Florida Solar Incentives 2026: Complete Guide

Florida is one of the best states for solar, offering full retail net metering, property tax exemptions, and sales tax waivers. With year-round sunshine, now is the time to go solar in the Sunshine State.

Florida Solar Incentives Overview

Florida is the Sunshine State for a reason—with over 300 sunny days per year, solar makes perfect sense. Florida has strong net metering policies, generous tax exemptions, and utilities that actively support rooftop solar.

Florida Solar in 2026
Florida ranks #3 in the nation for solar installations. With full retail net metering, 100% tax exemptions, and the 30% federal ITC, typical payback period is 7-9 years. Average savings: $20,000-$30,000 over 25 years.

Current Incentive Summary

IncentiveValueAvailability
Federal ITC (PPA/Lease only in 2026)30% via 48E (company claims it)Through Dec 2027 (PPA/Lease only)
Net MeteringFull retail rateAll IOUs
Property Tax Exemption100% exemptionAll homeowners
Sales Tax Exemption6% exemptionAll solar equipment
[Editor's Note, Feb 2026]:Florida utilities have been lobbying to reduce net metering rates. While current policies remain favorable, installing solar now locks in grandfathered rates for 20+ years. Act quickly to protect your investment.

Federal Tax Credit Update: What Changed in 2026

Important 2026 Update: The 30% residential ITC (25D) for homeowner-purchased solar systems (cash or loan) expired on December 31, 2025. There is no longer a federal tax credit for purchased systems.

  • PPA/Lease: Solar company claims a 30% commercial credit (48E) through Dec 2027, typically passes savings to you as lower rates
  • Purchased systems (cash/loan): No federal credit available in 2026
  • Stackable: Combines with Florida tax exemptions
  • Requirements: System must be at your primary residence

Example savings:

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    Florida Property Tax Exemption

    Florida provides a 100% property tax exemption for residential renewable energy systems. This means installing solar will NOT increase your property taxes—any added value from solar is completely exempt.

    • Exemption: 100% of added value is exempt
    • Automatic: Applied when you install solar
    • Savings: Can save $1,500-$4,000/year in property taxes over 20+ years

    Sales Tax Exemption

    Florida waives the 6% state sales tax on all solar equipment. This includes panels, inverters, mounting hardware, wiring, and battery storage systems.

    • Savings: $1,000-$2,000 on typical system
    • Automatic: Applied at point of sale by installer
    • Covers: All solar equipment + batteries

    Net Energy Metering

    Florida requires investor-owned utilities to offer full retail net metering. This is one of the best net metering policies in the country—you receive credit at the exact rate you pay for electricity.

    How Net Metering Works in Florida

    • Credit Rate: Full retail rate ($0.13-0.16/kWh)
    • System Size Limit: Up to 115% of annual usage
    • Annual Payout: Excess credits paid in January
    • Grandfathering: Rates locked for 20+ years
    UtilityService AreaNet Metering
    FPLMost of FloridaFull retail
    Duke EnergyCentral/North FloridaFull retail
    TECOTampa BayFull retail
    FPUNorth FloridaFull retail

    Utility Programs

    FPL (Florida Power & Light)

    • Net Metering: Full retail rate
    • SolarTogether Program: Community solar option
    • Energy Efficiency Rebates: Available for qualifying upgrades

    Duke Energy Florida

    • Net Metering: Full retail rate
    • EnergyWise Home Program: Rebates for efficiency upgrades
    • Solar Rebates: Occasional promotional offers

    Tampa Electric (TECO)

    • Net Metering: Full retail rate
    • Energy Conservation Programs: Rebates available
    • Solar Water Heating Incentives

    Local Utility Programs

    Several Florida municipalities and co-ops offer additional incentives:

    • Orlando Utilities Commission (OUC): Battery rebate programs
    • JEA (Jacksonville): Battery incentive programs
    • City of Tallahassee: Energy efficiency loans
    • Boynton Beach: Energy Edge Rebate program
    • Dunedin: Solar Energy Grant Program

    Calculate Your Total Savings

    Here's how to estimate your total incentives when going solar in Florida:

    Example: 10kW System ($23,000)

    System Cost$23,000
    Federal ITC (PPA/Lease only in 2026)-$6,900
    Sales Tax Exemption (6%)-$1,380
    Net Cost After Incentives$14,720

    What's the best way to maximize Florida solar savings?

    Follow these steps:

    1. Install now to lock in grandfathered net metering rates
    2. Explore PPA/Lease options to benefit from the 30% commercial credit (48E) on your taxes
    3. Add battery storage for backup power during hurricanes
    4. Size your system to 100-115% of annual usage
    5. Get quotes from multiple installers

    How to Claim Your Incentives

    1. Federal ITC: Claim on IRS Form 5695 when filing taxes
    2. Property Tax: Automatic—no application needed
    3. Sales Tax: Applied at point of sale
    4. Net Metering: Sign up through your utility
    5. Local Programs: Apply through your specific program

    Related Guides

    LP

    Written by

    Lincoln Panasy

    Founder, SolarQuest AI • Solar Expert Since 2018

    Lincoln created SolarQuest AI after seeing too many homeowners get burned by pushy solar salespeople. With 8 years of experience in the solar industry since 2018, he writes and reviews all content on this site—combining his real-world expertise with AI tools to deliver accurate, unbiased solar education.