New Jersey Solar Rebates, Tax Credits & Incentives (2026)

Complete guide to solar incentives in New Jersey. See how much you can save with the federal tax credit, state programs, utility rebates, and local incentives.

Last updated: Reviewed by: Sarah Chen
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$14,500 Avg. System Cost (7.5 kW)
$10,150 Net Cost After Incentives
6 yrs Break-Even Timeline
$28,942 20-Year Savings
4.2 hrs Peak Sun Hours/Day
$0.17/kWh Avg. Electricity Rate

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Solar Incentives Available in New Jersey

Here is a breakdown of every solar incentive available to New Jersey homeowners, from federal tax credits to state-specific programs.

IncentiveValueDetails
Federal ITC (30%)$4,350Tax credit on federal return
SRECs$200/MWhTradeable renewable energy credits
Property Tax ExemptionYesSolar adds value without raising property taxes
Sales Tax ExemptionYesNo sales tax on solar equipment
Net MeteringfullCredit for excess solar energy exported
Additional Programs: Successor Solar Incentive (SuSI) TRECs provide strong ongoing revenue. One of the best SREC markets in the nation.

Explore Solar Financing for New Jersey

$0 down options available. Own your system and claim the 30% federal tax credit. Save up to $1,955/year.

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ROI Analysis: Solar Investment in New Jersey

Based on a 7.5 kW system at $14,500 with 4.2 peak sun hours per day and electricity at $0.17/kWh.

System Cost 14500
Federal ITC Savings 4350
State Incentives 0
Year 1 Electric Savings 1955
20-Year Net Savings 28942

Annual Energy Production: 11,498 kWh

Annual Electric Bill Savings: $1,955

Total Incentive Savings: $4,350

Net System Cost: $10,150

Break-Even: ~6 years

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⚠ The 30% federal solar tax credit is available through 2032. It drops to 26% in 2033. Lock in maximum savings in New Jersey now.

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Utility Companies in New Jersey

Review net metering policies, export compensation rates, and solar programs for each utility serving New Jersey.

PSE&GNet metering: retailJCP&LNet metering: retailAtlantic City ElectricNet metering: retailVineland Municipal Electric UtilityNet metering: retailRockland ElectricNet metering: retail

City Solar Reports in New Jersey

Get city-specific solar ROI projections, local incentives, and break-even analysis.

Newark4.2 sun hrs · $0.17/kWhJersey City4.2 sun hrs · $0.17/kWhPaterson4.2 sun hrs · $0.17/kWhElizabeth4.2 sun hrs · $0.17/kWhTrenton4.2 sun hrs · $0.17/kWhUnion City NJ4.2 sun hrs · $0.17/kWhCamden4.2 sun hrs · $0.17/kWhPassaic4.2 sun hrs · $0.17/kWhHoboken4.2 sun hrs · $0.18/kWhAtlantic City4.3 sun hrs · $0.16/kWh

Best Solar Options in New Jersey

ProviderTypeHighlightRatingAction
EnergySageMarketplaceCompare local New Jersey installers4.8/5Get Quotes
SunrunInstaller$0 down solar in New Jersey4.5/5View Plans
SunPowerPremiumTop efficiency panels4.6/5Get Quote

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Frequently Asked Questions

Homeowners in New Jersey can claim the 30% federal ITC, and SRECs worth $200/MWh. Net metering status: full.
The average solar installation in New Jersey costs approximately $14,500 for a 7.5 kW system before incentives. After the federal tax credit and state incentives, the net cost is approximately $10,150.
Based on average electricity rates of $0.17/kWh and 4.2 peak sun hours per day, a solar system in New Jersey typically pays for itself in approximately 6 years.
Net metering in New Jersey is currently classified as "full". This affects how much credit you receive for excess solar energy exported to the grid. Check with your specific utility for current rates.
Based on our calculations, a typical 7.5 kW solar system in New Jersey can save approximately $28,942 over 20 years, factoring in all available incentives.

SolarSavingsAI Research Team

Solar Energy Analysts

Our team analyzes solar incentive data from federal (DOE, IRS), state (DSIRE), and utility sources to provide accurate savings estimates. Data is reviewed quarterly and cross-referenced with NREL benchmarks.

Sources: DOE, IRS, DSIRE, NREL, EIA Updated: 2026 Full Methodology Editorial Standards

Explore Nearby States

Connecticut Solar Rebates 4 sun hrs · $0.25/kWh Delaware Solar Rebates 4.3 sun hrs · $0.14/kWh Maine Solar Rebates 4 sun hrs · $0.19/kWh Maryland Solar Rebates 4.4 sun hrs · $0.15/kWh Massachusetts Solar Rebates 4 sun hrs · $0.24/kWh New Hampshire Solar Rebates 4 sun hrs · $0.21/kWh

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