VA incentive guide
Virginia solar incentives in 2026
Last updated · every VA program below is verifiable against the sources at the foot of this page.
The most valuable solar incentive in Virginia right now is SREC market plus local property tax exemptions. Overall, the state's incentive stack rates as limited compared with the rest of the country.
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 Virginia this year, there is no federal credit. That is a roughly $7,920 swing on an $26,400 system compared with 2025 pricing, and it is why state programs matter more now than they did a year ago.
What Virginia offers at a glance
| Incentive | Available? | Details |
|---|---|---|
| State income tax credit | No | — |
| Rebate or performance payment | No | — |
| SREC market | Yes | Virginia has a solar renewable energy certificate market you can sell into. |
| 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.
Virginia solar tax credit
There is no Virginia solar tax credit in 2026, and no federal one either — Section 25D ended for systems installed after December 31, 2025. What Virginia does offer on the tax side is property tax exemption, covered below.
Virginia solar rebates and grants
Virginia 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. Virginia does have a solar renewable energy certificate (SREC) market, which pays per megawatt-hour your system generates rather than up front.
Virginia has no state tax credit; an SREC market exists with modest prices, and property tax exemptions apply in many localities.
Net metering and export rates in Virginia
Virginia requires retail-rate net metering for residential systems up to 25 kW at its investor-owned utilities, with rules periodically revisited by the SCC.
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 Virginia home at an assumed $0.14/kWh, that difference compounds across a 25-year system life.
What this means for your numbers
A typical 8 kW system in Virginia costs roughly $20,000–$26,400 installed before incentives, producing about 10,640 kWh a year and saving around $1,227 in year one — a simple payback near 16–22 years with no incentives applied. Anything in the table above shortens that.
Frequently asked questions
What are Virginia solar tax credits worth in 2026?
Virginia 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 Virginia have solar rebates?
No. Virginia has no statewide solar rebate or upfront grant program in 2026. It does have an SREC market, which pays you per megawatt-hour generated instead of up front. Individual utilities and municipalities occasionally run their own, so it is worth asking your utility directly.
Is there a Virginia solar property tax exemption?
Yes. Virginia 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 Virginia in 2026?
Virginia has no state tax credit; an SREC market exists with modest prices, and property tax exemptions apply in many localities. 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 Virginia?
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 Virginia have net metering?
Virginia requires retail-rate net metering for residential systems up to 25 kW at its investor-owned utilities, with rules periodically revisited by the SCC. 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 Virginia?
Before incentives, a typical 8 kW system in Virginia runs roughly $20,000–$26,400. With no state credit or rebate available, that figure is close to what you would actually pay. See our full Virginia 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: