NYC Solar Overview
New York City presents unique solar challenges—dense urban environment, many multi-family buildings, limited roof space, and complex ownership structures. But for those with suitable conditions, NYC's high electricity rates (ConEd averages $0.28-0.35/kWh according to EIA data) and state incentives create excellent solar economics. Plus, community solar offers an alternative for those without rooftop access.
ConEd Programs
ConEd Net Metering
ConEd serves Manhattan, Bronx, Brooklyn, Queens, and parts of Westchester. Their net metering program includes:
- Full retail credit: Excess generation credited at full retail rate
- Monthly rollover: Credits carry forward
- Annual settlement: At avoided cost rate
- High rates: $0.28-0.35/kWh = high savings per kWh
ConEd Rate Details
| Rate Component | Details |
|---|---|
| Average Rate | ~$0.28-0.35/kWh |
| Summer Peak | Even higher (demand charges for some) |
| Net Metering Credit | Full retail rate |
| Trend | Consistently rising |
New York Incentives
NY-Sun Program
- Upfront incentive: $/W rebate on installation cost
- Block structure: Earlier blocks have higher incentives
- ConEd-specific blocks: NYC may have separate incentive blocks
- Adders: Additional incentives for LMI, affordable housing, etc.
State & City Tax Credits
- NY State tax credit: 25% of system cost (up to $5,000)
- NYC property tax abatement: May be available for certain installations
- Property tax exemption: Solar doesn't increase property tax assessment
Federal Tax Credit (2026 Update)
| Purchase Type | Federal Credit | Notes |
|---|---|---|
| Cash/Loan Purchase | None (25D expired) | Ended Dec 31, 2025 |
| PPA/Lease | 30% (48E) | Through Dec 2027 |
Costs & Savings in NYC
Typical System Costs
| System Size | Gross Cost | After NY Incentives* |
|---|---|---|
| 5 kW | $18,000-22,000 | $13,000-17,000 |
| 7 kW | $25,000-30,000 | $18,000-23,000 |
| 10 kW | $35,000-42,000 | $26,000-32,000 |
*After NY-Sun + NY State tax credit; costs higher in NYC due to installation complexity
Savings Estimates
- Electricity offset: $300-400/year per kW (at ConEd rates!)
- Payback period: 5-8 years (with all incentives)
- 25-year savings: $40,000-70,000
Community Solar Option
For the many NYC residents who can't install rooftop solar (apartments, co-ops, condos, unsuitable roofs), community solar offers an alternative.
How Community Solar Works in NYC
- Subscribe to a project: Larger solar array elsewhere in ConEd territory
- Bill credits: Receive credits on your ConEd bill
- Typical savings: 10-15% off your electric bill
- No installation: No equipment on your building
- Flexible: Can cancel if you move (within ConEd territory)
The Bottom Line
NYC has excellent solar economics but significant practical barriers.ConEd's sky-high rates mean those who CAN install solar see some of the fastest payback periods in the country (5-8 years). But many New Yorkers face building constraints that make rooftop solar impossible.
For rooftop candidates: If you own a single-family home, townhouse, or are on a co-op/condo board willing to install solar, the economics are exceptional. NY State tax credit + NY-Sun incentives + high ConEd rates = fast payback.
For everyone else: Community solar is a viable alternative that provides meaningful savings without installation. Look for ConEd community solar programs that offer 10%+ bill credits.
Questions About NYC Solar?
Our AI can help you understand ConEd programs, NY-Sun incentives, and whether rooftop or community solar is right for you.
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