Florida is the third-largest solar state in the country, and for good reason. With an average of 237 sunny days per year and some of the strongest solar incentives of any state that lacks a dedicated state tax credit, the Sunshine State makes going solar a genuinely smart financial decision.
But here is the thing most Florida homeowners miss: the incentives available to you are not a single headline number. They are a stack of programs -- property tax exemption, sales tax exemption, net metering, utility-specific programs, and financing options -- that combine to make solar significantly more affordable than the sticker price suggests.
This guide covers every Florida solar incentive available in 2026, how much each one is worth, and exactly how to claim them.
Florida Solar Incentives Overview
Before diving into the details, here is a quick snapshot of what Florida offers solar homeowners in 2026:
| Incentive | Type | Estimated Value |
|---|---|---|
| Property Tax Exemption | Tax Exemption | $5,000-$10,000+ lifetime |
| Sales Tax Exemption | Tax Exemption | $1,500-$2,500 upfront |
| Net Metering | Bill Credit | $500-$1,500/year |
| Federal ITC (expired) | Tax Credit | N/A for purchases in 2026 |
| PACE Financing | Financing | 100% financing available |
| Solar Rights Law | Legal Protection | HOA cannot block installation |
Combined, these incentives can reduce the effective cost of a solar installation by $7,000-$15,000 over the life of the system. Let's break each one down.
100% Property Tax Exemption
This is one of the most valuable and most underappreciated solar incentives in Florida. Under Florida Statute 193.624, the added value that a solar energy system brings to your home is 100% exempt from property tax assessments.
Here is what that means in real numbers:
- A typical residential solar system adds $15,000-$25,000 to your home's market value, according to Zillow and Lawrence Berkeley National Laboratory research.
- Florida's average effective property tax rate is approximately 0.86%.
- Without the exemption, a $20,000 value increase would cost you roughly $172 per year in additional property taxes.
- Over 25 years, that is $4,300+ saved -- and the exemption lasts for the life of the system.
Key Detail
This exemption is automatic in most Florida counties. You do not need to apply separately -- your property appraiser's office should apply it during your next assessment. However, it is worth confirming with your county's property appraiser to make sure it was applied correctly.
The exemption applies to all residential renewable energy source devices, including solar photovoltaic panels, solar water heaters, and solar pool heaters. It is permanent and transfers with the property if you sell.
Sales Tax Exemption
Florida exempts solar energy equipment from the state's 6% sales tax. Depending on your county, you may also be exempt from the local discretionary surtax, which ranges from 0.5% to 1.5%.
On a typical Florida solar installation costing $22,000-$30,000 before incentives, the sales tax exemption saves you:
- $1,320-$1,800 on state sales tax alone (6%)
- Up to an additional $180-$450 on the local discretionary surtax
- Total savings: $1,500-$2,250
This exemption is automatic. Your solar installer should not charge you sales tax on the solar equipment portion of your installation. If they do, ask them to correct it and reference Florida Statute 212.08(7)(hh).
What's Covered
The exemption covers solar panels, inverters, racking/mounting hardware, batteries (when part of a solar system), wiring, and monitoring equipment. It does not cover roofing repairs, electrical panel upgrades, or other non-solar work that may be part of your installation contract.
Net Metering in Florida
Florida's net metering program allows you to send excess solar electricity back to the grid and receive credits on your utility bill. When your panels produce more than you use during the day, the excess flows to the grid. When you need more power than your panels produce (at night, for example), you draw from the grid and those credits offset the cost.
Under current Florida rules, residential net metering customers receive credits at the full retail rate of electricity, which is the most favorable structure for homeowners. This makes your excess solar production worth the same as the electricity you buy from the utility.
For a detailed breakdown of net metering rules by utility, including how billing works, system size limits, and what happens to your credits at year-end, see our dedicated guide: Florida Net Metering in 2026: How It Works & What's Changed.
Utility-Specific Rebate Programs
FPL (Florida Power & Light)
FPL is the largest utility in Florida, serving approximately 5.8 million customers across the eastern half of the state. As of 2026, FPL does not offer direct residential solar rebates. However, FPL provides:
- Net metering at full retail rate for systems up to 2 MW
- SolarTogether community solar program for customers who cannot install rooftop panels
- No interconnection fees for residential net metering customers
Duke Energy Florida
Duke Energy Florida serves approximately 1.9 million customers in the central and north-central regions of the state. Their current offerings include:
- Net metering with monthly rollover credits
- Clean Energy Connection community solar program
- No direct residential rebates as of 2026
TECO Energy (Tampa Electric)
Tampa Electric serves approximately 800,000 customers in the greater Tampa Bay area. TECO offers:
- Net metering for residential solar customers
- Solar energy credits program for small-scale solar
- Historically offered rebates -- check current availability directly with TECO
JEA (Jacksonville)
JEA is a community-owned utility serving Jacksonville and surrounding areas. JEA provides:
- Net metering for systems up to 2 MW
- SolarSmart community solar program
- Historically one of the more solar-friendly municipal utilities in Florida
Pro Tip
Utility programs change frequently. Before starting your solar installation, call your utility's solar or renewable energy department directly to confirm current programs, interconnection requirements, and any available incentives. Do this before signing a contract with an installer.
Federal Investment Tax Credit Status
The residential solar Investment Tax Credit (ITC) under Section 25D expired on December 31, 2025, following the passage of the One Big Beautiful Bill Act. This means Florida homeowners who purchase solar systems in 2026 can no longer claim the 30% federal tax credit on their personal tax returns.
This is a significant change. For a $25,000 solar system, the ITC was previously worth $7,500. That benefit is now gone for direct purchases.
Warning
If any solar company tells you that you qualify for a 30% federal tax credit on a purchased system in 2026, they are providing inaccurate information. This is one of the most common misleading claims in the solar industry right now. See our guide on evaluating Florida solar companies for more red flags.
However, the commercial ITC under Section 48E still exists. This matters because:
- Solar leases and PPAs may still pass some of the commercial tax credit benefit to homeowners through lower monthly payments.
- If you are considering a lease vs. a purchase, the math has shifted. Leases may now be comparatively more attractive than they were when the residential credit existed.
PACE Financing in Florida
PACE (Property Assessed Clean Energy) financing is a unique financing option available in Florida that allows homeowners to finance solar installations through a voluntary assessment added to their property tax bill.
Here is how it works:
- You receive the full solar installation with no money down
- Repayment is added to your property tax bill as a non-ad valorem assessment
- Terms range from 5 to 25 years
- The assessment transfers with the property if you sell your home
- Interest rates typically range from 6.5% to 9%
Major PACE providers operating in Florida include:
| Provider | Coverage Area | Max Term |
|---|---|---|
| Ygrene | Most Florida counties | Up to 25 years |
| Florida PACE Fund | Multiple counties | Up to 20 years |
| Renew Financial | Select Florida markets | Up to 25 years |
Important Consideration
PACE financing is convenient, but the interest rates are generally higher than home equity loans or HELOCs. Additionally, because the assessment has priority over your mortgage, some mortgage lenders have raised concerns about PACE. If you plan to refinance or sell your home, discuss PACE implications with your mortgage lender first.
Florida Solar Rights Law & HOA Protections
Florida has one of the strongest solar access laws in the country. Florida Statute 163.04 -- commonly known as the Florida Solar Rights Law -- explicitly prohibits any entity from preventing the installation of solar energy devices on residential property.
Here is what the law protects:
- HOAs cannot ban solar panels. Any covenant, restriction, or condition in an HOA agreement that prohibits solar energy installations is void and unenforceable.
- Condo associations are also covered. The law applies to all types of residential property.
- Local governments cannot pass ordinances that effectively prohibit solar installation through unreasonable permitting requirements.
- Your HOA can set reasonable aesthetic guidelines, such as preferred panel placement -- but these guidelines cannot increase the cost of installation by more than 10% or decrease the system's efficiency by more than 10%.
If Your HOA Pushes Back
Document everything in writing. If your HOA attempts to deny your solar installation or impose unreasonable restrictions, you have legal standing under Florida law. Many solar installers have experience navigating HOA issues and some will assist with the process. If necessary, consult a Florida real estate attorney familiar with the Solar Rights Law.
Complete Incentive Summary Table
Here is a complete side-by-side view of every Florida solar incentive, who qualifies, and how to claim each one:
| Incentive | Value (Typical) | Who Qualifies | How to Claim |
|---|---|---|---|
| Property Tax Exemption | $4,000-$10,000+ lifetime | All FL homeowners with solar | Automatic; verify with county appraiser |
| Sales Tax Exemption | $1,500-$2,500 | All FL solar purchases | Automatic; installer should not charge sales tax |
| Net Metering | $500-$1,500/year | All FL utility customers with solar | Apply through your utility at interconnection |
| Federal ITC | Expired for residential | N/A | N/A for purchases; may benefit lease/PPA |
| PACE Financing | 100% financing, no down payment | Homeowners in participating counties | Apply through PACE provider (Ygrene, etc.) |
| Solar Rights Law | Legal protection | All FL residential property | Automatic; cite FL Statute 163.04 if challenged |
How to Claim Your Florida Solar Incentives
Most Florida solar incentives are automatic, but here is a checklist to make sure you capture every benefit:
- Before installation: Verify your utility's current net metering policy and interconnection requirements. Call them directly.
- During installation: Confirm your installer is not charging sales tax on solar equipment. Check the invoice line by line.
- After installation: Submit your interconnection application to your utility for net metering. Your installer typically handles this.
- At your next property tax assessment: Check that the solar system value has been excluded from your taxable value. Contact your county property appraiser if it hasn't.
- Ongoing: Monitor your net metering credits monthly. If credits seem lower than expected, contact your utility.
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Get Free Florida Solar Quotes →Frequently Asked Questions
Does Florida have a state solar tax credit?
Florida does not have a state-level solar tax credit. However, Florida offers two powerful incentives: a 100% property tax exemption on the added value of solar systems and a sales tax exemption on solar equipment purchases, saving you roughly 6-7% on system costs.
Is the federal solar tax credit available in Florida in 2026?
The residential Investment Tax Credit (ITC) under Section 25D expired on December 31, 2025. Florida homeowners purchasing solar in 2026 can no longer claim the 30% federal tax credit. However, the commercial ITC under Section 48E still exists and can benefit homeowners indirectly through solar leases and PPAs.
How does Florida's property tax exemption for solar work?
Under Florida Statute 193.624, 100% of the added value that a solar energy system brings to your property is exempt from property taxes. If solar adds $20,000 to your home's value, you pay zero additional property tax on that amount. This exemption is automatic and permanent.
Does FPL offer solar rebates in 2026?
FPL (Florida Power & Light) does not currently offer direct cash rebates for residential solar installations. However, FPL does offer net metering, allowing you to earn credits for excess solar energy sent back to the grid. FPL also has its SolarTogether community solar program for customers who cannot install rooftop panels.
What is PACE financing for solar in Florida?
PACE (Property Assessed Clean Energy) financing allows Florida homeowners to finance solar installations through a voluntary assessment on their property tax bill. Programs like Ygrene and Florida PACE Fund offer up to 100% financing with terms up to 25 years. The assessment transfers with the property if you sell.
Can my HOA prevent me from installing solar panels in Florida?
No. Florida Statute 163.04, the Solar Rights Law, prohibits HOAs, condo associations, and local governments from banning solar installations. Your HOA can set reasonable aesthetic guidelines (like placement preferences), but they cannot deny your right to install solar panels or make the requirements so restrictive that they effectively prevent installation.
How much can I save with Florida solar incentives?
Between the sales tax exemption (saving $1,500-$2,500 on a typical system), the property tax exemption (saving $300-$500 per year indefinitely), and net metering credits, Florida homeowners can save $15,000-$30,000 over the lifetime of their solar system depending on system size and electricity usage.
Does Duke Energy Florida offer solar rebates?
Duke Energy Florida does not offer direct residential solar rebates as of 2026. They do provide net metering for residential solar customers and have a Clean Energy Connection community solar program. Check with Duke Energy directly for the latest program availability in your service area.
The Bottom Line
Florida does not have a state solar tax credit, and the federal residential ITC has expired. But the combination of a 100% property tax exemption, a full sales tax exemption, net metering at retail rates, and strong legal protections for solar homeowners still makes the Sunshine State one of the best places in the country to go solar.
The key is understanding the full stack of incentives available to you, and making sure you actually claim each one. Use the checklist above, get multiple quotes from reputable Florida solar companies, and understand the real cost of solar in Florida before signing anything.
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