UT incentive guide
Utah solar incentives in 2026
Last updated · every UT program below is verifiable against the sources at the foot of this page.
Utah offers no significant state-level solar incentive. Economics here depend almost entirely on electricity rates and what your utility pays for exported power.
The federal credit is gone — start here
The 30% federal residential clean energy credit (Section 25D) ended for systems installed after December 31, 2025. If you are buying a system in Utah this year, there is no federal credit. That is a roughly $7,560 swing on an $25,200 system compared with 2025 pricing, and it is why state programs matter more now than they did a year ago.
What Utah offers at a glance
| Incentive | Available? | Details |
|---|---|---|
| State income tax credit | No | — |
| Rebate or performance payment | No | — |
| SREC market | No | — |
| Sales tax exemption | No | — |
| Property tax exemption | Yes | The value solar adds to the home is excluded from property tax assessment. |
| Federal tax credit | No | Section 25D ended for systems installed after December 31, 2025. |
Reviewed September 2026. Incentive programs change frequently and several are funding-capped — verify current status with the administering agency or DSIRE before relying on any figure.
Utah solar tax credit
There is no Utah solar tax credit in 2026, and no federal one either — Section 25D ended for systems installed after December 31, 2025. What Utah does offer on the tax side is property tax exemption, covered below.
Utah solar rebates and grants
Utah runs no statewide solar rebate or grant program in 2026. Individual utilities and municipalities sometimes do, and those are rarely advertised well — ask your utility directly what they pay toward a residential install.
Utah’s state solar tax credit phased down to zero for systems installed after 2023. No significant statewide incentive remains.
Net metering and export rates in Utah
Utah’s Rocky Mountain Power credits exports at a net billing export rate well below retail, set through rate proceedings. Municipal utilities vary.
Compare this with net metering in every other state.
Export rules deserve to be read as an incentive. In a retail net metering state, every exported kilowatt-hour is worth the full retail rate; under net billing or avoided-cost compensation, the same kilowatt-hour can be worth a third of that. For a Utah home at an assumed $0.12/kWh, that difference compounds across a 25-year system life.
What this means for your numbers
A typical 8 kW system in Utah costs roughly $19,200–$25,200 installed before incentives, producing about 11,600 kWh a year and saving around $1,147 in year one — a simple payback near 17–22 years with no incentives applied. Anything in the table above shortens that.
Frequently asked questions
What are Utah solar tax credits worth in 2026?
Utah offers no residential solar income tax credit in 2026, and the 30% federal credit ended for systems installed after December 31, 2025. What remains on the tax side is property tax exemption, which lower cost indirectly rather than paying you back.
Does Utah have solar rebates?
No. Utah has no statewide solar rebate or upfront grant program in 2026. Individual utilities and municipalities occasionally run their own, so it is worth asking your utility directly.
Is there an Utah solar property tax exemption?
Yes. Utah excludes the value solar adds to a home from property tax assessment, so a system that raises your home's value does not raise your annual tax bill.
What solar incentives are available in Utah in 2026?
Utah’s state solar tax credit phased down to zero for systems installed after 2023. No significant statewide incentive remains. In short, Utah homeowners are largely relying on utility export compensation rather than incentives. Because the federal Section 25D credit ended for systems installed after December 31, 2025, these state, local and utility programs are now the entire incentive picture for a purchased system.
Is there still a 30% federal solar tax credit in Utah?
No. The 30% federal residential clean energy credit (Section 25D) ended for systems installed after December 31, 2025 under the One Big Beautiful Bill Act. Any quote or website still applying 30% to a 2026 purchased installation is out of date. Leased and PPA systems can still benefit indirectly, because the third party that owns the system may claim the commercial 48E credit through 2027 and pass some of the value through in pricing.
Does Utah have net metering?
Utah’s Rocky Mountain Power credits exports at a net billing export rate well below retail, set through rate proceedings. Municipal utilities vary. Export rules are effectively an incentive — often the largest one — because they set what every kilowatt-hour you do not use on site is worth.
How much do incentives change the cost of solar in Utah?
Before incentives, a typical 8 kW system in Utah runs roughly $19,200–$25,200. With no state credit or rebate available, that figure is close to what you would actually pay. See our full Utah cost breakdown for payback math.
Verify before you rely on any of this
Incentive programs open, close, deplete their funding and change their caps — often mid-year. This page is a starting point reviewed September 2026, not tax advice. Confirm with: