- Dominion credits rooftop solar under its Solar Choice tariff, not old one-to-one net metering. Exports are valued on time-of-use rates through the Solar Choice rider to Residential Rate 5 (Dominion Rate 5).
- South Carolina residential power runs about 16.18 cents per kWh (EIA, May 2026), just below the national average of about 18.44 cents, so the bill your solar offsets is moderate rather than extreme.
- South Carolina keeps a 25% state solar income-tax credit, capped at $3,500 per year or 50% of your tax bill, with a 10-year carryforward (SC Energy Office).
- The Solar Choice rider carries a 10-year term and a $100 interconnection application fee. Confirm the current rider fees and options with Dominion before you sign (Dominion SC solar comparison).
- The 30% federal homeowner credit (Section 25D) ended for expenditures made after December 31, 2025 (IRS).
If Dominion Energy South Carolina, the former SCE&G, is your electric utility, this is how rooftop solar pays you back in 2026. Dominion serves much of the state, including the Midlands around Columbia and the Lowcountry around Charleston. The important thing to know up front is that South Carolina no longer offers simple one-to-one retail net metering to new solar homes. Dominion now credits your exported power under a program called Solar Choice, and the value is tied to time-of-use rates. This page explains how Solar Choice works, the state tax credit that still helps, how to interconnect, and how to tell if your home is a good fit.
Dominion Energy South Carolina solar at a glance
Dominion runs the crediting and interconnection process in its South Carolina territory. The rules below reflect the current Solar Choice framework, which replaced the older full-retail net-metering structure for new customers.
| Detail | What to know |
|---|---|
| Utility | Dominion Energy South Carolina, the former SCE&G |
| Service area | The Midlands (Columbia) and the Lowcountry (Charleston, Beaufort, Aiken areas) |
| Solar crediting program | Solar Choice, a rider to Residential Rate 5, crediting exports on time-of-use values |
| Legacy net metering | The old full-retail one-to-one structure is closed to new customers |
| Rider term | A 10-year term from interconnection; verify current fees with Dominion |
| Residential rate | About 16.18 cents per kWh statewide (EIA, May 2026), just below the U.S. average |
| Source | Dominion Energy SC solar |
What a typical South Carolina system produces. According to MySolarFY’s own analysis (August 2026), a typical 7 kW rooftop system in Columbia produces about 10,120 kWh a year (NREL PVWatts), which at South Carolina’s residential rate of about 16.18 cents per kWh (EIA, May 2026) is roughly $1,640 of grid electricity your panels would offset in a year. Your own number depends on your roof, shade, and usage, so treat this as a planning estimate and get a site-specific production figure from an installer. Estimate your roof’s likely output with NREL’s free PVWatts calculator.
How Dominion Energy South Carolina net metering works now: Solar Choice
Dominion credits your exports through Solar Choice, valued on time-of-use rates rather than a flat retail credit. The South Carolina Public Service Commission established the Solar Choice framework for Dominion in 2021, and it applies to new customer-generators who applied on or after June 1, 2021 (SC Office of Regulatory Staff). Under Solar Choice, your account moves to Residential Rate 5, a time-of-use rate, and the extra energy your panels send back is first applied against energy you used in the same time period, with any remaining surplus applied to other periods of equal or lower value (Dominion Rate 5). The practical effect is that solar you use or offset during higher-priced on-peak hours is worth more than surplus you export during cheaper hours, so how your usage lines up with production matters more here than under old one-to-one net metering. For the mechanics of export credits in general, see how net metering credits your solar exports.
| Solar Choice detail | What it means for you |
|---|---|
| Rate structure | Residential Rate 5, time-of-use; on-peak energy is worth more than off-peak |
| How exports credit | Netted within the same time period first, then applied to lower or equal-value periods |
| Two paths | Purchase (you own the system) or Subscribe (no up-front cost); verify current Subscribe fees |
| Commitment | A 10-year term on the rider and a $100 interconnection application fee |
To see how the bill credit lowers your monthly cost, read how solar lowers your electricity bill, and to weigh payback under a time-of-use credit, see the financial case for whether solar panels are worth it. For local price ranges and how long a system takes to pay back here, see our South Carolina solar cost and payback guide.
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South Carolina’s 25% state solar tax credit
South Carolina still gives homeowners a state income-tax credit for solar, which softens the loss of the federal credit that ended after December 31, 2025. Under South Carolina Code Section 12-6-3587, the state credit equals 25% of the cost to purchase and install a solar energy system on your home, capped at $3,500 per year or 50% of your state tax liability for the year, whichever is less, and any unused amount carries forward for up to 10 years (South Carolina Energy Office; DSIRE). This is a credit for system owners, so if you lease or sign a power-purchase agreement the company that owns the panels typically claims the incentives, not you. Tax rules have conditions, so confirm your eligibility with the South Carolina Department of Revenue or a tax professional before you count on it. For every South Carolina incentive and utility in one place, see our South Carolina solar guide.
What changed federally, and what it means for Dominion customers
The federal homeowner credit is gone, but South Carolina’s state credit and rates 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 Dominion customer who buys solar with cash or a loan in 2026 cannot claim it (IRS OBBB FAQ; SEIA). Solar Choice crediting and the 25% state tax credit were not changed by that law. A separate commercial credit, Section 48E, is claimed by the business that owns a leased or PPA system, not by the homeowner, so on a lease or PPA you do not file for a federal credit yourself. The 25D homeowner credit, by contrast, ended after December 31, 2025. For the full timeline, see what the federal solar tax credit change means in 2026.
How to connect solar to Dominion in South Carolina
Connecting a home system to Dominion follows a set order, and the key rule is that you cannot turn the system on until Dominion grants permission to operate. The general path is:
- Interconnection application. You or your installer file a Solar Choice interconnection application with Dominion, which currently lists a $100 application fee for residential Solar Choice.
- Review and agreement. Dominion reviews the application and returns an interconnection and Solar Choice rider agreement to sign, with a 10-year term from interconnection.
- Install and inspect. The system is installed and passes your county or municipal electrical inspection.
- Meter set. Dominion installs or reconfigures a bidirectional meter and moves your account to Residential Rate 5, its time-of-use rate.
- Permission to operate. Dominion issues permission to operate. The system may not run on the grid before this.
A licensed installer normally manages this whole process for you, and the details and fees can change, so confirm the current Solar Choice terms with Dominion before you commit. For the questions to ask, see the right questions to ask a solar installer. You can also compare more utilities in our Solar by Utility guides.
How to choose a solar installer in Dominion territory
Columbia and Charleston have active solar markets, so you have licensed installers to compare. Rather than chasing a “best” list, screen any installer against objective criteria:
- NABCEP certification, the industry’s professional standard for PV installers.
- Proper South Carolina licensing and any required local electrical and building permits.
- A clear workmanship and equipment warranty in writing.
- Real experience with Dominion Solar Choice interconnection and Residential Rate 5, so the paperwork and permission to operate go smoothly.
- A written production estimate and a transparent quote that is honest about the time-of-use credit and the 25% state tax credit. 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.
Frequently asked questions
Does Dominion Energy South Carolina still offer net metering?
Not the old one-to-one version for new customers. Dominion now credits rooftop solar through its Solar Choice program, which the South Carolina Public Service Commission established in 2021 and which applies to new customer-generators who applied on or after June 1, 2021 (SC Office of Regulatory Staff). Under Solar Choice your account moves to Residential Rate 5, a time-of-use rate, and exports are credited on time-of-use values rather than a flat retail rate, so aligning your usage with your production matters more than it used to.
How does Solar Choice credit my exported solar?
Extra energy your panels produce is first applied against energy you used in the same time period, and any remaining surplus is applied to other time periods of equal or lower value (Dominion Rate 5). Because the credit follows time-of-use pricing, solar that offsets on-peak hours is worth more than surplus you export during cheaper hours. The rider runs for a 10-year term from interconnection, and Dominion currently lists a $100 interconnection application fee, so confirm the current terms and any Subscribe fees with Dominion before you decide.
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 Dominion customer 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. South Carolina’s 25% state tax credit and the Solar Choice program were not affected.
Does South Carolina have a state solar tax credit?
Yes. South Carolina offers a state income-tax credit equal to 25% of the cost to buy and install a home solar system, capped at $3,500 per year or 50% of your state tax liability, with any unused amount carried forward for up to 10 years (South Carolina Energy Office). It goes to the system owner, so a lease or PPA customer usually does not claim it. Confirm your eligibility with the South Carolina Department of Revenue or a tax professional.
How do I connect solar to Dominion in South Carolina?
You or your installer file a Solar Choice interconnection application with Dominion, Dominion reviews and returns a rider agreement to sign, the system is installed and passes a local inspection, Dominion sets a bidirectional meter and moves you to Residential Rate 5, and then Dominion issues permission to operate. You cannot turn the system on until you have that permission. A licensed installer usually handles the paperwork, and because fees and terms change, confirm the current Solar Choice details with Dominion.
Do I qualify for Dominion solar credit if I lease or sign a PPA?
The Solar Choice crediting follows your Dominion account, but on a lease or PPA the company that owns the panels typically keeps the incentives, including the state tax credit, while your benefit is a lower or fixed power price with no up-front cost. If you want the Solar Choice value and the 25% state credit in your own name, owning the system through cash or a loan is the path that captures them.
Reviewed by the MySolarFY team. Figures were verified against the linked Dominion Energy South Carolina, South Carolina Public Service Commission and Office of Regulatory Staff, South Carolina Energy Office, DSIRE, EIA, and IRS sources as of August 2026. Solar Choice terms, fees, rates, and tax rules all change over time, so confirm current terms with Dominion Energy and the South Carolina Public Service Commission 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 incentives and bill credits often 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.
