Solar Guide

North Carolina’s Solar Energy System Property Tax Exclusion is a state tax benefit that reduces the property tax burden for homeowners who install solar panels. Under this program, if your solar system qualifies as taxable property, you only pay property taxes on 20% of the system’s appraised value – meaning 80% of your solar investment is excluded from property tax calculations.

Whether your solar system qualifies for this tax treatment depends on how you use it. If you simply use your solar panels to power your home and participate in net metering (where you receive credits from your utility company for excess power), your system is considered non-business personal property and is completely exempt from property taxes. However, if you treat your solar system as a business investment – by claiming depreciation on your tax returns or recognizing income from selling electricity – then your system becomes taxable business property, but you’ll still benefit from the 80% exclusion. Your county assessor will determine your system’s tax status based on documentation like your tax returns, utility agreements, and system receipts.

Solar for All (EnergizeNC) is a state program that received $156 million in federal funding from the EPA to help North Carolina families access affordable solar energy. The program specifically focuses on bringing rooftop solar systems to low-income households and disadvantaged communities across the state, including tribal lands. This initiative aims to reduce energy costs for families while supporting clean energy adoption statewide.

While the announcement doesn’t specify exact dollar amounts for individual homeowners, the program is designed to make solar accessible to households where energy costs represent a significant portion of their budget. The initiative will combine solar installations with existing energy efficiency programs to maximize long-term savings. Eligibility appears to focus on low-income and moderate-income households, though specific income requirements haven’t been detailed in this announcement. The program is still in development, so homeowners interested in participating should visit energizeNC.org for updates on application processes, eligibility criteria, and program launch dates.

Duke Energy’s PowerPair program is a pilot incentive that helps North Carolina homeowners reduce the upfront cost of installing solar panels paired with battery storage systems. This utility program offers a one-time cash incentive of up to $9,000 to make home solar plus battery installations more affordable for customers in Duke Energy Carolinas and Duke Energy Progress service areas.

To participate, homeowners must install both solar panels and battery storage together, use a Duke Energy-approved Trade Ally installer, and go through a random selection process that opens May 10th with a four-week application window. Participants have two enrollment options: they can join through a residential solar choice rider (RSC) or a net metering bridge rider (NMB). Those choosing the NMB option must also enroll in Duke Energy’s Power Manager and EnergyWise Home Battery Control programs, which provide additional monthly bill credits in exchange for allowing Duke Energy to temporarily use stored battery power during peak demand periods (30-36 times per year). The exact incentive amount depends on the specific solar array and battery system installed, and not all equipment qualifies for the program.

The Net Metering Bridge Rider (NMB) is a transitional solar compensation program offered by Duke Energy Progress and Duke Energy Carolina in North Carolina. This program replaced the previous 1-to-1 net metering system and allows homeowners with solar panels to receive credits for excess electricity they send back to the grid. Under NMB, you’ll receive full retail rate credit for solar energy you use directly in your home, but any excess energy exported to the grid each month is credited at a reduced rate of 3.4 cents per kWh.

The program includes additional monthly charges that homeowners should factor into their solar savings calculations. Duke Energy Progress customers pay a $28 minimum monthly charge plus $0.62 per kW DC of solar capacity installed each month. Duke Energy Carolina customers pay a $22 minimum monthly charge plus $0.28 per kW DC per month. Credits are settled monthly with no annual rollover, meaning unused credits don’t carry forward to the next year. The NMB program has limited annual capacity, and once that capacity is filled, new solar customers will need to enroll in the Residential Solar Choice program, which requires time-of-use billing with critical peak pricing.