Montana Solar Guide 2026
Everything Montana homeowners need to know: costs, incentives, net metering policy, and what makes this state unique for solar.
Key fact about Montana solar
Montana has solid sun hours (especially eastern MT) and full retail net metering, but a tiny state income tax credit and low electricity rates limit solar ROI. Billings and Missoula are the main solar markets.
Peak sun hours
4.8
hrs/day avg
Avg electricity rate
11.0¢
per kWh
Median install cost
$2.95/W
before incentives
Typical payback
14 yrs
8 kW system, avg usage
Typical 8 kW system in Montana
Annual production
14,016 kWh
Year-1 savings
$1,542
System cost (est.)
$23,600
No federal tax credit — Section 25D expired December 31, 2025.
Montana Net Metering Policy
Full retail net metering (MCA 69-8-601)
Montana law requires full retail net metering for systems up to 50 kW. NorthWestern Energy and other utilities must credit exports at retail. Annual settlement with unused credits.
Montana Solar Incentives
Available in addition to any utility rebates. Federal 25D credit is $0 for homeowner-owned systems from 2026.
- ✓State income tax credit: 5% of cost (up to $500)
- ✓Property tax exemption
Top Utilities in Montana
Interconnection timeline: 4–8 weeks
Calculate your Montana solar economics
Our calculators are pre-filled with Montana data. Run any tool below.