Going solar in Vermont

In Vermont, an average home needs a 6kW solar system in order cover most of their electricity needs. Given the average residential price-per-watt of $3.99 in Vermont, a 6kW system can cost around $23,940 depending on applicable rebates and other factors.

Select your county by clicking on the map and see the potential generated solar power and panel pricing. See how it compares with the US state average.

Average out-of-pocket cost for a 5 kW system The upfront amount spent to buy and install solar.
Vermont: $19,950US Average: $19,594
Average Payback Period The number of years until you break even on the solar investment.
Vermont: 15 yearsUS Average: 13 years
Average Net 20-year savings The total amount of money saved over 20 years minus the out-of-pocket cost.
Vermont: $7,010US Average: $10,133

Solar Potential in Vermont

Estimated system size and solar electricity production per median viable roof in
Vermont.

Roof size 572sq. ft.
Capacity 8kW DC
Electricity 8.7kkWh AC per yr.

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Compare solar panels by system size in Vermont

Get the most value out of your roof by comparing the different benefits a given system size has.

System Size 2kW
Roof Size Min. space required
143 ft²
Electricity Value Annual Production $502 a year
Est. Price
$7,980
Savings from a 2kWthis system
  • Est. yearly production 2,570 kWh
  • Est. monthly savings $42
  • Full payback in 16 years
Environmental Impacts
  • Reduces CO2 emissions by 1.12 tons a year
  • Equivalent to planting 51 trees a year
  • Equivalent to driving 2,772 mi less a year
System Size 3kW
Roof Size Min. space required
215 ft²
Electricity Value Annual Production $753 a year
Est. Price
$11,970
Savings from a 3kWthis system
  • Est. yearly production 3,855 kWh
  • Est. monthly savings $63
  • Full payback in 16 years
Environmental Impacts
  • Reduces CO2 emissions by 1.68 tons a year
  • Equivalent to planting 77 trees a year
  • Equivalent to driving 4,158 mi less a year
System Size 4kW
Roof Size Min. space required
286 ft²
Electricity Value Annual Production $1,004 a year
Est. Price
$15,960
Savings from a 4kWthis system
  • Est. yearly production 5,139 kWh
  • Est. monthly savings $84
  • Full payback in 16 years
Environmental Impacts
  • Reduces CO2 emissions by 2.24 tons a year
  • Equivalent to planting 103 trees a year
  • Equivalent to driving 5,544 mi less a year
System Size 5kW
Roof Size Min. space required
358 ft²
Electricity Value Annual Production $1,255 a year
Est. Price
$19,950
Savings from a 5kWthis system
  • Est. yearly production 6,424 kWh
  • Est. monthly savings $105
  • Full payback in 16 years
Environmental Impacts
  • Reduces CO2 emissions by 2.8 tons a year
  • Equivalent to planting 129 trees a year
  • Equivalent to driving 6,930 mi less a year
System Size 6kW
Roof Size Min. space required
429 ft²
Electricity Value Annual Production $1,506 a year
Est. Price
$23,940
Savings from a 6kWthis system
  • Est. yearly production 7,709 kWh
  • Est. monthly savings $112
  • Full payback in 18 years
Environmental Impacts
  • Reduces CO2 emissions by 3 tons a year
  • Equivalent to planting 138 trees a year
  • Equivalent to driving 7,421 mi less a year

Vermont solar incentives, tax credit, and rebates

Vermont has 16 rebates and tax credits that you may be eligable for. Visit the official links for more details to see if you apply.

Solar incentives in VT

Small-Scale Renewable Energy Incentive Program

Value:Up to $3,000

The Small-Scale Renewable Energy Incentive Program is a centralized rebate program for Vermont homes, businesses, and nonprofits. Available rebate offers will vary from time to time. Current rebates apply to solar water heaters, wood-burning heat/CHP, and associated equipment used to store fuel. The specific rebate amount will vary depending on the type of property and the rated capacity of the system. To qualify, systems must be installed by a licensed contractor and should not have received additional grant funding. Additional information is available from the Vermont Renewable Energy Resource Center.

Clean Energy Development Fund

Value:Varies

Since 2005, the Vermont Clean Energy Development Fund (CEDF) has supported renewable energy investment and energy efficiency improvements throughout the state. Funding is derived from customer surcharges, nuclear waste fees (from Entergy's Yankee plant), and compliance penalties assessed to utilities failing to meet the renewable portfolio standard. CEDF programs are targeted toward utility-scale energy facilities that generate zero emissions. Biomass-powered CHP solutions may also qualify for financial assistance. Additional information is available from the Public Service Commission website.

Vermont Gas - Residential Energy Efficiency Program

Value:Varies

Homeowners in the Vermont Gas service area may be eligible for rebates on energy-efficient thermal systems, space heaters, and water heaters. Solar water heating is included in the rebate program. Applicants should obtain preapproval from Vermont Gas and hire a state-licensed natural gas contractor to install the new devices. Additional information is available from the Vermont Gas website.

Commercial Energy Loan Program

Value:Varies

Mid-size and large businesses in Vermont may obtain special economic development financing for new renewable energy investments and energy efficiency improvements. CELP loans are offered through Economic Development Authority lending partners. Available principal tops out at $2 million and can fund up to 60% of project costs. Below-market variable and fixed interest rates may be available; repayment can occur over up to 20 years. Standard credit checks, commitment fees, regulatory costs, and other terms/conditions apply. Additional information is available from the Economic Development Authority.

Local Option - Property Assessed Clean Energy

Value:Varies

Cities and counties in Vermont may create or enter property-assessed clean energy (PACE) financing districts. Any property owner, including single-family homeowners, may apply for specialized energy efficiency loans through their local district. Active PACE programs cover forty different cities, including the Burlington metropolitan area. Maximum available PACE loan principal, interest rates, and other terms and conditions will vary from program to program. Repayment takes the form of a property tax lien senior to mortgages; this means should the borrower sell their property, the new owner will be responsible for continuing loan payments. Additional information is available from the Efficiency Vermont website.

Line Extension Alternatives

Value:Varies

Vermont regulations require utilities to provide information about on-site electrical generation to customers requesting line extensions. The rationale for this regulation is centered both on sustainability and cost savings; it is possible for technology not using the grid to carry less operating costs than a connected line.

Uniform Capacity Tax and Exemption for Solar

Value:Varies

Vermont schools may claim property tax exemptions for the value of small solar PV systems up to 50 kW in capacity. In place of the property tax, a $4/kW charge is assessed on the taxpayer's utility bill. Systems should either participate in a net metering contract or be used for non-interconnected self-generation. Structures used to house components or mount solar collectors may still be assessed as normal. Additional information is available from the Tax Department website.

Agricultural Energy Loan Program

Value:Varies

The Vermont Agricultural Credit Corporation is a legislative agency established in 2013. Loans from the agency's AELP program are designed for farmers and foresters making renewable energy investments or energy efficiency improvements. Loans of up to $2,000,000 are available; the principal can fund a negotiable amount of project costs. Interest is at a variable below-market rate with payments based on energy savings. Standard credit checks, commitment fees, regulatory costs, and other terms/conditions apply. Additional information is available from the Economic Development Authority.

Local Option - Property Tax Exemption

Value:Varies

Local governments in Vermont may choose to exempt renewable energy equipment from local property taxes. Qualifying technologies include solar, wind, methane, and some biomass. Systems must be under a net metering contract. Assessing agencies may choose the total value of the exemption, but most participating localities have implemented a total exemption on the value the system adds to a property. System owners are still responsible for state property tax liability. Interested taxpayers should contact their local government to verify participation and obtain additional information.

Renewable Energy Standard

Value:Varies

Vermont first enacted a Renewable Energy Standard in 2015. Current standard objectives require at least 75% of the state's retail electricity to be generated using renewable technology by 2032. Shortly after enactment, an initial "checkpoint" goal was set requiring a 55% renewable power grid. "Carve-out" policies require a fixed proportion of solar energy, "transformation projects" reforming fossil fuel facilities, and distributed generation. Compliance with each goal is measured using a renewable energy credit (REC) system pegging one kWh of electricity to a fluctuating dollar value. Credits are subject to market forces; utilities may generate them using their own renewable installations or purchase them through feed-in tariffs. Should a utility fail to meet its REC quota, it will receive a financial penalty for each kilowatt hour it is deficient.

Interconnection Standards

Value:Varies

The Vermont Public Service Board enforces standards for distributed generation and grid interconnection practices in the state. Vermont does not use tiers to organize operational renewable energy facilities, though no system under net metering may be rated for over 500 kW. Systems rated for under 150 kW may be eligible for expedited permit review, while those above 150 kW will be subject to extensive engineering reviews and impact studies. Systems are required to meet certain IEEE standards and have an external disconnect switch installed. Owners may be required to carry liability insurance by their utility, but utilities cannot charge additional interconnection fees beyond what is necessary.

Investment Tax Credit

Value:Varies

Vermont businesses may be eligible for investment tax credits on renewable energy equipment. Eligible technologies include solar, wind, geothermal, and some biomass/hydrogen fuel cells. Generally, the credit amount will cover up to 24% of the business's combined local and state property tax liability for the assessed system. Incentives will decrease each year until the credit reaches 2.4%, at which time it will continue indefinitely. The state Department of Taxes reserves the right to amend the credit policies. Additional information is available from their website.

Net Metering

Value:Varies

Solar, wind, and other renewable energy systems in Vermont are eligible for net metering. To qualify, the system owner should follow state interconnection standards and acquire a Certificate of Public Good. Upon signing a net metering contract, the customer will have a bidirectional meter installed to track net excess generation (NEG) exported to the grid. Bill credits for NEG will be awarded at an avoided-cost rate per kilowatt hour. Customers may keep ownership of all renewable energy credits their system generates. "Virtual net metering" arrangements are available for group-owned and microgrid solar energy farms. Each subscriber will receive NEG credits in proportion. Additional information is available from the Vermont Public Service Board.

Small Business Energy Loan Program

Value:Varies

The Vermont Small Business Energy Loan initiative (SBELP) assists local businesses in making renewable energy investments or energy efficiency improvements. Loans of up to $500,000 are available at special below-market interest. These loans can fund up to 60% of the cost of an energy project. Loans below $50,000 are also available which can fund up to 75% of project costs. Standard credit checks, commitment fees, regulatory costs, and other conditions apply. Additional information is available from the Economic Development Authority.

Standard Offer Program

Value:Varies

Through a feed-in tariff program, Vermont utilities may enter power purchasing agreements (PPAs) with developers of large solar/wind farms, hydroelectric installations, and biomass/landfill gas/methane plants. To receive tariff funds, owners should obtain a Certificate of Public Good from the state government and negotiate an appropriate kilowatt-hour rate with interested utilities. In exchange for tariff funding, utilities may claim ownership of the renewable energy credits (RECs) the facility generates. Additional information is available from the Vermont Standard Offer website.

Expedited Permitting Process for Solar Photovoltaic Systems

Value:Varies

In Vermont, state standards streamline permit processes for small solar energy devices under 15 kW. Permits are referred to as "Certificates of Public Good" and are awarded by the Public Service Board. Builders will automatically be considered for expedited review of their system if it meets interconnection standards and capacity limits. A Certificate of Public Good will be awarded automatically if utilities do not raise objections within 10 days. The objection period is extended to 30 days if the solar device will be roof-mounted and rated for over 15 kW. Additional information is available from the Public Service Board website.

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    Frequently Asked Questions

    • As a general rule, unless there are local limitations, the main limitations to the amount of solar panels you can put on your roof are the available space on your roof, your electricity usage, your providers net metering rules, and the limitations of your house hold electrical system.
    • Based on our research the average price per installed watt is $3.99 in Vermont. This means for a 10kW system you can expect to pay $39,900 though pricing can vary significantly between installers based on the projects requirements.
    • Based on a Zillow research study from 2019, home with solar panels sell for roughly 4.1% more.
    • To generate the most power, solar panels in the United States should face true south as this generally results in the solar panels receiving the most light each day throughout the course of the year. That said, given that energy prices are often variable throughout the day, your installer may recommend you rotate your panels slightly so that the panels will receive more light at the end of the day when energy prices can be more expensive. That said, for most consumers the positioning of solar panels is highly dependent on your home's roof.
    • Based on our continuously updated database of solar installers, we have found 20 verified solar install companies in Vermont

    Solar installers in Vermont (20)

    glb, Consulting Company

    Bennington CDP, VT(518) 587-7745

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.
    • Consulting on all things solar related.

    sunCommon

    Waterbury, VT(802) 882-8181

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Monitoring of independent energy generation.
    • Solar systems for selling electricity back to the grid.

    PV Squared

    Greenfield Town, MA(413) 772-8788

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.

    Plug PV

    Albany, NY(518) 948-5316

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Monitoring of independent energy generation.
    • Expertise in consulting on advantageous financing for solar.

    Norwich Technologies

    White River Junction CDP, VT(802) 281-3213

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.

    Silver Sun Solar

    Deltona, FL(340) 227-7785

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.
    • Expertise in consulting on advantageous financing for solar.

    Generac

    Waukesha, WI(888) 436-3722

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.

    Same Sun of Vermont

    Rutland, VT(802) 775-7900

    Services

    • Installation of solar arrays.
    • Reparation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.

    Sunnyside Solar

    (802) 280-7319

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Solar systems for selling electricity back to the grid.

    Engie North America

    Houston, TX(713) 636-0000

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Expertise in consulting on advantageous financing for solar.

    Norwich Solar Technologies

    White River Junction CDP, VT(802) 281-3213

    Services

    • Installation of solar arrays.
    • Expertise in consulting on advantageous financing for solar.
    • Consulting on all things solar related.

    Catamount Solar

    Randolph CDP, VT(802) 728-3600

    Services

    • Installation of solar arrays.
    • Installation of batteries for energy storage.
    • Expertise in consulting on advantageous financing for solar.

    Cinci Home Solar

    Cincinnati, OH(513) 616-6044

    Services

    • Installation of solar arrays.
    • Auditing of energy requirements for independent energy generation.
    • Consulting on all things solar related.
    Last Reviewed By: Alex Zdanov
    Published: 2022-09-18