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Mar 07 2025
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Massachusetts SMART solar program

Massachusetts SMART Solar Program: 2025 Overview

By Solar Incentives by State, Solar Rebates & Incentives No Comments

Update: Due to rising utility rates, the SMART incentive for solar-only systems is $0/kWh in all MA territories. However, there is still value in the SMART incentive for solar systems paired with battery storage.

In 2018, the Massachusetts Department of Energy Resources and the state’s three largest utilities launched the Solar Massachusetts Renewable Target (SMART) Program to encourage further rooftop solar installations after the extremely successful SREC II program closed.

Through the MA SMART solar program, the state’s three investor-owned utilities compensate solar owners for the electricity their systems produce. The program is one of several solar incentives available in Massachusetts that reduces the cost — and increases the savings — of installing a home solar system.

After early success, the SMART solar program doubled in size from 1,600 to 3,200 MW of capacity, thereby extending this incentive to many more homeowners.

In this article, we’ll explore how the SMART solar program works, the current incentive levels, and how to apply.

Connect with an Energy Advisor to see which solar incentives you qualify for.

Brief Overview of the Massachusetts SMART Program

Under the SMART Program, the state’s three investor-owned utilities, National Grid, Eversource, and Unitil, directly compensate participating solar system owners for their solar power generation.

Compensation is paid out on a monthly basis via mail or direct bank deposit for 10 years. The compensation rate (how much each kilowatt-hour of solar electricity is worth) is determined at the time a participant enrolls, and is locked for the 10-year duration of the program.

The program features a declining block structure, which means incentive levels were greatest when the program first opened and have been declining since. SMART participation is capped statewide at 3,200 MW in incentivized solar projects. Each utility supports a percentage of the program proportionate to the amount of electricity they distribute in the state.

SMART Massachusetts Solar Program logo

Massachusetts solar owners can participate in both net metering and SMART. However, SMART only applies to the value of solar electricity after net metering is applied. (We’ll show how this works below).

Related reading: Massachusetts Solar Rebates & Incentives

How to calculate your SMART program incentive

Unlike the SREC II program, which featured variable incentive levels based on market conditions, SMART participants lock in a flat rate for their solar production for 10 years. Here’s the basic formula for SMART program incentive rates:

Base compensation rate + Adder(s) – Value of Energy = SMART incentive rate

Let’s explore the elements of this equation to better understand how to calculate your SMART incentive rate.

  • Base compensation rate is the initial incentive value based on which block the program is in
  • Adders are ways to increase your base compensation rate. For homeowners, this means adding battery storage to your solar system.
  • Value of Energy is your utility rate at the time you enroll in SMART
  • SMART incentive rate is the rate at which you’ll be compensated for your solar production

Each utility provider has a set amount of solar capacity it can enroll in the Massachusetts SMART solar program, and this capacity is divided into blocks. As the program progresses through each block, the incentive level declines by four percent. Meanwhile, the value of energy (your utility rate) increases, further reducing the true incentive rate.

The table below shows a snapshot of SMART incentive rates for solar-only systems in 2025.

Massachusetts SMART incentive levels March 2025

UTILITY Service Area BLOCK BASE COMPENSATION RATE ($ PER KWH)* Value of Energy ($/KWH)* TRUE INCENTIVE RATE ($/KWH)*
Eversource MA East 9 of 16 $0.20623 $0.27850 $0.00
Eversource MA West 9 of 16 $0.24537 $0.29960 $0.00
National Grid (Nantucket) 3 of 4 $0.25704 $0.31182 $0.00
National Grid (Massachusetts Electric) 10 of 16 $0.22463 $0.31182 $0.00
Unitil 5 of 8 $0.22619 $0.37912 $0.00

*Blocks and compensation rates are accurate via mass.gov as of March 2025. Data is subject to change as blocks progress and the value of energy changes.

So, SMART is no longer valuable as a solar incentive — but there is still value as a battery incentive.

(And remember, both solar and battery qualify for a 30% federal tax credit, and Massachusetts offers a solar tax credit worth up to $1,000).

Let’s see how adding battery storage to your project changes the equation.

SMART battery adder

Let’s say you install an 8 kW solar system in Massachusetts. With no battery, your SMART incentive would be zero. But with an average-sized battery (10 kWh), you’re SMART incentive would jump to $0.0487 per kWh of solar production.

So, if that solar system produces 10,000 kWh per year, you’d earn $487 per year through SMART. Over the 10-year program, your incentive payments would add up to $4,870.

In addition to boosting your SMART incentive, your battery can provide backup power during grid outages and allow you to store and use your own clean solar energy instead of pulling from a grid that relies heavily on gas-fired power plants.

Related reading: 5 Reasons to Go Solar in Massachusetts

How to Apply for the SMART Solar Incentive

At this point, SMART is basically a battery incentive — and one well worth claiming if you are interested in backup power, energy independence, and using your own clean solar electricity.

Solar systems that are less than 25 kW and interconnected to one of the three investor-owned utilities are invited to complete the SMART Statement of Qualification Application on the SMART Program website.

Here’s how to apply for SMART:

  1. Sign your solar agreement with your solar installer
  2. Your installer will apply on the PowerClerk system
  3. SMART Program representatives will provide a Preliminary Statement of Qualification for the incentive
  4. Your installer will install and obtain interconnection to the grid for your system
  5. Your installer will submit the incentive claim online for your project
  6. SMART Program representatives will provide a final statement of qualification
  7. Your utility will begin incentive payments to you through the same structure as your net metering crediting system

For more information, be sure to reference the official program resources, such as the Massachusetts SMART Program Application Requirements Checklist. There is no official deadline for this program as the closure is based on when all available blocks have been filled.

Is home solar still worth it in Massachusetts with low SMART program incentive levels?

There’s no question that the MA SMART solar program incentive levels aren’t as attractive in 2025 as they were in the past. So, is going solar still worth it in Massachusetts?

The answer is a resounding yes.

Massachusetts has other solar incentives that can reduce the cost of going solar and the state boasts the fourth-highest electricity prices in the nation. So, even without the SMART incentive, Bay Staters can substantially reduce their electricity costs and carbon footprint by installing a home solar system.

See how much you could save by comparing multiple quotes from local solar installers.

 

SMART program frequently asked questions

How does Massachusetts SMART program work?

Through the SMART program, Massachusetts’ three investor-owned utilites (Eversource, National Grid, and Unitil) compensate program participants for their solar production on a monthly basis for 10 years. A flat compensation rate is locked-in when the ratepayer signs up for SMART. Compensation rates depend on the solar owner’s utility service area, which block the incentive program is in, and electricity prices.

How is Massachusetts SMART program incentive paid?

According to Eversource, SMART incentive payments are distributed by mail or direct deposit on a monthly basis. Payments for systems under 25 kW (a vast majority of residential system) last for 10 years.

How do I calculate Massachusetts SMART program incentives?

The basic formula for calculating your SMART solar incentive level is: Base compensation rate + Adder(s) – Value of Energy = SMART incentive rate

SMART solar program incentives level are constantly changing based on the block and the value of energy. So, the easiest way to calculate your current incentive level is using the BTM Value of Energy Workbook found on this Mass.gov webpage. The workbook has an incentive calculator that you can plug your information into to find your compensation rate.

 

Mar 06 2025
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Photo of rooftop solar panels that could be impacted by 2025 tariffs

What Trump’s 2025 Tariffs Mean for Rooftop Solar

By Solar Panel Cost No Comments

*Update: Shortly after announcing new tariffs on March 4, the Trump Administration issued exemptions for certain goods coming from Mexico and Canada until April 2, 2025.

In March 2025, the Trump Administration enacted new tariffs on imports from Canada, Mexico, and China. While these tariffs may have some effect on the cost of solar panels (even panels made in the U.S.), the larger impact will likely be on the rise in electricity rates from utility providers who rely on imported materials to build and maintain the grid.

Let’s start with the impact on the cost of going solar.

 

 

Impact of 2025 Trump Tariffs on Rooftop Solar Costs

On March 4, the Trump Administration increased the existing tariffs on China by 10%, which includes solar panels and solar panel components.

Tariffs on Chinese-made solar components are nothing new and, in fact, were imposed during Trump’s first term and expanded by the Biden Administration in 2024. The idea is to protect and encourage domestic solar manufacturing.

Overall, Trump’s 2025 tariffs are expected to have a minimal impact on the cost of going solar.

For starters, most solar panels purchased by American homeowners do not come from China. They often include Chinese components, but the panels are manufactured in the US and other countries without tariffs. For most rooftop solar systems, the 10% increase won’t apply to the whole panel, but to select components used to make it, such as the frames.

Additionally, solar panels typically make up less than 30% of the total project cost. Within the full scope of a rooftop solar project, a 10% increase to certain solar components ends up being a very slim piece of the pie.

The bottom line is that tariffs are inflationary. While solar panel prices may rise from the latest round of tariffs, the larger impact will likely be seen in your electricity bill.

Related: Trump and the Fate of the 30% Solar Tax Credit

 

Solar (and Battery) Specific Tariffs Will Influence Solar Pricing in 2025

There are two industry-specific trade cases working their way through the review process. The first is an “antidumping, countervailing duty” case against solar panel imports from Cambodia, Malaysia, Thailand, and Vietnam. Those four countries accounted for 80% of solar panels supplied to the US and preliminary duty rates range from 50% to over 500%. Those rates will become final later this spring and will further influence the price of solar panels. 

Second, is the Chinese “anode” antidumping countervailing duty case. The anode case is targeted at one of the core materials used to make batteries. Anodes represent about 10% of the cost components of energy storage and petitioners have asked for 900% duty rates. If those are accepted it could effectively double the price of a battery overnight as there are not a lot of non-Chinese anodes available in the market at scale. 

 

Impact of 2025 Trump Tariffs on Electricity Rates

Along with the 10% increase on Chinese imports, the Trump Administration enacted 25% tariffs on goods imported from Canada and Mexico, which includes crucial components to build, maintain, and modernize the electricity grid.

Here are some examples:

  • Aluminum and steel from Canada are used in overhead power lines, transmission towers, transformers, and to build new power plants.
  • Timber from Canada is used for utility poles.
  • Energy products from Canada such as oil, gas, and hydroelectricity are used to power homes, especially in northern states.
  • Transformers from Mexico are crucial for adjusting voltage levels as electricity travels from a power plant to your home. These are already in short supply and the U.S. imports roughly 80% of its transformers, with Mexico as its largest supplier.

That’s not to mention a retaliatory 25% export tax on electricity sent from Ontario to Michigan, Minnesota, and New York. All of this amounts to higher electricity costs for utility customers, who ultimately foot the bill for building and repairing the power grid.

Update: On March 11 President Trump called for an additional 25% tariff on Canadian steel and aluminum, raising the effective tariff rate to 50% for these goods on March 12. Since then, Ontario Premier Doug Ford rescinded his 25% export tax on electricity and the Trump Administration set the steel and aluminum tariff at 25%.

 

The Bottom Line

The new tariffs will push prices up across the board. While they’ll be most visible at the gas pump and grocery store, don’t overlook your electricity bill.

Even with a slight increase in solar panel prices, investing in rooftop solar can protect you from ever-rising utility rates that will likely rise even faster with the new tariffs. And the faster you go solar the more you insulate your project costs from incoming and future tariffs.