North Carolina

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 excluded from property taxation. However, if you use your solar system to generate income by selling electricity or claim business depreciation on your tax returns, the system is considered business property and only receives the 80% exclusion. Business-installed solar systems typically fall under this 80% exclusion category. County assessors will evaluate your specific situation using documentation like tax returns, utility agreements, and system receipts to determine the appropriate tax treatment.

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. Led by the North Carolina Department of Environmental Quality’s State Energy Office, this initiative aims to reduce energy costs while promoting clean energy adoption.

While specific dollar amounts for individual homeowners aren’t detailed in the available information, the program is designed to provide meaningful financial benefits by lowering monthly energy bills through solar installations. The program targets low-income and disadvantaged communities, suggesting income-based eligibility requirements, though exact qualification criteria haven’t been announced yet. The initiative will also include workforce development and community engagement components to ensure benefits reach the intended communities.

Homeowners interested in this program should visit www.energizeNC.org to stay updated on deployment details and sign up for program notifications. Since this is a newly announced program, specific application processes, deadlines, and detailed eligibility requirements are still being developed. The program represents a significant opportunity for qualifying North Carolina residents to access solar energy benefits that might otherwise be financially out of reach.

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 choose to install.

To participate, you must live in Duke Energy’s service area in North Carolina and work with 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 battery control program, which allows the utility to use your stored energy during peak demand times up to 36 times per year in exchange for monthly bill credits. You can opt out of up to four events annually and still receive these credits.

Keep in mind that not all solar and battery systems qualify for this program, so you’ll need to check Duke Energy’s approved equipment list before making your selection.

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 this monthly net metering system, you’ll receive full retail credit for solar energy that offsets your home’s electricity use during the same month.

Here’s how the financial benefits work: Any excess solar energy you produce beyond what your home uses in a month gets carried forward as a credit at 3.4 cents per kWh – significantly less than the retail rate you pay for electricity. Duke Energy Progress customers pay a $28 minimum monthly charge plus $0.62 per kW DC of solar capacity each month, while Duke Energy Carolina customers pay a $22 minimum monthly charge plus $0.28 per kW DC monthly. All credits are settled monthly rather than annually.

To be eligible for NMB, you must have submitted your solar interconnection application starting October 1, 2023, and the program continues until Duke Energy reaches its annual capacity limit. Once that capacity is filled, new solar customers will need to enroll in the Residential Solar Choice program instead, which requires a time-of-use rate schedule with critical peak pricing. The previous 1-to-1 net metering program closed to new customers on October 1, 2023, though existing customers remain grandfathered until January 1, 2027.