SMART (Solar Massachusetts Renewable Target) is the state's flagship solar incentive program. Production-based payments for 10 years, stackable with net metering, the MA state tax credit, and battery adders. Locked-in flat rates for 30 years against a utility that keeps climbing.
You paid 14.5¢/kWh in 2010. Today you pay 33¢. A typical 8 kW rooftop system at standard New England install pricing locks you in at roughly 10¢/kWh for 30 years, regardless of what your utility does next.
An 8 kW rooftop system in Cambridge qualifies for the MA state solar tax credit ($1,000 off your state return), SMART 3.0 production payments ($2,916 over ten years), and net metering credits at retail rate for the system's lifespan. Massachusetts utility rates have averaged 5% per year over the last decade. Even at a more conservative 4% projection, those net-metering credits compound to roughly $120,000 over 25 years. Lease and 0% APR loan financing both available, with most homeowners going solar with no money down on day one.
Each piece pays you in a different way over a different time horizon. Your installer files most of the paperwork; you sign at the end.
Your inverter (or a separate production meter installed at the time of Permission to Operate) tracks every kWh the system produces. Each billing cycle, your utility multiplies that production by your locked-in $0.03/kWh rate and either credits the amount to your bill or sends a check, depending on the utility.
The payment is on production, not net export. You get paid for every kWh whether you used it at home or sent it to the grid. The rate is locked in at the time your SMART application is approved, so the payment doesn't change for the full 10 years.
After year 10 the SMART payments stop, but the panels keep generating for another 15 to 20 years and net metering credits continue indefinitely.
You qualify if your household is at or below 60% of state median income (roughly $77,000 for a family of four in 2026). Documentation accepted: tax returns, pay stubs, or active enrollment in LIHEAP, MassHealth, or SNAP.
The adder doubles your base SMART rate to $0.06/kWh on the same 10-year payment schedule. No separate application beyond the income paperwork. Your installer files it with the standard SMART package.
Your installer must be SMART-certified for low-income work, which most established Massachusetts solar installers are. We confirm certification before scheduling the site visit.
Claim it on Schedule SC, line 1 (Solar/Wind Energy Credit) of your Massachusetts state return for the tax year your system received Permission to Operate. The credit is 25% of eligible project value, capped at $1,000. The cap is reached on most residential systems.
If your state tax liability that year is under $1,000, the unused portion carries forward up to 3 years. Lifetime cap is one $1,000 credit per primary residence; you can't claim it again if you replace the system.
Stacks cleanly with SMART production payments and net metering credits. Your installer files the SMART package; you claim the state credit yourself when you file.
Each billing cycle your utility nets your production against your consumption. Class I net metering (residential systems ≤ 25 kW) credits any excess at full retail rate. A kWh exported at noon is worth the same as a kWh you'd have bought at midnight.
Credits roll forward indefinitely for residential customers. There's no annual true-up requirement in Massachusetts; you don't lose unused credits at the end of the year.
Banked credits stay with the property, not the customer. If you sell the home, credits transfer with the property. If you close the account without a buyer, they zero out. Different rules apply to community solar subscriptions and commercial Class II/III systems.
Two stackable battery payments running on different mechanisms. The Storage Adder is part of SMART itself: an extra per-kWh payment for systems that include a battery dispatched into approved events. ConnectedSolutions is a separate utility program (Eversource, National Grid) that pays you per discharge during peak demand events, typically 30 to 60 events per summer.
They stack: the Storage Adder pays you for storing solar production through the SMART program, ConnectedSolutions pays you separately for letting the utility discharge your battery during peak grid stress.
Combined, they typically pay back a paired battery in 5 to 7 years, independent of any solar economics. We model this side-by-side with the panels-only option for every storage-curious customer.
A typical Massachusetts residential solar install runs 12–16 weeks from site survey to grid interconnection. Permitting and inspection sit on most of that runway.
The questions that come up in the first installer conversation, answered for a typical Massachusetts homeowner.
Yes, more than ever. Massachusetts utility rates have averaged 5% annual increases for 15 years and show no sign of slowing. Locking in a flat 30-year rate that lands far below your current bill, before SMART payments and net metering even enter the math, comes out positive on essentially every south-facing residential roof in the state. The longer your utility climbs, the better the math gets.
Both work, and the right answer depends on your cash position and how long you plan to be in the home. With a cash purchase, you own the system, claim the MA state credit yourself, and collect SMART payments and net metering credits directly. With a lease or PPA, the lease company owns and maintains the system and passes through savings as lower monthly payments, typically below your current utility bill from day one. The buy path builds equity faster; the lease path requires zero upfront cost. We model both for every customer and show the 25-year math side by side.
SMART 3.0 has slightly different incentive rates and stricter eligibility, including construction-start-date requirements. For most new residential projects breaking ground in 2026 and beyond, SMART 3.0 is the program. SMART 2.0 remains open only for projects that began construction before December 31, 2025.
Not for the panels themselves. Net metering effectively uses the grid as your battery during the day. A real battery (paired with the Energy Storage Adder + ConnectedSolutions) makes sense if you want backup during outages, want to time-shift consumption away from peak rates, or want the higher SMART payments that batteries unlock. Most of our MA solar customers add a battery 6–18 months after install.
Ten years from the date of permission to operate. After year 10, the panels keep producing for another 15–20 years. You just stop receiving the production payment. Net metering credits continue for the system's lifespan.
Looking for the same kind of program in another state, or a different program in yours? Tap any pill to jump.
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