Solar Panels in Delaware (2026 Guide)
Delaware quietly has one of the better solar setups on the East Coast: an upfront state grant, a market where you can sell solar credits, full retail net metering, and no sales tax at all. The federal credit is gone, but those state pieces — plus rising utility rates — keep the math working. Here's what's available in 2026.
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How Much Do Solar Panels Cost in Delaware?
Delaware installs average roughly $2.70–$3.00 per watt before incentives. For a typical home system:
- 5 kW system: ~$13,500–$15,000
- 10 kW system: ~$27,000–$30,000
Your real price depends on your roof, equipment, and installer. See our 2026 solar cost breakdown.
Delaware Solar Incentives in 2026
No federal tax credit in 2026
The 30% federal residential solar tax credit expired December 31, 2025 and is not available in 2026. Some older pages still show it — ignore that. See our 2026 tax credit guide.
The Green Energy Program (GEP) grant
Delaware's Green Energy Program pays an upfront grant for owned residential solar. For Delmarva Power customers, that's about $0.70 per watt, up to $6,000. The amount and rules differ if you're served by Delaware Electric Cooperative or a municipal utility (Newark, Dover, etc.), which run their own versions — so confirm with your specific utility. A few things to know: the grant can't exceed 50% of project cost, leases and PPAs don't qualify (you have to own the system), and you apply within a year of installation.
SRECs — sell your solar credits
Delaware has a market for Solar Renewable Energy Credits (SRECs) — you earn one for every 1,000 kWh your system produces and can sell them for extra income. Recent values have been modest (roughly $30 per credit in early years, dropping over time), and homeowners who take the GEP grant often assign their SRECs as part of the deal — so you don't always keep both. Your installer can explain which path nets you more.
No sales tax
Delaware has no state sales tax, so your solar equipment isn't taxed — a real, if quiet, advantage.
Low-income solar
Delaware runs an income-qualified solar pilot: low-income households can get a small system (up to ~4 kW) at no out-of-pocket cost, and moderate-income households can have ~70% of cost covered (up to ~6 kW). It's a small program, so check current availability.
Net Metering in Delaware
Delaware offers full retail-rate net metering for residential systems (up to 25 kW). Every kWh you export is credited at the full retail rate and rolls forward month to month. One thing to watch: you pick a 12-month "true-up" month, and any unused credits at that point are forfeited (no cash payout) — so systems are sized to match your annual usage rather than wildly overproduce. You still pay the utility's small fixed monthly charge in cash.
Major Delaware Utility
Most of the state is served by Delmarva Power. Delaware's residential rates sit near the national average (~17–18¢/kWh) — but they're rising notably in 2026, with multiple Delmarva increases taking effect through the summer. Rising rates make every kWh your panels offset more valuable and shorten payback.
Is Solar Worth It in Delaware in 2026?
For owner-occupied homes that buy rather than lease, generally yes. Three things carry the math: the GEP grant ($0.70/W up to $6,000 for Delmarva customers) cuts your net cost, full retail net metering preserves the value of every exported kWh, and rising Delmarva rates speed up payback. No sales tax is a bonus. The honest caveats: the federal credit is gone, SREC values are modest and decline over time, leases/PPAs forfeit the grant, and you should confirm the grant fund is currently open before banking on it. A custom quote for your roof and utility shows your real payback.
Frequently Asked Questions
How much do solar panels cost in Delaware in 2026?
Roughly $2.70–$3.00 per watt before incentives — about $13,500–$15,000 for 5 kW and $27,000–$30,000 for 10 kW.
Does Delaware have a solar incentive?
Yes — the Green Energy Program grant (~$0.70/watt up to $6,000 for Delmarva customers; others differ) plus an SREC market. No state tax credit, and the federal credit expired December 31, 2025.
Does Delaware have net metering?
Yes — full retail-rate net metering up to 25 kW, with credits rolling monthly (surplus forfeited at the annual true-up).
Is there sales tax on solar in Delaware?
No — Delaware has no state sales tax.
Can I lease solar and still get the grant?
No — the grant is for owned systems only; leases and PPAs don't qualify.
Sources
Green Energy Program: DNREC. SRECs: Energize Delaware. Net metering & costs: EnergySage. Rate increases: State of Delaware. Federal credit expiration: IRS OBBB guidance.