Virginia Solar Programs, Rebates & Incentives

Net Metering in Virginia

When you sign up for net metering, you get credits on your electricity bill for every excess kilowatt-hour of solar electricity that your meter sends back to the electric grid. When you need more electricity than your solar panels are producing, you can use your net metering credits to meet the difference in usage. This helps foster an economic model that rewards using less electricity while ensuring any excess clean energy produced does not go to waste.

Our parent company Dominion Energy offers the top utility net metering program in Virginia to incentivize renewable energy adoption to reduce carbon output for VA residents and businesses.

Interconnection Standards

Interconnection standards define how a distributed generation system, such as solar photovoltaics, can connect to the grid. Whereas some states lack interconnection standards, which can drive up costs and cause delays, Virginia is fortunate to have standards in place that expedite the solar installation process.

There are two interconnection standards in the state of Virginia: one for net-metered and one for non-net metered. For those considering residential solar in our state, the net-metered rules are the ones to account for. Net-metered rules are for any residential system with generation capabilities up to 20kW capacity. Essentially, these standards ensure your system can connect safely to the electrical grid and adhere to major national safety and equipment standards.

Customers must notify and receive approval from their electric distribution company and the energy service provider prior to the installation of their solar panels. This process is often handled by professional installers and Dominion Energy Solutions is no different, taking care of this on behalf of our residential solar customers.

The Federal Solar Tax Credit – Save Up to a 30% Credit through 2032

Federal solar incentives have been instrumental in spurring the continued growth of solar adoption. The Investment Tax Credit has increased from 26% to 30% and applies to both business and residential projects. The 30% credit includes projects installed in 2022 and will last until the end of 2032. Keep in mind that the ITC applies only to those who buy their PV system outright (either with a cash purchase or solar loan) and that you must have enough income for the tax credit to be meaningful.

Dominion Energy Solutions’ Solar Loan Programs

Dominion Energy Solutions will provide zero down payment solar loan options to help you pay for solar. From cash purchases to loans to tax credits, you’ll get all the information you need to make a smart decision.

Virginia Solar Tax Exemptions

Residential Property Tax Exemption

Installing solar panels on your home can increase your property value. That’s great news for homeowners who want to sell their property, but what about its effects on property taxes as a result of a higher home value?

Luckily, Virginia has a law allowing localities to exempt or partially exempt solar from their property taxes. These policies change often, so contact Dominion Energy Solutions to see if your city provides property tax exemptions. If the city doesn’t, you may wish to petition your Board of Supervisors to approve an ordinance to allow it. Check out this list of cities that offer property tax exemptions for solar. 

Local Option – Renewable Energy Machinery and Tools Property Tax Exemption

Virginia governing bodies of any local county, city, or town can apply a varied property tax on renewable energy-generating machinery and tools compared to other normal-use machinery. The rate of the property tax cannot exceed the rate of the general class of machinery and tools.

Local Option – Residential Property Tax Exemption for Solar

Virginia provides the option for any county, city, or town to exempt or partially exempt solar energy equipment and recycling equipment from local property taxes. This status is targeted toward residential participants.

Commercial Solar Property Tax Exemption

All certified commercial solar facilities under 20 megawatts (MW) are exempt from state and local taxes. Unfortunately, the tax exemption does not include the land.