Massachusetts Solar Panels: Pricing & Incentives for 2024

Massachusetts Solar Panels
Pricing & Installation Data

Find out if solar panels are right for your home in Massachusetts.

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Solar Panels in Massachusetts

The Bay State is making waves in the solar energy scene. With projects like the massive 7.1 MW Happy Hollow Community Solar Farm, and over 80 initiatives turning old landfills into energy goldmines, they're setting the pace. The state's even set its sights on net zero emissions by 2050, and the Baker Administration is backing it up with actions like boosting net metering caps and rolling out a $30 million solar loan program for the folks at home.

Of course, it hasn't all been smooth sailing. There have been a few hiccups with net metering limits, but they're on it, tweaking policies to fuel growth and ease the burden on ratepayers. And if you're thinking of going solar yourself, there's good news: small systems have no net energy metering limits, though the big ones have a few rules to follow. All things considered, Massachusetts is turning on the charm and the power when it comes to solar energy!

While solar power and other renewable energy options are booming in popularity, there is much to consider. Whether you are trying to reduce your carbon footprint or your utility bills we’ll walk you through the most important factors to help you make the best energy decision.

Cost of Solar in Massachusetts

The average price for a home solar panel system in Massachusetts is $19,920 for a 6kW system or about $3.32 per watt. Systems will vary depending on the solar installation company the types of solar panels you choose and the size of your system. When shopping for solar panels you should consider getting multiple quotes from various installers.

Average Cost
6 kW System
Average Cost
10 kW System
Estimated
Tax Credit
(10 kW System)
Average
Cost/Watt
U.S.Average$18,771$31,285$9,385.50$3.13
Massachusetts$19,920$33,200$9,960$3.32
U.S.Average$18,771$31,285$9,385.50$3.13
Most Costly State(Michigan)$22,680$37,800$11,340$3.78
Least Costly State(Arizona)$14,640$24,400$7,320$2.44

Costs by Solar System Size in Massachusetts

For many in Massachusetts, the best solar system size is a balance between cost and how much power it can make. The idea is to create enough electricity for your house without spending too much money.

In other words, you want the best deal for your money.

System SizeSystem CostCost After Federal Tax Credit
5 kW$16,600$8,785
6 kW$19,920$10,542
7 kW$23,240$12,299
8 kW$26,560$14,056
10 kW$33,200$17,570

Pros and Cons of Solar in Massachusetts

In Massachusetts, solar panels have both good and bad sides. Before buying, it's smart to think about the pros and cons with putting solar panels on your home. Our goal is to outline the main factors you should consider to help you make your own decision on solar.

Massachusetts Solar Pros

  • Reduce or eliminate electric bills
  • Energy independence from the grid
  • Reduce your carbon footprint
  • Increase home value (4.1% on average)
  • There is statewide net metering
  • 15% Residential Renewable Energy Income Tax Credit for homeowners that install solar
  • Residential Solar purchasers are exempt from 6.25% sales tax
  • Massachusetts ranks 11th in solar in the U.S.
  • There are solar buy-back plans available

Massachusetts Solar Cons

  • Not viable for all roofs or homes
  • Installation costs
  • Financial liability
  • Fewer savings than other states
  • No statewide solar tax credit

EnergyBot's Take

In Massachusetts, going solar for a residential homeowner seems like a feasible and sustainable idea, especially when you consider the costs and incentives. 

The initial cost of solar installation can be offset by the state's $30 million residential solar loan program and the federal solar tax credit. Net Energy Metering is also available for systems under 10 kW. Net Metering allows  homeowners to earn credits for excess energy. With these incentives, the payback period might be as short as 5-7 years. Homeowners can potentially save on monthly bills, especially since electricity rates in Massachusetts are generally higher than the national average.

The decision to go solar isn't just about the financials; it's also about aligning with the state's commitment to renewable energy and reducing greenhouse gas emissions. By investing in solar, homeowners in the Bay State can contribute to a greener future and hedge against rising electricity costs. Of course, individual circumstances can vary, so consulting with a local expert to understand all the costs, incentives, and potential savings is always a wise move. But overall, the outlook for residential solar in Massachusetts seems sunny!

If you are on the fence you can use this tool to get an accurate cost breakdown for your home based on your historical energy usage.

Leasing vs Buying Solar Panels in Massachusetts

There are several ways you can purchase and/or finance your solar panel installation in Massachusetts. Your goals and financial situation will dictate which option is best for you.

Cash Purchase

The most straightforward option. You pay upfront for the entire cost of the rooftop solar system. No interest, and fewer headaches, but many people are hesitant about spending several tens of thousands of dollars out of pocket.

Solar Loan

The most common method for buying solar systems. Like many other types of large purchases, you can finance your solar system through a bank or solar loan provider.

This sounds great, and many other solar loan salespeople will leverage the low payment to justify the costs. You will likely hear something like "You pay $250 a month on your electric bill, with a solar loan you will pay $200 and have free electricity."

Do your due diligence before you sign on the dotted line. There are many horror stories of variable loan terms, ballooning interest rates, and harsh missed payment penalties.

Solar Lease

Leasing solar panels generally involves less money out of pocket upfront. But, it's important to note - you do not own your solar energy system. You essentially renting the solar system. A solar provider will install the equipment and charge you a fixed monthly fee.

Most solar lease contracts last for a couple of decades, during which time the provider will keep an eye on the system's hardware and performance. At the end of your lease, you can choose to:

  • Renew your lease agreement
  • Purchase the system
  • End your lease agreement

Solar leases can be complicated. Not all are bad, but in many cases the lease terms in not in favor of the buyer. Before you decide on a solar lease make sure to read your contract thoroughly. If you don't understand something, ask an expert.

Power Purchase Agreements

A power purchase agreement (PPA) is a financial agreement where a solar company will design and install a solar system on your home or business with little or no cost upfront. Instead of paying a monthly fee like a lease, the agreement includes a fixed price per kilowatt-hour (kWh) of electricity generated.

For example, you agree to pay $0.12 per kWh of electricity generated for the next 20 years. The solar company will install and maintain your system and sell the power back to you that you use. They may also collect payment for any additional energy they put back into the grid.

Just like a lease, you do not own the panels. When the contract is up, they will either be removed or your contract may have other terms for you to buy or renew your power purchase agreement.

Power purchase agreements can be complicated. Before you sign make sure you review the contract and if possible have an expert in power purchase agreements review the details.

Massachusetts Solar Incentives

Solar incentives are designed to make going solar both appealing and financially feasible for homeowners. 

Massachusetts has Mass Solar Loans, a residential solar loan program, that has $30 million worth of funds to help with the initial costs of installation for residents. On top of that, there's Net Energy Metering, allowing systems under 10 kW to earn credits for any excess energy sent back to the grid. These state-level incentives can be combined with the federal solar tax credit, offering a substantial financial boost to those looking to invest in solar energy. 

Overall, Massachusetts has created a favorable environment for solar adoption, making it easier for homeowners to see a quicker return on their investment.

This table shows the available incentives in Massachusetts. But, just because you don't see it here doesn't mean it doesn't exist. Check with your local utility for other potential incentives.

Sun & Wind: Massachusetts Investing in Renewable Energy

Massachusetts, a state that's seriously upping its game in the renewable energy scene. First off, solar is king here. Rooftop panels and solar arrays are popping up everywhere. The state's solar capacity is blowing past what people thought was possible. It is the largest contributor to renewable energy in the state.

But don't blow past offshore wind—Massachusetts has plans to install a massive 5,600 megawatts of offshore wind power by 2027! Yeah, you read that right. That’s enough to power approximately 1.4 million average American homes for a year! With strong winds coming off the Atlantic, they’re aiming to take advance of everything they’ve got.

It's not all sunshine and breezy days. Pulling off this offshore wind project is going to take coordination, investments, addressing environmental concerns, and more. And let's not forget, Massachusetts is shooting for net-zero greenhouse gas emissions by 2050. That's a tall order and will need some smart policies to make it happen. Think incentives for going green and making buildings and transportation way more energy-efficient. So, stay tuned, because Massachusetts is one to watch in the renewable energy race!

Why Trust EnergyBot

We have helped thousands of customers find electricity plans for their home or business. And we are pretty darn good at it, with over 1,000 5-Star reviews we know how to help you stay powered up.

Now using the same one-of-kind technology and platform we are helping consumers in Massachusetts decide if solar is right for them. You will notice that sometimes our numbers make solar look less attractive. That's not by accident. We believe you should have full transparency during the solar purchasing process.

We aren't here to sell you something. We are here to help you make the best energy decision for your home or business.

Massachusetts Solar FAQs

The cost of solar panel installation in Massachusetts can vary significantly based on a number of factors, including the size and type of the system, the complexity of the installation, your solar installer, and the specific location. However, the average cost of solar panels in the U.S. was about $3.13 per watt, before any incentives or tax credits.

A typical residential solar system is usually around 8 kilowatts (8,000 watts), but varies based on energy use and the size of the house. The US average cost for a 6 kW system is $18,771 and the US average cost for a 10 kW system is $31,285, before incentives. The average price for a home solar panel system in Massachusetts is $21,240 for a 6kW system or about $3.54 per watt, higher than the US average.

The number of solar panels you would need depends on a variety of factors such as:

  1. Your home's energy consumption: The first step is to calculate your household's energy use. You can do this by looking at your electricity bills to see how much electricity you use in a year, usually measured in kilowatt-hours (kWh). The average U.S. home uses around 10,400 kWh per year, but this can vary widely based on the size of your home, the efficiency of your appliances, and your personal habits.
  2. The amount of sunlight your location receives: This can vary depending on where you live. For example, if you live in a place that has many sunny days like Arizona, you might require fewer solar panels compared to someone living in a place with less sunlight like Seattle.
  3. The efficiency of the solar panels: Not all solar panels are created equal. Some panels can convert sunlight into electricity more efficiently than others. On average, residential solar panels have an efficiency rating between 15-20%. The higher the efficiency, the fewer panels you would likely need to meet your energy needs.
  4. The size of the solar panels: Solar panels also come in different sizes. A common size for residential use is roughly 65 inches by 39 inches. Each panel typically produces around 250 to 400 watts of power, but this can vary.

To give you a rough estimate, let's say you live in a location that receives about 5 hours of peak sunlight per day, your solar panels have an efficiency of 20%, and each panel has a power rating of 300 watts. If your home uses about 10,400 kWh per year, you would divide this by 365 to get your daily energy use (about 28.5 kWh). You would then divide this by the hours of peak sunlight (5 hours), to get your required power output per hour (about 5.7 kW). If each solar panel produces 300 watts (or 0.3 kW), you would divide 5.7 kW by 0.3 to get the number of solar panels you need, which would be about 19 panels.

  • Lower Electricity Bills:
    Once your solar panels are installed, you can generate your own electricity and reduce your reliance on the grid, which can lower your monthly bills.
  • Environmental Benefits:
    Solar energy is clean and renewable, so using it helps reduce greenhouse gas emissions and other harmful pollutants.
  • Increased Home Value:
    Installing solar panels can increase the value of your home and make it more attractive to potential buyers.
  • Long-Term Savings:
    While the upfront cost of installing solar energy systems can be high, they can pay for themselves over time through lower energy bills and other savings.
  • Location:
    Homes in areas with lots of sunlight are generally better candidates for solar panels. If your home is shaded or doesn't receive much sunlight, it may not be the best choice.
  • Roof Orientation:
    Ideally, your roof should be facing south to get the most sunlight throughout the day.
  • Roof Condition:
    Your roof should be in good condition and able to support the weight of the solar panels. If your roof needs repairs or replacement, it's best to take care of that before your solar installation.

The installation process for solar panels can take anywhere from a few days to a few weeks, depending on the size of the system and the complexity of the installation.

Your installer should be able to give you an estimated timeline based on your specific project.

Solar panels generally require very little maintenance. However, it's a good idea to have them inspected every few years to ensure they are working properly and to clean off any debris or dirt that may have accumulated on the panels. Most solar panel installers offer maintenance services for an additional fee.

There are two main types of solar panels: Monocrystalline and Polycrystalline. There are pros and cons to both. Either type can produce enough solar power for your home. We recommend getting a recommendation from a solar installer for your home. Depending on your budget, location, and other factors they can recommend the most efficient solar panels for your home. 

Some skilled DIYers may be able to save some solar installation costs by installing solar equipment themselves. But, any solar installation will require a foundational knowledge of wiring and electricity. There's is a lot that can go wrong, posing a potentially deadly hazard.

Before you try to DIY your system we would recommend getting a quote from a solar installer. You may find that the labor costs of your install is relatively small compared to the cost of the solar equipment itself.

Securing a residential permit for solar installation in Massachusetts is a crucial step. The process may vary by local jurisdiction but generally involves submitting a permit application to the local building department, along with items like site plans and system specifications. 

Many local governments in Massachusetts have streamlined this process to encourage solar adoption, and resources are available to assist homeowners. For specific guidelines, homeowners should consult their city or county building department, where staff can provide details on required documentation and fees. The Massachusetts Department of Energy Resources (DOER) and other state agencies may also offer information on regulations and incentives, while solar installation companies often have experience navigating local permitting requirements and can provide guidance as well.

Boston

Solar Reference Guide

Worcester

City of Worcester Permits Site

Springfield

City of Springfield Permit Site

Lowell

Public Works of City of Lowell