If Duke Energy Indiana is your electric utility, the rules for rooftop solar changed and this page explains what actually pays you back in 2026. Indiana ended traditional net metering for new customers, so instead of full retail credit for the power you send to the grid, Duke now credits your surplus under a program called Excess Distributed Generation, or EDG. The EDG credit is a lot lower than retail, and that single fact reshapes how you should think about sizing a system here. Below is what Duke pays, how EDG is calculated, how to connect, and how to tell if solar still makes sense on your roof.
New Duke Energy Indiana solar customers no longer get retail net metering. Since July 1, 2022 they earn an Excess Distributed Generation (EDG) credit of about 5.5 cents per kWh for exported surplus, roughly a third of Indiana’s 18-cent retail rate. Because exports pay so little, the win is using your own solar on-site, not selling it back.
Duke Energy Indiana at a glance
Duke Energy Indiana runs the interconnection and the EDG credit for rooftop solar across most of central and southern Indiana. It is a separate utility from Duke Energy’s operations in North Carolina, Florida, Ohio, and Kentucky, so Indiana’s rules, not those states’, apply to your account.
| Detail | What to know |
|---|---|
| Service territory | About 69 of Indiana’s 92 counties (central and southern Indiana); the state’s largest electric utility, serving roughly 860,000 electric customers. Verify current figures with Duke. |
| Net metering | Closed to new customers on July 1, 2022 under Indiana’s SEA 309 |
| What replaced it | Excess Distributed Generation (EDG): surplus exports credited at about 5.5 cents per kWh in 2026 |
| How EDG is set | 125% of Duke’s prior-year average wholesale energy cost, updated every year (Indiana Code 8-1-40-17) |
| Grandfathering | Pre-2018 systems keep retail net metering to 2047; systems connected 2018 to mid-2022 keep it to 2032 |
| Before you switch on | Duke must grant Permission to Operate |
| Source | Indiana OUCC, Duke DG tariff |
What this means for your roof. Because Duke pays only about 5.5 cents for a kWh you export but you avoid about 18 cents on every kWh you use as it is produced, the value is in self-consumption. That points toward sizing a system to match your daytime use and, for many homes, pairing it with a battery so evening use runs on stored solar instead of grid power. Estimate your roof’s likely output first with NREL’s free PVWatts calculator.
According to MySolarFY’s analysis (August 2026), a typical 8 kW rooftop system in Duke Energy Indiana territory produces about 10,650 kWh a year (NREL PVWatts, Indianapolis), so at Indiana’s 18.15 cents retail rate the power you use on-site is worth roughly three times the 5.5 cents Duke credits your exported surplus under EDG.
How Duke Energy Indiana pays for excess solar: EDG explained
Exports are credited at a wholesale-based rate, not retail. When your solar sends more power to the grid than your home is using at that moment, Duke credits that surplus under its Excess Distributed Generation tariff (Rider No. 50). Indiana law sets the EDG rate at 125% of the utility’s average wholesale energy cost from the prior year, so it lands far below the retail price you pay for grid power (Solar United Neighbors). For 2026, Duke’s EDG credit works out to roughly 5.5 cents per kWh, per its annual EDG rate update filed with the Indiana Utility Regulatory Commission (IURC Cause No. 45508). The rate resets every year, so confirm the current figure before you model savings.
| Power flow | How it is valued | Rough 2026 value |
|---|---|---|
| Solar you use as it is made | Avoids buying that kWh from Duke at retail | About 18 cents per kWh |
| Surplus you export | Credited under EDG (125% of prior-year wholesale) | About 5.5 cents per kWh |
| Grandfathered net metering | Full retail credit, if your system qualifies by date | About 18 cents per kWh |
The practical takeaway is to size for your own usage rather than to oversize for a big export check that never comes. For the mechanics of how export credits work in general, see how net metering and export credits work, and to weigh the payback math, see the financial case for whether solar panels are worth it.
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What changed in Indiana: SEA 309 and the end of net metering
Indiana phased out retail net metering, and Duke’s window closed in mid-2022. Under Senate Enrolled Act 309, passed in 2017, Indiana’s investor-owned utilities stopped offering net metering to new customers no later than July 1, 2022 (IURC 2022 net-metering summary). If you connected a Duke system before then, you were grandfathered: systems placed in service before 2018 keep full retail net metering through 2047, and systems interconnected from 2018 through mid-2022 keep it through 2032 (Solar United Neighbors). Everyone connecting new today is on EDG. Since grandfathering already closed, the timing lever most Indiana homeowners still control is choosing self-consumption and storage to get more value from each kWh their panels make.
How to connect solar to Duke Energy Indiana
Connecting a home system to Duke follows a set order, and the key rule is that you cannot turn the system on until Duke grants Permission to Operate. The general path is:
- Interconnection application. You or your installer file an application with Duke Energy Indiana. Smaller residential systems typically qualify for Indiana’s simplified Level 1 review; confirm the current size threshold with Duke, since Indiana’s interconnection rules are being updated.
- Interconnection agreement. After Duke reviews the application, you sign and return an interconnection agreement.
- Install and inspect. The system is installed and passes your local electrical inspection.
- Meter set. Duke installs or configures a bidirectional meter that measures both the power you draw and the surplus you export for EDG.
- Permission to Operate. Duke issues Permission to Operate. The system may not run on the grid before this.
A licensed installer normally manages this whole process for you. For the questions to ask before you sign, see the right questions to ask a solar installer.
What changed federally, and what it means for Duke Indiana customers
The federal homeowner credit is gone, so it should not be in your 2026 math. 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 Duke Energy Indiana customer who buys solar with cash or a loan in 2026 cannot claim it (IRS OBBB FAQ). 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. For a leased system on a Duke account 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 still worth it on a Duke Energy Indiana account?
It can be, but the math is different from a full net-metering state. With EDG paying only about 5.5 cents for exports, the return comes from the power you use directly and from avoiding Indiana’s roughly 18-cent retail rate on that usage. A few things move the needle:
- Right-size the system to your own daytime and shoulder-season use rather than oversizing for exports.
- Consider a battery so evening use runs on stored solar instead of grid power, which captures more of that retail-rate value.
- Compare real local quotes, since installed price and equipment drive payback far more than the export credit does. For how bill savings work, see how solar lowers your electricity bill, and for the broader incentive picture, see the current solar incentives guide.
MySolarFY matches you with licensed installers that serve your area so you can compare real local quotes side by side, with no obligation. For the statewide picture beyond Duke Energy Indiana, see our Indiana solar guide and what to expect on Indiana solar costs.
How to choose a solar installer in Duke Energy Indiana territory
Rather than chasing a “best” list, screen any installer against objective criteria:
- NABCEP certification, the industry’s professional standard for PV installers.
- Proper Indiana licensing and any required local electrical and building permits.
- A clear workmanship and equipment warranty in writing.
- Real experience with Duke Energy Indiana interconnection and the EDG tariff, so the paperwork and Permission to Operate go smoothly.
- A written production estimate and a quote that is honest about the low EDG export credit, not a savings pitch built on full retail net metering. For a checklist, see the right questions to ask a solar installer.
Frequently asked questions
Does Duke Energy Indiana still offer net metering?
No, not for new customers. Under Indiana’s SEA 309, Duke Energy Indiana closed net metering to new customers on July 1, 2022. New rooftop solar customers are now credited for exported surplus under the Excess Distributed Generation (EDG) tariff instead. Customers who interconnected earlier may be grandfathered on retail net metering: systems placed in service before 2018 keep it through 2047, and systems connected from 2018 through mid-2022 keep it through 2032.
How much does Duke Energy Indiana pay for exported solar?
Under the EDG tariff, Duke credits your exported surplus at about 5.5 cents per kWh in 2026. Indiana law sets that rate at 125% of the utility’s average wholesale energy cost from the prior year, so it is far below the roughly 18-cent retail rate you pay for grid power. The rate is recalculated every year, so confirm the current figure with Duke before modeling your savings.
Why is the EDG credit so much lower than net metering?
Traditional net metering credited exports at the full retail rate. EDG instead ties the credit to the utility’s wholesale cost of energy plus a 25% premium, which is much lower than retail. The practical effect is that exporting surplus to the grid pays little, so the value of a Duke Energy Indiana solar system comes mainly from the power you use on-site and, for many homes, from adding a battery.
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 Duke Energy Indiana 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.
How do I connect solar to Duke Energy Indiana?
You or your installer file an interconnection application with Duke, Duke reviews and approves it, you sign an interconnection agreement, the system is installed and passes a local inspection, Duke sets a bidirectional meter, and then Duke issues Permission to Operate. You cannot turn the system on until you have that permission. Smaller residential systems usually use Indiana’s simplified Level 1 path, and a licensed installer typically handles the paperwork for you.
Is solar still worth it with Duke Energy Indiana?
It can be, but the math depends on self-consumption rather than exports. Because EDG pays only about 5.5 cents for exported power while you avoid about 18 cents on each kWh you use as it is made, the return comes from using your own solar and, often, storing it in a battery for evening use. Right-sizing the system to your usage and comparing real local quotes matters more than the export credit.
Reviewed by the MySolarFY team. Figures were verified against the linked Indiana sources (Indiana Utility Regulatory Commission, the Indiana OUCC, Solar United Neighbors), EIA, NREL PVWatts, and IRS as of August 2026; the EDG credit rate resets annually and interconnection rules are being updated, so confirm current terms with Duke Energy Indiana and the IURC 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 export credits and any incentives 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.
