Rockville, MD Solar Panels
Solar Power in Rockville
Maryland electricity rates have climbed 37% since 2020 — and at 17.88 cents per kWh, Rockville homeowners are already paying above the national average. It’s no surprise that more people here are looking closely at solar.
This guide covers what you need to know about home solar panels, including what the installation process looks like right here in Rockville, MD.
How Much Do Solar Panels Cost in Rockville, MD?
Based on real solar installations across Rockville, Gaithersburg, Germantown, and Bethesda, this calculator uses Palmetto’s local data to give you an accurate estimate of what solar installation would cost for your home.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Rockville electricity rates have risen 37% since 2021 — at 17.9¢/kWh, homeowners are paying above the national average, making solar a smart way to reduce monthly bills.
- Maryland offers strong solar incentives including a sales tax exemption, property tax exemption, SRECs, and full retail-rate net metering — all helping reduce the cost of going solar.
- A typical Rockville home can save around $84,000 over 25 years with solar — and leasing options like LightReach let you start saving with no upfront cost.
Rockville Electricity Prices
Electricity costs in Rockville are rising — and at 17.9 cents per kWh, Maryland homeowners are already paying more than most.
Since 2021, Maryland’s electricity rate has climbed from 13.1 to 17.9 cents per kWh — a 37% increase in just three years. That’s now nearly 9% above the 2024 national average of 16.5 cents per kWh.
For Rockville homeowners exploring solar installation, home solar panels can help offset these rising utility costs by generating your own clean electricity — reducing how much you rely on the grid each month.
Solar is a long-term investment. Rockville homeowners who go solar today can lock in more predictable energy costs, shielding themselves from future rate increases that have shown no signs of slowing down.
Price of Energy: Maryland vs National Average
Rockville Area Utility Providers
Rockville, MD is served by Pepco (Potomac Electric Power Company). According to 2023 data, Pepco’s average electricity rate is 18.2¢ per kWh — the most current utility pricing available for this area.
Pepco’s 2023 rate of 18.2¢/kWh sits above both Maryland’s state average of 16.60¢/kWh and the national average of 16.0¢/kWh. This gap is largely driven by regional grid infrastructure costs and the Mid-Atlantic energy market.
When electricity rates run higher than state and national averages, the value of generating your own power at home becomes more meaningful. Solar can help reduce how much grid electricity a household relies on each month.
Rockville Utilities Electricity Rates
Maryland Solar Incentives
Rockville homeowners have access to several solar incentives in Maryland that can meaningfully reduce the cost of going solar — at both the state and Montgomery County level.
Maryland offers a sales tax exemption on solar equipment, a property tax exemption on added home value, full retail-rate net metering, tradeable energy credits (SRECs) earned per 1,000 kWh generated, and a grant for qualifying low- and moderate-income homeowners.
Note: the federal residential solar tax credit was eliminated by the Big Beautiful Bill. With a LightReach solar lease, Palmetto handles the commercial tax credit and passes the savings through via lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Maryland Solar Access Program (MSAP) | Grant | A state grant of $750/kW (up to $7,500) for eligible low- and moderate-income Maryland homeowners who install a new solar PV system. | Learn More |
| Maryland Solar Renewable Energy Credits (SRECs) | SREC | Maryland solar system owners earn one tradeable SREC for every 1,000 kWh of electricity generated, which can be sold to utilities for additional income. | Learn More |
| Maryland Sales and Use Tax Exemption for Solar Energy Systems | Sales Tax Exemption | All residential solar energy equipment purchases in Maryland are fully exempt from the state’s 6% sales and use tax, automatically reducing upfront installation costs. | Learn More |
| Maryland Property Tax Exemption for Solar Energy Systems | Property Tax Exemption | Maryland ensures that the added home value from a solar installation does not increase a homeowner’s property tax bill. | Learn More |
| Net Metering (Maryland Statewide) | Net Metering | Maryland offers full retail-rate 1:1 net metering, crediting solar customers for excess electricity sent to the grid with indefinite monthly rollover and an annual April true-up. | Learn More |
| Maryland Community Solar Program | Rebate | Maryland’s permanent Community Solar Program allows residents and businesses to subscribe to a share of an off-site solar array and receive credits on their utility bills without installing panels on their property. | Learn More |
| Montgomery County Solar Property Tax Credit | Property Tax Exemption | Montgomery County offers a local property tax credit for residential solar energy system installations. Rockville homeowners, located within Montgomery County, are eligible to apply. | |
| Maryland Residential and Commercial Energy Storage (RCES) Grant Program | Rebate | A state grant program offering residential battery storage owners up to $5,000 (or 30% of installed costs) and commercial owners up to $150,000 for qualifying energy storage system installations. | Learn More |
| Maryland Commercial and Canopy Solar Program (CCSP) – FY 2026 | Rebate | A state grant program offering up to $13 million for commercial, nonprofit, and small business solar installations including rooftop, ground-mounted, and canopy systems. | Learn More |
The Maryland Solar Access Program (MSAP), established by the Brighter Tomorrow Act of 2024, provides grants of $750 per kilowatt of installed solar capacity, up to a maximum of $7,500, to help eligible low- and moderate-income Maryland homeowners go solar. Residents of Rockville may qualify for this program. A total of $2,000,000 is available for FY 2026 through the Strategic Energy Investment Fund (SEIF), and grants are awarded on a first-come, first-served basis. The application portal is open through 12:00 PM ET on June 5, 2026, or until funds are exhausted.
To qualify, your household income must be at or below 150% of the statewide median income, your home must be owner-occupied and your primary residence, and the system must be installed by an MEA-approved contractor. The system must also be a brand-new installation — not an expansion of an existing system.
The application process is two-step: first, submit an initial application through the MyMEA Portal to reserve funds; then, verify that your solar system is fully installed and operational within 180 days of your fund reservation. Contact MEA at [email protected] for assistance.
Maryland’s Solar Renewable Energy Credit (SREC) program lets solar system owners earn one SREC for every 1 megawatt-hour (1,000 kWh) of electricity their system produces. These credits are tracked via a revenue-grade meter and can be sold on the open SREC market to Maryland utility companies, which are required under the state’s Renewable Portfolio Standard (RPS) to source a portion of their electricity from solar energy. Credits are earned for the first 15 years of a system’s operation.
Recent SREC market prices in Maryland have ranged from $60 to $80 per SREC. The Solar Alternative Compliance Payment (SACP) — which sets a ceiling on SREC value — is $55 for 2025 and will gradually decrease to $22.50 by 2030. Thanks to the Brighter Tomorrow Act (Senate Bill 783, signed May 2024), systems that meet certification requirements — including a capacity of 5 MW or less, placed in service between July 1, 2024 and January 1, 2028, and located on a rooftop, parking canopy, or other eligible location — earn Certified SRECs worth 1.5x the standard value, boosting your earnings by 50%.
To participate, register your solar system with the state of Maryland and track production through a revenue-grade meter. SRECs can be sold through brokers such as SRECTrade or Sol Systems. This program provides a meaningful ongoing income stream on top of your utility bill savings.
Maryland’s Sales and Use Tax Exemption removes the state’s 6% sales tax from the purchase of residential solar energy systems and equipment. This exemption is applied automatically at the point of sale — you don’t need to file any paperwork or take any extra steps to claim it.
On an average Maryland solar installation costing around $33,700, this exemption saves homeowners approximately $2,000–$2,100 right off the top. The savings apply to solar panels, inverters, mounting hardware, and other qualifying solar equipment.
This exemption is available to all Maryland homeowners — including those in Rockville — purchasing a residential solar energy system, regardless of income. It stacks with other state and local incentives, making it one of the simplest and most universally accessible solar benefits in the state.
Maryland’s statewide Property Tax Exemption for Solar and Wind Energy Systems ensures that any increase in your home’s assessed value resulting from the installation of solar panels is excluded from your property tax calculation. In other words, your property taxes will not go up simply because you added solar to your home — even though solar typically increases a home’s market value.
This exemption is available to all Maryland homeowners with a qualifying solar energy system and applies automatically — no special application is required beyond your normal solar installation and permitting process. It is a permanent, ongoing benefit for as long as the solar system remains on the property.
This statewide exemption is separate from — and stackable with — the county-level property tax credits offered in Anne Arundel, Baltimore, Harford, Howard, Montgomery, and Prince George’s counties, which can provide additional one-time savings of up to $5,000. As a Rockville homeowner in Montgomery County, you may be eligible for the Montgomery County Solar Property Tax Credit as well.
Maryland’s net metering policy is one of the strongest in the country. When your solar panels produce more electricity than your home uses, the excess is sent to the grid and your utility credits your account at the full retail rate — a true 1-to-1 structure. Each month, you are billed only for the net difference between what you consumed and what you generated. Net metering is available across all major Maryland utilities, including Pepco, which serves Rockville and the surrounding Montgomery County area.
Excess credits roll over month to month indefinitely, allowing you to bank surplus generation from sunny summer months and draw on those credits during cloudier winter months. Maryland conducts an annual true-up each April, at which point any remaining excess credits can be cashed out as a payment from your utility (note: the cash-out rate may be lower than the full retail credit rate).
Maryland electric utilities and cooperatives are required to allow net metering until the total statewide capacity of net-metered systems reaches 3,000 MW. While significant capacity remains, locking in net metering now ensures you benefit from the current favorable 1:1 structure for the life of your system.
Maryland’s permanent Community Solar Program, established by House Bill 908 in 2023 and fully effective January 1, 2025, allows renters, condo owners, and homeowners with shaded or unsuitable roofs to subscribe to a share of an off-site solar array. Subscribers receive bill credits on their utility bills for the electricity generated by their share — no rooftop panels required. This makes solar accessible to virtually any Rockville resident or business.
Starting January 1, 2026, the program implements consolidated billing, a streamlined net crediting mechanism similar to programs in New York and New Jersey. Utilities charge a small administrative fee of 1% of the total bill credit value per month for this service. All community solar projects must ensure that a minimum of 40% of subscribers are low- to moderate-income (LMI) households, and LMI subscribers receive guaranteed savings — their subscription rates cannot exceed 90% of the bill credit value, ensuring at least a 10% discount on their solar energy costs.
To participate, simply find a community solar project in your utility territory and sign up for a subscription. There are no installation costs, no long-term equipment commitments, and you can typically cancel or transfer your subscription if you move. Contact the Maryland Public Service Commission or visit the official program page for a list of available projects in your area.
Montgomery County offers a county-level property tax credit for residential homeowners who install a qualifying solar energy system. As Rockville is located within Montgomery County, homeowners in Rockville are eligible for this credit. It is applied directly to your Montgomery County property tax bill and is separate from Maryland’s statewide property tax exemption.
The credit is stackable with the statewide exemption, providing Rockville homeowners with multiple layers of property tax protection when going solar. Montgomery County residents may also have access to specialized low-interest solar financing through the Montgomery County Green Bank, which offers a 30-year solar loan program with 0% interest for the first 10 years for homes in Equity Emphasis Areas.
Contact the Montgomery County tax authority for specific credit amounts, application forms, and submission requirements. As with other county credits, this benefit is awarded on a one-time basis following a qualifying solar installation.
The Maryland Residential and Commercial Energy Storage (RCES) Grant Program, launched by the Maryland Energy Administration (MEA) for Fiscal Year 2026, replaces the discontinued Maryland Energy Storage Income Tax Credit Program that ended in 2024. The program provides grants to support the installation of battery energy storage systems (BESS) for both residential and commercial customers. Residential applicants can receive the lesser of 30% of installed costs or $5,000, while commercial applicants may receive up to $150,000.
A total of $2,000,000 is available from the Strategic Energy Investment Fund (SEIF) for FY 2026, awarded on a first-come, first-served basis. Applications were accepted through 3:00 PM ET on June 5, 2026, or until funds were exhausted. As of the latest update, the application portal is closed to new applications due to the program budget being fully requested — however, MEA is processing the existing queue and the portal may reopen if reserved applications do not convert to approved status.
Eligible applicants include owners of residential or commercial properties installing a qualifying BESS, as well as third-party owners who finance or own the system on behalf of the property owner. Applications are submitted through a two-step process via the MyMEA Portal. For questions, contact MEA’s Energy Storage Team at [email protected].
The Maryland Energy Administration’s FY 2026 Commercial and Canopy Solar Program (CCSP) combines the former Commercial Solar Grant Program and the Solar Canopy and Dual Use Technology Program into a single funding opportunity. Up to $13,000,000 is available from the Strategic Energy Investment Fund (SEIF) for rooftop, ground-mounted, and solar canopy systems installed over parking areas or bodies of water. Grants are awarded on a first-come, first-served basis.
Grant amounts vary by applicant type: for-profit businesses and agricultural producers may receive the lesser of $1,700/kW or 75% of total project costs (up to $2,125/kW for canopy systems); nonprofits, small businesses, and veteran-owned businesses may receive the lesser of $2,000–$2,500/kW or 90% of total project costs. The maximum award per entity is $500,000. Eligible applicants include Maryland-based nonprofits, small businesses, veteran-owned entities, and organizations running eligible facilities.
Please note that the FY 2026 application deadline was February 11, 2026. Check the MEA website for updates on FY 2027 funding availability, as this program is expected to continue in future fiscal years.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Maryland incentives.
Get a Free QuoteRockville Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Understanding how seasons affect your solar system helps set realistic expectations for your investment.
Rockville gets four distinct seasons, with snowy winters and humid summers. Despite some cloudy days, its ample sunny months make it a strong candidate for solar energy production year-round.
Solar Production in Rockville by Month
What Can Your Solar System Power?
Summer Production (July)
In July, your 10 kW system could power:
- 3.6 average homes (15 kWh/day per home)
- or Run central AC for 18 hours AND power all other appliances
- or Fully charge 5.4 Tesla Model 3 electric vehicles
Winter Production (December)
In December, your 10 kW system could power:
- 2 average homes (15 kWh/day per home)
- or Keep your home heating system running for 15 hours
- or Fully charge 3 Tesla Model 3 electric vehicles
Annual Production
Over a year, your 10 kW system could:
- Offset 10 tons of carbon dioxide emissions
- or Equal the environmental benefit of planting 175 trees
- or Save approximately $4,234 in electricity costs
Want to know exactly how much solar can power your home?
Get a personalized solar analysis based on your actual home, energy usage, and roof characteristics.
Get My Custom EstimateSolar Panel Systems in Rockville
We’ve mapped solar installations across Rockville, MD so you can see just how many of your neighbors have already made the switch. Explore the heatmap below to discover which communities and neighborhoods are leading the way in clean energy adoption!
Leasing Solar Panels
Not every homeowner wants to pay tens of thousands of dollars upfront for solar. That’s why Palmetto offers LightReach, a Power Purchase Agreement (PPA) available to Rockville homeowners served by Pepco, Baltimore Gas & Electric, Potomac Edison, Delmarva Power, SMECO, and Choptank Electric Cooperative.
With a PPA, you pay only for the electricity your panels produce — at a set rate per kilowatt-hour (kWh) — rather than a fixed monthly amount. This means your bill may be slightly higher in sunny summer months and lower in winter, but your annual savings are comparable to a lease. There’s no upfront cost, and Palmetto owns and maintains the system, so repairs and performance monitoring are handled for you.
Compared to a cash purchase, a PPA lets you start saving immediately without a large investment to recoup. You also avoid the responsibility of ongoing maintenance, which can be costly and time-consuming. Want to understand how a PPA compares to buying outright? Learn more about your options here.
Go solar without the investment
With LightReach, there are no investment costs to recoup, loan payments to manage, or maintenance needs to take on. As soon as your panels are active, your solar savings are too!
Explore LightReach LeasingFrequently Asked Questions
Yes, solar makes strong financial sense for Rockville homeowners. With electricity rates at 17.9¢/kWh — 37% higher than 2021 — and average 25-year savings around $84,000, the numbers work well here. Maryland also offers solid incentives including net metering, SRECs, and property tax exemptions.
If upfront cost is a concern, Palmetto’s LightReach solar lease removes that barrier entirely — Rockville homeowners can go solar with no money down and start saving from day one.
Yes, Rockville homeowners have access to 1:1 net metering through Pepco, the primary utility serving the area. When your solar panels produce more electricity than your home uses, the excess is sent to the grid and credited to your account at the full retail rate. Those credits roll over month to month indefinitely.
Maryland conducts an annual true-up each April or May, at which point any remaining excess credits are paid out at a variable rate (approximately $0.05–$0.07/kWh), and your account resets to zero.
Yes. Research from Zillow found that homes with solar panels sell for about 4.1% more than comparable homes without them. For a median-priced home in Rockville, that could translate to a meaningful increase in resale value.
Maryland’s property tax exemption for solar means that added home value won’t raise your property tax bill — so Rockville homeowners get the benefit of increased equity without a higher tax burden.
The most accessible way to go solar in Rockville is through Palmetto’s LightReach lease — homeowners can get solar panels installed with no upfront cost and pay a low fixed monthly payment starting around $84–$148/month depending on home size. Palmetto owns and maintains the system, so there’s nothing to manage.
For those who prefer to own their system outright, a cash purchase typically runs $20,600–$34,400 for most Rockville homes. Note that the federal 30% residential solar tax credit is no longer available following the Big Beautiful Bill. Use the calculator above for a personalized estimate.
For Rockville homeowners, solar can be financially worthwhile from day one — especially with a lease. With Palmetto’s LightReach, there’s no upfront investment. Your monthly lease payment is typically less than your current Pepco bill, so savings start immediately after installation.
Over 25 years, a typical Rockville home can save around $84,000 with solar. With Maryland electricity rates up 37% since 2021, locking in a predictable, lower monthly payment makes practical financial sense for most homeowners.
Palmetto Solar is a strong choice for Rockville homeowners. As a national company with a local focus, we’ve completed 619 installations across Maryland since 2020 — and we’re well-versed in the local permitting process and utility requirements through Pepco.
We offer some of the industry’s best financing options, including our LightReach lease with no upfront cost, as well as cash purchase options. Our trusted install network ensures quality workmanship, and we handle everything from design to ongoing system monitoring.
With Palmetto’s LightReach lease, Rockville homeowners pay one simple monthly payment that covers everything — panels, installation, monitoring, maintenance, and a 90% Production Guarantee. There is no upfront cost. For a typical 9.32 kW system, the estimated monthly payment is approximately $113/month.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments — a key advantage over cash purchases. Most Rockville homeowners find the lease payment is less than their current Pepco bill, meaning savings start from day one.