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Your Guide to Solar Panels in Worcester, MA: Costs, Incentives, and Savings

Worcester, MA Solar Guide and a graphic of Massachusetts with Worcester marked with a star on a blue background.
PublishedOctober 29, 2024
UpdatedOctober 29, 2024
AuthorHeadshot of Andrew Blok.Andrew BlokWriter and EditorEditorA picture of Andrew Giermak.Andrew GiermakWriter and Editor
In this article
01.
Does Solar Make Sense in Worcester?
02.
Solar Incentives in Massachusetts
03.
Solar Payback Period in Worcester, MA
04.
National Grid and Rooftop Solar Panels
05.
Leasing Solar Panels in Worcester
06.
Solar Panel Maintenance in Worcester
07.
Finding the Best Solar Company in Worcester
08.
Palmetto Reviews
09.
Frequently Asked Questions

Looking to lower your cost of living and help the planet in one fell swoop? Consider solar.

For many people, the cheap, clean electricity that home solar panels generate can reduce their electricity bill. When you go solar in Worcester, you can take advantage of state and federal tax credits, net metering, solar renewable energy credits and more. It’s a robust set of incentives that can boost your lifetime solar savings.

See how much you can save by going solar with Palmetto

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Does Solar Make Sense in Worcester?

Massachusetts, despite its size, is just outside the top ten of states with the most solar installed. So, for a lot of people, businesses, and utilities, solar does make sense. The policies that make Massachusetts a solar leader apply in Worcester, too.

Whether or not solar makes sense for you depends on a number of specific, personal factors. While we can’t look at an individual house here (you can get a look at how solar would work at your house when you reach out for a quote), we can get an idea by looking at some broader averages.

Price of electricity

Since solar panels let you avoid buying electricity from your utility, the price of electricity has a direct effect on your overall savings.

According to the US Energy Information Administration (EIA), the average electric rate in Massachusetts in 2023 was 29.61 cents per kilowatt-hour, well above the national average of 16 cents/kWh.

National Grid’s average rate over the last year was 36.72 cents/kWh. Your actual average will depend on whether you have a fixed or variable rate. In general, the more electricity costs for you, the more you stand to save with solar.

Price of solar

Solar prices vary for many different reasons, and the best way to get a clear picture of what it will cost at your home to cover your needs is to get a quote from a reputable solar installer.

One national estimate from the Solar Energy Industries Association puts the cost of residential solar at $3.24 per watt. (That comes to $16,200 for a five kilowatt system before incentives.) The actual cost of solar will depend on the size of the installation, the local cost of labor and equipment, the complexity of your roof, whether you have a battery installed, and more.

A graph showing the amount of solar installed and the average price for solar installations over time.

Available sunlight

Worcester gets an average of less than 4.25 peak sun hours per day, according to the National Renewable Energy Laboratory. The amount of sunlight you get on your roof is a more important figure. If your roof is heavily shaded, it won’t be a good fit for solar.

You can take an informal survey of your roof’s sunlight potential by paying attention throughout the day how much sunlight it gets. A reputable solar installer should do a survey or your roof’s potential, virtually or in person, as part of the process.

Outages

Solar panels on their own are designed to shut down when the power goes out. But when they’re paired with a battery, they can keep the lights on by temporarily disconnecting from the grid.

Massachusetts utility customers experienced an average of 260 minutes of outages in 2023, according to data from the EIA. Because that’s an average, some people may have experienced more or none at all. If power outages are more than a minor inconvenience for you, you might find solar and storage to be worth it.

Solar Incentives in Massachusetts

Solar prices have been trending down for years, but that doesn’t make the solar incentives available in Massachusetts, like tax credits, tax exemptions, and net metering, any less valuable.

Federal tax credit

The Residential Clean Energy Credit, often just called the federal solar tax credit, gives owners of home solar panels tax credits for up to 30% of the cost of their solar system. You must have a tax liability to take advantage of the credit, but if your tax liability is too small, you can roll remaining credits over to future years.

The credit is broadly applicable, though there are some restrictions. You can’t claim it for solar panels installed on a rental property for which you are the landlord, for example. It’s always a good idea to consult your own tax advisor before counting on any tax credit.

Bar charts showing solar installations in Massachusetts by year and sector.

State tax credit

Massachusetts also has a state income tax credit based on their solar installation costs, up to 15% or $1,000, whichever is less.

Net metering

When you have solar panels installed at home, you likely won’t use all the energy they generate. Sometimes you’ll consume electricity from your utility and other times you’ll send electricity back to it. Net metering is one of the ways utilities compensate you for the electricity you send their way.

National Grid offers 1-to-1 net metering for solar systems up to 10 kW (AC). (There is signed legislation that moves the cap to 25 kW, but as of this writing, it was unclear at what stage implementation was.) Under this system, every kilowatt-hour you send to the grid earns you a bill credit worth one kilowatt-hour. If, during a month, you send 200 kWhs to the grid and consume 200 kWhs, your credits will cover all of your consumption. If you earn more credits than you use in a month, they’ll carry forward to future months indefinitely. National Grid does not pay credits out.

Solar renewable energy credits

In some states, solar panel owners have an option for earning a bit of money from their solar panels: solar renewable energy credits, or SRECs. In Massachusetts, for every 1,000 kWhs your solar panel system generates, it can also generate a SREC, which utilities can buy to cover some of their renewable energy obligations.

Palmetto customers can sign up with SRECTrade, a SREC marketplace platform that takes care of minting, reporting, and selling SRECs as your system generates. The value of SRECs varies with supply and demand.

Property tax exemption

Solar panels typically increase property values. In Massachusetts, you won’t pay more property taxes just because you install solar. There is some nuance in how counties can interpret the exemption, so double check with your local tax assessor.

Sales tax exemption

Massachusetts has a sales tax exemption for solar systems installed on residences.

See how much you can save by going solar with Palmetto

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Solar Payback Period in Worcester, MA

Your solar payback period is the time it takes for the savings your solar panels generate to match their cost. A payback period is going to be specific to your situation. How much solar cost you, how much it can save you, and how your electricity consumption changes over time will all play a role. Here’s how you can get an idea of what yours will be.

( Total cost - Incentives ) / Annual savings = Payback period in years

Let’s say you buy a 5 kilowatt system at $3.24 per watt for $16,200. After the federal tax credit ($4,860) and the state tax credit ($1,000), you land on a final cost of $10,340. If you save an average of $100 each month, your savings will pay back your solar panels in 8.6 years.

($16,200 - $5,860) / ($100 x 12 months) = 8.62 years

A few variables could affect a solar payback period. The price of electricity could change, for one. In Massachusetts in 2023, the average electric rate was 29.61 cents/kWh, according to the EIA. Eight years earlier in 2016  it was 19 cents/kWh, meaning it increased 55% over that time. Increased electricity rates would shorten a payback period.

The above estimate also doesn’t consider the value of SRECs. Since the value of SRECs are tied to supply and demand, it’s difficult to predict what they will be worth in the future, but they could shorten your solar payback period also.

A line graph showing electricity prices over time in Massachusetts.

Credit: EIA

See what solar can do for you:

My electric bill is $290/mo

National Grid and Rooftop Solar Panels

When you go solar, you don’t sever ties with your utility (unless you’re one of the few people who are completely off grid). And, when you’re going solar, your utility bill is a key consideration in your decision.

Utility Avg. electric rate 2023 (cents/kWh) Fixed monthly charges Net metering type Max size for net metering Max offset
National Grid $36.72 $7.00 1:1 net metering 10 kW None

Electricity rates and fees are subject to change. If you utilize a time-of-use rate, your rate will fluctuate throughout the day. Confirm the above details with your utility or your bill.

Gas utilities and home electrification

If you use natural gas at home, you have two energy bills. Home electrification is one way to reduce or eliminate your gas bill entirely. While switching your gas appliances (and vehicles) to electric ones can raise your electricity bill, going solar with an all electric house means you can take a larger bite out of your total energy costs.

Leasing Solar Panels in Worcester

People who can’t or don’t want to buy solar panels still have options open to them. Solar leases and power purchase agreements (PPAs) let homeowners get the benefits of solar panels without the upfront cost. Under the two similar systems you pay a monthly fee for the equipment (lease) or the power it generates (power purchase agreement) to the company that owns the panels. When you choose a LightReach Energy Plan directly from Palmetto, it’s designed to deliver savings immediately in year one.

Leases and PPAs come with annual escalators, a percentage by which your payments will increase each year. If electricity rates increase faster than your payments, your savings could increase. LightReach offers the option to buy out your lease starting in year five.

Solar Panel Maintenance in Worcester

When it comes to solar panel maintenance, the good news is that they generally don’t require a lot. When issues do arise, they’re best handled by a licensed professional. Some solar companies, Palmetto included, offer protection plans that cover system monitoring and maintenance. Palmetto Protect provides proactive system monitoring, intelligent issue detection and top-ranked customer service.

One bit of maintenance that may need to happen regularly (especially in drier, dustier locations) is cleaning your solar panels. Be sure to follow the manufacturer’s recommendations and never use anything on your panels that could damage or scratch them. If you live in a place with regular precipitation, you might not need to worry about it.

Snow

While heavy snowfall might block your solar panels and hamper their electricity generation, light snow will typically melt off, since solar panels are typically installed at an angle and warmer than the surrounding area. As a bonus, sliding snow can actually clean the panels.

You can clear snow from panels if it’s not melting quickly, but be sure not to use anything that can scratch or damage your solar panels.

Finding the Best Solar Company in Worcester

Choosing the right solar company is one of the most important decisions you’ll make while going solar. Since your installer handles the permitting, other paperwork, and the actual installation, choosing the right one is key. Here are some tips for finding a company that’s a good fit.

  • Read reviews, both positive and negative, and compare those to other companies
  • Choose a company that gives you clear answers and time to make up your mind
  • Talk to your friends and family who have gone solar to learn about their experience and the company they used
  • Weigh warranties and after-installation plans

Palmetto Reviews

“I had an excellent experience with Palmetto. The sales person was very knowledgeable and answered all of the questions I had, designing a system that was a great fit for my house and energy usage.

I got text messages throughout the process keeping me informed and I could track the status of the project in the app. Palmetto took care of all of the permitting and paperwork, which was really nice.

I could not have been happier with the installers who put the system on my roof.” Jason D., Google Review

“I went through several quotes for solar panels before landing on Palmetto. Their quote was below other vendors, but it wasn't a decision based on price. I chose them because they explained the product and the process very well. I was then set up with an app for tracking the installation process. I'm so happy I chose a company that cares about customer service!” Jeremy L., Google Review

“The process was explained every step of the way they educated me on what to expect. They kept me informed throughout the process. Customer service is great!” Maria H. Google Review

See what solar can do for you:

My electric bill is $290/mo

Frequently Asked Questions

Does solar make sense in Worcester, Massachusetts?

Solar has made sense for many Massachusettsians. Massachusetts is the 11th ranked state for the most solar installed.

Are solar panels worth it in Worcester?

Massachusetts has above average electricity rates and strong solar incentives like net metering and a state tax credit. While solar isn’t the right choice for everyone, high energy prices and strong incentives make it worth a close look in Worcester and across Massachusetts.

Does solar increase your home value in Worcester?

Solar panels typically increase property value. Massachusetts has a state property tax exemption, so you probably won’t pay more taxes just because you added solar panels to your home.

How much does it cost to go solar in Worcester?

Solar costs vary across the country and will differ house to house. A national estimate from the Solar Energy Industries Association puts the cost of residential solar at $3.24 per watt, but the complexity of your roof, the size of your system, and more will help determine the final cost of your solar panels.

Does Worcester have net metering?

Worcester’s electric utility, National Grid, offers one-to-one net metering. When you use the electricity your solar panels create, you’ll avoid buying electricity at the retail rate. When you send electricity back to National Grid, you’ll receive credits for it at the retail rate. Extra credits roll over indefinitely.

Disclaimer: This content is for educational purposes only. Palmetto does not provide tax, legal, or accounting advice. Please consult your own tax, legal, and accounting advisors.

About the AuthorHeadshot of Andrew Blok.Andrew BlokWriter and Editor

Andrew has worked as a journalist and writer for four years, over half of those dedicated to covering solar. He currently lives in Tucson, AZ, where you might run into him walking his dog and birding while dodging the heat. He has degrees in English education and journalism.

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