Home · 2026
What home solar costs and saves in Vermont this year — built on the state's real 23.72¢/kWh rate and full retail rules.
Avg electricity rate
23.72¢/kWh
Net metering
Full retail
Federal status
25D ended (2025)
Verified 2026-06-26 · source
In Vermont, the average residential electricity rate is about 23.72¢/kWh — above the U.S. average of roughly 17.6¢. Because a solar system's payback is driven mostly by the utility rate it offsets, Vermont's high rates make home solar a strong bet in 2026.
Vermont still offers full retail-rate net metering, so every kWh you export is credited at the same price you pay. That is the most favorable arrangement for solar economics and shortens payback.
The federal 30% residential tax credit (Section 25D) ended for systems installed after December 31, 2025. In 2026, home-solar value comes from offsetting your utility bill, net metering, and battery backup — not a federal credit.
For a typical Vermont home spending about $150/month on electricity, our model estimates a 5.42 kW system costing roughly $16,260 after incentives, paying back in about 9 years, with on the order of $28,737 in 25-year savings. These are estimates built from Vermont's real electricity rate — get a quote to confirm your numbers.
With Vermont's net-metering rules, 2026 home solar is increasingly about energy independence — pairing panels with a battery to ride through outages and shift usage — not just shaving the monthly bill.
Estimates only — not tax, financial, or legal advice. Verify all incentives and savings with a qualified professional before acting.
No — the federal residential credit (Section 25D) ended for systems installed after December 31, 2025. Vermont home solar now pays through your electricity rate (about 23.72¢/kWh), net metering, and battery backup rather than a federal credit.
Vermont uses full retail-rate net metering. That affects how the power you export is credited and, in turn, your payback — full retail-rate crediting is most favorable, while net billing makes pairing solar with a battery more attractive.
At about 23.72¢/kWh, Vermont's residential electricity rate strongly favors solar economics in 2026. Run your address through the calculator above for a source-backed estimate of system size, net cost, and payback.
Keep exploring
Top home solar states
Free, no obligation, and matched with local installers.