Last updated: March 8, 2026
Florida Solar Incentives at a Glance
Disclosure: This page may contain affiliate links. If you request a solar quote or financing through a link on this page, Exspenditure may earn a commission at no additional cost to you. This does not affect the accuracy of our information or our editorial independence.
Below is a summary of the primary solar incentives available in Florida, including federal benefits, state tax exemptions, and utility-specific programs. Each incentive is listed separately to help you understand how it may apply to your situation.
Federal Solar Investment Tax Credit (ITC)
The residential 30% federal solar tax credit (Section 25D) expired December 31, 2025 for systems purchased or financed by the homeowner. Solar systems installed through Power Purchase Agreements (PPAs) or leases may still qualify for the Section 48E business tax credit — but only if the installer began construction by July 4, 2026 and places the system in service by December 31, 2027. Ask any installer quoting you a PPA or lease to confirm their Section 48E eligibility in writing before signing.
Florida Solar Property Tax Exemption
Solar panels and battery storage systems installed on residential properties are 100% exempt from property value assessments. Your home value increases from solar, but your property taxes don’t. Annual savings depend on your local millage rate and system value — typically $100–$400/year for most Florida homeowners, and higher in areas with elevated millage rates such as the City of Miami.
Florida Solar Sales Tax Exemption
All solar equipment certified by the Florida Solar Energy Center is exempt from Florida’s 6% state sales and use tax. On a $32,000 system, this saves approximately $1,920 at purchase. Applied automatically by your installer.
Florida Power & Light (FPL) Net Metering
FPL customers receive full retail rate credits for excess solar energy sent to the grid. Credits roll over monthly and are paid out annually at wholesale (avoided cost) rates for unused balances. FPL’s effective all-in residential rate is approximately $0.137/kWh as of January 2026. Year-end unused credits are paid at approximately $0.03–$0.05/kWh. FPL serves approximately 79% of Florida.
Duke Energy Florida Net Metering
Duke Energy customers in Northwest/Central Florida receive full retail rate credits for solar exports. Monthly excess credits roll over, with annual reconciliation paying out unused credits at wholesale rates.
Tampa Electric (TECO) Net Metering
TECO customers in the Tampa Bay area receive full retail rate net metering credits. Known for faster-than-average interconnection approvals (2–4 weeks typical).
Boynton Beach Energy Edge Rebate
Residents or businesses installing solar systems ≥5kW with panels at or above 17.5% efficiency receive a one-time $1,500 rebate. Must be installed by a Florida-certified solar contractor registered with the City. Property must be your primary residence OR your business must be the principal occupant. Application with proof of payment and permits must be submitted within 90 days of final inspection. Additional rebates available for HVAC, insulation, windows, and EV chargers.
Dunedin Solar Energy Grant Program
Dunedin residents and businesses receive $0.25 per watt installed, up to $2,500 maximum. A 10kW system would receive the full $2,500. First-come, first-served; apply by October 1st annually. Annual funding typically exhausts by mid-year — apply early in the fiscal year (October–December) for best availability.
Florida Keys Electric Cooperative Solar Loan
FKEC members can access loans up to $35,000 for grid-tied solar or battery storage systems. Must be installed by a qualified solar installer. Contact FKEC directly to confirm current interest rate before planning.
Orlando Utilities Commission (OUC) Battery Rebate
OUC customers who submitted solar interconnection applications before July 1, 2025 retain full retail rate net metering for a 20-year grandfather period. Customers who apply on or after July 1, 2025 receive export credits at the community solar rate (~4.6¢/kWh) through June 30, 2030, then at the published fuel rate thereafter.
OUC offers a battery storage rebate of up to $2,000 per premises, effective July 1, 2025. Note: Accepting the battery rebate requires opting into TruNet export pricing — grandfathered customers who take the rebate will move off full retail export rates. Verify current rebate availability at ouc.com before purchasing.
JEA (Jacksonville) Battery Incentive Program
Jacksonville JEA customers receive a $4,000 rebate for battery systems with minimum 6kWh capacity and 10-year warranty. One of Florida’s largest battery incentives.
City of Tallahassee Energy Efficiency Loan
Tallahassee Utilities offers loans up to $20,000 at 5% fixed interest for solar PV systems. 5–10 year terms, repaid on utility bills. Also covers solar pool heating and solar water heating.
Florida homeowners installing solar panels in 2026 can save thousands through property tax exemptions, sales tax waivers, and one of the nation’s best net metering programs. While the federal solar tax credit expired for residential customers at the end of 2025, Florida’s state-level programs, partnered with excellent utility policies, still make solar highly profitable.
This guide covers every active solar incentive available to Florida residents, including step-by-step claiming instructions, utility-specific net metering policies, and local rebates that can put thousands back in your pocket.
How Is the Florida Solar Landscape Looking in 2026?
Florida ranks third nationally for total installed solar capacity, with one of the largest residential solar markets in the country (SEIA, Q3 2025)—and for good reason. The combination of approximately 230–240 average sunny days per year (NOAA climate data), rising electricity rates, and strong state-level programs makes solar one of the smartest investments Florida homeowners can make.
The biggest change for 2026 is the expiration of the 30% federal residential solar tax credit on December 31, 2025. However, Florida’s incentive structure was never built around the federal credit. The state’s property tax exemption, sales tax waiver, and mandatory full retail net metering have always been the foundation of solar savings in Florida.
What Changed in 2026
The federal solar tax credit is no longer available for homeowners who purchase solar systems outright or through solar loans. This was the 30% credit that previously reduced federal income taxes by thousands of dollars.
Solar systems installed through Power Purchase Agreements (PPAs) or leases may still benefit if the installer’s systems qualify for the Section 48E business credit — but this is subject to strict federal deadlines: construction must have begun by July 4, 2026, and the system must be placed in service by December 31, 2027. Installers who cannot meet these deadlines will not be able to pass a tax credit benefit to customers through lower PPA rates. Ask any installer quoting you a PPA or lease to confirm their Section 48E eligibility in writing before you sign.
Florida’s state programs remain unchanged. The property tax exemption (100% of added value), sales tax exemption (6% savings), and full retail net metering are all still active and will continue through at least 2037.
Florida’s Property Tax Exemption: Your Biggest Long-Term Savings
Florida Statute § 193.624 prevents property appraisers from considering the added value of solar panels when assessing your home for property tax purposes. This matters because solar panels typically increase home value by 4-5%, or about $15,000-$25,000 for the average Florida home.
How Much You Save
On a $400,000 home in Miami-Dade County with an effective property tax rate of approximately 1% (Miami-Dade County average; rates vary by municipality and may be higher within the City of Miami itself):
- Solar installation adds $20,000 to home value
- Without exemption: ~$200 annual property tax increase
- With Florida’s exemption: $0 additional property taxes
- 25-year savings: ~$5,000+ (assuming no rate increases; actual savings vary by location and local millage rate)
Note: Property tax rates in Florida vary significantly by county and municipality. Miami city proper uses a millage rate of approximately 20 mills (~2%), while many other Florida counties average closer to 0.8–1.2%. Use your county property appraiser’s website to calculate your specific savings. Source: Miami-Dade Property Appraiser (miamidadepa.gov), Florida Dept. of Revenue, March 2026.
What the Exemption Covers
According to Florida Statute § 193.624, the exemption applies to:
- Solar panels (photovoltaic modules)
- Inverters
- Mounting equipment and racking
- Battery storage systems
- Wiring specific to the solar system
- Charge controllers and power conditioning equipment
The exemption does not cover:
- Standard electrical wiring that would exist regardless of solar
- Structural roof improvements unrelated to panel mounting
- Backup generators or conventional power systems
How to Claim It
You don’t need to do anything. The exemption is automatic. Your county property appraiser is prohibited by state law from including renewable energy source devices in property value assessments.
When your property is reassessed after solar installation, the appraiser will note the solar system but exclude its value from your taxable assessment. If you’re concerned your property taxes increased unexpectedly after installing solar, contact your county property appraiser’s office to verify the exemption was properly applied.
Expiration Date
The property tax exemption is currently authorized through December 31, 2037 under Florida Statute § 193.624(2). The Florida Legislature will need to extend or make permanent this provision before that date. Given the program’s popularity and bipartisan support, extension is likely, but homeowners should monitor legislative activity as 2037 approaches.
Florida’s Sales Tax Exemption: Instant Upfront Savings
Florida has exempted solar energy equipment from the state’s 6% sales and use tax since 1997. The exemption became permanent in 2005, making it one of Florida’s most stable solar incentives.
How Much You Save
The average residential solar system in Florida costs approximately $32,000 before incentives (based on EnergySage data for a 14.69kW system). With Florida’s 6% sales tax exemption:
- $32,000 system cost
- 6% sales tax waived = $1,920 saved
For a larger 20kW system at $43,000, the savings increase to $2,580.
What Equipment Qualifies
The exemption applies to equipment certified by the Florida Solar Energy Center, including:
Solar Photovoltaic Systems:
- Solar panels (photovoltaic modules)
- Inverters and charge controllers
- Racking and mounting equipment
- DC wiring specific to the solar system
- Monitoring equipment
- Battery storage systems
- Disconnect switches and safety equipment
Solar Thermal Systems:
- Solar collectors for water or pool heating
- Storage tanks
- Heat exchangers
- Pumps and circulation equipment
- Pool blankets (when used with solar heating)
Not Exempt:
- Conventional backup systems
- Standard AC wiring throughout the structure
- Equipment integrated into consumer products (solar calculators, patio lights, etc.)
- Labor costs (only equipment is tax-exempt)
Source: Florida Statute § 212.08(7)(hh) and Florida Department of Revenue guidance
How to Claim It
The exemption is applied automatically at point of sale. Your solar installer should not charge you Florida sales tax on qualifying equipment. The installer provides an exemption certificate to their suppliers and passes the savings to you.
Verify your invoice: Before signing your solar contract, confirm that the price does not include Florida sales tax on equipment. Some installers initially quote prices with tax, then apply the exemption. Your final contract should clearly show “Florida Sales Tax: $0” or similar notation for equipment charges.
If you paid sales tax in error: File Form DR-26S (Application for Refund) with the Florida Department of Revenue within three years of purchase. Include proof that the equipment qualifies under the Florida Solar Energy Center certification.
Net Metering: Florida’s Most Valuable Ongoing Benefit
Net metering is the billing mechanism that makes solar panels profitable even when the sun isn’t shining. Florida law requires all investor-owned utilities to offer net metering at full retail rates, giving you 1:1 credit for every kilowatt-hour (kWh) your panels send to the grid.
How Florida Net Metering Works
During the day (when your panels produce more than you use):
- Your solar panels generate electricity
- Your home uses what it needs
- Excess electricity flows to the utility grid
- Your meter spins backward
- You receive credits at the retail electricity rate — approximately $0.137/kWh all-in effective rate for FPL customers as of January 2026 (Source: FPL tariff, FPL.com/rates, January 2026); rates vary by utility
At night (when your panels produce nothing):
- You pull electricity from the grid
- Your banked credits automatically offset the cost
- You only pay for net usage (usage minus credits)
Example: If you generate 1,000 kWh of excess solar in sunny April and use an extra 1,000 kWh from the grid during rainy July, your net cost is $0. Florida’s 1:1 retail rate credit means you get the same value whether you use the solar electricity immediately or bank it for later.
Monthly Billing and Annual True-Up
Most Florida utilities handle net metering on a monthly billing cycle:
Monthly: Excess credits roll over month-to-month at full retail value. Your bill shows:
- Grid electricity used: X kWh
- Solar credits: -Y kWh
- Net usage: (X – Y) kWh
- Amount due: Net usage × retail rate + fixed charges
Annual True-Up: At the end of each 12-month period (date varies by utility), any remaining unused credits are paid out at wholesale (avoided cost) rates — typically $0.03–$0.05/kWh — much lower than the ~$0.137 effective retail rate FPL charges as of January 2026. This is why most installers size systems to offset 90-100% of annual usage, not significantly exceed it.
Utility-Specific Net Metering Policies
Florida Power & Light (FPL) – Covers most of Florida except Panhandle
- Full retail rate credits: ✓
- Monthly rollover: ✓
- Annual true-up: Wholesale rate (~$0.03-0.05/kWh)
- Application fee: $0 for systems under 10kW
- Average interconnection time: 4-8 weeks
- Service territory: Miami, Orlando, West Palm Beach, St. Petersburg, most of Florida east coast and central
Duke Energy Florida – Northwest and Central Florida
- Full retail rate credits: ✓
- Monthly rollover: ✓
- Annual true-up: Wholesale rate
- Application fee: $0 for systems under 10kW
- Service territory: Northwest Florida, parts of Central Florida
Tampa Electric (TECO) – Tampa Bay area
- Full retail rate credits: ✓
- Monthly rollover: ✓
- Annual true-up: Wholesale rate
- Faster-than-average interconnection: Often 2-4 weeks
- Service territory: Tampa, St. Petersburg, Clearwater
Florida Public Utilities Company – Limited coverage
- Full retail rate credits: ✓
- Monthly rollover: ✓
- Service territory: Select areas in Fernandina Beach, Marianna
Important note: Florida’s net metering requirement applies only to the four investor-owned utilities (FPL, Duke Energy Florida, Tampa Electric, and Florida Public Utilities). Municipal utilities and electric cooperatives are not required to offer full retail rates and some have changed their terms significantly.
Orlando Utilities Commission (OUC), which serves approximately 300,000 customers in the Orlando metro area, changed its solar export policy effective July 1, 2025. New solar customers (interconnection applications submitted on or after July 1, 2025) receive export credits at the community solar rate — approximately 4.6¢/kWh — rather than the full retail rate. If you are an OUC customer considering solar, this significantly changes your return on investment compared to customers served by FPL, Duke, or TECO. Verify OUC’s current solar program terms at ouc.com before installing. Source: oucpeakshift.com, March 2026.
Why Florida’s Net Metering is Better Than Many States
California (NEM 3.0): Exports valued at ~$0.05-0.08/kWh, roughly 75% lower than retail rates. Batteries are essentially required.
Nevada: Net metering capped at 3% of utility peak demand; new customers may get 75% of retail rate.
Hawaii: Net metering eliminated; new solar customers on “Smart Export” getting $0.10/kWh vs. $0.32/kWh retail rate.
Florida (FPL, Duke FL, TECO, FPU): Full retail rate (1:1 credit), unlimited system size, monthly rollover. This is as good as net metering gets in 2026 for customers of these four investor-owned utilities.
Important exception: OUC (Orlando area) changed its solar export policy effective July 1, 2025. New solar customers receive export credits at approximately 4.6¢/kWh — about 65–70% below the retail rate — not full retail. If you are an OUC customer, review ouc.com before installing.
Protect Your Net Metering Grandfathering
Florida investor-owned utilities (FPL, Duke, TECO) have repeatedly attempted to reduce net metering compensation through legislation and regulatory changes. Those efforts have failed so far for IOUs, but changes have already occurred at the municipal level. OUC (Orlando Utilities Commission) reduced export credits for new solar customers to approximately 4.6¢/kWh effective July 1, 2025, well below the retail rate. This demonstrates that the risk to net metering is real, not hypothetical.
The good news: When net metering rules change, existing solar customers are typically “grandfathered” under the old, better rules for 10-20 years. This is what happened in California, Nevada, and Hawaii.
Strategy: If you’re considering solar, installing before any potential policy changes ensures you lock in Florida’s current excellent 1:1 retail rate net metering for decades to come.
Local Rebates & Financing Programs
While Florida doesn’t offer a statewide solar rebate, several cities and utilities provide cash-back incentives or low-interest financing that can significantly reduce installation costs.
Boynton Beach Energy Edge Rebate Program
Eligibility:
- Property located within Boynton Beach city limits
- Solar system ≥5kW capacity
- Panels with minimum 17.5% efficiency rating
- Installed by Florida-certified solar contractor registered with the City
- Must reside in building as primary residence OR be a business that is the principal occupant
- Must not offer the building for sale or lease within 1 year after completing the work
- Application with contract, proof of payment, and permit documentation must be submitted within 90 days of final permit inspection
- Source: City of Boynton Beach, boynton-beach.org/284, March 2026.
Incentive: $1,500 one-time rebate
How to apply:
- Verify property is within Boynton Beach boundaries
- Obtain permits before installation
- Install qualifying system
- Complete Energy Edge Rebate application (online or paper)
- Submit with proof of purchase, permits, and final inspection certificate
- Rebate processed within 60-90 days
Additional benefits: Boynton Beach also offers rebates for EV chargers ($500), energy-efficient HVAC, windows, and insulation. Solar homeowners often bundle multiple rebates.
Source: City of Boynton Beach Energy Edge Program
Dunedin Solar Energy Grant Program
Eligibility:
- Dunedin resident or business within city limits (unincorporated addresses not eligible)
- Permits applied for, issued, inspected, and completed after October 1, 2018
- First-come, first-served (funding allocated annually)
Incentive: $0.25 per watt installed, up to $2,500 maximum
Examples:
- 6kW system: 6,000 watts × $0.25 = $1,500
- 10kW system: 10,000 watts × $0.25 = $2,500 (maximum)
- 12kW system: Would still cap at $2,500 maximum
Application deadline: October 1st annually
How to apply:
- Verify address eligibility with City of Dunedin
- Apply for solar permits through city building department
- Complete installation before October 1st deadline
- Submit grant application with permit documentation
- Receive grant payment after final inspection approval
Important timing note: Annual funding is limited and allocated on a first-come, first-served basis. Dunedin typically exhausts grant funding by mid-year (June-August). Apply early in the fiscal year (October-December) for best chances of receiving the full grant.
Source: City of Dunedin Solar Energy Grant Program
Florida Keys Electric Cooperative Solar Loan
Eligibility:
- Active FKEC member in good standing
- Grid-tied solar PV or battery storage system
- Installed by qualified, licensed solar installer
Terms:
- Loan amount: Up to $35,000 (after any available rebates)
- Repayment: 10-year term
- Interest rate: Contact FKEC for current rates
- Covers: Solar panels, inverters, batteries, installation labor
How to apply:
- Pre-qualify with FKEC loan department
- Get quotes from FKEC-approved solar installers
- Submit loan application with installation quotes
- FKEC reviews and approves
- Installer completes work
- Loan funds disbursed directly to installer
Source: Florida Keys Electric Cooperative
Orlando Utilities Commission (OUC) Rebate Programs
Solar Thermal Water Heating Rebate:
- Incentive: Up to $900
- Eligibility: OUC customers installing solar water heating systems
- Application: Submit proof of purchase and installation to OUC Customer Connection
Battery Storage Rebate:
- Incentive: $2,000 maximum
- Requirements: Minimum 8kWh usable capacity, 10-year warranty
- Application: Complete OUC rebate application before or immediately after purchase
- Rebate applied as credit to OUC electric bill
Important note: OUC rebates often have limited funding. Check current availability before committing to installation.
Source: Orlando Utilities Commission
JEA (Jacksonville) Battery Incentive Program
Eligibility:
- JEA electric customers
- Battery storage system with minimum 6kWh usable capacity
- 10-year minimum warranty
Incentive: $4,000 rebate
How to apply:
- Verify JEA service area coverage
- Select qualifying battery system (Tesla Powerwall 2/3, Enphase IQ Battery, LG Chem, Generac PWRcell, etc.)
- Apply for JEA battery rebate before installation
- Receive pre-approval
- Complete installation
- Submit final documentation
- Receive rebate payment
This is one of Florida’s largest battery incentives, making energy storage more affordable for Jacksonville-area homeowners concerned about grid outages during hurricane season.
Source: JEA (Jacksonville Electric Authority)
City of Tallahassee Energy Efficiency Loan
Eligibility:
- Tallahassee Utilities customers
- Residential solar PV, solar pool heating, or solar water heating
Terms:
- Loan amount: Up to $20,000
- Interest rate: 5% fixed
- Repayment: 5-10 year terms
- Payment method: Automatically added to monthly Tallahassee Utilities bill
How to apply:
- Contact Tallahassee Utilities Energy Services
- Get pre-qualified for loan amount
- Obtain installation quotes from certified contractors
- Submit loan application with quotes
- Receive approval and begin installation
- Repay via monthly utility bills
Why it works: The 5% fixed rate is typically lower than solar loans or home equity lines of credit, and repaying through your utility bill simplifies budgeting. Since solar reduces your electric charges, your total utility bill (electric + loan payment) often stays roughly the same or decreases.
Source: City of Tallahassee Utilities
PACE and SELF Financing: Alternative Paths to Solar
Beyond traditional loans, Florida offers two specialized financing programs designed to make solar accessible to homeowners who might not qualify for conventional financing.
Property Assessed Clean Energy (PACE) Financing
PACE loans are repaid through your annual property tax bill and are attached to the property, not the homeowner. This creates unique advantages and risks.
How PACE Works:
- You borrow money for solar installation (no money down)
- Loan is attached to your property as a special tax assessment
- You repay via annual property tax bill over 10-20 years
- If you sell the property, the buyer assumes the remaining PACE obligation
Advantages:
- No upfront payment required
- Easier qualification than traditional loans (credit check may be minimal)
- Fixed interest rate
- Long repayment terms (10-20 years) = lower payments
- Immediate electric bill savings can offset loan payments
Disadvantages:
- PACE obligation transfers to buyer if you sell (some buyers reject homes with PACE)
- Property tax bills become non-negotiable debt (failure to pay can lead to tax lien)
- Interest rates may be higher than home equity loans (8-9% typical)
- Some mortgage lenders won’t finance homes with active PACE assessments
Is PACE right for you?
- ✓ Good option if you plan to stay in your home long-term (10+ years)
- ✓ Useful if traditional financing is unavailable due to credit issues
- ✗ Risky if you may sell in the next 5 years
- ✗ Potentially problematic if you plan to refinance mortgage
County availability: PACE financing is available in many Florida counties, but not all. Check the Florida PACE Funding Agency website or your county government for current availability.
Source: Florida PACE Funding Agency
Solar and Energy Loan Fund (SELF)
SELF is a nonprofit organization providing low-interest loans specifically designed for homeowners who might not qualify for traditional financing.
Eligibility:
- Florida homeowners
- Loans for solar PV, solar water heating, energy efficiency upgrades, HVAC, weatherization
- No credit check required for most loans
- Income limitations may apply for best rates
Terms:
- Loan amount: Up to $50,000 for renewable energy projects
- Interest rate: 8-9.5% APR (higher than conventional loans but accessible without credit check)
- Repayment: 5-10 years
- Type: Unsecured personal loan (no home equity required)
How to apply:
- Visit SELF website (www.selfloanfund.org)
- Complete loan application
- Submit income documentation
- Receive approval (often within 2-3 weeks)
- Get installation quotes from qualified contractors
- SELF disburses funds to contractor
- Begin making monthly payments
Who SELF helps:
- Homeowners with limited or damaged credit
- Low-to-moderate income households
- Retirees on fixed income who don’t want to use home equity
- First-time solar buyers nervous about large loans
Important: SELF interest rates (8-9.5%) are higher than conventional solar loans (3-6%) or home equity products (6-8%), so exhaust traditional financing options first. However, SELF fills a critical gap for homeowners who otherwise couldn’t access solar.
Source: Solar and Energy Loan Fund (SELF)
Calculating Your Total Florida Solar Savings
Let’s walk through a real example of what Florida incentives mean for a typical homeowner in 2026.
Example: 10kW Solar System in Tampa
System details:
- Size: 10kW (approximately 25-28 panels)
- Cost before incentives: $30,000
- Utility: Tampa Electric (TECO)
- Current electric bill: $180/month ($2,160/year)
- Annual solar generation: ~13,000 kWh
Immediate savings at installation:
| Incentive | Amount | Notes |
|---|---|---|
| Florida sales tax exemption (6%) | $1,800 | Automatic at purchase |
| Total upfront savings | $1,800 | |
| Net cost | $28,200 |
Annual ongoing savings:
| Benefit | Amount | Notes |
|---|---|---|
| Eliminated electric bills | $2,160 | ~90-100% offset via net metering |
| Property tax savings | $500 | Would have paid this if no exemption |
| Total annual savings | $2,660 |
25-year savings:
| Savings Category | Amount |
|---|---|
| Electric bill savings | $54,000 |
| Property tax savings | $12,500 |
| Total 25-year benefit | $66,500 |
| Minus system cost | -$28,200 |
| Net 25-year profit | $38,300 |
Payback period: $28,200 ÷ $2,660 annual savings = 10.6 years
After 10.6 years, every dollar of electric bill savings and avoided property taxes goes straight to your bottom line. Over a 25-year system lifetime, you’re looking at nearly $40,000 in net profit—even without the federal tax credit.
If electric rates increase (historically 3-5% annually in Florida), your payback period shortens to 8-9 years and total savings exceed $75,000-90,000 over 25 years.
| Minus system cost | -$28,200 |
| **Net
Important: These figures are estimates only, based on published program rates and general assumptions. Actual savings will vary based on system size and performance, electricity rate changes over time, shading and roof orientation, utility program changes, and local installation costs. These projections assume FPL rates increase each year modestly, which is consistent with recent trends but not guaranteed. The 25-year period extends well beyond current program authorizations — Florida’s net metering rules and the property tax exemption (currently authorized through 2037) are subject to legislative changes. This is not financial advice. Consult a licensed solar installer for a site-specific savings estimate. Exspenditure.com is not a financial advisor.
Step-by-Step: How to Claim Every Florida Solar Incentive
Step 1: Property Tax Exemption
Action required: None. This is automatic.
When your county property appraiser reassesses your home after solar installation, they will note the system but exclude its value from your taxable assessment per Florida Statute § 193.624.
Verification: Check your next property tax Notice of Proposed Property Taxes (Truth in Millage or TRIM notice). The “Just Value” may show an increase from solar, but “Assessed Value” should not include the solar system value. If you see unexpected increases, contact your county property appraiser.
Step 2: Sales Tax Exemption
Action required: Verify installer applied it correctly.
Before signing your contract:
- Ask installer: “Is Florida sales tax excluded from equipment costs?”
- Review line-item pricing in your contract/proposal
- Confirm equipment charges show $0 Florida sales tax
- Labor costs may include sales tax (this is normal – only equipment is exempt)
Your contract should show something like:
Solar Panels: $15,000
Inverter: $3,000
Racking & BOS: $2,000
Subtotal Equipment: $20,000
Florida Sales Tax on Equipment: $0 (exempt)
Labor: $8,000
Sales Tax on Labor (if applicable): $480
Total: $28,480If installer charged sales tax on equipment by mistake:
- Request correction before final payment
- If already paid, you can file Form DR-26S with Florida Department of Revenue for refund within 3 years
Step 3: Net Metering Application
Action required: Installer typically handles, but verify completion.
Your installer should:
- Submit interconnection application to your utility
- Provide technical specifications and engineering drawings
- Schedule pre-installation inspection (if required)
- Coordinate final inspection with utility
- Receive Permission to Operate (PTO)
- Ensure bidirectional meter installation
Your role:
- Sign interconnection agreement when provided by installer
- Verify utility has activated net metering on your account
- Check first bill shows solar credits correctly
Timeline:
- FPL: 4-8 weeks typical
- Duke Energy: 4-6 weeks typical
- TECO: 2-4 weeks typical (faster than most)
Red flag: If 8+ weeks pass with no PTO, contact your installer and utility directly to troubleshoot delays.
Step 4: Local Rebates (If Applicable)
Action required: Submit applications with documentation.
Boynton Beach Energy Edge:
- Go to www.boynton-beach.org/energy-edge
- Complete online or paper application
- Upload/attach: Proof of purchase, permit documents, final inspection certificate
- Submit within 90 days of final inspection
- Receive rebate check in 60-90 days
Dunedin Solar Grant:
- Apply for solar permits before October 1st deadline
- Complete installation
- Go to www.dunedingov.com/solar-energy-grant-program
- Submit grant application with permit and inspection documentation
- Receive grant payment after approval
Orlando OUC Battery Rebate:
- Complete OUC residential rebate application
- Attach proof of battery purchase (invoice showing kWh capacity and warranty)
- Mail to Orlando Utilities Customer Connection or submit online
- Rebate applied as credit to electric bill in 30-60 days
JEA Battery Incentive:
- Apply for pre-approval before purchasing battery
- Install qualifying battery system
- Submit final documentation and inspection certificate
- Receive rebate payment
Important: Most local rebates are first-come, first-served with limited annual funding. Apply early in the fiscal year for best chances.
Step 5: Optional Financing (PACE or SELF)
Action required: Apply before installation.
PACE Financing:
- Verify your county offers PACE
- Contact Florida PACE Funding Agency or county-approved PACE administrator
- Get pre-qualified for loan amount
- Obtain installation quotes
- Submit PACE application with quotes
- Receive approval and coordinate installation
- Repay via annual property tax bill
SELF Loans:
- Visit www.selfloanfund.org
- Complete online application
- Provide income documentation
- Receive approval
- Get installation quotes from qualified contractors
- SELF disburses funds to contractor
- Make monthly loan payments
Frequently Asked Questions
Q: Can I still get the federal solar tax credit in 2026?
No, the 30% residential solar tax credit expired December 31, 2025 for homeowners who purchase systems outright or through solar loans. However, if you install solar through a Power Purchase Agreement (PPA) or lease, the third-party system owner may claim the business-level federal credit, potentially passing some savings to you through lower monthly payments.
Q: Is solar still worth it in Florida without the federal tax credit?
Yes. Florida’s combination of property tax exemption (saving $400-600/year), sales tax exemption ($1,800-2,500 upfront), and full retail net metering makes solar financially attractive even without the federal credit. Payback periods are typically 9-12 years, with 25-year net profits of $30,000-50,000 depending on system size and electricity rates.
Q: Do solar panels increase my Florida property taxes?
No. Florida Statute § 193.624 specifically exempts renewable energy source devices from property value assessments. Your home value increases from solar (typically 4-5%), but this added value is excluded from property tax calculations. You pay the same property taxes as if you never installed solar.
Q: Which Florida utilities offer the best net metering?
All investor-owned utilities (FPL, Duke Energy, TECO, Florida Public Utilities) are required by Florida law to offer full retail rate (1:1) net metering. All four are equally excellent from a net metering standpoint. Electric cooperatives and municipal utilities are NOT required to offer retail rate net metering—some offer significantly reduced rates, so verify before installing if you’re served by a co-op.
Q: Can I get net metering if I have battery storage?
Yes. You can have both batteries and net metering. When your batteries are full and you’re still generating excess solar, that surplus goes to the grid and you receive net metering credits. Batteries give you backup power during outages (when grid-tied solar shuts down for safety), while net metering maximizes your bill savings during normal operation.
Q: What happens to my net metering credits if I move?
Net metering credits do not transfer to a new owner. Any banked credits on your account at the time of sale are typically paid out at wholesale rates (not retail rates) or forfeited, depending on your utility’s policy. For this reason, installers typically size systems to use most credits within the annual billing cycle rather than banking large excesses.
Q: Do Boynton Beach and Dunedin rebates stack with state incentives?
Yes. Local cash rebates, state tax exemptions, and utility net metering all stack (combine). For example, a Dunedin resident with a 10kW system gets:
- $2,500 Dunedin grant
- $1,800 sales tax exemption
- $500/year property tax exemption
- Full retail net metering credits
These are separate programs that can all be claimed on the same installation.
Q: Is PACE financing a good idea?
PACE has advantages (no credit check, low upfront cost) but significant risks. The loan attaches to your property and must be disclosed to home buyers, which can complicate sales. Some mortgage lenders refuse to finance homes with PACE liens. PACE works well if you’re certain you’ll stay in your home for the full loan term (10-20 years). It’s risky if you may move or refinance.
Q: When does Florida’s solar property tax exemption expire?
The current exemption is authorized through December 31, 2037 under Florida Statute § 193.624(2). The Florida Legislature would need to extend or make permanent the provision before that date. Given the program’s popularity and bipartisan support for solar, extension is likely but not guaranteed.
Q: Can renters benefit from Florida solar incentives?
Generally no. Property tax and sales tax exemptions benefit property owners, not renters. However, some community solar programs allow renters to subscribe to off-site solar farms and receive bill credits. Check with your utility for community solar availability. FPL offers SolarTogether, Duke Energy has Shared Solar, and TECO offers Sun Select—though these programs currently cost more than standard electricity or are fully subscribed.
Why Act Now: The Case for Installing Solar in 2026
Even without the federal tax credit, several factors make 2026 an excellent year to go solar in Florida:
1. Net metering grandfathering protection. Florida utilities have repeatedly attempted to reduce net metering compensation through legislation and regulatory challenges. While these efforts have failed so far, future changes remain possible. Homeowners who install before any policy changes are typically grandfathered under the better rules for 10-20 years, as seen in California, Nevada, and Hawaii.
2. Rising electricity rates. Florida’s major utilities (FPL, Duke Energy, TECO) all implemented rate increases effective January 2026, with FPL customers seeing typical 1,000 kWh bills increase by $2.50/month. Rates have increased an average of 3-5% annually in Florida over the past decade. Solar locks in decades of predictable energy costs.
3. State incentives remain stable through 2037. The property tax exemption and sales tax exemption are authorized through at least 2037, giving you over a decade of certainty. These state programs aren’t going anywhere soon.
4. Hurricane preparedness. Florida homeowners increasingly value solar + battery systems for hurricane season backup power. With recent hurricanes causing multi-day outages across the state, the non-financial benefits of energy independence have become as important as the bill savings.
5. Home value boost. Studies show solar panels increase Florida home values by 4-5%, or $15,000-25,000 for typical installations. With Florida’s property tax exemption, you get the value increase without the tax increase—rare in real estate improvements.
Conclusion: Florida Solar Incentives Still Deliver Strong Returns
The end of the federal residential solar tax credit doesn’t change Florida’s fundamental solar value proposition. The state’s property tax exemption, sales tax waiver, and nation-leading net metering program continue to make solar panels one of the smartest investments Florida homeowners can make.
With 10-12 year payback periods and $30,000-50,000+ in 25-year net profits, solar panels pay for themselves and generate substantial long-term savings. Add in protection against rising electricity rates, increased home value, and energy independence during hurricane season, and the case for solar remains compelling.
The key is acting while Florida’s excellent net metering policies are guaranteed. Install now, lock in full retail rate credits for decades, and maximize the value of Florida’s incentive programs before any potential future changes.
Sources & References
This guide is based on official Florida statutes, utility tariffs, and government program documentation:
- Florida Statute § 193.624 – Assessment of renewable energy source devices
- Florida Statute § 196.182 – Exemption of renewable energy source devices
- Florida Statute § 212.08(7)(hh) – Solar Energy Systems Sales and Use Tax Exemption
- Florida Department of Revenue – TIP 19A01-09, Solar Energy Systems Sales and Use Tax Exemption
- Florida Public Service Commission – Net Metering Rules and Tariffs
- Database of State Incentives for Renewables & Efficiency (DSIRE)
- EnergySage Solar Marketplace – Florida pricing data (December 2025)
- Florida Power & Light – Net Metering Tariff
- Duke Energy Florida – Net Metering Interconnection Standards
- Tampa Electric Company – Net Metering Program
- City of Boynton Beach – Energy Edge Rebate Program
- City of Dunedin – Solar Energy Grant Program
- Orlando Utilities Commission – Residential Energy Efficiency Programs
- JEA (Jacksonville Electric Authority) – Battery Incentive Program
- City of Tallahassee Utilities – Energy Efficiency Loan Program
- Florida Keys Electric Cooperative – Solar Loan Program
- Florida PACE Funding Agency – PACE Program Documentation
- Solar and Energy Loan Fund (SELF) – Loan Program Terms
Last updated: January 2026. Incentive programs and rates may change. Verify current program status with administering agencies before making installation decisions.