Pennsylvania Solar Incentives 2026 — SREC Program + PECO & PPL Rebates
Pennsylvania's SREC market provides ongoing income for solar owners. PECO and PPL both offer rebates for solar installation and heat pumps. The state's net metering law is strong, allowing bill credits that carry forward.
$14,200+
Max potential savings
3
Total incentives
17.9¢
Avg rate / kWh
13.1 yrs
Solar payback
$20,000
25-yr solar savings
1%
EV fleet share
Moderate ☀️
Solar potential
Solar Incentives in Pennsylvania
Pennsylvania SREC Program
Market rate
PA solar owners can earn and sell SRECs to meet the state's renewable portfolio standard.
Eligibility: PA solar homeowners registered in the SREC tracking system.
PECO Solar Rebate
Up to $200
One-time rebate for qualifying solar panel installations for PECO customers.
Eligibility: PECO residential customers.
Heat Pump Incentives in Pennsylvania
HEAR Rebate (High Efficiency Electric Home Rebate)
Up to $14,000
Point-of-sale rebate up to $8,000 for heat pumps, $1,750 for HPWHs, $4,000 for panel upgrades. Income-based.
Eligibility: Households < 150% of Area Median Income. Program administered by state energy offices.
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Compare bids from 3+ pre-vetted local installers. Takes 60 seconds.
🎯 Your estimated savings: $5,680 — get quotes to lock this in.
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Is Solar Worth It in Pennsylvania?
Solar is a solid investment in Pennsylvania. With electricity at 17.9¢/kWh and 4.1 peak sun hours per day, a typical 8 kW system pays back in 13.1 years and saves $20k over 25 years. Note: The federal 25D solar ITC expired December 31, 2025.
Key Advantage
State and utility incentives may still reduce net system cost. The federal 25D ITC expired Dec 31, 2025 — check your state's energy office and DSIRE.org for active programs in Pennsylvania.
Watch Out For
Verify utility net metering policies — buy-back rates vary significantly by utility.
Solar Cost & Savings in Pennsylvania (8 kW System)
| Item | Amount |
|---|---|
| Gross install cost | $22,400 |
| Federal ITC (30%) | −$6,720 |
| PECO Solar Rebate | −$200 |
| Net cost (after ITC) | $15,680 |
| Annual energy savings | $1,714 |
| Simple payback period | 13.1 years |
| 25-year net savings | $20,000 |
* Estimates based on 2.8/W avg install cost, 4.1 peak sun hrs/day, and 17.9¢/kWh rate with 2.5%/yr escalation. Individual results vary.
Get Free Solar Installation Quotes
Compare bids from 3+ pre-vetted local installers. Takes 60 seconds.
🎯 Your estimated savings: $20,000 — get quotes to lock this in.
Referral partnership with EnergySage. No cost to you.
How to Go Solar in Pennsylvania: Step-by-Step
- 1
Calculate your energy usage
Review 12 months of electricity bills to find your annual kWh usage. Pennsylvania's average is approximately 12780 kWh/year.
- 2
Get 3+ quotes from local installers
Use EnergySage, DSIRE, or your state energy office to find certified installers. Compare $/W pricing and warranty terms.
- 3
Check state and utility incentives
Visit DSIRE.org to find current state and utility solar incentives in your area. The federal 25D solar ITC expired Dec 31, 2025. If you installed in 2025, file IRS Form 5695 with your 2025 return to claim it.
Frequently Asked Questions — Solar & Clean Energy in Pennsylvania
Is solar worth it in Pennsylvania in 2026?
At 17.9¢/kWh and 4.1 peak sun hours/day, solar payback in Pennsylvania is approximately 13.1 years with 25-year net savings of ~$20k. Note: The federal 25D solar ITC expired December 31, 2025. State and utility incentives may still apply — check DSIRE.org for current Pennsylvania programs.
What solar incentives are available in Pennsylvania?
The federal 25D solar ITC expired December 31, 2025 and is not available for 2026 installations. If installed in 2025, you may still claim it on your 2025 tax return. Pennsylvania offers 2 state/utility incentives including Pennsylvania SREC Program and PECO Solar Rebate.
How much does solar cost in Pennsylvania in 2026?
The average installation cost in Pennsylvania is approximately $2.8/W, or $22,400 for an 8 kW system. The federal 25D ITC expired Dec 31, 2025, so net cost before any remaining state incentives is ~$22,400.
Recommended Products for Pennsylvania
Deregulated market + PECO/PPL TOU + Philly/PGH metro
Calculate Your Pennsylvania Savings
Use our free calculators with Pennsylvania's electricity rate (17.9¢/kWh) and gas prices ($1.71/therm) automatically applied.
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Data Sources & Methodology
Incentive data: DSIRE, U.S. DOE, IRS, and state energy offices. Electricity rates: EIA Electric Power Monthly (Feb 2026). Solar production: NREL PVWatts v8. Install costs: EnergySage National Market Report Q4 2025. Rate escalation: 2.5%/yr (20-yr EIA avg). Last updated February 2026. Always verify current amounts with the administering agency.