Solar Panels in Maryland (2026 Guide)

Q: How much do solar panels cost in Maryland in 2026?

Roughly $2.50–$3.00 per watt — about $13,000–$15,000 for a 5 kW system and $26,000–$30,000 for a 10 kW system, before incentives.

Q: Does Maryland have a solar tax credit?

No active state income tax credit in 2026 (the prior credit ran out of funding), but there is a $1,000 Residential Clean Energy Rebate. The 30% federal credit expired December 31, 2025.

Q: Does Maryland have net metering and SRECs?

Yes to both — full retail (1:1) net metering with an annual true-up, plus an SREC II market where SRECs recently traded around $60–$90.

Q: Is solar worth it in Maryland?

For most homeowners, yes — full net metering, relatively strong SREC II values, a $1,000 rebate, and property and sales tax exemptions make it one of the better Mid-Atlantic markets despite no income tax credit.

Maryland is often the strongest Mid-Atlantic solar deal in 2026. It combines full retail net metering, a relatively healthy SREC II market, a $1,000 rebate, and both property and sales tax exemptions. There's no active state income tax credit, but the rest of the stack more than makes up for it.

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How Much Do Solar Panels Cost in Maryland?

Maryland installs run roughly $2.50–$3.00 per watt before incentives:

5 kW system: ~$13,000–$15,000
10 kW system: ~$26,000–$30,000

See our 2026 cost breakdown.

Maryland Solar Incentives in 2026

SREC II income

Maryland has an active SREC II market, with SRECs recently trading around $60–$90. A 5 kW system adds roughly $330/year; a 7 kW Baltimore system about $450–$630/year (prices are the most volatile variable).

$1,000 Residential Clean Energy Rebate

Maryland still offers a flat $1,000 rebate (a grant, not a tax credit) for residential solar.

Property & sales tax exemptions

Solar's added value is exempt from property tax (eligible counties), and equipment is exempt from the 6% state sales tax (~$2,000+ savings on a typical install).

No active state income tax credit; no federal credit in 2026

Maryland's prior state credit ran out of funding and isn't active in 2026, and the 30% federal residential credit expired December 31, 2025. See our 2026 tax credit guide and incentives guide.

Net Metering in Maryland

Maryland offers full retail (1:1) net metering. BGE (~14–16¢/kWh) and Pepco (~15–17¢/kWh) credit exports at the retail rate, with an annual true-up in April (any surplus is cashed out at a lower avoided-cost rate, so size to your usage).

Is Solar Worth It in Maryland?

For most homeowners, yes — full net metering preserves your production value, SREC II adds income, the $1,000 rebate and tax exemptions cut cost, and rates are moderate-to-high. A custom quote for your utility (BGE or Pepco) shows your real payback.

Frequently Asked Questions

How much do solar panels cost in Maryland in 2026?
Roughly $2.50–$3.00 per watt — ~$13,000–$15,000 for 5 kW, $26,000–$30,000 for 10 kW.

Does Maryland have a solar tax credit?
No active state income tax credit, but a $1,000 rebate. The federal credit expired December 31, 2025.

Does Maryland have net metering and SRECs?
Yes to both — full retail net metering and SREC II (~$60–$90/SREC).

Is solar worth it in Maryland?
For most homeowners, yes — one of the better Mid-Atlantic markets.

Sources

Incentives, SRECs & net metering: SolarReviews, EnergySage, Maryland SolarTech. Costs: GreenEnergyCalc. Federal credit expiration: IRS OBBB FAQ.