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Maryland Solar Information

Maryland isn’t a bad state for solar. There’s always enough sunshine to cover your basic energy needs or at least to reduce your monthly electricity bill. The 26% Federal Solar Tax Credit as well as some local incentives will make your solar installation even more profitable.
  • #28
    Maryland ranks #28 in the USA for savings from installing solar panels
  • 6023.90 kWh
    Annual AC energy output of a 4 kW solar system installed in Maryland
  • 5.07 kWh
    Solar Radiation (kWh / m2 / day)
  • 11 ¢ /kWh
    The cost of electricity today in Baltimore Gas & Electric Co
  • 22 ¢ /kWh
    If you don't go solar. The forecast average utility price over the next 25 years

Maryland Solar Facts

  • $1.53
    Average cost of a 4kw solar power system in 2019.
  • 5 years
    Average system payback period.
  • $45,426.48
    Average lifetime savings.
  • 4 ¢ /kWh
    Levelized cost of solar energy.
  • 5 kW
    Recommended system size.
  • Solar Power System Cost in Maryland
  • $1.53 per watt
  • $6,576.90 total
  • 5 years

Maryland has perfect conditions for switching to solar. The state gets about 4.47 sun peak hours per day, which is sufficient to provide your home with solar energy year-round. In addition, the local government is very supportive of solar initiatives and offers great rebates and incentives for people who are ready to adopt solar. If you live in Maryland, you can potentially eliminate your electric bill from the very beginning.

Maryland Solar Facts

  • Maryland’s growth projection is estimated to be 1,100 MW over the next 5 years.
  • Since 2015, Maryland has quadrupled its solar energy capacity.
  • By the year 2030, 50% of all electricity in Maryland has to come from renewable sources.
  • The solar payback in Maryland varies from seven to 10 years depending on where you live.

The Cost of Solar Panels

The average cost of a solar panel in Maryland ranges from $2.40/W to $3.24/W.

Thus, the cost to install a 5kW solar panel system would range from $12,000 to $16,500. On average, one can expect to pay a gross price of $14,000 for solar in Maryland. This price does not include Federal Tax credit or any other rebates or incentives. Once those accounted for, the net price will be decreased by several thousands of dollars.

Maryland Solar Tax Credits

The Federal Investment Tax Credit – the government program that allows you to claim 30 % of the cost of your solar equipment and its installation on your federal taxes. It has no limit on its value.

Maryland's Solar Property Tax Exemption - Maryland has a 100% property tax exemption for residential properties’ value increases from installing solar.

Sales Tax Exemption - In Maryland, you are exempt from paying sales taxes when purchasing solar power system.

Clean Energy Production Tax Credit - a program for solar power systems 28kW and bigger. You will get a credit of $0.0085 for each kWh that goes back into the grid towards your annual state tax. This tax credit can be used for 5 years.

Maryland Solar Incentives and Rebates

Clean Energy Grant Program – Every homeowner who installs a solar energy system up to 20kw on his or her property qualifies for a $1,000 rebate.

Maryland Solar Performance Payments – Solar performance payments are given to homeowners to reward them for the power their PV systems generated. For every 1 MWh of electricity their solar power system produces, the homeowner receives one SPEC (Solar Renewable Energy Certificate). Afterward, utility companies buy SPECs from solar owners. As of today, SPECs vary in price from $50 to $100.

Net Metering – Net Metering monitors how much solar energy you generate, how much of it you use, and makes sure you are credited for any extra energy. Homeowners connect their solar power systems to the grid and receive credits for the surplus energy generated by their systems. These credits are applied to next month’s bill at a full retail price. If you generated more electricity than you used by the end of the 12-month billing cycle, a utility company will give you a check for the difference.

Pros and Cons of Buying Solar Panels in Maryland


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    Relatively short payback period

    The solar payback period is the total time it will take you to pay off your solar power system investment. Currently, solar panels are famous for their optimal energy production, meaning they produce more electricity thus reducing the energy payback period. Depending on where you live in Maryland, your solar panels might be paid off in as little as 7 years, although the average payback time for the state is about 10 years.
  • +

    After the payback period, solar power is nearly free

    Once your solar power system pays for itself, you will begin producing free electricity and making a profit.
  • +

    Great savings on a monthly electric bill

    The average monthly savings from solar in Maryland are astonishing $140. Your solar power system will begin generating clean energy as soon as it is upon your roof. It means relying less on your local utility company, no worrying about utility rate inflation, and saving a lot of money on your monthly electric bill.
  • +

    Helping the environment since solar energy is clean, sustainable, and renewable.

    Solar energy is clean, plentiful and renewable. Solar power generation does not produce any emissions and does not require the destruction of the natural environment. When compared to some of the traditional fossil fuels, solar energy does not lead to the contamination of water and the atmosphere. On the contrary, it helps reduce the greenhouse effect and lowers our negative impact on the natural environment.
  • +

    Support from the government and the state

    Maryland has one of the best financial incentives for solar panels installations. Today, the cost to switch to solar is much lower than what it used to be a few years back. With the help of the Federal Tax Credit and the state programs and incentives, the starting price of the solar power system can be reduced by at least 40%.
  • +

    Very low maintenance

    Once solar panels are installed, they are out of your way, making clean energy. They are completely silent and do not cause any wear and tear with usage thanks to not having any moving parts in their construction. The only maintenance solar panels require is light cleaning a couple of times a year.
  • +

    Excellent warranty protection

    Today, every manufacturer of solar panels offers two types of warranties with their products. The first warranty is an extended product guarantee that will take care of any breakage or faulty equipment for up to 25 years. The second warranty is a production guaranty that ensures up to 90% efficiency in electricity generation even after 25 years of usage.
  • +

    Increase in the property value

    A few recent real estate studies on the impact of an installed solar system showed an increase of at least 4.1% to the value of the home. Also, the studies revealed that homes with installed PV systems sell both at higher prices and much faster compared to homes without solar power systems. In Maryland, a 9kW solar energy system is expected to increase home value by at least $22,000.


  • -

    The possible high initial cost

    Numerous people are apprehensive about the initial cost to install a solar power system since the cost will include solar panels, battery, inverter, all the necessary accessories, mounting equipment, the installation itself, and therefore can become relatively high. However, now the solar prices are lower than ever before, and there are plenty of various tax credits and rebates available to help to offset the costs.
  • -

    Need to have a large, open area for installation

    Solar panels must be mounted on open, unrestricted surfaces to operate efficiently. Unfortunately, some homeowners do not have enough space on their roof that is completely free of any shade. Thankfully, as long as solar panels still have access to sunlight, solar panels can be installed not only on the roofs but also on the ground.
  • -

    Must be a property owner to install

    As of today, the installation of solar power systems is mostly open to homeowners with excellent credit and good earnings. For renters, low-income individuals, or individuals without a job, solar advantages are not yet available.

Is It Worth Going Solar In Maryland?

If you live in Maryland and are curious about whether or not going solar might be a good option for you, the answer is definitely yes. Today, great solar prices, an abundance of sunny days throughout the year, supportive local government, and environmental benefits make investing in solar in Maryland a very smart decision. The solar power system will help you save a lot of money and significantly cut down on pollution.

Tell us how much you are spending on electricity and we’ll calcalute how much you can save if you go solar
According to Baltimore Gas & Electric Co, we received the cost of kWH in your area and calculated energy consumption based on an average electricity bill for 3 months.
I am claiming the 26% Federal Tax Credit (ends 2020) i

When you install your solar system, 26% of your project expenses apply toward a credit to offset any taxes you owe that year. This federal tax credit is a major incentive to go solar, but it is being phased out by 2022.

Most people are eligible to claim this credit (you must owe federal taxes to be eligible).

System size

  • Mini
  • Small
  • Medium
  • Large
We recommended
4.29 kW medium system size
Provides up to 80% of electricity consumption
$1.53 per watt
Average system cost
  • image rec 3
    14 x 315 watt
    solar panels
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  • image rec 3
    14 x 300 watt
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  • image rec 3
    2 x 3 800 watt
$81.79/ month
Estimated savings on your average quarterly bill
  • $6,576.90
    Estimated system cost
    Excludes 26% Federal Tax Credit.
    This price does not include the installation cost.
  • 5 years
    Average system payback period
  • $45,426.48
    Estimated utility savings

Example of 4 kW system calculation in Minnesota for electricity bill $100

  • 11 ¢ /kWh
    The cost of electricity today in Baltimore Gas & Electric Co
  • 22 ¢ /kWh
    If you don't get solar. The forecast average utility price over the next 25 years
  • 4 ¢ /kWh
    levelized cost of solar energy

Relevant product for your system

Entry-level solar panels x 14
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Entry-level microinverter x 14
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Entry-level inverter x 2
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Canadian Solar 315W Solar Panel 120 cell CS3K-320MS Monocrystalline Black - A1 Solar Store
Cell number 120 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $0.52
Rated Power Output 315 W
Voltage (VOC) 40.1V
Cell Type Monocrystalline
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LONGi 320W Solar Panel 120 cell LR6-60HPH Modules - A1 Solar Store
Cell number 120 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $0.48
Rated Power Output 320 W
Voltage (VOC) 40.6 V
Cell Type Monocrystalline
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Panasonic HIT 330W Solar Panel 96 cell VBHN330SA17 Monocrystalline Black - A1 Solar Store
Cell number 96 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $1.03
Rated Power Output 330 W
Voltage (VOC) 69.7V
Cell Type Monocrystalline
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Mission Solar 385W 72 cell Solar Panel MSE385SR9Sl P-type mono-crystalline silicon
Cell number 72 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $0.7
Rated Power Output 385 W
Voltage (VOC) 48.53 V
Cell Type Monocrystalline