Solar power in Maryland

Solar energy in Maryland is rising in popularity as the state strives to reduce greenhouse gas emissions to net zero by 2045. Although only about 5% of the state’s electricity currently comes from solar, Maryland plans to nearly double the size of its solar infrastructure in the next five years.

With rising electricity rates across the U.S., including a 13% increase in Maryland in the past year, there has never been a better time to consider Maryland solar panels. Although you will have to spend upwards of $20,000 upfront, investing in Maryland solar power can save you much more in the long run. 

Keep reading to learn more about solar costs, financing options, and incentives in Maryland.

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Maryland solar panel cost

The cost of solar panels in Maryland depends on many factors, including the size of your system, the components included, the type of solar panels you have, local labor and permitting costs, and more. Solar installations are customizable, so you can plan the project according to your budget, household, and energy needs.

According to Find Energy, the cost of solar panels in Maryland averages $3.54 per watt.A typical Maryland system is around 9 kilowatts (kW) in size, resulting in an average total cost of $31,860 before tax credits and other incentives.

How does Maryland solar save you money?

Switching to Maryland solar power may sound like a pricey investment. But these expenses are only part of the story. First, you can take advantage of the 30% federal solar tax credit, which we’ll explain more below. This credit could save you about $9,500 on the typical Maryland solar installation.

Going solar in Maryland also saves you money on your long-term energy costs. The typical Maryland homeowner pays about $156.46 per month for electricity. You could potentially offset this entire cost with a properly sized and installed solar array. You’d recoup the cost of your solar panels in under 12 years. Anything you save after that is money in your pocket.

Here’s a closer look at what various sizes of Maryland solar panel installations would cost you before accounting for Maryland solar incentives or rebates.

*Estimated panel count is based on the average panel size ranging from 300 to 400 watts.

The best Maryland solar panel incentives or rebates

Residential solar panels are a major financial investment, but the federal government and many state and local governments offer financial incentives to help reduce the cost burden.

First, you can apply for the federal solar tax credit to recover thousands of dollars on your solar panel purchase. While the tax credit is currently 30%, it will be reduced to 26% in 2033 and 22% in 2034 before disappearing altogether in 2035 if Congress doesn’t renew it.

The state of Maryland also has initiatives in place to help homeowners save money, which you’ll find in the following table.

Solar incentives in Baltimore

Residents in Baltimore can receive a property tax credit of up to $5,000 for installing solar equipment and other energy conservation devices on their property. This applies to single- and multi-family dwellings.

• Applications must be filed by June 1 of the year prior to the year for which you’re seeking the credit.
• You’ll need to submit receipts for equipment and inspection documentation when you apply.
• You can download the online application, print it, and submit it to the Office of Budget and Finance, Property Tax Credit Administration, Energy Conservation Devices Tax Credit, 400 Washington Avenue, Room 150, Towson, Maryland 21204.

Why choose Maryland solar power?

Lower energy costs

One of the major benefits of installing solar panels on your home is the reduced energy costs. Solar panels capture sunlight and convert it into energy to power your home. And when your home is powered by solar energy, you aren’t paying for electricity from the traditional grid. 

Establish energy independence

Another perk of having solar panels on your home is that you can establish energy independence, meaning you aren’t reliant on the traditional electricity grid to power your home. Energy independence has a couple of key benefits. First, you don’t have to worry about power outages from a storm or downed power line if you have a solar battery. Your stored solar energy from your battery can continue to power your home. Additionally, you aren’t vulnerable to price hikes when energy demand is high, which will save you money.

Go green

Traditional electricity generation emits carbon dioxide, which contributes to climate change. But solar electricity generation doesn’t emit carbon dioxide, meaning it can reduce your home’s environmental footprint. Solar power is also a form of renewable energy

Should I buy or lease my solar panels?

When you decide to install solar panels on your home, you have the option to buy your panels, lease them, or sign a solar power purchase agreement (PPA). Buying your own solar panels in Maryland results in the greatest long-term energy savings and allows you to take advantage of state and federal tax credits, which aren’t available when you lease your solar panels. Purchasing solar panels can also increase your home’s resale value by $15,000, on average.

While buying solar panels is the most cost-effective option, solar leases and PPAs have helped to make solar power more accessible. Both options offer lower upfront costs than buying solar panels. However, you’ll be locked into a contract with the developer and ineligible for tax credits and incentives. Learn more about the pros and cons of various ways to access solar in the following table.

Maryland solar panel companies

As solar electric power becomes more popular, it’s also becoming more accessible. There are several solar panel companies on the market, and SaveOnEnergy partners with top-tier installers in Maryland. Before you choose the best Maryland solar company for you, be sure to read our solar resources on SaveOnEnergy to familiarize yourself with the solar industry. Fill out our solar estimator or give us a call at the number on your screen with any questions.

Solar installer	Year founded	Financing options	Warranty terms
	2011	Cash purchase or solar loan	25-year manufacturer warranty and production guarantee
	2018	Cash purchase or solar loan	30-year performance warranty, 25-year panel warranty, and 25-year quality guarantee
	1985	Cash purchase, solar loan, or lease	25-year full system warranty

What to look for in a solar contractor

Before you choose a solar company to install your solar panels in Maryland, it’s important to carefully research and compare your options. Look for a solar contractor with years of experience, a solid reputation for customer service, and high-quality products. Reputable installers should be industry-certified by an organization like the North American Board of Certified Energy Practitioners (NABCEP). Check out what financing options and warranties they offer to make sure you’re getting the best value before signing a contract.

Beware of free solar panels in Maryland scam

Although there are quite a few Maryland solar incentives to help reduce the cost of solar panels, it’s important to remember that the project will cost you a fair amount upfront. You may see ads pushing free solar panels in Maryland, but these offers are, unfortunately, too good to be true. Most likely, these are scammers trying to steal your personal information. Don’t be fooled — but remember that solar energy in Maryland can save you thousands in the long run.

Important solar installation factors to consider

Solar panels offer plenty of benefits, including the potential to save money, establish energy independence, and reduce your environmental footprint. However, there are some important things to consider before you install solar panels on your home.

• According to the Department of Energy, solar panels are best for south-facing roofs that are in good condition with slopes of 15–40 degrees.
• Solar panels are most effective on homes that get lots of sunlight. Consider the weather patterns in your state and the shade around your home before opting for solar panels.
• Maryland law prohibits homeowners associations (HOAs) from placing too many restrictions on solar installations, but there still may be some regulations to follow. If you’re part of an HOA, you may be subject to size restrictions on your solar panels or require approval before installation.