Clean energy advice for New Jersey homes, where the incentives outlived the federal credit
High power prices, fifteen years of production income, and a package of state support that did not change when the federal credit ended.
New Jersey is the clearest case in our whole service area for looking at solar right now, and the reason is simple: almost all of its support is written at state level. When the federal residential credit ended on 1 January 2026, New Jersey’s package carried on exactly as it was.
Between some of the highest electricity rates in the country, full retail net metering and fifteen years of production income, the arithmetic here tends to work without needing anything clever. What we bring is a clear read of what your roof and your utility will actually deliver.
New Jersey at a glance
One-for-one net metering
All four utilities credit exported power at the full retail rate — on some of the highest rates in the country.
Fifteen years of SREC-II
Your generation earns a fixed payment per megawatt-hour under the Successor Solar Incentive.
No sales tax on equipment
The exemption is applied at purchase; you do not have to claim it.
No added property tax
The value a solar system adds is excluded from your property assessment.
What New Jersey gives you in 2026
| Incentive | What it is | What you have to do |
|---|---|---|
| SREC-II (SuSI) | A fixed payment per megawatt-hour generated, for fifteen years | Register the system — the rate is set at registration |
| Sales tax exemption | Solar equipment is exempt at purchase | Nothing — it is applied automatically |
| Net metering | Exports credited at the full retail rate | Interconnect through your utility |
Register early, because the rate steps down
The Successor Solar Incentive replaced New Jersey’s original SREC market. Residential systems now earn a fixed payment for every megawatt-hour they generate, running for fifteen years from qualification — a predictable income stream rather than a market you have to trade in.
The part that rewards paying attention is that the rate is set when your system registers, and the programme steps that rate down over time. Two identical homes on the same street can lock in different rates for fifteen years depending on when their paperwork went in. That is not a reason to rush a decision, but it is a reason not to let a good one drift.
Four utilities, one rulebook, and a queue that is simpler than expected
PSE&G, JCP&L, Atlantic City Electric and Rockland Electric
All four of New Jersey’s investor-owned utilities credit residential solar exports one-for-one at the retail rate. PSE&G covers much of the north and centre, JCP&L the central and western counties, Atlantic City Electric the south and the shore, and Rockland Electric a small northern territory. You do not choose between them — your address does — which is why the credit rate is one thing you do not have to shop for here.
Interconnection is lighter than most people assume
New Jersey sorts interconnection into levels by system size, and the smallest level covers residential systems up to 10 kW, which is most homes. At that level there is no application fee, and the utility works from an application, a one-line diagram and a site plan. The paperwork is not the hard part of a New Jersey project.
How long does it take?
Most of the timeline is the utility’s interconnection review and your township’s permit, not the installation itself, which is usually a matter of days on the roof. We will give you a realistic window for your specific utility rather than a best case.
The order we recommend in New Jersey
With the incentives settled, what is left is straightforward. Our recommended sequence:
- Confirm your utility and what you currently pay — the higher your rate, the more each exported kilowatt-hour is worth
- Look at the roof and the shading — between them they decide what your system will actually produce
- Size the system to your usage — built around your bill rather than the space available
- Register for SREC-II — the rate attaches when you register, so this step has a clock on it
The services New Jersey homeowners ask us about most
Battery and backup
New Jersey remembers what a multi-day outage costs. Storage keeps the essentials running when the grid does not. Explore storage
Roofs and re-fits
If the roof is near the end of its life, sequence it first — roof replacement then mounting, with detach and reattach if an existing array is in the way.
Charging and control
With retail rates this high, moving load off peak is worth real money. Home EV charging and smart controls do it without you thinking about it.
New Jersey questions we hear most
Is solar still worth it in New Jersey without the federal credit?
New Jersey has the strongest state-level package anywhere we advise, and none of it depended on the federal credit. Fifteen years of production income, the sales tax exemption and full retail net metering on high rates all remain exactly as they were.
What is SREC-II actually worth?
A fixed payment for every megawatt-hour your system generates, for fifteen years, at the rate in force when you register. Because the rate steps down over time, what it is worth to you depends partly on when your paperwork is filed.
Which New Jersey utility is best for solar?
It is not a choice you get to make, and happily it barely matters: all four investor-owned utilities credit exports one-for-one at the retail rate. What differs is process and timing, not the value of a kilowatt-hour.
If you are weighing solar or storage anywhere in New Jersey, tell us your utility, your roof’s age and how much sun it gets through the day. We will tell you what a system would produce and what it would be worth to you.