The Sunshine State of Florida gets more sun than most states – but that’s not the only reason solar is booming here. Florida ranks top 3 in the state for installed solar capacity, mainly because of the available incentives, rebates, and protections that make going solar financially manageable for more homeowners.
If you’re a Floridian and not yet aware of them, this guide will walk you through Florida solar incentives available for you, including how much they can potentially save you and how to qualify.
Federal Solar Tax Credit (Residential Clean Energy Credit)
The Federal Solar Tax Credit (officially called the Residential Clean Energy Credit or RCEC) lets you claim 30% of your total solar installation cost as a tax credit when you file your federal income taxes.
This includes not just solar panels, but also inverters, batteries, electrical work, and labor.
That means a solar installation costing $15,000 would get you $4,500 back as a direct reduction in the taxes you owe. And if your tax liability isn’t high enough to use the full amount in one year, the leftover credit can roll over to the following year.
With that being said, this is hands-down one of the most significant solar power incentives in Florida, as well as across the U.S., since it’s open to any homeowner regardless of what state they live in.
How to Qualify and Apply
To qualify, you must own your solar system (not lease it). When tax season comes around, just file IRS Form 5695 with your federal return. No other application is needed.
What Else You Should Know
The Residential Clean Energy Credit is part of the Inflation Reduction Act and applies to systems installed from 2022 through 2032.
The 30% rate holds until the end of 2032. After that, it drops to 26% in 2033 and 22% in 2034, unless Congress renews or updates the law again. So, he sooner you install, the more you can enjoy solar savings.
Solar Sales Tax Exemption
Florida law waives the state’s sales tax on the purchase of home solar PV systems. If your solar installation costs $20,000, you save $1,200 immediately at checkout by avoiding that 6% state sales tax altogether.
How to Qualify and Apply
You don’t need to fill out any forms or go through a complicated process. As long as you’re purchasing a qualifying system through a licensed Florida contractor/ installer, the exemption applies right at the point of sale.
What Else You Should Know
The exemption is based on Florida Statute 212.08(7), which also clearly defines what other renewable energy technologies besides solar PV are eligible for this exemption, like:
- Energy storage systems (when installed with solar)
- Solar water heaters
- Solar pool heating systems
Solar Property Tax Exemption
Installing solar panels often boosts your home’s market value by tens of thousands of dollars. Normally, that would mean an increase in your property tax bill. But not in Florida…
Thanks to another one of the government incentives for solar panels – the Property Tax Abatement for Renewable Energy Property – that added value is fully exempt from property taxes.
This is especially helpful if you plan to sell your solar home down the line, as this exemption helps keep your listing more competitive.
How to Qualify and Apply
You don’t need to apply or fill out anything. The exemption is automatic once your solar system is installed. It’s protected by law under the Florida Statute 193.624, and it applies to both rooftop and ground-mounted solar systems.
Local Incentives / Solar Rebates in Florida
Boynton Beach: Energy Edge Rebate Program
Boynton Beach offers a one-time $1,500 rebate for homeowners who install a qualifying solar PV system under its Energy Edge Rebate Program.
How to Qualify and Apply
To qualify:
- You must be a homeowner in Boynton Beach
- You must install your system through a licensed contractor.
- Your PV system must be at least 5 kW with at least 17.5% efficiency.
Simply complete the rebate application through the city’s official website, attach all required documentation, and submit it as soon as possible.
What Else You Should Know
Funding is limited and awarded on a first-come, first-served basis each fiscal year, so getting your application in early gives you a much better shot at actually receiving the rebate.
Additionally, applicants are allowed a maximum rebate per property of only $1,500 in a 10-year period.
That means if you’ve already used a portion of this amount (say, $600 for installing reflective roofing or insulation), you’d only be eligible for the remaining $900 if you apply again within that same 10-year window.
Dunedin: Sustainable Development Program
The City of Dunedin offers a solar rebate of $0.25 per watt through its Sustainable Development Program, with a maximum payout of $2,500 per household.
How to Qualify and Apply
To qualify, you must be a Dunedin homeowner installing a solar PV system through a licensed contractor. After your system is installed and passes all required inspections, you’ll need to complete the city’s Solar Energy Grant Form and submit it along with a Form W-9.
What Else You Should Know
As with other local programs, funding is limited and awarded on a first-come, first-served basis, and only available as funds allow. The total amount allocated for rebates is determined in each fiscal year’s city budget, so the earlier you apply, the better your chances.
Miami-Dade County: Green Building Expedited Plan Review
You know how people say time is gold? Well, Miami-Dade County offers an incentive through its Green Building Expedited Plan Review program, which prioritizes permitting for solar energy and other qualifying green building projects.
So, while not an incentive in the traditional sense like a rebate check, this fast-tracking can save you time, which also saves you money by cutting down delays and shortening the total project timeline.
How to Qualify and Apply
To qualify, your home must, first and foremost, be located in Miami-Dade County. When applying for your permit, make sure to note that your project includes renewable energy upgrades like solar PV – and that you’re requesting expedited processing as part of the Green Building Expedited Plan Review.
Net Metering in Florida
Net metering is a billing setup that lets you earn credits for the extra solar energy your system sends back to the grid. When your solar panels produce more electricity than your home uses, that surplus power isn’t wasted. It’s sent to your utility company in exchange for energy credits.
This can dramatically lower your monthly electric bills, and in some cases, even slash them out entirely – one of the biggest benefits of going solar.
The even better news? Three of Florida’s major utility providers offer full 1-to-1 net metering:
This means every extra kilowatt-hour (kWh) you send to the grid is credited at the same value you pay when you pull energy from the grid.
This is in contrast to many utilities in other states that offer the less favorable net billing setup where you’re credited at a reduced rate (sometimes half or even less), which ends up reducing your long-term savings.
Net metering is usually handled for you during the solar installation process. Your solar installer will coordinate with your utility provider to get the system enrolled. No extra work needed on your end.
That said, here’s something worth keeping in mind: Net metering policies can change. In fact, in many states like California, Arizona, and Nevada, net metering started out as 1-to-1 but was later replaced with net billing. That’s why it makes sense to go solar now while the full retail credit is still in place.
Solar Financing Incentives
Financing incentives aren’t traditional handouts like tax credits or rebates, but these programs help homeowners cover the upfront cost of going solar through special loan structures designed for PV installations and other energy upgrades.
The two most common financing options in Florida are as follows:
- SELF (Solar and Energy Loan Fund): a nonprofit green bank that offers low-interest, fixed-rate loans, even to homeowners with low credit scores or limited income.
- PACE (Property Assessed Clean Energy): lets you finance your solar installation through your property taxes. Instead of paying a lender directly, you repay the cost through your annual tax bill over 10 to 20 years.
To use either program, you must live in an eligible city or county where the program is active. Not all parts of Florida participate in these programs, so double-check whether SELF or PACE is available in your specific area.
Apart from property location, eligibility may depend on your income and credit.
Applications are submitted through the official program websites or directly through a participating installer.
With everything being said, if you’re still wondering, Is solar worth it in Florida? Absolutely! When you stack the 30% RCEC, the 6% sales tax exemption, huge utility rebates, and more, that’s huge savings right off the top.
But something to keep in mind: These programs won’t be around forever. Incentives can shrink, funding can run out, and policies can shift overnight. Acting sooner gives you a better chance at locking in today’s full benefits before anything changes.
Claim Solar Incentives in Florida With the Right Support
At Quote for Solar, we help you take the next step toward going solar by connecting you with top-rated, trusted installers in your area – professionals who’ll make sure you claim every incentive you’re eligible for. Request a free quote today and get 3 competitive offers from vetted experts near you.
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