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Vermont Solar Guide 2026

Everything Vermont homeowners need to know: costs, incentives, net metering policy, and what makes this state unique for solar.

Quick answer

Vermont solar economics depend mainly on 3.9 average peak sun hours, an estimated $3.2/W installed cost, 21.0¢/kWh electricity, and the state's current net-metering rules.

Reviewed 2026-07-26

Best for
Vermont homeowners comparing solar costs, incentives, and payback assumptions.
Inputs needed
annual kWh usage, utility rate, installed $/W, net-metering policy
Formula used
Typical production = system kW × peak sun hours × 365.
Source checked
state incentive data, utility tariff checks, Wattcrunch price benchmarks

Key fact about Vermont solar

Vermont has the lowest sun hours in the continental US, but high electricity rates and strong net metering keep solar viable. GMP's resilience programs and community solar make Vermont a unique solar market.

Peak sun hours

3.9

hrs/day avg

Avg electricity rate

21.0¢

per kWh

Median install cost

$3.2/W

before incentives

Typical payback

10 yrs

8 kW system, avg usage

Typical 8 kW system in Vermont

Annual production

11,388 kWh

Year-1 savings

$2,391

System cost (est.)

$25,600

No federal tax credit — Section 25D expired December 31, 2025.

Vermont Net Metering Policy

Full retail net metering (net metering group billing allowed)

Vermont has strong net metering law under Act 56. Green Mountain Power and other utilities credit exports at retail. Vermont also allows group net metering for community solar.

Vermont Solar Incentives

Available in addition to any utility rebates. Federal 25D credit is $0 for homeowner-owned systems from 2026.

  • SPEED program for small-scale renewables
  • GMP Solar Installation Program
  • Property tax exemption
  • Sales tax exemption
See full Vermont incentive database →

Top Utilities in Vermont

Green Mountain PowerVermont Electric CooperativeBurlington Electric Dept.

Interconnection timeline: 5–10 weeks

State-specific decision guide

What to verify before signing a Vermont solar quote

In Vermont, the financial result depends on more than sunshine or the headline installation price. Confirm the export rule, program eligibility date, and interconnection timeline for your exact utility before treating a payback estimate as a promise.

Export value

This page models full retail net metering (net metering group billing allowed). Ask which tariff and export credit apply to your account, not only which program name appears in the proposal.

Incentive eligibility

Check equipment, income, installer, application, and placed-in-service rules before subtracting an incentive from the quote. Programs can close or change terms.

Interconnection

Budget for the published 5–10 weeks and confirm who pays for a required meter, service upgrade, or engineering review.

Source trail: production assumptions use NREL PVWatts; incentive discovery should be checked against DSIRE; electricity-market context is available from the EIA. Confirm final tax treatment with the IRS and your utility.

Calculate your Vermont solar economics

Our calculators are pre-filled with Vermont data. Run any tool below.