Community solar
Community Solar — Subscribe to Local Solar Power With No Panels or Installation.
Community solar lets any American reduce their electricity bill with solar energy — whether you rent, own, have a north-facing apartment, or live in a state where balcony solar isn't legal yet.
How community solar works
Subscribe online
Takes about 5 minutes. Connect your utility account and select your share size.
Farm generates energy
A solar farm near you produces electricity and sends it to the grid. Your subscription entitles you to a share of that output.
Credits appear on your bill
Your utility automatically applies credits each month. You pay less than the credits are worth — pocketing the difference.
Savings appear every month
Credits from your share of the solar farm appear on your monthly utility bill automatically. Most subscribers save 5–15% annually.
Ready to enroll? find community solar in your state and compare verified providers.
Can you subscribe to multiple programs to save more?
Most states limit customers to one community solar subscription per utility account. This is because a subscription is sized to your actual usage — subscribing to more than you consume means paying for credits that expire unused.
The better strategy is to subscribe to the right amount from the best available provider — up to 100% of your annual electricity usage — rather than stacking multiple subscriptions.
If you subscribe to more electricity than you use, the excess credits may expire unused — reducing or eliminating your savings. Most programs cap subscriptions at 120% of your annual usage. Subscribe to 95–100% for best results.
Subscribe to one program sized correctly to your usage and choose the provider with the best savings rate, contract terms, and billing structure. Sol Country's Find My Power quiz estimates the right subscription size based on your monthly bill.
Is community solar available in your state?
Enter your zip code to see community solar available in your area.
How much does community solar save?
Renters with no outdoor space
No balcony, no patio, no yard? Community solar works from any apartment — even on a high floor facing north.
States where balcony solar isn't legal yet
30+ states are considering balcony solar legislation. While you wait, community solar delivers real savings.
Buildings that face the wrong direction
North-facing or heavily shaded? Community solar savings don't depend on where your windows face.
Anyone who wants $0 upfront
No equipment cost. No installation. No maintenance. Just a lower bill.
What actually makes one provider better than another.
Most community solar marketing looks the same. Here are the six things that actually differentiate programs.
Fixed vs floating discount
Fixed discounts — for example 10% off your utility rate — are better than escalator contracts that rise annually. With a fixed discount, if your utility rate goes up your dollar savings automatically grow too.
✓ Fixed discountContract length and cancellation
Cancel anytime programs offer 5–10% savings but maximum flexibility — right for renters who may move. Long-term contracts (20–25 years) can reach 30% savings but lock you to one utility territory. For renters: cancel anytime only.
✓ Cancel anytime for rentersWhen do unused credits expire?
Credits that expire monthly are a real risk if your usage varies. A customer in Maine noted that variable usage at a second home meant expired credits nearly eliminated their savings. Look for annual or rolling credit windows.
⚠ Annual expiry minimumSingle bill vs two bills
Some providers combine everything into one monthly bill — your utility charges and community solar credits together. Others send a separate CS invoice while credits appear on your utility bill. Single billing is simpler and makes savings easier to track.
✓ Single billing preferredGetting sized correctly
Subscribe to 95–100% of your annual electricity usage — not the maximum 120% most programs allow. Over-subscribing means paying for credits you cannot use. Good providers analyze your usage history and size your subscription accordingly. Push back if a provider tries to maximize your allocation.
✓ Size to 95-100% of usageIncome-qualified programs
Low and moderate income households may qualify for 20–100% discounts on community solar — far higher than the standard 5–15%. Some programs offer completely free subscriptions. Always check LMI eligibility before signing up for a market-rate program.
✓ Always check LMI firstSol Country flags each of these criteria on every provider card in the community solar marketplace — so you can compare programs at a glance before subscribing.
Compare programs →Community solar vs rooftop solar
Sol Country recommends balcony solar when:
Your state has passed a law + you have outdoor space + decent sun exposure + budget for a kit.
Sol Country recommends community solar when:
Any of those conditions isn't met — or you just want the simplest possible path to a lower bill.
Community solar by state — what's actually available.
| STATE | STATUS | TOP PROVIDER | SAVINGS | NOTES |
|---|---|---|---|---|
| Colorado | Active ✓ | SunShare / Nautilus Solar | 5–10% | Xcel Energy + Colorado Springs Utilities |
| New York | Active ✓ | Nexamp | 10% | Most major utilities |
| Massachusetts | Active ✓ | Nexamp | 10–15% | SMART program — strong LMI options |
| Illinois | Active ✓ | Nexamp + ComEd | Varies | LMI programs available |
| Maryland | Active ✓ | Nexamp | 5–10% | Multiple utilities |
| Minnesota | Active ✓ | Xcel Energy CS | Varies | Direct utility program |
| Maine | Suspended ⚠ | — | N/A | Program ended 2025. New program expected 2027. See balcony solar → |
| Texas | Not available ✗ | — | — | No enabling legislation. See solar access → |
Sol Country tracks community solar availability in all 50 states in real time.
Find programs in my state →Tax breaks and incentives for community solar
The honest answer: it depends on how you participate and which state you're in.
Community solar subscribers — the honest picture
- Federal credit: Not available for subscribers in 2026. Subscribers don't own the equipment.
- Bill credits: Generally not taxable income — they reduce what you pay, they don't pay you money. No 1099 for standard bill credit programs.
- SREC income: Usually goes to the developer. If your program passes SREC income to you directly, it is taxable.
- State credits: New York subscribers may qualify for the 25% NY state credit depending on program terms. Check with your program provider.
The bottom line: Community solar saves you money on your bill. It doesn't generate a tax credit for you. That's still a good deal — especially at $0 upfront.
Federal tax credit: subscribers don't qualify
The 30% federal residential solar tax credit (Section 25D) expired December 31, 2025 under the One Big Beautiful Bill Act. For community solar subscribers — who pay a monthly fee but don't own equipment — no federal tax credit is available.
If you purchase an ownership share in a community solar project (some programs offer this), the federal credit situation is more complex. Consult a tax professional before assuming any federal credit applies.
State incentives: several states offer meaningful breaks
| State | Incentive | Applies to subscribers | Value |
|---|---|---|---|
| New York | 25% state solar tax credit | Check program terms | Up to $5,000 |
| Colorado | Battery storage tax credit | Ownership share only | 10% (expires Dec 31, 2026) |
| Massachusetts | SMART program | Credits flow to developer | Indirect savings |
| Illinois | Illinois Shines | Credits flow to developer | Indirect savings |
| NJ, DC, MD, OH, PA, IL | SREC market | Developer keeps SRECs | Reflected in your rate |
| All CS states | Sales tax exemption on equipment | Developer benefit | Passed through indirectly |
| IRA HOMES/HEAR (19 states + DC) | Up to $14,000 rebate | Income-qualified only | Varies by state |
Important: In most community solar subscriptions, tax credits go to the developer — not you. The developer uses those credits to offer you a lower subscription rate. You benefit indirectly through a better deal, not through a credit on your tax return.
The exception is ownership-share programs where you legally own a portion of the array. These are less common but worth asking about when you sign up.
Are your community solar bill credits taxable income?
Generally no — bill credits that reduce what you pay your utility are not considered taxable income. They are a reduction in your expense, not a payment to you.
The exception: if your program pays you a check or direct deposit rather than a bill credit, that payment may be taxable. Most programs use bill credits specifically to avoid this issue.
SREC income — if your program passes solar energy certificate payments to you directly — is generally taxable income that should be reported. Consult a tax professional if your program includes SREC payments.
Sol Country does not provide tax advice. Tax treatment of solar incentives varies by program structure, state, and individual circumstances. Consult a qualified tax professional before making decisions based on anticipated tax benefits. This information reflects our understanding of current law as of May 2026 and is subject to change.
Glossary
Quick definitions for the terms used throughout this page.
- Tax credit
- A dollar-for-dollar reduction of the tax you owe, claimed on your federal or state return. Community solar subscribers usually don't qualify directly — credits typically go to the project owner.
- Bill credit
- A discount applied to your monthly utility bill based on your share of the community solar project's output. Not taxable income — it just lowers what you pay your utility.
- SREC (Solar Renewable Energy Certificate)
- A tradable certificate generated for every megawatt-hour a solar system produces. In community solar, SRECs almost always belong to the developer and are baked into your subscription rate.
- Developer incentives
- Tax credits, depreciation, sales-tax exemptions, and SRECs the project owner claims. These don't show up on your tax return, but they let the developer offer you a lower subscription price — indirect savings.
- Ownership share
- A program structure where you legally own a portion of the array (rather than subscribing). Owners may qualify for tax credits subscribers can't access, but ownership shares are less common and have different rules.
- IRA HOMES / HEAR
- Federal Inflation Reduction Act rebate programs (up to $14,000) for income-qualified households for home electrification and energy efficiency. Separate from solar credits and run by individual states.
Community solar or balcony solar — which is right for you?
Choose community solar if:
- Your state has no balcony solar law yet
- You want $0 upfront and zero installation
- You rent and your landlord won't allow panels
- You move frequently and want cancel anytime
Choose balcony solar if:
- Your state has passed a balcony solar law
- You want to own your energy asset
- You want higher long-term savings
- Community solar is suspended or unavailable in your state (e.g. Maine)
Consider both if:
- Your state has a balcony solar law AND active CS programs
- You want to maximize every possible saving
- Example: Colorado customers in 2027 can have a 395W panel AND subscribe to SunShare CS
FAQ
Take the quiz →
Find the right option for you — balcony, community, or both.
Shop balcony panels →
Own your panel — kits ship from Denver to legalized states.
See your state's laws →
Community solar and balcony legislation across all 50 states.
Compare options →
Community solar vs balcony solar — honest side-by-side.
Are you a community solar developer? Partner with Sol Country to reach pre-qualified customers in your service area →