Solar power adoption in New Hampshire is influenced by a mix of long-standing policies and new funding streams. And, as we all know, the clock is ticking on certain 2025 NH solar incentives.
While recent attention has focused on the federal Solar for All program and the $23 million grant earmarked for the state, homeowners and businesses still have access to a broader set of incentives that drive real savings.
Step back from the news cycle to give you the complete picture: from the 30% federal tax credit to net metering, property-tax exemptions, SRECs, and the order of operations if you are planning a project in 2025.
Get to know what’s possible in terms of New Hampshire solar incentives with this guide.
Table of Contents
Does New Hampshire have a state solar tax credit?
No. New Hampshire does not offer a state income-tax credit for solar. Most households rely on the federal Residential Clean Energy Credit, worth 30% of qualified project costs for systems placed in service through 2032, claimed on IRS Form 5695. Batteries installed with or after your PV also qualify. If your credit is larger than your tax bill this year, you can carry the remainder forward.
Is the NH residential solar rebate still available?
No. The longtime $0.20/W residential rebate was repealed in 2024 by Senate Bill 303, and the NH Department of Energy confirms the program is permanently closed, with limited processing only for pre-existing submissions. If you see blogs promising a state rebate in 2025, they are out of date.
How does net metering work in New Hampshire?
Net metering credits you for surplus power your array exports. For small customer-generators (≤100 kW AC), Eversource shows how bill credits are calculated — Default Energy Service + Transmission + 25% of Distribution — and confirms you enroll for net metering through the standard Application to Connect (there is no separate NEM form). Eversource also allows one payment request per year after the March billing cycle if your credit balance exceeds $100. Liberty Utilities, Unitil, and NHEC have similar structures under statewide rules outlined in PUC Chapter 900.
Quick reminder before you apply: complete, accurate interconnection paperwork prevents delays. Your installer usually handles it, but it helps to know what is being submitted in your name.
What about renters or homes that cannot host panels?
New Hampshire’s group net metering lets a host project share bill credits with other customer accounts. This is how many off-site and community solar deals flow savings to renters and condo owners. If you are evaluating a share, skim the DOE overview and the PUC 900 rules to understand roles, caps, and registration.
For income-qualified households, the state’s Low- and Moderate-Income (LMI) Community Solar track uses Renewable Energy Fund grants to seed projects that pass savings to eligible residents. Check current and archived RFPs to see which programs are active in your utility territory.
Are solar panels exempt from property tax in NH?
Often, yes — but it is local-option. Towns and cities can adopt an exemption under RSA 72:61-:66 so the added value of the solar equipment is not taxed. Many municipalities offer a 100% exemption of equipment value once you file Form PA-29 (due April 15). Local assessor pages such as Concord or Derry provide clear instructions.
Do I pay sales tax on a solar installation?
No. New Hampshire has no general sales tax, which effectively knocks a few percent off your project compared with neighboring states.
Can I earn or sell SRECs in NH?
Yes. NH’s Renewable Portfolio Standard includes a Class II (solar) obligation. When your system produces 1 MWh, it can generate a REC that may be sold to entities that need them for compliance. Residential systems often aggregate credits via third-party platforms. For definitions and the current “eligible facilities” lists, see the DOE’s REC Certification page.
What changed recently with federal LMI solar funding?
In September 2025, the EPA announced it would terminate $7B in Solar for All awards, and an appeals panel allowed the agency to proceed while lawsuits continue. Many planned programs are paused or canceled. This is separate from New Hampshire’s state LMI community-solar grants, which are funded by the Renewable Energy Fund and continue via periodic RFPs.
How much do solar panels cost in NH in 2025?
Recent quotes average about $3.03/W installed, or roughly $15,000 before incentives for a 5 kW system, with real-world ranges by roof and equipment. Apply the 30% federal credit and your net cost drops accordingly.
The smart order of operations
Start with a design you can vet on paper, then move through approvals in the right sequence.
- Get a site-specific design and quote. Ask for module and inverter models, array layout, estimated annual kWh, and a production guarantee or performance range.
- Submit interconnection (this also enrolls you in net metering). Your installer will file the Application to Connect with your utility. Do not operate the system until the utility sets the right meter and issues permission to operate.
- File your property-tax exemption. If your town has adopted it, complete Form PA-29 by April 15 so the equipment value is not added to your assessment.
- Claim the federal credit at tax time. Keep the paid invoice and the utility’s permission-to-operate letter as your placed-in-service proof, then file IRS Form 5695 with your return. Batteries paired with PV also qualify.
Quick reference: what still pays in NH
- Federal 30% credit on PV and batteries through 2032
- Net metering at near-retail value for surplus kWh, with an annual March cash-out option at Eversource
- Local property-tax exemptions in many towns via PA-29
- No sales tax on equipment purchases
- SRECs/RECs under the state RPS (market-dependent)
- State residential rebate is closed — exclude it from your budget
FAQ: New Hampshire solar incentives
How big can my system be and still qualify for small net metering?
Residential and small commercial projects up to 100 kW AC are treated as small customer-generators. Anything larger falls under different crediting rules.
When do Eversource credits cash out?
Eversource allows one payment request per year after the March billing cycle if your account has more than $100 in credit. Otherwise, credits continue to roll forward.
Does the property-tax exemption include batteries?
If your municipality adopted or re-adopted the exemption under the current statutory language, it applies to the full solar energy system, including paired battery storage. You must file Form PA-29 by April 15.
Are there any cash rebates left for homeowners?
No. The state residential rebate program was repealed by SB 303. Only timely applications already in the system were processed.
Can renters participate in solar programs?
Yes. Renters can join through group net metering arrangements or participate in LMI community solar projects funded by the Renewable Energy Fund. In these cases, credits appear directly on the customer’s bill.
What paperwork should I keep for taxes?
Keep your signed contract, paid invoice, and the utility’s permission-to-operate letter. These serve as proof of your placed-in-service date when filing IRS Form 5695 for the federal tax credit.
Conclusion: two layers of NH solar support
New Hampshire’s solar future has two layers right now.
On one side are the core incentives – federal tax credits, net metering rules, and local property-tax exemptions – that apply to most homeowners and businesses year in and year out. On the other side are emerging programs like the Solar for All initiative, designed to expand access for lower- and moderate-income residents.
If you are evaluating solar for your home or business, this guide gives you the baseline rules and paperwork you need to follow. For the latest on the $23 million Solar for All award and how it may affect community solar and LMI households, see our dedicated article here. Together, these resources give you both the foundation and the updates you need to make a smart decision in 2025.