-front cost | Who keeps the SRECs | Best when |
|---|---|---|---|
| Cash purchase | Full system cost | You, the owner | You want the fastest payback and the most lifetime savings |
| Solar loan | Little to none, financed | You, the owner | You want ownership without paying cash up front |
| Lease or PPA | $0-up-front where eligible | The third-party owner | You prefer no up-front cost and a simpler, fixed monthly bill |
How to choose a solar installer in Chicago
Chicago has a deep market of licensed installers, which is good for you because it means real competition on price and service. Rather than chasing a “best installer” list, screen any company against objective criteria:
- NABCEP certification, the industry’s professional standard for PV installers.
- Proper Illinois and City of Chicago licensing, including the electrical licensing Chicago permits require.
- A clear workmanship and equipment warranty in writing.
- Real experience with ComEd interconnection, City of Chicago permitting, and Illinois Shines registration, so your SRECs and Permission to Operate go smoothly.
- A written production estimate and a transparent quote you can compare. For a checklist, see the right questions to ask a solar installer.
MySolarFY matches you with licensed installers that serve your area so you can compare real local quotes side by side, with no obligation.
Check which solar programs are available at your Chicago address →
Frequently asked questions
Is solar worth it in Chicago in 2026?
For most owner-occupied Chicago homes with decent sun, it can be. Illinois residential electricity averages about 20.47 cents per kWh (EIA, April 2026), above the national average, so every kilowatt-hour your roof makes offsets an expensive grid one from ComEd. A typical 6 kW system at a Chicago ZIP produces roughly 7,851 kWh a year (NREL PVWatts v8), and Illinois Shines SRECs add a separate payment on top of your bill savings. Savings are not guaranteed and depend on your roof, usage, and how you pay, but the local rate plus the SREC program is what makes Chicago a real solar market.
Who is my electric utility for solar in Chicago?
ComEd (Commonwealth Edison). ComEd delivers electricity to every Chicago address, handles your solar interconnection, and administers your net-metering credits, so your solar account runs through ComEd even if you buy your supply through a retail supplier or a municipal aggregation program. Your Illinois Shines SRECs are paid separately through an approved vendor, not on the ComEd bill.
Did Illinois net metering change for ComEd customers?
Yes. Under the Climate and Equitable Jobs Act, ComEd customers who interconnected a system by December 31, 2024 keep full-retail net metering for the life of the system, where exports offset both supply and delivery charges (ComEd net metering FAQ, as of 2026). Homeowners who interconnect on or after January 1, 2025 receive supply-only export credits, valued at ComEd’s supply price rather than the full retail rate, so exports no longer offset delivery charges and fixed fees. Sizing a system close to your own usage is the way to capture the most value under the new rule.
How do Illinois Shines SRECs work for a Chicago home?
Illinois Shines, the state’s Adjustable Block Program, pays you for the renewable energy credits your system generates, on top of your net-metering bill credits (Illinois Shines / Illinois Power Agency, as of 2026). The value is set by the state per program year and paid through an approved vendor. For the 2026 to 2027 program year that started June 1, 2026, the Illinois Power Agency raised block prices, and a typical home system under 25 kW is now paid part of the value in year one and the rest over the following years. Because the exact price changes by program year and system size, confirm the current block value at illinoisshines.com before you budget around it.
Do I need a special permit for solar in Chicago?
Yes. Residential rooftop solar in Chicago needs a building permit from the City of Chicago Department of Buildings under the Chicago Building Code, plus a separate electrical permit under the Chicago Electrical Code (City of Chicago Department of Buildings, as of 2026). Small rooftop systems can go through the city’s streamlined Easy Permit Process, and the Department of Buildings inspects the project before it is energized. An installer who works in Chicago regularly normally prepares the drawings and pulls both permits for you.
What happened to the federal solar tax credit?
The 30% federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act, so a Chicago homeowner who buys solar in 2026 with cash or a loan cannot claim it (IRS, as of 2026). A separate commercial credit, Section 48E, can apply to leased and PPA systems, but the business that owns the system claims it, not the homeowner. Illinois Shines, ComEd net metering, and Illinois Solar for All were not affected.
Reviewed by the MySolarFY team. Figures were verified against the linked Illinois (Illinois Power Agency, Illinois Shines, Illinois Solar for All), ComEd, City of Chicago, EIA, NREL, and IRS sources as of August 2026; SREC block prices, ComEd’s supply price, net-metering rules, and Chicago permitting can change, so confirm current terms with each source before you decide. MySolarFY does not provide tax or financial advice; consult a licensed professional about your own situation. Learn more about the MySolarFY team and how we work.
MySolarFY is a free service that matches homeowners with licensed solar installers. We are not an installer, financing company, or government program. “No up-front cost” refers to qualifying lease or PPA financing, where eligible homeowners may have no out-of-pocket cost at installation. Lease and PPA terms typically run 20 to 25 years, may include an annual price escalator, and total payments may exceed the cost of a cash purchase; on a lease or PPA the Illinois Shines SRECs go to the company that owns the system, not the homeowner. Homeowners do not get the federal residential credit that ended after December 31, 2025. Solar panels are not free and monthly payments apply. Eligibility, savings, incentives, and rates vary and are not guaranteed. See our full disclaimer.
