✅ Federal Incentives
All federal benefits apply in Delaware:
30% Investment Tax Credit (ITC) for residential, commercial, and nonprofit solar projects
MACRS and bonus depreciation for businesses and farms
Nonprofits can use IRA Direct Pay to receive the credit as a cash reimbursement
✅ State Incentives
⚡ Green Energy Program
Delaware offers cash rebates for solar installations through the Green Energy Program, managed by the state in partnership with utility providers:
Delmarva Power customers can receive around $0.70 per watt, up to $6,000
Delaware Electric Cooperative (DEC) offers $0.50 per watt for the first 5 kW and $0.20 per watt beyond that
Municipal utility customers (like Newark or Wilmington) may qualify for rebates between $0.50–$0.75 per watt
Note: Taking a utility rebate may disqualify the system from generating and selling SRECs (see below).
⚡ Net Metering
Delaware law requires all utilities to offer full net metering:
Customers receive full retail rate credit for excess solar generation
Credits roll over monthly; some utilities pay out annually, while others may allow unused credits to expire after 12 months
⚡ Solar Renewable Energy Credits (SRECs)
Solar system owners can earn one SREC for every 1,000 kWh (1 MWh) generated. These credits can be sold in the market, providing a potential income stream. However, accepting certain rebates (e.g., from Delmarva) may require forfeiting SREC rights.
⚡ Low- & Moderate-Income Solar Pilot
Delaware has a dedicated solar program for income-qualified residents:
Low-income households can receive up to a 4 kW solar system installed at no cost
Moderate-income households can have up to 70% of the system cost covered, for systems up to 6 kW
Administered by the state in partnership with Delmarva Power
✅ Utility & Local Incentives
Utilities and municipalities offer various rebate amounts through the Green Energy Program:
Delmarva Power: $0.70 per watt, capped at $6,000
Delaware Electric Cooperative: $0.50 per watt for systems up to 5 kW, $0.20 per watt above that
Municipal utilities like Newark and Wilmington offer varying rebates, typically between $0.50–$0.75 per watt
✅ Policy & Standards
Net metering is statewide and applies to all investor-owned and cooperative utilities
Delaware’s Renewable Portfolio Standard includes a specific solar requirement, targeting at least 3.5% of retail sales from solar by 2025
✅ Nonprofit & Commercial Incentives
Nonprofits are eligible for a 30% cash rebate through IRA Direct Pay
Businesses and farms may apply for MACRS accelerated depreciation and USDA REAP grants
USDA REAP grants cover 25% of solar project costs (or 50% during specific funding cycles)