How to Get Solar Panels in Virginia: Rebates Guide

Solar energy is no longer a luxury—it’s a smart, sustainable, and increasingly affordable investment for homeowners across Virginia. With rising electricity costs, evolving state incentives, and federal tax credits, installing solar panels has become one of the most financially advantageous home improvements available today. However, navigating the landscape of rebates, incentives, and installation requirements can be overwhelming. This comprehensive guide walks you through every step of getting solar panels in Virginia, with a sharp focus on maximizing rebates and financial benefits. Whether you’re a first-time homeowner, a long-time resident looking to reduce utility bills, or an environmentally conscious decision-maker, this guide equips you with the knowledge to make informed, cost-effective choices.

Virginia’s solar market has grown rapidly over the past five years, driven by policy support, declining equipment costs, and increased public awareness. The state offers a combination of federal, state, and local incentives that can reduce the upfront cost of a solar system by 50% or more. But understanding which incentives you qualify for, how to apply for them, and when to act is critical. Missing a deadline, misapplying for a rebate, or choosing an unqualified installer can cost you thousands of dollars in savings. This guide eliminates the guesswork. You’ll learn exactly how to secure the maximum possible rebates, avoid common pitfalls, and ensure your solar installation delivers long-term value.

Step-by-Step Guide

Step 1: Assess Your Home’s Solar Potential

Before investing in solar panels, determine whether your home is a good candidate. The ideal solar roof faces south, has minimal shading from trees or nearby structures, and has sufficient structural integrity to support the weight of panels. In Virginia, solar irradiance levels are favorable across most regions, with annual sunlight exposure ranging from 4.5 to 5.5 peak sun hours per day—comparable to the national average.

Use free online tools like Google Project Sunroof or the National Renewable Energy Laboratory’s PVWatts Calculator to estimate your roof’s solar potential. Input your address, roof angle, and local weather data to receive an estimate of annual energy production, potential savings, and system size recommendations. These tools also factor in Virginia’s specific climate patterns, including seasonal cloud cover and snowfall, which can affect output.

If your roof is older than 15 years or shows signs of wear, consider a roof inspection or replacement before installing panels. Many installers offer bundled services that include roof repairs, but doing this upfront avoids costly removal and reinstallation later. Also, check your Homeowners Association (HOA) rules—Virginia law prohibits HOAs from banning solar installations, but they may impose reasonable aesthetic restrictions.

Step 2: Understand Virginia’s Solar Incentives

Virginia offers a layered incentive structure that includes federal, state, and utility-specific programs. Understanding each component is essential to maximizing your savings.

Federal Solar Investment Tax Credit (ITC): As of 2024, the federal ITC provides a 30% tax credit on the total installed cost of a solar energy system, including panels, inverters, mounting hardware, and labor. This credit applies to both new and existing homes and has no income cap. For a typical 6-kilowatt system costing $18,000, this translates to a $5,400 reduction in your federal tax liability. The credit is claimed on IRS Form 5695 when you file your annual tax return. Importantly, the credit is refundable only if you owe taxes—so if your tax liability is less than the credit amount, you can carry forward the unused portion to future years.

Virginia Solar Energy System Property Tax Exemption: Virginia law (§58.1-3214) exempts the added value of a solar energy system from property tax assessments. This means that even though your home’s value increases due to solar installation, your property taxes will not rise as a result. This exemption applies statewide and requires no application—simply keep documentation of your system’s cost and installation date for your records.

Virginia Solar Renewable Energy Certificates (SRECs): Virginia operates a Solar Renewable Energy Credit (SREC) market under its Renewable Portfolio Standard (RPS). For every megawatt-hour (MWh) of electricity your system produces, you earn one SREC. These credits can be sold to utilities that need to meet state-mandated solar generation targets. As of 2024, SREC prices in Virginia range from $20 to $45 per credit, depending on market demand. A typical 6-kW system produces about 7–8 MWh annually, generating $140–$360 in SREC income each year. SRECs are traded on the PJM-GATS platform, and most installers offer SREC aggregation services to simplify sales.

Local Utility Rebates: Several Virginia utilities offer cash rebates or performance-based incentives. Dominion Energy, for example, provides a $100 per kW rebate (up to $3,000) for residential customers who install solar systems through its Solar Partnership Program. This rebate is applied as a direct reduction in your installation cost. Other providers like Appalachian Power and Old Dominion Electric Cooperative offer similar programs, though availability varies by service territory. Always confirm eligibility with your utility provider before signing a contract.

Step 3: Choose a Reputable Solar Installer

Not all solar companies are created equal. Selecting a qualified, licensed, and experienced installer is one of the most important decisions you’ll make. Virginia requires solar installers to hold a valid contractor’s license from the Virginia Department of Professional and Occupational Regulation (DPOR). Look for installers with a Class A or B contractor license and NABCEP (North American Board of Certified Energy Practitioners) certification—the industry’s gold standard.

Obtain at least three detailed quotes from different installers. Each quote should include: the system size (in kW), estimated annual production (in kWh), equipment brands (panel and inverter models), warranty terms (product and workmanship), and a breakdown of all costs including permits, inspections, and interconnection fees. Avoid companies that pressure you to sign immediately or offer “limited-time” discounts without clear documentation.

Check reviews on Google, the Better Business Bureau, and the Solar Reviews platform. Pay attention to comments about communication, project timelines, and post-installation support. Ask for references from past customers in your county—local experience matters, especially regarding utility interconnection processes and local permitting requirements.

Step 4: Apply for Rebates and Incentives

Once you’ve selected your installer and signed a contract, begin the rebate application process. Timing is critical—many incentives are awarded on a first-come, first-served basis and have limited funding.

Federal ITC: Your installer should provide you with a detailed invoice and IRS Form 1099-S (if applicable). Keep all receipts, contracts, and system specifications. When you file your taxes, complete IRS Form 5695 and attach it to your Form 1040. The credit reduces your tax liability dollar-for-dollar, so if you owe $7,000 in federal taxes and qualify for a $5,400 credit, your payment drops to $1,600.

Dominion Energy Solar Rebate: Dominion requires you to submit an application through its online portal within 60 days of system activation. You’ll need: your account number, system size, installer name, and a copy of the final inspection report from your local building department. Rebates are typically disbursed as a check within 4–8 weeks after approval.

SREC Registration: Register your system with the PJM-GATS platform. You’ll need your system’s unique identifier (assigned during interconnection), your installer’s certification number, and proof of system commissioning. Once registered, you can begin selling SRECs. Most installers partner with SREC brokers who handle the entire process for a small commission (typically 10–15%).

Local Incentives: Some counties and cities, including Arlington, Alexandria, and Fairfax, offer additional rebates or low-interest financing. Check your local government’s energy or sustainability office website for programs like the Virginia Clean Economy Act (VCEA) Community Solar Grants or municipal solar loan programs.

Step 5: Complete Permitting and Interconnection

Before your system can be turned on, it must pass local permitting and utility interconnection review. Most Virginia jurisdictions require a building permit and electrical permit. Your installer typically handles this, but you should confirm the timeline. Permits usually take 1–3 weeks to process, depending on the county.

Interconnection is the process of connecting your solar system to the grid. Dominion Energy and other utilities require a formal interconnection agreement, which includes technical specifications, safety certifications, and a net metering application. Net metering allows you to receive bill credits for excess electricity your system sends back to the grid. Virginia law mandates net metering for all residential solar customers, ensuring you’re compensated at the full retail rate for surplus energy.

After installation, a local inspector will verify code compliance. Once approved, your utility will install a bi-directional meter (if you don’t already have one) and activate your system. You’ll receive a “Notice of Completion” letter—keep this for your records and rebate applications.

Step 6: Monitor Performance and Maintain Your System

Modern solar systems come with monitoring apps that track real-time energy production, consumption, and savings. Use these tools to verify your system is performing as estimated. A well-maintained system should produce within 90–95% of its projected output. If production drops significantly, contact your installer—this could indicate shading, inverter issues, or panel degradation.

Solar panels require minimal maintenance. In Virginia, rain typically cleans dust and debris. However, if you live in a dusty or pollen-heavy area, a gentle rinse with a garden hose twice a year is recommended. Avoid using abrasive cleaners or pressure washers. Inspect your panels annually for physical damage, especially after storms.

Most manufacturers offer 25-year performance warranties guaranteeing at least 80% output after two decades. Workmanship warranties typically last 10–15 years. Keep all documentation in a digital and physical file. This will be essential if you sell your home, as solar systems increase property value and can be transferred to new owners.

Best Practices

Optimize System Size for Your Usage

Don’t oversize your system. While it may be tempting to install a 10-kW system to “future-proof” your home, Virginia’s net metering policy caps credits at 100% of your annual usage. Any excess beyond that is credited at a lower wholesale rate. Base your system size on your historical electricity consumption. Review your last 12 months of utility bills and aim for a system that offsets 80–100% of your usage. If you plan to buy an electric vehicle or add an HVAC system, factor in those future loads—but avoid overbuilding.

Choose High-Efficiency Panels for Limited Roof Space

If your roof has limited space or partial shading, prioritize high-efficiency panels (above 21% efficiency). Brands like SunPower, LG, and Panasonic offer panels with superior performance in low-light conditions and smaller footprints. These panels cost more upfront but generate more power per square foot, maximizing your return on investment.

Time Your Installation for Maximum Rebate Access

Many state and utility rebates have annual funding caps. In Virginia, Dominion Energy’s Solar Partnership Program often fills up by late summer. Apply early in the calendar year to secure your spot. Also, since the federal ITC is set to step down to 26% in 2033, installing before 2032 ensures you capture the full 30% credit.

Document Everything

Keep a digital folder with: signed contracts, invoices, permit approvals, inspection reports, utility correspondence, SREC registration confirmations, and tax filings. This documentation is critical for audits, resale disclosures, and future incentive applications. Use cloud storage (Google Drive or Dropbox) and back up your files regularly.

Consider Battery Storage for Resilience

While not required, pairing your solar system with a battery (like Tesla Powerwall or LG Chem) provides backup power during outages—a growing concern in Virginia due to extreme weather events. Batteries are eligible for the federal ITC, and while Virginia doesn’t currently offer a standalone battery rebate, the 30% federal credit can significantly offset the added cost. Evaluate your risk tolerance for power disruptions and your energy usage during peak hours before deciding.

Transfer Benefits When Selling Your Home

Studies show homes with solar panels sell 3–4% faster and at a premium of $15,000–$20,000 in Virginia. When listing your home, highlight your solar system’s age, remaining warranties, SREC earnings history, and monthly savings. Provide potential buyers with copies of your utility bills before and after installation. A solar system is a transferable asset—ensure your installer provides a seamless ownership transfer process for SRECs and warranties.

Tools and Resources

Online Calculators and Estimators

• Project Sunroof (Google): Provides solar potential estimates based on satellite imagery and local weather data.
• PVWatts Calculator (NREL): Offers detailed production estimates based on location, tilt, and system size.
• EnergySage Solar Marketplace: Compares quotes from pre-vetted Virginia installers and estimates savings with current incentives.

Government and Utility Portals

• DSIRE (Database of State Incentives for Renewables & Efficiency): The most comprehensive source for Virginia-specific solar incentives. Updated monthly by the Interstate Renewable Energy Council.
• Dominion Energy Solar Partnership Program: Official portal for rebate applications and program guidelines.
• Virginia Department of Energy (DOE): Provides policy updates, funding opportunities, and educational resources.
• PJM-GATS (Solar Renewable Energy Credit Tracking System): Required platform for SREC registration and trading.

Professional Certification Directories

• NABCEP Certification Directory: Search for certified solar installers in your area.
• Virginia DPOR License Lookup: Verify contractor licenses and check for complaints or disciplinary actions.

Community and Educational Resources

• Virginia Solar Energy Industries Association (VASEIA): Nonprofit that advocates for solar growth and provides consumer guides.
• Local Library Energy Workshops: Many public libraries in Fairfax, Loudoun, and Henrico counties host free solar information sessions.
• Virginia Tech Energy Extension Program: Offers research-backed guides and webinars on residential solar adoption.

Real Examples

Case Study 1: The Williams Family – Richmond, VA

The Williams family installed a 6.8-kW solar system in April 2023. Their home consumed 8,200 kWh annually. After researching incentives, they chose a SunPower system with a Tesla inverter. Their total cost: $19,500.

They received:

• $5,850 federal ITC (30%)
• $2,720 Dominion Energy rebate ($400/kW x 6.8 kW)
• $1,800 annual SREC income (based on $25/credit x 72 credits)

After incentives, their net cost was $10,930. With an estimated annual electricity savings of $1,100, their payback period was under 10 years. After 15 years, they projected over $25,000 in net savings, not including rising utility rates.

Case Study 2: Maria Chen – Arlington, VA

Maria, a retired teacher, installed a 5.4-kW system in August 2022. She qualified for Arlington County’s $1,000 local rebate in addition to federal and Dominion incentives. Her system included a 10-kWh LG Chem battery.

Her total cost: $22,000

• $6,600 federal ITC
• $2,160 Dominion rebate
• $1,000 Arlington County rebate
• $1,200 annual SREC income

Net cost: $11,040. With the battery, she avoided $300 annually in peak-time utility charges. Her payback period: 8.5 years. She now has a fully resilient energy system and reports a 95% reduction in her monthly bills.

Case Study 3: The Hendersons – Roanoke, VA

The Hendersons installed a 7.2-kW system in 2021. They initially declined a battery due to cost but later added one in 2023 after experiencing two major power outages. Their installer helped them apply for the federal ITC on the battery upgrade, which they successfully claimed on their 2023 tax return.

They also began selling SRECs through a broker, earning $2,100 in the first year. Their system has paid for itself in 7 years, and they now enjoy nearly zero electricity bills. They plan to use their solar credits to offset future EV charging costs.

FAQs

Do I need to own my home to install solar panels in Virginia?

You must own your home or have written permission from your landlord to install a solar system. Renters cannot install rooftop panels unless they have explicit approval from the property owner. However, renters can join community solar programs offered by some utilities, which allow them to subscribe to a shared solar farm and receive bill credits.

Can I get solar panels for free in Virginia?

No, there are no true “free solar” programs in Virginia. Some companies advertise “$0 down solar,” but these are typically solar leases or power purchase agreements (PPAs). In a PPA, you pay for the electricity the system produces, not the equipment. While monthly payments may be low, you don’t own the system, and you forfeit tax credits, rebates, and long-term value. Owning your system outright delivers the highest return on investment.

How long does it take to install solar panels in Virginia?

The entire process—from consultation to activation—typically takes 60–90 days. Permitting and utility interconnection are the longest phases. Installation itself usually takes 1–3 days, depending on system size and roof complexity.

What happens if I move after installing solar panels?

Solar panels increase your home’s resale value and can be transferred to the new owner. The warranties, SREC eligibility, and net metering benefits all transfer with the property. Your installer should provide a transfer packet to the new owner, including system manuals, warranty documents, and SREC account information.

Can I install solar panels if I have an HOA?

Yes. Virginia Code §55.1-1901 prohibits HOAs from banning solar installations. HOAs may require panels to be installed in less visible locations, but they cannot impose restrictions that reduce system efficiency by more than 10%. If your HOA refuses, contact the Virginia Attorney General’s Office for guidance.

Are there income limits for solar rebates in Virginia?

No. Federal and state solar incentives have no income caps. However, to claim the federal tax credit, you must have sufficient tax liability. If you don’t owe federal taxes, you cannot use the credit—though you may still benefit from state rebates and utility incentives.

Do solar panels work in Virginia’s winter weather?

Yes. Solar panels generate electricity from sunlight, not heat. Even on cloudy or snowy days, they produce power—typically 10–25% of their rated capacity. Snow usually slides off tilted panels quickly. Cold temperatures can actually improve panel efficiency. Virginia’s winter solar production is still significant, especially in the southern and coastal regions.

What if my system underperforms?

Most reputable installers offer performance guarantees. If your system produces less than 90% of its projected output within the first year, the installer will investigate and correct the issue at no cost. Always review your warranty terms before signing a contract.

Can I expand my solar system later?

Yes. Many systems are designed with future expansion in mind. However, adding panels later may require a new interconnection agreement and could affect your eligibility for certain rebates. Consult your installer before planning an expansion.

Conclusion

Getting solar panels in Virginia is a smart, financially sound decision that pays dividends for decades. With a combination of federal tax credits, state property tax exemptions, utility rebates, and valuable SREC income, homeowners can dramatically reduce or even eliminate their electricity bills while increasing their property value. The key to success lies in understanding the full spectrum of incentives, selecting a qualified installer, and completing the application process accurately and on time.

This guide has provided a detailed, step-by-step roadmap—from evaluating your home’s solar potential to monitoring performance after installation. Real-world examples demonstrate that the savings are not theoretical—they’re tangible and measurable. The tools and resources listed empower you to make informed decisions without relying on sales pitches or misleading claims.

As Virginia continues to expand its clean energy goals under the Virginia Clean Economy Act, the window for maximizing solar benefits remains open. The federal ITC is still at 30%, SREC markets remain active, and utility rebates are widely available. The time to act is now. By following this guide, you’re not just installing solar panels—you’re securing energy independence, protecting against future rate hikes, and contributing to a cleaner, more resilient Virginia.

Take the first step today: run your address through Project Sunroof, gather your last 12 months of utility bills, and reach out to three NABCEP-certified installers. The savings are waiting.