New Jersey Solar Incentives (2026)
New Jersey homeowners qualify for the 30% federal solar tax credit. Net metering policy: Full Net Metering. Average payback period: 7.5 years.
30%
Federal ITC
None
State Tax Credit
None
State Rebate
Full Net Metering
Net Metering
Federal Solar Incentives (Available in New Jersey)
Federal Solar Investment Tax Credit (ITC)
Tax Credit30% of system cost
The federal ITC allows homeowners to deduct 30% of solar installation costs from federal taxes. Available for systems installed through 2032, stepping down to 26% in 2033 and 22% in 2034.
Expires: 2034-12-31
New Jersey-Specific Solar Incentives
New Jersey TRECs
SREC / REC Program$150-200/TREC
Transition Renewable Energy Certificates provide ongoing revenue for solar system owners.
New Jersey Sales Tax Exemption
Tax Credit100% sales tax exempt
Solar energy systems are exempt from New Jersey's sales tax.
New Jersey Solar Overview
Peak Sun Hours
4.0 hrs/day
Avg Payback Period
7.5 years
20-Year Savings
$38,200
Electricity Rate
18.48¢/kWh
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Data verified March 2026 · Source: DSIRE, NREL, EIA