New Mexico Solar Incentives (2026)
New Mexico homeowners qualify for the 30% federal solar tax credit plus a 10% state tax credit. Net metering policy: Full Net Metering. Average payback period: 7.5 years.
30%
Federal ITC
10%
State Tax Credit
None
State Rebate
Full Net Metering
Net Metering
Federal Solar Incentives (Available in New Mexico)
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 Mexico-Specific Solar Incentives
New Mexico Solar Market Development Tax Credit
Tax Credit10% up to $6,000
New Mexico offers a tax credit of 10% of purchase and installation costs, up to $6,000.
Expires: 2027-12-31
New Mexico Solar Overview
Peak Sun Hours
6.2 hrs/day
Avg Payback Period
7.5 years
20-Year Savings
$36,800
Electricity Rate
15.34¢/kWh
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Data verified March 2026 · Source: DSIRE, NREL, EIA