Wisconsin Solar Incentives, Tax Credits and Rebates

Does Wisconsin have any residential solar panel incentives?

Wisconsin homeowners may qualify for a Focus on Energy solar rebate, statewide tax exemptions and, in Milwaukee, a low-interest solar loan.

Focus on Energy rebates

Focus on Energy offers rebates for qualifying residential solar electric systems. For 2026, single-family homes can receive $600 per kilowatt (kW), up to $2,400 per system.

To qualify, your home must be served by a participating utility and the system must meet the program’s equipment and installation requirements. Funding is limited and available on a first-come, first-served basis, so check current requirements and deadlines before starting your project.

Milwaukee Shines loan program

Milwaukee homeowners may also be able to finance solar through the city’s Milwaukee Shines program, offered in partnership with Summit Credit Union.

• Loan amount: Up to $25,000
• Interest rate: Fixed rate, as low as prime plus 0.25%
• Repayment term: Up to 15 years
• Eligible homes: Owner-occupied properties with one to three units in the city of Milwaukee

Loans can cover solar equipment, labor, permits and interconnection fees. Certain related costs, such as structural reinforcement or reroofing needed for the solar installation, may also qualify.

Solar tax breaks in Wisconsin

Wisconsin offers both sales and property tax exemptions for qualifying solar energy systems.

• Sales tax exemption: Qualifying solar equipment is exempt from Wisconsin sales and use tax. The exemption generally applies to solar products that produce at least 200 watts of alternating-current electricity. Homeowners can use Wisconsin’s Sales and Use Tax Exemption Certificate (Form S-211) to claim the exemption.
• Property tax exemption: Qualifying solar energy systems are exempt from general property taxes. Homeowners can submit an Energy System Exemption Request (Form PR-303), along with supporting documentation, to their local assessor by March 1.

» MORE: Will solar panels increase the value of my home?

What to know about net metering in Wisconsin

Net metering lets Wisconsin homeowners get credit for excess solar electricity they send to the grid. How much that electricity is worth depends heavily on your utility.

There’s no single statewide credit rate or system-size limit. Some utilities offer retail-rate credits, while others compensate excess generation at a lower avoided-cost rate.

How major Wisconsin utilities handle net metering

Check with your utility for current net-metering rates, system-size limits and interconnection requirements.

• Xcel Energy: Systems up to 100 kW can receive retail-rate net metering, with excess electricity banked from month to month. Any excess remaining at the end of the year is paid at a lower rate based on Xcel’s parallel-generation tariff.
• We Energies: Systems under 300 kW qualify for net metering. If you produce more electricity than you use during a billing period, the excess is credited at an avoided-cost rate rather than the retail rate.
• Alliant Energy: Smaller customer-owned systems are compensated for excess electricity under Alliant’s parallel-generation rate, which is based on avoided energy costs.
• Wisconsin Public Service: Renewable systems of 20 kW or less can participate. Excess monthly generation is credited at an avoided-cost rate.
• Madison Gas and Electric: Systems up to 100 kW can qualify. Most customers receive the same energy rate for electricity they export as they pay for electricity they use, but customers who produce more than they consume over a 12-month period receive a lower buyback rate for some excess generation.

Pro tip

If your utility pays relatively little for exported electricity, adding a solar battery could let you use more of your solar power at home instead. However, solar batteries can cost thousands of dollars, so weigh the added cost against the potential savings.

Community solar in Wisconsin

If your roof isn’t a good fit for solar or you rent your home, Madison Gas and Electric's Shared Solar – Strix program lets residential customers subscribe to a share of a community solar array in Fitchburg instead of installing rooftop panels. Participants pay a one-time subscription fee plus a fixed monthly per-kilowatt-hour charge for their chosen share of the array's output, for up to 50% of their annual electricity use.

Unlike net metering, Shared Solar isn’t designed to guarantee lower bills — MGE describes it as a way to support renewable energy growth rather than a bill-savings program, so weigh the subscription costs carefully before signing up. Subscription capacity is limited and the program has previously sold out.

How much are solar panels in Wisconsin?

A typical solar panel installation in Wisconsin costs $15,866 to $31,733, before any incentives you might qualify for.

Your system size greatly affects how much you pay overall. The typical system size for solar systems in Wisconsin is 7 kW. Depending on your average household energy usage, you might need a larger or smaller system.

Average solar cost by system size in Wisconsin

How can I pay for solar panels?

You can pay cash, but most people finance solar panels with a solar loan. You also have the option of getting a lease or power purchase agreement.

Federal mortgage options for solar panels

Some federal mortgage programs let eligible borrowers include solar panels or other energy upgrades in a home purchase or refinance loan. Rules vary by lender.

• FHA Energy Efficient Mortgage: Finance cost-effective energy upgrades through an FHA-insured mortgage. A home energy assessment is required, and expected savings must cover the upgrade cost. Separate FHA rules apply to solar and wind systems.
• VA Energy Efficient Mortgage: Eligible VA borrowers can add up to $6,000 for approved energy upgrades. For costs over $3,000, projected monthly savings must exceed the added mortgage payment.

» SOLAR PANELS: Lease vs. buy

Find solar companies in Wisconsin

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

FAQ

Bottom line

The ConsumerAffairs Research Team conducted an in-depth analysis to determine the average costs of going solar. Turns out, it's worth it for many homeowners. Although there aren't as many incentives as some other states, appealing tax breaks, low-interest loans and other initiatives make going solar worthwhile for many Wisconsin homeowners.

Solar costs vs. savings: Wisconsin and nearby states