As of August 2026, solar is worth it for many Delaware homeowners. You pay about 19.4 cents per kWh, above the national average, and Delaware credits exports at the full retail rate. Delmarva customers can tap a Green Energy Program grant, and Delaware charges no state sales tax on solar. The 30% federal homeowner credit ended after December 31, 2025.
- Delaware residential power runs about 19.4 cents per kWh, just above the national average of about 18.4 cents, so rooftop solar offsets a real bill (EIA Electric Power Monthly, Table 5.6.A, May 2026).
- Net metering credits your exports at the full retail rate, month to month, for residential systems up to 25 kW; any surplus left at the annual true-up is settled at the lower energy-supply rate (DSIRE).
- The Delaware Green Energy Program pays a residential solar grant of $0.70 per watt, up to $6,000, for Delmarva Power customers; Delaware Electric Cooperative and the municipal utilities run their own green energy funds (DSIRE).
- Delaware has no statewide sales tax, so you pay no state sales tax on solar equipment (DSIRE).
- Delaware runs an SREC market, and the certificates go to the system owner; the 2026 price is market-driven, so verify the current value with the Delaware SEU before you count on it (Energize Delaware).
- The 30% federal homeowner credit (Section 25D) ended for expenditures made after December 31, 2025 (IRS).
Delaware homeowners pay about 19.4 cents per kWh for electricity (EIA Electric Power Monthly, Table 5.6.A, May 2026), a little above the national average of about 18.4 cents, so rooftop solar pays here even though Delaware is not the highest-rate state in the Northeast. What Delaware adds is a clean, low-friction incentive stack: full-retail net metering, a state Green Energy Program grant, an SREC market, and no state sales tax on equipment, none of which depend on the federal tax credit that ended after 2025. This page covers what Delaware solar actually costs in 2026, the incentives at a glance, how net metering works, which utility serves you, and how to tell if solar is worth it for your home. It is part of our Solar by State guides.
What solar costs in Delaware, and how fast it pays back
A typical Delaware home installs about 6 kW. At a common price near $3 per watt, a 6 kW system runs about $18,000 before incentives, and the Delaware Green Energy Program grant can knock several thousand off that for Delmarva customers. Your production drives the savings, so estimate your roof first with NREL’s free PVWatts calculator; actual output depends on your roof’s pitch, orientation, and shading. According to MySolarFY’s analysis (August 2026), a 6 kW rooftop system in Wilmington (ZIP 19801) produces about 8,180 kWh a year (NREL PVWatts v8), which at Delaware’s roughly 19.4 cents per kWh offsets around $1,585 of grid electricity annually before any SREC income. For the full cost-per-watt and payback breakdown by system size, see our Delaware solar cost and payback guide.
| Input or result | Estimate (6 kW cash system, Wilmington) |
|---|---|
| Estimated production | About 8,180 kWh/year (NREL PVWatts, ZIP 19801) |
| Electricity rate | About 19.4 cents/kWh (EIA) |
| Annual bill offset | About $1,585/year |
| Typical installed cost (cash) | About $18,000 (assumes ~$3/watt; the 30% federal credit ended December 31, 2025) |
| Green Energy Program grant | About $4,200 for a Delmarva customer ($0.70/watt on 6 kW), lowering net cost to about $13,800 |
| Estimated simple payback | About 9 years (before any SREC income) |
MySolarFY estimate as of August 2026, shown so you can check the math. Simple payback before rate inflation, panel degradation, financing costs, and SREC income; the grant applies to eligible Delmarva customers and is funding-limited. Your own result depends on your usage, roof, utility, and installer quotes. Confirm figures against the linked sources.
Delaware solar incentives at a glance
Delaware’s incentives are simpler than most Northeast states: a clean net-metering rule, a state grant, an SREC market, and no sales tax. Here is what each one does in 2026 and the catch worth knowing.
| Incentive | What it pays | 2026 value and status | Who receives it | Source |
|---|---|---|---|---|
| Net metering | A bill credit for the power you export | Full retail, month to month, up to 25 kW residential; annual surplus at the energy-supply rate | The homeowner | DSIRE |
| Green Energy Program grant (Delmarva) | An upfront cash grant on a home PV system | $0.70 per watt, up to $6,000, funding-limited | Delmarva Power residential customers | Delmarva Power |
| Green energy funds (co-op and municipal) | Separate grants for non-Delmarva customers | Run by Delaware Electric Cooperative and the DEMEC municipals; verify current amounts | Co-op and municipal-utility customers | Energize Delaware |
| SREC market | Sell one certificate per 1,000 kWh generated | Market-driven; verify the current price with the Delaware SEU | The system owner (not lease or PPA homeowners) | Energize Delaware |
| No state sales tax | Waives sales tax on equipment | Delaware levies no statewide sales tax at all | The buyer | DSIRE |
| Federal residential (Section 25D) | A 30% homeowner credit | Ended for expenditures made after December 31, 2025 | No 2026 homeowner-buyer | IRS |
The headline is the Green Energy Program grant plus full-retail net metering. For a Delmarva Power customer, the state grant pays $0.70 per watt up to a $6,000 cap on a home solar system, which meaningfully lowers your upfront cost, and it is funded on a limited budget, so confirm the current window before you sign (Delmarva Power). Delaware Electric Cooperative and the state’s municipal utilities run their own green energy funds with different terms, so your incentive depends on who serves your address. Delaware also runs an SREC market, and those certificates belong to whoever owns the system, which matters if you lease or sign a PPA. The 2026 SREC price is set by the market, so verify the current value with the Delaware SEU rather than trusting a fixed quote (Energize Delaware).
Heads up, two things to verify: first, the Green Energy Program grant is funding-limited and its amount depends on your utility, so confirm the live grant and any SREC-assignment terms with your utility or the Delaware SEU before you count on a number. Second, Delaware has no statewide solar property-tax exemption we could confirm, so check how your county assesses the added value with your local tax office. Confirm every figure against the linked source, and ask a tax professional about your situation. MySolarFY does not provide tax advice.
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Net metering in Delaware
Delaware offers full-retail, monthly net metering. Each kWh you export offsets a kWh you import at the retail rate, credited on your monthly bill, so a well-sized system can zero out most of your usage charges over the year. Residential systems qualify up to 25 kW of capacity (DSIRE). For the mechanics of how export credits work, see how net metering credits your solar exports. For Delaware’s net-metering true-up math and how SRECs stack on top, see our Delaware net metering and SRECs guide.
The one nuance to know: Delaware credits roll month to month, but any surplus still left at the end of the annual true-up period is settled at the utility’s lower energy-supply (avoided-cost) rate rather than the full retail rate. That is why the smart move is to size your system to your own yearly usage instead of oversizing to bank a big surplus. To see how the credit lowers your monthly cost, read how solar lowers your electricity bill.
Delaware utilities and who serves you
Your incentives, net-metering paperwork, and grant eligibility all depend on which utility serves your address. Delaware has three kinds of electric provider:
- Delmarva Power 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 Delaware Green Energy Program grant described above (Delmarva Power).
- Delaware Electric Cooperative is a member-owned co-op serving rural Kent and Sussex counties, and it runs its own green energy fund with its own terms.
- Municipal utilities in towns such as Dover, Newark, Lewes, Milford, Seaford, and New Castle buy power through the Delaware Municipal Electric Corporation (DEMEC) and administer their own local green energy funds and net-metering rules.
Because the grant amount and net-metering paperwork differ by provider, confirm your utility before you compare quotes. MySolarFY matches you with licensed installers who serve your area and know your utility’s process. For a city-level view, see our local guides for Wilmington and Dover, and our utility guide to Delmarva Power in Delaware.
How you pay changes which incentives you keep
The way you finance solar decides who owns the system, and ownership decides who collects the grant and the SRECs. This is the most misunderstood part of a Delaware solar quote. If you are weighing a $0-down option, see our guide to no upfront cost solar in Delaware.
| How you pay | Up-front cost | Who owns the system | Grant and SRECs | Net metering |
|---|---|---|---|---|
| Cash | Full system price | You | You claim the grant and keep the SRECs | Yours |
| Solar loan | Little or none, financed over time | You | You claim the grant and keep the SRECs | Yours |
| Lease or PPA | $0-up-front where you qualify | A third-party company | The company keeps the grant and SRECs | You still see net-metering bill credits |
If you own the system (cash or loan), you keep the net-metering credits and the SRECs, and you can apply for the Green Energy Program grant through your utility. If you lease or sign a PPA, the company that owns the panels keeps 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 that credit ended after December 31, 2025. For a deeper payback comparison, see the financial case for whether solar panels are worth it.
What changed federally, and what it means for Delaware
The federal homeowner credit is gone, but Delaware’s incentives are not. A 2026 Delaware buyer who pays cash or finances the system cannot claim the old 30% credit. The Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act (IRS OBBB FAQ; SEIA). Delaware’s Green Energy Program grant, net metering, and SREC market were not affected, and together they still make solar pay in the state. 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, and it runs for projects placed in service through 2027, with a begin-construction safe harbor by July 4, 2026 (IRS Clean Electricity Investment Credit; SEIA tax policy). For a leased system in Delaware 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.
Is solar worth it in Delaware?
For most owner-occupied Delaware homes, yes. You are offsetting power at about 19.4 cents per kWh, you keep full-retail net metering, and a Delmarva customer can trim several thousand dollars off the install with the Green Energy Program grant, all with no state sales tax to pay on the equipment. Estimated payback lands near 9 years for a cash system before any SREC income, and faster if the grant applies. The catch is that the grant is funding-limited and your incentive depends on your utility, so timing and provider matter.
Rather than chasing a “best installer” list, screen any Delaware installer against objective criteria: NABCEP certification, valid Delaware licensing, a written workmanship and equipment warranty, real local experience with your utility’s grant and net-metering paperwork, and a transparent production estimate 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.
Comparing nearby states? See our guides to Maryland solar, New Jersey solar, and Pennsylvania solar.
Frequently asked questions
Is solar worth it in Delaware in 2026?
For most owner-occupied homes, yes. Delaware’s roughly 19.4 cents per kWh rate, full-retail net metering, and the Green Energy Program grant (about $0.70 per watt up to $6,000 for Delmarva customers) mean rooftop solar offsets a real bill and can pay back in around 9 years for a cash system, before any SREC income. The 30% federal homeowner credit ended after December 31, 2025, so Delaware’s own grant, net-metering, and SREC stack now carries the return. If you lease or sign a PPA, the company keeps the grant and SRECs, but you still see net-metering bill credits with no up-front cost.
What solar incentives does Delaware offer in 2026?
Delaware’s benefits are full-retail net metering (up to 25 kW residential), the Delaware Green Energy Program grant, an SREC market, and no state sales tax on equipment because Delaware has no statewide sales tax. For Delmarva Power customers the grant is $0.70 per watt up to $6,000; Delaware Electric Cooperative and the DEMEC municipal utilities run their own green energy funds with different amounts, so confirm yours with your provider. Delaware has no general residential solar income-tax credit.
How does net metering work in Delaware?
Delaware offers full-retail, monthly net metering: each kWh you export offsets a kWh you import at the retail rate, credited on your bill, for residential systems up to 25 kW (DSIRE). Credits roll month to month, but any surplus left at the annual true-up is settled at the utility’s lower energy-supply rate rather than full retail, so sizing your system to your own usage is the best strategy.
What is the Delaware Green Energy Program?
It is a state grant program that helps pay for home solar. For Delmarva Power residential customers the grant is $0.70 per watt up to a $6,000 cap, funded on a limited budget, so the window can close when funds run out (Delmarva Power). Delaware Electric Cooperative and the municipal utilities administer their own separate green energy funds. Grant terms, including any requirement to assign your SRECs, vary by utility, so confirm the current terms with your provider or the Delaware SEU before you sign.
How do Delaware SRECs work?
Delaware runs a market for Solar Renewable Energy Certificates, where your system earns certificates for the power it generates and you can sell them (Energize Delaware). SRECs belong to whoever owns the system, so a lease or PPA customer does not keep them. The 2026 price is set by the market and can change, so treat any quoted SREC income as an estimate and verify the current value with the Delaware SEU.
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. A Delaware homeowner who buys solar in 2026 with cash or a loan cannot claim it. 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. Delaware’s own incentives, the Green Energy Program grant, net metering, and SREC market, were not affected.
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. 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.
Reviewed by the SolarFY Editor. Figures were verified against the linked Delaware (Delmarva Power, Energize Delaware / Delaware SEU), DSIRE, EIA, NREL, and IRS sources as of August 2026; incentive amounts, funding windows, and net-metering rules 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. See our data and methodology and learn more about MySolarFY.
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 grant and the 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.
