Florida Solar Incentives, Tax Credits and Rebates

Florida solar tax breaks

Florida offers a 100% sales tax exemption on solar equipment and a property tax abatement that prevents solar from increasing your property tax bill.

• Sales tax exemption: The Florida Department of Revenue offers a 100% sales and use tax exemption for eligible renewable energy equipment, including solar photovoltaic (PV) systems, solar water heaters and related components.
• Property tax abatement: Solar technologies, including solar photovoltaics, solar water heaters and lithium-ion storage systems, are exempt from the added assessed value for property tax purposes until 2037.

Solar loan programs

• Solar and Energy Loan Fund (SELF): Depending on where you live, you might be eligible for the Florida Keys Electric Cooperative loan program or Property-Assessed Clean Energy (PACE) financing. This is a unique nonprofit organization that offers solar loans up to $50,000 with rates starting at 5%.
• Florida Keys Electric Cooperative loans: If you’re a Florida Keys Electric Cooperative customer, you might qualify for funding up to $35,000 to pay for solar projects.

What to know about net metering in Florida

Florida’s net metering policy is currently favorable for homeowners, but new proposals could change how it works soon, according to Andrew Lokenauth, a Tampa-based finance expert with experience in the solar market.

How it works

Net metering lets you earn credits for the excess electricity your solar energy system generates and sends to your local power grid. These credits can offset electricity used when the panels aren’t producing (like at night or on cloudy days), effectively lowering monthly utility bills. Utilities like Duke Energy and Florida Power & Light (FPL) offer programs that support net metering.

Florida law requires a full retail-rate, 1-to-1 credit for excess solar energy sent to the grid.

“Florida’s net metering policy is actually pretty solid right now,” Andrew Lokenauth, a finance expert with experience in the solar markets in Tampa and Miami, explained. “I’m getting roughly 1-to-1 credit for excess power, which has cut my property’s electric bill by about 85%. But based on my conversations with local policy makers, I wouldn’t count on these great rates lasting forever.”

Recent changes to the state’s net metering policies have left some solar customers unhappy. For instance, Michael in Jacksonville switched to Jacksonville Electric Authority’s SolarSmart program in 2021, “but due to the changes in the net-metering rates it didn’t make financial sense,” he told us. It ended up costing more than expected due to unclear billing. We’ve heard similar concerns from FPL customers about confusing rate structures.

Should you get a solar battery?

A solar battery lets you store excess solar energy in your backyard instead of feeding it into the local power grid. It’s expensive ($7,000 to $18,000) but might be worth it in the long term if net metering rates continue to decline. A battery can also help protect you from power outages during hurricane season.

» MORE: Solar battery cost factors

How much are solar panels in Florida?

Solar panel costs in Florida typically range from $10,982 to $21,964 before incentives. Leasing is often cheaper upfront, but only a purchased system can qualify you for Florida’s sales-tax exemption and property-tax abatement.

On the high end, Norberto in St. Cloud paid $70,000 for his solar energy system. The size of your solar system is one of the biggest factors in determining total cost. A typical system in Florida is 14.4 kW (kilowatts). You might need a larger or smaller system, depending on your average household energy usage.

Average solar panel costs by system size in Florida 

Federal solar programs

The 30% federal solar investment tax credit (ITC) expired at the end of 2025, but Florida homeowners may still qualify for one of the following federal programs.

• Energy Efficient Mortgages: FHA-backed Energy Efficient Mortgages can let a buyer roll the cost of solar panels or other energy upgrades into a home loan, based on the expected energy savings.
• Fannie Mae Green Financing: This financing is built mainly for multifamily properties, so it’s less relevant to most single-family Florida homeowners, though it may apply to larger residential solar projects.

Find solar companies in Florida

A good solar company helps you navigate local incentives, permitting and net metering policies. Compare our picks for Florida’s top solar companies to learn more.

FAQ

Bottom line

Florida doesn’t have as many solar incentives as other states. Still, appealing tax breaks, low-interest loans and other initiatives make going solar worthwhile. The ConsumerAffairs Research Team conducted an in-depth analysis to determine the average costs of going solar and incentives in other states. Turns out, it’s worth it for many homeowners, particularly in Florida.

Solar costs vs. savings: Florida and nearby states