Florida Solar Incentives and Rebates (2025)
Florida homeowners benefit from strong federal incentives plus valuable state-level tax exemptions and supportive net metering policies.
Federal incentives
Investment Tax Credit (ITC)
The federal ITC provides the most substantial solar savings for Florida residents:
- 2024-2025: 30% of total system cost
- 2026-2027: 26% of total system cost
- 2028+: 22% of total system cost
This credit applies to the full installed cost, including panels, inverters, mounting, installation labour, and hurricane-rated upgrades.
Florida state incentives
Solar equipment sales tax exemption
Florida exempts solar energy equipment from state sales tax, providing immediate savings of 6-8% on equipment costs.
Property tax exemption
Solar installations are exempt from property tax assessments in Florida. The added value of your solar system won't increase your property taxes, providing ongoing savings.
Net metering
Florida law requires investor-owned utilities to offer net metering, allowing you to sell excess solar electricity back to the grid at retail rates. Key features:
- Full retail rate credits: Excess generation credited at the same rate you pay
- Monthly netting: Credits carry forward month to month
- Annual reconciliation: Utilities may pay for excess annual generation
- No system size limits: Residential systems up to 2 MW eligible
Utility-specific programmes
Florida Power & Light (FPL)
FPL offers several solar-friendly programmes:
- Net metering: Full retail rate credits for excess generation
- SolarTogether: Community solar programme for customers unable to install rooftop solar
- Time-of-use rates: Can enhance solar savings when paired with battery storage
Duke Energy Florida
Duke Energy provides:
- Net metering programme: Retail rate credits for excess solar production
- Solar rebates: Limited residential rebate programme (subject to funding availability)
- Renewable energy certificates: Additional value for solar generation
Tampa Electric (TECO)
- Net metering: Full retail rate compensation for excess generation
- Solar choice programme: Community solar options
- Demand response programmes: Additional savings for customers with battery storage
Orlando Utilities Commission (OUC)
- Net metering: Retail rate credits for excess solar production
- Solar pilot programmes: Various initiatives to support distributed solar
- Energy efficiency rebates: Complementary programmes that work well with solar
Municipal and county programmes
Miami-Dade County
Offers expedited permitting for solar installations and green building incentives that may apply to solar projects.
City of Gainesville
Gainesville Regional Utilities offers net metering and has historically been supportive of distributed solar generation.
Sarasota County
Provides expedited permitting processes for solar installations and green building incentives.
How to claim incentives
Federal tax credit
- Keep all receipts and documentation from your installer
- File IRS Form 5695 with your tax return
- Claim the credit against your federal tax liability
- Carry forward unused credits to future tax years if needed
State tax exemptions
Sales tax exemption applies automatically at purchase. Property tax exemption is typically handled by your installer during the permitting process, but verify this during installation.
Utility programmes
Your installer should handle net metering applications and utility rebate processes. Confirm this is included in your installation contract.
PACE financing
Several Florida counties participate in Property Assessed Clean Energy (PACE) financing programmes, allowing you to finance solar installations through property tax assessments:
- No upfront costs
- Long-term financing (up to 20 years)
- Payments stay with the property if you move
- Available in Miami-Dade, Broward, Palm Beach, and other counties
Financial impact example
For a typical £24,000 solar system in Florida:
- System cost: £24,000
- Sales tax savings (6%): £1,440
- Federal ITC (30%): -£7,200
- Net investment: £15,360
- Annual electricity savings: £2,600-£3,200
- Payback period: 5-6 years
- 25-year savings: £45,000-£55,000
Timing considerations
The federal ITC begins to step down after 2025, making installation in 2024-2025 financially advantageous. Florida's supportive state policies provide long-term value stability for solar investments.