Solar generally pays off in Massachusetts: a high electricity rate of about 30.2 cents per kWh (EIA, as of March 2026) and near-retail net metering give a typical 7 kW rooftop system, which produces about 9,113 kWh a year, a simple payback of roughly 8 years, and the SMART incentive plus the state income-tax credit shorten it further. This page gathers the numbers that matter, each dated and sourced: installed cost, per-city production and payback, how each utility handles net metering, and the current state incentives, including SMART and the Massachusetts residential energy credit, updated for 2026.
Updated for 2026.
Key statistics: Massachusetts solar at a glance (2026)
Key numbers (Massachusetts, 2026)
- Average residential rate: 30.2 cents per kWh
- Typical system size: 7 kW
- Typical annual production: 9,113 kWh per year
- Typical installed cost: $2.85 to $3.50 per watt
- Estimated system cost: $19,950 to $24,500
- Simple payback: about 8 years
According to MySolarFY’s analysis (July 2026), a typical 7 kW system in Massachusetts produces about 9,113 kWh a year, offsetting power that costs about 30.2 cents per kWh. These are our own compiled figures for Massachusetts; see Methodology below for exactly how each was produced. For the statewide rules behind these numbers, see our Massachusetts solar guide.
| Metric | Value | Source (dated) |
|---|---|---|
| Average residential rate | 30.2 cents per kWh | EIA, as of March 2026 |
| Typical system size | 7 kW | MySolarFY, typical residential array |
| Typical annual production | 9,113 kWh per year | NREL PVWatts v8, as of July 2026 |
| Typical installed cost | $2.85 to $3.50 per watt | MySolarFY cost range, as of July 2026 |
| Estimated system cost | $19,950 to $24,500 | MySolarFY, 7 kW, as of July 2026 |
| Simple payback | about 8 years | MySolarFY analysis, as of July 2026 |
Every figure is dated and attributed. Rate is the EIA residential average for Massachusetts; production is a modeled NREL PVWatts v8 run for a 7 kW array in Boston; cost and payback are MySolarFY estimates for planning, not a quote. Payback counts net-metering bill savings only and does not yet credit the SMART incentive or the state income-tax credit, both of which shorten it further. Confirm current terms before you decide.
Solar cost and payback by city in Massachusetts
Production and payback vary within a state because the solar resource and the local rate shift by location. The table below models a 7 kW system for representative Massachusetts cities using NREL PVWatts v8.
| City | System size | Annual production | Est. system cost | Est. annual bill savings | Simple payback |
|---|---|---|---|---|---|
| Boston | 7 kW | 9,113 kWh per year | $22,200 | about $2,750 | about 8.1 years |
| Cambridge | 7 kW | 9,241 kWh per year | $22,200 | about $2,790 | about 8.0 years |
| Worcester | 7 kW | 8,962 kWh per year | $22,200 | about $2,710 | about 8.2 years |
| Springfield | 7 kW | 8,680 kWh per year | $22,200 | about $2,620 | about 8.5 years |
Production is a modeled NREL PVWatts v8 run per city ZIP. Bill savings value each kWh at about 30.2 cents, Massachusetts’s near-retail net-metering credit for residential Class I systems; the SMART incentive pays an additional per-kWh amount on top where a utility’s tariff is active, which shortens payback beyond what this table shows. Payback is the system cost divided by that savings, holding today’s rate flat and ignoring financing. A written quote for your roof beats any table.
Those paybacks count net-metering savings only. SMART stacks on top: at the program year 2026 standard rate of $0.03 per kWh on Boston’s roughly 9,113 kWh, SMART adds about $270 a year, and the one-time $1,000 Massachusetts income-tax credit trims the net cost, so together they pull a Boston payback toward roughly 7 years (MySolarFY illustration, as of July 2026; your terms will differ).
Utility rate and net metering comparison
Your utility sets the delivery rate and administers net metering, which is the credit you earn for the power your roof sends back to the grid. Massachusetts has three investor-owned utilities plus about 41 municipal light plants that run their own programs. For the two largest, see our Eversource Massachusetts solar guide and our National Grid Massachusetts solar guide. For how Massachusetts net metering and SMART actually credit your bill, see our Massachusetts net metering and SMART guide, and how net metering credits your solar exports for the general mechanics.
| Utility | Residential rate | Net metering treatment |
|---|---|---|
| Eversource | About 30.2 cents per kWh (EIA statewide residential average, March 2026); the largest Massachusetts investor-owned utility | Residential Class I systems (25 kW or under) are cap-exempt and credited at the applicable residential retail rate. Under the December 2024 rules, the Net Metering Recovery Surcharge is now a separate bill line item rather than bundled into the credit, which slightly lowers the per-kWh value. 220 CMR 18.00. |
| National Grid (Massachusetts Electric) | About 30.2 cents per kWh (EIA statewide residential average, March 2026); investor-owned | Same statewide rules as Eversource: Class I residential systems (25 kW or under) are cap-exempt and credited at the applicable residential retail rate. 220 CMR 18.00. |
| Unitil (Fitchburg Gas & Electric) | About 30.2 cents per kWh (EIA statewide residential average, March 2026); investor-owned, north-central Massachusetts | Same statewide rules: Class I residential systems (25 kW or under) are cap-exempt and credited at the applicable residential retail rate. 220 CMR 18.00. |
| Municipal light plants (about 41) | Local rate set by each municipal light plant (not part of the EIA investor-owned average) | Municipal light plants set their own net-metering policy and are not bound by the state net-metering rules, so terms vary by town. Confirm directly with your municipal light plant. |
Net metering rules are set by state law and the utility commission, not the installer. The December 2024 rules (220 CMR 18.00) raised the cap-exempt threshold from 10 kW to 25 kW, so most residential rooftop systems net meter even when a utility’s aggregate cap is full. Confirm your utility’s current tariff before you size a system.
Massachusetts solar incentive stack (2026)
State income-tax credits, net metering, and the SMART program make up the Massachusetts incentive stack; for the statewide rules behind them see our Massachusetts solar guide. These go to the system owner, so on a lease or PPA the company that owns the panels keeps the incentive while the net-metering bill credit follows your account.
SMART (Solar Massachusetts Renewable Target)
A flat per-kWh incentive paid on top of net metering for a 20-year term. For program year 2026 a small residential system (25 kW AC or under) earns about $0.03 per kWh, or about $0.06 per kWh for an income-eligible system. The DPU approved the Eversource, National Grid, and Unitil SMART 3.0 tariffs on July 8, 2026, so the program is active statewide (active 2026) (MA DOER SMART program, as of July 2026)
Net metering
Residential Class I systems (25 kW or under) are cap-exempt and credited at the applicable residential retail rate, with credits rolling over on your bill. Under the December 2024 rules the Net Metering Recovery Surcharge is now billed as a separate line item (active 2026) (MA DPU 220 CMR 18.00 / mass.gov, as of July 2026)
Massachusetts Residential Energy Credit
A 15 percent Massachusetts personal income-tax credit on the net cost of a solar system at your principal residence, capped at $1,000 (active 2026) (MA DOR 830 CMR 62.6.1 / mass.gov, as of July 2026)
Massachusetts sales tax exemption
Equipment for a solar system serving your principal residence is exempt from Massachusetts sales tax (active) (M.G.L. c.64H s.6(dd), as of July 2026)
Massachusetts property tax exemption
A qualifying solar system is exempt from the added local property tax value it creates for 20 years from installation (active) (M.G.L. c.59 s.5 cl.45, as of July 2026)
Federal Residential Clean Energy Credit (Section 25D)
Ended December 31, 2025 and is not available to homeowners who buy solar in 2026, so no federal credit reduces the cost for cash or loan buyers (ended 12/31/2025) (IRS, as of July 2026)
The federal homeowner credit has ended, but Massachusetts’s programs have not. The 30% federal Residential Clean Energy Credit (Section 25D) ended December 31, 2025, so a Massachusetts homeowner who buys solar with cash or a loan in 2026 cannot claim it (IRS Residential Clean Energy Credit, as of 2026). State net metering, the SMART incentive, and the incentives listed above were not affected by that change. For the full timeline, see what the federal solar tax credit change means and our state solar incentives overview.
Comparing neighboring markets? See our Rhode Island solar data and statistics for a side-by-side on rates, cost, and payback.
Methodology and sources
- Electricity rate: the latest EIA Form residential retail price for Massachusetts (EIA retail sales, as of March 2026).
- Production: modeled with NREL PVWatts v8 for a 7 kW south-facing array at the city ZIP (NREL PVWatts v8, as of July 2026).
- Cost and payback: MySolarFY estimates built from installed cost per watt (informed by the DataForSEO cost SERP for Massachusetts) and the EIA rate, holding today’s rate flat and ignoring financing.
- Incentives and net metering: the Massachusetts Department of Public Utilities and Department of Energy Resources (Mass.gov net metering guide and the SMART program page) and the DSIRE incentive database (DSIRE, as of July 2026).
- Assumptions: a 7 kW system, standard losses, and a south-facing array. Your roof, usage, and financing change the result, so treat these as planning figures, not a quote.
Citing this data
Citing this data?
Cite as: “MySolarFY, Massachusetts Solar Data & Statistics 2026, accessed July 19, 2026.” Data compiled by MySolarFY from EIA (residential electricity rate), NREL PVWatts v8 (modeled production), DSIRE and the Massachusetts Department of Public Utilities and Department of Energy Resources (incentives and net metering), and DataForSEO (cost SERP). Figures are dated in each table above.
Journalists and researchers may quote these statistics with attribution to MySolarFY and a link to https://mysolarfy.com/massachusetts-solar-data-statistics-2026/.
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How to choose a solar installer in Massachusetts
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Frequently asked questions
What is the average solar cost in Massachusetts in 2026? A typical residential system in Massachusetts runs about $2.85 to $3.50 per watt installed before any incentives (MySolarFY cost range, as of July 2026). A 7 kW system is a common size for a single-family home. Cost varies with roof, equipment, and installer, so use a written quote for your own numbers.
How much electricity does a solar system produce in Massachusetts? A modeled 7 kW array produces about 9,113 kWh a year in Massachusetts (NREL PVWatts v8, as of July 2026). Production drives both your net-metering credits and your payback, so estimate your specific roof rather than a generic number.
Does Massachusetts have a solar tax credit or the SMART incentive? Yes. Massachusetts offers a 15 percent state income-tax credit on the net cost of a home solar system, capped at $1,000, plus sales-tax and 20-year property-tax exemptions. Separately, the SMART program pays a flat per-kWh incentive on top of net metering for 20 years; for 2026 a small residential system (25 kW AC or under) earns about $0.03 per kWh, or about $0.06 per kWh if income-eligible (MA DOER and DOR, as of July 2026). The federal 25D credit ended December 31, 2025 and does not apply in 2026.
Did the federal solar tax credit end? Yes for homeowners. The 30% federal Residential Clean Energy Credit (Section 25D) ended December 31, 2025, so a Massachusetts homeowner who buys solar in 2026 cannot claim it (IRS, as of 2026). State programs and net metering were not affected by that change.
Reviewed by the SolarFY Editorial Team. Figures were verified against the linked EIA, NREL, DSIRE, and Massachusetts DPU/DOER sources as of July 2026, following our data and methodology standards; rates, incentive values, and net-metering terms can change, so confirm current terms before you decide. MySolarFY does not provide tax or financial advice; consult a licensed professional. 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. Solar panels are not free and any monthly payments apply. “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 may include an annual escalator and total payments may exceed a cash purchase, and on a lease or PPA the incentives go to the company that owns the system. Homeowners do not get the federal residential credit that ended after December 31, 2025. Eligibility, savings, incentives, and rates vary and are not guaranteed. See our full disclaimer.
