Solar Guide

North Carolina’s Solar Energy System Property Tax Exclusion is a state tax benefit that reduces the property tax burden on solar panel systems. When you install a solar energy system on your property, this incentive excludes 80% of the system’s appraised value from your property tax assessment. This means you only pay property taxes on 20% of your solar system’s value, significantly reducing the ongoing tax costs associated with your solar investment.

The eligibility for this tax exclusion depends on how you use your solar system. If you own a residential solar system and use it primarily to offset your own electricity consumption through net metering (where you receive credits from your utility company), your system qualifies as non-business personal property and is completely exempt from property taxes. However, if you use your solar system to generate income – such as claiming depreciation on tax returns or recognizing income from electricity sales – then your system is considered business property and is subject to property taxes, but still receives the 80% exclusion benefit. County assessors will evaluate your specific situation, and you may need to provide documentation such as tax returns, utility agreements, and system receipts to determine your eligibility status.

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 residential customers who install qualifying solar-plus-battery systems in Duke Energy Carolinas and Duke Energy Progress service areas.

To participate, homeowners must use a Duke Energy Trade Ally installer and install equipment from the approved vendor list. The program uses a random selection process that opens May 10th, with a four-week application window available on Duke Energy’s website. Customers who choose the net metering bridge rider option must also enroll in Duke Energy’s battery control program, which allows the utility to use stored battery power during peak demand periods up to 36 times per year in exchange for monthly bill credits. Homeowners can opt out of up to four events annually while still receiving credits.

This pilot program helps Duke Energy manage grid reliability while supporting North Carolina’s clean energy goals, and participating customers contribute to a cleaner energy future while receiving significant financial benefits for their solar and battery investment.

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.