Solar by state › New Jersey
Is solar worth it in New Jersey? (2026 numbers)
For a typical New Jersey home with a $136/month electric bill, a 5.9 kW system costs about $17,600 before incentives and saves about $1,470 in year one, paying back in roughly 11 years if you buy it. The federal 25D credit ended for systems installed after 2025, so many New Jersey homeowners now compare cash purchase against a lease or PPA.
Updated 2026-10-20. Figures are estimates being refreshed against EIA and NREL data. See methodology.
Net metering: Net metering
New Jersey credits exported solar at close to the retail rate under its net metering rules.
Incentives still available
- SuSI / ADI solar renewable energy certificates (SREC-II)
- Sales tax exemption on solar equipment
- Property tax exemption
Major utilities
PSE&G, JCP&L, Atlantic City Electric, Rockland Electric
Solar by city in New Jersey
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Frequently asked questions
Is solar worth it in New Jersey in 2026?
For a typical New Jersey home with a $136/month electric bill, a 5.9 kW system costs about $17,600 before incentives and saves about $1,470 in year one, paying back in roughly 11 years if you buy it. The federal 25D credit ended for systems installed after 2025, so many New Jersey homeowners now compare cash purchase against a lease or PPA.
How does net metering work in New Jersey?
Net metering: New Jersey credits exported solar at close to the retail rate under its net metering rules.
What solar incentives are left in New Jersey?
The 30% federal homeowner credit (25D) ended for systems installed after December 31, 2025. State and local programs still include: SuSI / ADI solar renewable energy certificates (SREC-II); Sales tax exemption on solar equipment; Property tax exemption. Leases and PPAs can still pass through a federal business credit claimed by the system owner.
Should I add a battery in New Jersey?
With retail-rate net metering, a battery is mainly for backup power during outages. It rarely pays for itself on bill savings alone.