North Carolina

North Carolina’s Solar Energy System Property Tax Exclusion reduces the property tax burden for homeowners who install solar panels. Under this state tax exemption, qualifying solar energy systems receive an 80% exclusion from their appraised value when calculating property taxes. This means you only pay property taxes on 20% of your solar system’s assessed value, significantly lowering your annual property tax bill.

To qualify for this exemption, your solar system must be considered non-business personal property. This typically applies when you use the system solely for your home’s energy needs through net metering arrangements with your utility company, where you receive credits rather than income payments. However, if you claim depreciation on your tax returns or recognize income from selling electricity back to the utility, your system would be classified as business property and subject to full taxation (though still eligible for the 80% exclusion). County assessors will evaluate each installation individually, so you may need to provide documentation such as utility agreements and tax information to demonstrate your system’s qualifying status.

Solar for All (EnergizeNC) is a groundbreaking state program that received $156 million in federal funding from the EPA to help North Carolina families access affordable solar energy. The program is specifically designed to bring rooftop solar systems to low-income households across the state, helping them save money on their electricity bills while supporting clean energy adoption.

While the announcement doesn’t specify exact dollar amounts for individual homeowners, the program focuses on making solar accessible to families who traditionally couldn’t afford it by removing financial barriers and providing long-term affordability solutions. The initiative prioritizes low-income and disadvantaged communities, including state and federally recognized Tribal lands, and combines solar installations with existing energy efficiency programs to maximize savings.

The program is led by North Carolina’s Department of Environmental Quality State Energy Office, working with Advanced Energy, the NC Clean Energy Technology Center, and the NC Clean Energy Fund. Homeowners interested in this program should visit energizeNC.org for updates on when applications will open and specific eligibility requirements, as the program is still in the early deployment phase following the April 2024 funding announcement.

Duke Energy’s PowerPair pilot program offers North Carolina homeowners up to $9,000 in one-time incentives to install solar panels paired with battery storage systems. This utility program is designed to make home solar plus battery systems more affordable while helping Duke Energy manage the electric grid more effectively. The exact incentive amount depends on the type of solar array and battery system you install.

To participate, you must be a Duke Energy customer in North Carolina and use an approved Duke Energy Trade Ally installer. The program uses a random selection process that opens May 10th, with a four-week application window available on Duke Energy’s website. Participants can choose between two enrollment options: the residential solar choice rider (RSC) or the net metering bridge rider (NMB). If you select the NMB option, you’ll be required to 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 access your battery’s stored power during peak demand periods (30-36 times per year). Not all solar and battery systems qualify for the program, so you’ll need to check the approved equipment list before applying.

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 credit for excess electricity they send back to the grid. Under this monthly net metering system, you’ll first use your solar energy to power your home, and any leftover electricity gets credited to your account at a reduced rate.

The financial benefit provides credits at 3.4 cents per kWh for any excess solar energy you produce beyond what you consume each month. However, there are additional monthly charges: Duke Energy Progress customers pay a $28 minimum monthly charge plus $0.62 per kW DC of solar capacity, while Duke Energy Carolina customers pay a $22 minimum monthly charge plus $0.28 per kW DC. Credits are settled monthly rather than carried over to future months. This program is available to customers who submitted interconnection applications starting October 1, 2023, but only until the annual capacity limit is reached. Once that limit is met, new customers will transition to the Residential Solar Choice program, which requires time-of-use pricing with critical peak rates.