Solar SME Washington, DC
Top-Rated Solar & Battery Installers
Experience energy independence with smart and sustainable power
Washington, D.C., the nation’s capital, is not only a political center but also a leader in adopting clean and renewable energy. Despite mixed weather conditions like rainy and sunny days, the District receives an ample amount of sunlight on approximately 203 days every year, making it best suited for solar energy generation. The government has made ambitious clean energy targets, compelling homeowners and businesses to opt for solar solutions in terms of long-term savings and sustainability. Solar SME is a certified solar installation company in Washington, DC, serving 11 states across the United States. We offer tailored solar and backup power solutions as per your unique energy needs. Backed up by leading solar warranties, our post-solar installation services make us stand out in the market.
How much can you save on electric bills with solar in Washington, D.C.?
The average cost of electricity in Washington, D.C., is 13¢ per kWh. Residents of Washington, D.C., typically spend $160 a month on power. Electric costs in Washington, D.C., will cost you $67,400 over the next 25 years. In DC, however, installing a solar system will pay for itself in 4.77 years. Additionally, solar lease/PPA finance may lower your electric bill by 5–15% if you rent or are unable to install solar on your property. The average electricity user in Washington, D.C., will require a 10.3 kW solar panel system to offset 100% of their 14688 kWh yearly electricity use, depending on the intensity and number of hours of sunlight in the state. Furthermore, with the Washington, D.C. SRECs program, you can sell your credits to the utilities and earn from them.
25-year Savings
$62,880
Payback Period
10 Years
10 Years
Electricity Offset
84%
84%
Solar Financing Options in Washington, D.C. by Solar SME
Installing a solar energy system in Washington, D.C. is a smart investment for your home or business nowadays. Although losing a 30% federal tax credit will increase the upfront cost, rising electricity rates, inflation, and climate-driven grid instability still reflect the value of solar. There are 3 main financing options for managing initial solar expenses.
Purchasing a solar panel system offers the maximum long-term returns. There is no loan paperwork, no interest calculations, no increasing lease payments, and no monthly payments after installation. Also, your home value will boost by 7%-14% and you qualify for the federal and other solar incentives in Washington, D.C..
If you don't have enough cash to pay for your solar panel system but still want to own it, a solar loan is a viable alternative for you. You will make fixed monthly payments for 5-25 years while benefiting from instant energy savings. Fixed payments provide cost predictability, unlike utility bills or lease escalators, which rise over time. The good news is that the Federal Reserve cut interest rates for the first time this year, dropping the federal funds rate another 25 basis points, bringing the benchmark lending rate down to 4.0% - 4.25%. The best part is that you will be qualified for available state tax incentives and rebates. The trusted solar installer in Washington, D.C., like Solar SME, can help you to go solar with 0% APR option.
As the 30% tax credit is expiring, solar leases are emerging as the best alternative to take advantage of solar power. Third-party financing requires you to pay a fixed monthly lease payment or per-kWh rate (PPA) for the solar energy produced by the system. According to the U.S. Department of Energy, this rate is 10% to 30% lower than your electric bills. As you are not the owner, the federal tax credit and other solar incentives' expiry will not impact your savings. However, it is vital to choose your solar leasing plans wisely. Solar SME, the top solar provider in Washington, D.C., offers the best solar lease options for making your solar journey affordable.
Best Residential Solar Incentives and Rebates in Washington, D.C.
Washington, D.C., offers some of the best solar and battery incentives and local rebates in the country. As the electric rates are surging every day, going solar can result in substantial savings. However, the federal solar tax credit will expire in 2025. Let’s have a look at the top solar energy programs in Washington, D.C.
01- Residential Clean Energy Tax Credit
The Residential Clean Energy Credit, also known as the federal investment tax credit (ITC), can lower the cost of a solar panel system by 30%. This incentive applies to the entire system, including equipment, labor, permits, and sales tax. However, on July 4, 2025, President Trump signed legislation that completely canceled the home solar tax credit beginning January 1, 2026, nearly a decade before its initial expiration date.
02- Solar Renewable Energy Certificates (SRECs)
D.C. set a goal to produce 10% percent of its annual electricity from solar by 2041, and you can get paid to help. Under this program, you are granted one D.C. SREC for each megawatt-hour (MWh) of clean electricity your panels produce, which you can then sell in the SREC market. Most solar owners use a broker to handle the confusing part of selling the SRECs to the utility companies. The broker would pay you directly for the SRECs. As of 2024, each D.C. SREC can sell for up to $400, and the actual price tends to hover right around that level. (That makes them some of the most valuable SRECs in the country!) So, a 5-kilowatt system that generates about 6 MWh annually would earn an extra $2,400 each year.
03- Solar for All
Free solar panels in Washington DC is a myth, but a program for low-income homeowners in D.C. is one of the few exceptions. Solar for All, administered by the D.C. Sustainable Energy Utility, will actually put solar on the roofs of qualified homes at no charge, and the homeowners get the full benefit of the savings from utility bills. The utility company claims that the free systems “have the potential to offset electricity costs by as much as $500 per year.” To qualify, homeowners need to receive assistance from a government program, like SNAP or SSI, or have a household income below 80% of the local average (AGI).
04- Washington D.C., Solar Tax Exemption
In addition to the rebates and incentives above, D.C. also offers a solar property tax exemption. Rooftop solar tends to raise property values, which would normally increase your property tax burden. But by D.C. law, homeowners are not taxed on any property value added by solar. Currently, there is no expiration date on the books for this policy.
Is net metering available in
Washington, D.C.?
If you connect your solar panel system to the grid, you can benefit from net metering, which is really the ultimate incentive for rooftop solar. Under net metering, the sun doesn’t need to shine all the time to maximize your solar savings. When the sun isn’t shining and you need grid electricity to power your home, your utility company, like PEPCO, just starts drawing against your credits. You won’t pay for electricity until those credits run out. PEPCO gives you credits in kWh, not in dollars. That means you can only apply the credits to your actual energy usage. You’ll still have to pay for the fixed rates on your bill each month (roughly $18 per month as of early 2025). However, PEPCO does pay out most of the cash value for unused credits (or at least the majority of it).
Commercial Solar Installation in Washington, D.C.
Investing in a commercial solar power in Washington, D.C. is an effective way for businesses to combat all of the power challenges. Businesses can generate power using free and unlimited sunlight via commercial solar panels. Furthermore, using solar electricity combined with a reliable battery backup system like Tesla Powerwall 3 eliminates power disruptions. Hence, enabling smooth workflow and increased operational resiliency. Washington, D.C., also offers business solar incentives and tax credits, which are another compelling reason to switch to low-cost clean energy options. Additionally, flexible financing options are available for business solar installation.
Why is it worth it to switch to solar in Washington, D.C.?
The U.S. Energy Information Administration (EIA) expects U.S. residential electricity prices to average 16.8 cents per kilowatt-hour (kWh) in 2025, up 2% from last year. With reduced solar panel costs, rising bad weather conditions, and long power outages, solar continues to deliver major financial benefits in Washington, D.C. Top reasons to switch to solar in DC include:
Low Electric
Bills
Maximum Grid Independence
Flexible Financing Options
Increased Home Value
Earn Energy Credits/SREC Programs
The best way to determine how to maximize your solar savings in Washington, D.C. is to consult with a local solar installer. Solar companies near you can guide you with the best solar solutions and incentives in your area and can help you to get the most out of your solar investment.
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Our Customers are Getting Up to 90% Lower Electric Bills with
Solar SME Tailored
Solar Solutions
Solar SME provides its valuable clients with an exceptional solar experience by designing solutions according to its customers’ unique needs. Also, we hold a positive image in solar marketplaces like Energysage. Moreover, we are accredited with BBB, and our happy customers share their solar experience and highly recommend Solar SME for the best solar services in Washington, D.C.
City: Washington, DC
System Size: 6.8 kW
Annual Savings: $1,180
City: Washington, DC
System Size: 8.2 kW
Annual Savings: $1,390
City: Washington, DC
System Size: 9.5 kW
Annual Savings: $1,580
City: Washington, DC
System Size: 9.5 kW
Annual Savings: $1,580
City: Washington, DC
System Size: 12.4 kW
Annual Savings: $2,040
City: Washington, DC
System Size: 14.1 kW
Annual Savings: $2,290
Frequently Asked Questions
Yes, solar energy is highly beneficial in Washington, DC. With over 150 sunny days annually, strong incentives, and net metering, homeowners can significantly lower electricity bills, boost property value, and enjoy long-term clean energy savings.
SRECs are credits earned for every megawatt-hour your solar system produces. Homeowners can sell them to utilities, generating extra income while supporting DC’s renewable energy goals and reducing overall system payback time.
Most DC homeowners achieve full solar payback within 6–9 years. After that, electricity is essentially free, and ongoing SREC income and energy bill credits deliver decades of sustainable financial and environmental benefits.
Washington, DC residents can access the Federal Solar Tax Credit, SREC program, and Solar for All initiative. These incentives reduce upfront installation costs, enhance return on investment, and make solar adoption more affordable for all income levels.
Choosing Solar SME ensures expert local knowledge of DC’s permitting, incentive programs, and installation standards. As a certified installer, Solar SME provides customized, high-quality solar solutions that maximize savings and system performance.