New Hampshire Solar Panels

New Hampshire’s Net Metering 2.0 (NEM 2.0) program allows residential solar customers to earn bill credits for excess electricity their solar panels send back to the grid. The credit formula covers 100% of the energy supply charge, 100% of the transmission charge, and 25% of the distribution charge — resulting in roughly 85% of the retail electricity rate. All four major utilities in the state participate: Eversource, Liberty Utilities, Unitil, and the New Hampshire Electric Cooperative (NHEC).

Residential systems up to 100 kW and larger systems up to 1,000 kW are eligible. Any unused credits can be carried forward monthly, and if banked quantities are less than 600 kWh, credits can be carried forward annually. This net metering structure is locked in under Docket DE 16-576 and is guaranteed through January 1, 2041, giving homeowners long-term certainty on the value of their solar investment.

To participate, simply install a grid-tied solar system and notify your utility. There is no separate application for the net metering rate structure — it applies automatically to eligible solar customers. Contact your specific utility for interconnection requirements and to confirm program details in your service territory.

New Hampshire state law (RSA 72:61–:66) allows towns and cities to adopt a property tax exemption that excludes the value added by solar, wind, battery storage, or other qualifying renewable energy systems from your property’s assessed value. This means installing solar panels won’t increase your property tax bill in participating municipalities. As of 2021, more than 135 municipalities — including Concord — have adopted the exemption for at least one renewable energy source.

The exemption applies to the full solar energy system, and in municipalities that have adopted the current statutory language, it also covers paired battery storage systems. Many municipalities offer a 100% exemption of the equipment’s added value, which can save the average homeowner an estimated $584 or more per year in property taxes, depending on local tax rates and system size.

To claim the exemption, homeowners typically must file Form PA-29 with their local assessing office by April 15. Because participation is optional at the municipal level and exemption amounts can vary, it is important to contact your local tax assessor’s office to confirm whether your town has adopted the program and to understand the specific terms that apply in your area.

New Hampshire is one of the few states in the country with no general sales tax, which provides an automatic financial benefit to homeowners purchasing solar panels, inverters, battery storage systems, and related equipment. Unlike neighboring states such as Massachusetts or Vermont, New Hampshire residents pay no sales tax on their solar installation — effectively saving several percentage points on the total project cost.

This benefit applies to all solar PV equipment and battery storage systems purchased in the state and requires no application or special filing. The savings are built in at the point of sale. For a typical residential solar installation costing $20,000–$30,000, this can represent a meaningful reduction in upfront costs compared to residents in states with 5–7% sales tax rates.

No action is required on the part of the homeowner to claim this benefit — it is automatic for all solar and battery storage purchases made in New Hampshire. This makes it one of the simplest and most universally accessible incentives available to Granite State residents going solar.

Eversource’s Connected Solutions Program, administered through the New Hampshire Clean Energy Fund (NHCEF), provides residential customers with an upfront incentive rebate of $230 per kWh of battery capacity enrolled in the program, capped at $3,000 per residential account. Commercial accounts can receive $250 per kWh, up to $10,000. The rebate is paid as a check once your battery has received permission to operate from the interconnection group and has been accepted into the demand response program. Eligible battery manufacturers include Enphase, FranklinWH, and other approved models.

In exchange for the rebate, participants must allow Eversource to access their battery during periods of peak electricity demand for a minimum of three years. Demand response events occur from June through September, between 3:00 PM and 8:00 PM, with approximately 40 events per summer, each lasting no longer than three hours. During these events, your stored battery power helps reduce strain on the grid and displaces the need for polluting peaker plants.

To apply, Eversource customers can email [email protected] or visit the official program page. Participants may also be eligible for low- or zero-interest financing through the National Energy Improvement Fund (NEIF) to help cover the cost of battery installation. Note that the state’s municipal property tax exemption may also apply to your battery storage system, further reducing your overall cost.

The Low-Moderate Income (LMI) Solar Grant Program is funded by New Hampshire’s Renewable Energy Fund (REF) under RSA 362-F:10, X, which mandates that at least 15% of the REF be allocated annually to programs benefiting low-to-moderate income residential customers. The program supports new solar PV projects that provide a direct, quantifiable benefit to a minimum of five residential electric customers within the same utility service territory, with the majority of participants being LMI households. Projects must deliver benefits from the date of initial operation through the earlier of 20 years or the end of the project’s useful life.

Eligible project types include community solar installations in manufactured housing communities and multi-family rental housing. Funding is made available through periodic Requests for Proposals (RFPs) issued by the NH Department of Energy. A recent RFP made $350,000 available in total funding. This program is separate from the now-closed residential rebate program and continues to operate through the REF on an ongoing basis.

Because funding is awarded competitively through RFPs rather than on a rolling basis, interested parties — such as housing developers, nonprofits, or community organizations — should monitor the NH Department of Energy’s website for open solicitations. Individual homeowners are not typically direct applicants; rather, the program is designed for project developers serving LMI communities. Visit the official program page for current RFP status and application details.

The New Hampshire Community Development Finance Authority (CDFA) administers a solar grant and loan program specifically designed to help low-to-moderate income (LMI) households and the community organizations that serve them access affordable solar energy. The program provides a combination of grants and coordinated low-interest financing to reduce the upfront cost of solar installations for eligible participants. Unlike many competitive grant programs, CDFA accepts applications on a rolling basis through its online Grants Management System (GMS) at www.nhcdfagrants.org.

Eligible applicants include nonprofit organizations, community facilities, affordable housing developers, and other entities working to bring solar energy benefits to LMI communities across New Hampshire. The program is intended to complement other state and federal LMI solar initiatives and can be used in conjunction with net metering and other available incentives to maximize savings for underserved households.

To learn more or discuss a specific project, prospective applicants are encouraged to contact CDFA directly at 603-226-2170 before submitting an application. Hard copy or emailed applications are not accepted — all submissions must be made through the online GMS portal. Visit the CDFA website for current program guidelines, eligibility requirements, and funding availability.

New Hampshire’s Renewable Portfolio Standard (RPS), established under RSA 362-F, includes a Class II solar obligation that requires electricity providers to source a portion of their power from solar energy. When a qualifying solar system produces 1 megawatt-hour (MWh) of electricity, it can generate one Renewable Energy Certificate (REC) that may be sold to utilities or other entities that need them for RPS compliance. Solar systems that began operation after January 1, 2006, and are located in New Hampshire may be eligible to produce Class II Solar RECs.

Unlike a formal SREC market found in some other states, New Hampshire does not have a structured, state-run SREC trading platform. However, RECs generated by eligible NH solar systems do have market value and can be sold through brokers or bilateral agreements with utilities seeking compliance. The value of RECs fluctuates based on market conditions and compliance demand, so homeowners interested in monetizing their RECs should research current market prices and work with a qualified REC aggregator or broker.

To participate, your solar system must be registered and certified as eligible to generate Class II RECs. Contact the NH Department of Energy or consult the DSIRE database for current registration requirements and guidance on how to access the REC market. This incentive is separate from net metering credits and can provide an additional revenue stream on top of your monthly utility bill savings.

The USDA Rural Energy for America Program (REAP) is a federal program that provides grants and loan guarantees to help agricultural producers and rural small businesses invest in renewable energy systems, including solar PV. In New Hampshire, eligible participants can use REAP funding to offset a significant portion of the cost of purchasing and installing a solar energy system. Grants can cover up to 50% of eligible project costs, and loan guarantees can cover up to 75%, with combined grant and loan financing not to exceed 75% of total eligible costs.

To qualify, applicants must be either an agricultural producer with at least 50% of their gross income derived from agricultural operations, or a small business located in an eligible rural area (generally communities with populations under 50,000). The solar system must be installed at the agricultural or business site. Both new installations and system upgrades may be eligible.

REAP applications are accepted on a rolling basis, with funding awarded competitively during periodic application windows. New Hampshire farmers, ranchers, and rural business owners interested in going solar should contact their local USDA Rural Development office for guidance on eligibility, application requirements, and current funding availability. This program can be combined with other incentives such as net metering and the municipal property tax exemption to maximize the financial return on a solar investment.

The New Hampshire Municipal Solar Grant Program was established using a $1.6 million formula grant received by the NH Department of Energy (NHDOE) to fund solar installations at municipal facilities. The program provided competitive grants for municipal solar projects with a total installed capacity not exceeding 60 kW DC. All available funding has been allocated to 16 municipalities across the state, and awardees are currently in the process of completing required compliance contracts before installations begin.

While this particular round of funding is fully committed, the program demonstrates the state’s ongoing commitment to expanding solar access at the local government level. Municipalities that did not receive funding in this round should monitor the NH Department of Energy’s website for future grant opportunities, as additional rounds may be announced depending on the availability of new federal or state formula grants.

This program is specifically for municipal governments — cities, towns, and counties — and is not available to individual homeowners or private businesses. Local officials interested in future opportunities should visit the NHDOE funding opportunities page and sign up for program updates. The program can be a powerful tool for towns looking to reduce municipal energy costs and demonstrate leadership on clean energy.