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Connecticut Solar Incentives: 2025 Overview
Connecticut offers strong incentives for homeowners to go solar, making clean energy more affordable. The 30% Residential Clean Energy Credit provides significant savings on installation costs, while Connecticut’s net metering program allows residents to earn credits for extra energy, reducing future bills. Additionally, the state offers unique rebates and low-interest financing options, making solar accessible…
Residential Clean Energy Credit
The Clean Electricity Investment Credit (previously called the Federal Investment Tax Credit) helps lower the cost of installing solar panels by 30%. This credit covers everything: the solar panels, equipment, labor, permits, and even sales tax.
For example, as of 2025 the average cost of a 10 kW solar system in the U.S. typically ranges between $21,000 and $29,500 before applying any federal tax incentives. After claiming the 30% Clean Electricity Investment Credit, the price drops to around $14,980 to $21,070, depending on the state and other factors like equipment quality and labor costs.
To claim this credit, you must buy your solar system with cash or a loan (leases don’t qualify). You also need to owe enough in taxes to claim the credit, but if you don’t, you can carry it over to future years until 2034.
Claiming the Clean Electricity Investment Credit is simple!
Step 1
Print IRS Form 3468
Step 2
Fill out the form using info from your installer
Step 3
Submit it when you file your taxes
What are the top solar incentives in Connecticut?
Besides the Clean Electricity Investment Credit (former ITC), homeowners can take advantage of several outstanding incentives that significantly enhance the return on investment for solar panels. Here are some of the most effective ways to lower your solar installation costs.
Incentive
Savings
Summary
Residential Solar Investment Program – EPBB, <= 5kW (Step 4)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, <= 10kW (Step 4)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, <= 5kW (Step 5)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, <= 10kW (Step 5)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, <= 5kW (Step 6)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, <= 10kW (Step 6)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, <= 5kW (Step 7)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – EPBB, 5kW-10kW (Step 7)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, <= 10kW (Step 7)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – PBI, 10kW-20kW (Level 7)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – PBI, 10kW-20kW (Level 8)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – PBI, <= 10kW (Step 8)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, 5kW-10kW (Step 8)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – EPBB, <= 5kW (Step 8)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – EPBB, <= 5kW (Step 9)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – EPBB, <= 5kW (Step 10)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, 10kW-20kW (Level 9)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, 5kW-10kW (Step 9)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, <= 10kW (Step 9)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – PBI, <= 10kW (Step 10)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, 5kW-10kW (Step 10)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, 10kW-20kW (Level 10)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – PBI, <= 10kW (Step 11)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Residential Solar Investment Program – EPBB, <= 5kW (Step 11)
The Expected Performance Based-Buydown (EPBB) incentive provides you with an upfront cost reduction based on major design characteristics of your system, such as panel type, installation tilt, shading, orientation and solar insolation (a measure of solar radiation energy on a given area). The incentive is paid directly to your Eligible Contractor on behalf of the homeowner.
Residential Solar Investment Program – PBI, 10kW-20kW (Level 11)
The Performance-Based Incentive (PBI) is designed to allow homeowners to benefit from solar PV systems for little to no upfront cost. Under this model, an Eligible Third-Party PV System Owner owns the system and enters into a contract with the homeowner. The PBI is paid to the System Owner based on actual performance over the course of 6 years, and is used to reduce the homeowner’s monthly cost. The PBI model also provides an additional bonus for projects that use major system components principally manufactured in Connecticut. Connecticut Green Bank does not provide incentives for any portion of a system that exceeds 20 kW.
Disclaimer: The information provided here regarding solar incentives, tax credits, and rebates is for general informational purposes only and may vary based on your specific circumstances. For exact details, eligibility requirements, and current rates, we recommend consulting a certified solar installer or a tax professional. Incentives can differ by location, utility provider, and individual project, so it’s important to get personalized advice for your solar installation. Always verify the most up-to-date information from your local solar installer to understand how these incentives apply to your project.
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