As of August 2026, Delaware solar incentives are a small, clean stack: the state Green Energy Program grant pays Delmarva Power customers $0.80 per watt (up to $10,000), Delaware credits your exports at the full retail rate, an SREC market pays for your production, Energize Delaware offers low-interest loans, and Delaware charges no state sales tax on equipment. The 30% federal 25D homeowner credit ended December 31, 2025.
- The Green Energy Program grant: for Delmarva Power & Light customers, a residential solar grant of $0.80 per watt, up to a $10,000 cap, effective July 1, 2026 (Delaware DNREC). The grant cannot exceed 50% of your project cost, and total cost must be $6.00 per watt or less to qualify.
- Other utilities fund their own: Delaware Electric Cooperative and the DEMEC municipal utilities run separate green energy funds with their own grant amounts, so verify yours with your provider (DSIRE).
- Net metering: Delaware credits your solar exports at the full retail rate for residential systems, so read our Delaware solar hub for the mechanics (DSIRE).
- SRECs: Delaware runs a solar renewable energy certificate market, and the certificates belong to whoever owns the system; the price is set by the market, so verify the current value with the Delaware SEU (Energize Delaware).
- Financing: Energize Delaware, the state’s Sustainable Energy Utility, offers a low-interest solar loan; confirm the current rate and term before you sign (Energize Delaware).
- No state sales tax: Delaware levies no statewide sales tax at all, so you pay no state sales tax on panels, inverters, or batteries (DSIRE).
- The 30% federal homeowner credit (Section 25D) ended for expenditures made after December 31, 2025 (IRS).
Delaware solar incentives work as a stack, not a single rebate. There is no state solar income-tax credit here, so the value comes from a handful of pieces working together: an upfront grant, full-retail net metering, an SREC market, low-interest financing, and the fact that Delaware charges no sales tax at all. They ride on top of a residential electricity price near 19.4 cents per kWh (EIA retail sales, residential DE, as of May 2026), a little above the national average, so rooftop solar still pays. This page walks through each incentive, who receives it, and the catch worth knowing, then points you to net-metering mechanics and your local numbers. For the full state overview and payback math, start with our Delaware solar hub.
The Delaware solar incentive stack in 2026
Here is every incentive a 2026 Delaware homeowner can actually use, what each one does, and its current status. The Green Energy Program grant is the headline; the rest lower your cost or pay you for production over time.
| Incentive | What it does | 2026 status | Who receives it | Source |
|---|---|---|---|---|
| Green Energy Program grant (Delmarva) | Upfront cash toward the system | $0.80 per watt, up to $10,000, effective July 1, 2026 | Delmarva Power & Light customers who own the system | DNREC |
| Co-op and municipal green energy funds | Separate upfront grants by provider | Active; amounts differ by utility, so confirm yours | Delaware Electric Cooperative and DEMEC members | DSIRE |
| Net metering | Credits your exports on the bill | Full retail rate for residential systems | The utility account holder | DSIRE |
| SREC market | Pays you for certified production | Active; price set by the market, so verify current value | The system owner of record | Energize Delaware |
| Energize Delaware loan | Low-interest financing for the system | Active; confirm current rate and term | The owner-occupant borrower | Energize Delaware |
| State sales tax | None to pay on equipment | Delaware has no statewide sales tax at all | Every buyer | DSIRE |
| Federal residential (Section 25D) | A 30% homeowner credit | Ended for expenditures made after December 31, 2025 | No 2026 homeowner-buyer | IRS |
Program terms and rates change. The Green Energy Program grant is funding-limited, the co-op and municipal funds differ by provider, and the SREC price and loan rate move, so confirm each figure with its source before you decide.
According to MySolarFY’s analysis (as of August 2026), the Green Energy Program grant is worth about $5,600 on a typical 7 kW Delmarva system at the verified $0.80 per watt, well under the $10,000 cap. On top of that, because Delaware charges no state sales tax, you skip roughly $1,300 to $1,600 that a 6% sales-tax state would add to a $22,000 to $26,600 install ($3.00 to $3.50 per watt). These are MySolarFY estimates built from the verified $0.80 per watt grant and Delaware’s zero sales-tax rule, not a quote.
Now here is how each piece of the stack actually works.
The Green Energy Program grant: Delaware’s headline incentive
The Green Energy Program grant is real upfront money, and it depends on your utility. For a Delmarva Power & Light customer, Delaware’s Green Energy Program pays a residential solar grant of $0.80 per watt, up to a $10,000 cap, effective July 1, 2026 (DNREC Green Energy Program incentives). Two rules matter: the grant cannot exceed 50% of your total project cost, and the system’s total cost must be $6.00 per watt or less to qualify. You also apply within 12 months of the install and pass a shade analysis. Because the grant follows ownership, a homeowner who leases or signs a PPA does not claim it; the company that owns the panels does. Delaware Electric Cooperative and the DEMEC municipal utilities are not on the Delmarva sheet; they run their own green energy funds with their own grant levels, so your number depends on who serves your address. Confirm the live grant and any remaining budget with your utility before you count on it.
Production and financing: SRECs, net metering, and Energize Delaware
Beyond the grant, Delaware pays you for production and helps finance the system. Delaware credits residential solar exports at the full retail rate, so power you send back offsets power you draw at the same price (DSIRE). The state also runs a solar renewable energy certificate (SREC) market, where you earn a certificate for the clean power your system makes and sell it; the price is set by the market and moves, so verify the current value with the Delaware SEU rather than a fixed quote (Energize Delaware). SRECs belong to whoever owns the system, which matters if you lease or sign a PPA. To pay for the install, Energize Delaware, the state’s Sustainable Energy Utility, offers a low-interest solar loan; the rate and term are set by the program and change, so confirm the current offer before you borrow (Energize Delaware financing). The net-metering mechanics and SREC details are their own decision, so we keep the full walkthrough on the hub rather than repeat it here; see the Delaware solar hub and the general idea of export credits in how net metering credits your solar exports.
No state sales tax: a quiet Delaware advantage
Delaware has no statewide sales tax of any kind. That means no state sales tax on solar panels, inverters, or batteries, which quietly lowers your installed cost compared with neighboring states that tax equipment (DSIRE Delaware solar programs). It is automatic at checkout, not something you apply for. What Delaware does not have is a state solar income-tax credit, so do not expect a line on a state return; the tax benefit is simply the absence of sales tax. Delaware also has no confirmed statewide solar property-tax exemption, so check how your county assesses the added home value with your local tax office rather than assuming it is exempt.
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Which utility serves you decides your grant
Your incentives, net-metering paperwork, and grant eligibility all depend on which electric provider serves your address. Delaware has three kinds:
- Delmarva Power & Light is the investor-owned utility that serves most of Delaware, including New Castle County and much of Kent and Sussex. Its customers are the ones eligible for the $0.80 per watt Green Energy Program grant on the DNREC sheet (DNREC). See our utility guide to Delmarva Power in Delaware.
- Delaware Electric Cooperative is a member-owned co-op serving parts of Kent and Sussex. It runs its own green energy fund with its own grant terms, so confirm the current amount with the co-op.
- DEMEC municipal utilities (the towns and cities that own their electric systems, such as Newark and Dover’s municipal customers) each administer their own green energy funds. Ask your town’s electric department for its current grant.
Because the grant amount and net-metering process differ by provider, confirm your utility before you compare quotes. For cost-per-watt and payback by system size, see our Delaware solar cost and payback guide, and the national Solar by State index.
How you pay decides which incentives you keep
The way you finance solar sets who is the system owner of record, and that decides who holds the Green Energy Program grant and the SRECs.
| How you pay | Up-front cost | Who owns the system | Grant and SRECs |
|---|---|---|---|
| Cash | Full system price | You | Yours, in your name |
| Energize Delaware or other solar loan | Little or none, financed over time | You | Yours, in your name |
| Lease or PPA | $0-up-front where you qualify | A third-party company | The company holds the grant and SRECs; you get a lower or fixed rate |
If you own the system (cash or an Energize Delaware loan), you can apply for the Green Energy Program grant through your utility and you keep the SRECs and net-metering credits in your name. If you lease or sign a PPA, the company that owns the panels holds the grant and the SRECs, and your benefit is a lower or fixed power price with no up-front cost. Neither path gives a 2026 Delaware homeowner the federal residential credit, since 25D ended after December 31, 2025. Ask a tax professional about your own situation; MySolarFY does not provide tax advice.
The federal picture: 25D ended, what remains
The federal homeowner credit is gone; the Delaware stack is not. The 30% federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025 (IRS OBBB FAQ; SEIA). Under the One Big Beautiful Bill Act, a Delaware homeowner who buys solar with cash or a loan in 2026 cannot claim it. The Green Energy Program grant, net metering, the SREC market, and Delaware’s zero sales tax were not affected. One federal credit does survive, but it is not yours to claim: Section 48E is a commercial credit claimed by the business that owns a leased or PPA system, not by the homeowner (IRS Clean Electricity Investment Credit). For the full federal timeline, see what the federal solar tax credit change means in 2026.
Frequently asked questions
What solar incentives does Delaware offer in 2026?
Delaware solar incentives are a stack: the Green Energy Program grant pays Delmarva Power customers $0.80 per watt up to $10,000, Delaware credits your exports at the full retail rate through net metering, an SREC market pays for your certified production, Energize Delaware offers a low-interest solar loan, and there is no state sales tax on equipment because Delaware has no statewide sales tax (DNREC; DSIRE). Delaware has no state solar income-tax credit, and the 30% federal 25D credit ended after December 31, 2025.
How much does the Delaware Green Energy Program grant pay?
For Delmarva Power & Light customers, the residential solar grant is $0.80 per watt, up to a $10,000 cap, effective July 1, 2026 (DNREC Green Energy Program incentives). The grant cannot exceed 50% of your project cost, and the system’s total cost must be $6.00 per watt or less to qualify. Delaware Electric Cooperative and the DEMEC municipal utilities run their own green energy funds with different amounts, so confirm yours with your provider. The program is funding-limited, so check the current window before you sign.
Does Delaware have a state solar tax credit or rebate?
Delaware does not offer a state solar income-tax credit. Its main cash incentive is the Green Energy Program grant, which pays Delmarva customers $0.80 per watt up to $10,000 and is administered separately by Delaware Electric Cooperative and the DEMEC municipals for their members (DSIRE). The other benefits are full-retail net metering, the SREC market, and the fact that Delaware charges no statewide sales tax, so equipment is not taxed at checkout.
Does Delaware charge sales tax on solar equipment?
No. Delaware has no statewide sales tax of any kind, so there is no state sales tax on solar panels, inverters, or batteries (DSIRE). That quietly lowers your installed cost compared with neighboring states that tax equipment. Delaware also has no confirmed statewide solar property-tax exemption, so check how your county assesses the added home value with your local tax office.
Did the federal solar tax credit end, and does it affect Delaware?
Yes. 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 Delaware homeowner who buys solar in 2026 with cash or a loan cannot claim it (IRS). Delaware’s own incentives, the Green Energy Program grant, net metering, the SREC market, and the no-sales-tax advantage, were not affected. 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.
Do I still qualify for Delaware solar incentives if I lease or sign a PPA?
The Green Energy Program grant and the SRECs follow ownership, so if you lease or sign a PPA, the third-party company that owns the panels holds the grant and the certificates, and your benefit is a lower or fixed power price with no up-front cost. Net-metering credits still show on your bill. If you want the grant, the SRECs, and the credits in your own name, owning the system through cash or an Energize Delaware loan is the path that captures them.
Reviewed by the MySolarFY editorial team. Figures were verified against the linked Delaware sources (DNREC Green Energy Program, Energize Delaware), DSIRE, EIA, and IRS as of August 2026, and the savings estimates follow our data and methodology; the grant is funding-limited and the SREC price and loan rate 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. 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.
