North Carolina · Tax exemption · Deep-stack program

NC Renewable Energy Property Tax Exclusion

Removes a tax burden residential solar owners in North Carolina would otherwise carry -- see what it covers, eligibility, and payback impact below.

80% appraised value exclusion
stated benefit
Residential
eligible customers
14.4 yr
North Carolina baseline payback
3
other North Carolina programs
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Deep-stack program · late directory

North Carolina runs a 4-program DSIRE stack; this tax exemption is one layer on a 14.4-year modeled baseline, not the whole story.

  • Stack4 programs
  • In-state #3/3
  • Type #24/45
  • Baseline14.4 yr

In-state directory place #3 of 3 (late alphabet). National tax exemption directory #24 of 45. Amounts and eligibility change; verify with the official program page before relying on a dollar figure. Informational only - not financial advice. See our disclaimer.

Program description

Solar systems are assessed at 80% below appraised value for property tax purposes.

Program at a glance

Program type
Tax exemption
Eligible customers
Residential
Stated benefit
80% appraised value exclusion
State electricity rate
12.8¢/kWh
North Carolina solar score
33/100

Solar's trajectory in North Carolina

The market this incentive operates in: total installed solar capacity in North Carolina reported to the EIA.

0 MW2.0 GW4.0 GW6.0 GW8.0 GW 2008201120142017202020232024 6.8 GW
North Carolina now has about 6.8 GW of installed solar, the backdrop programs like this one are built on.

Source: U.S. Energy Information Administration, installed solar nameplate capacity As of 2024

North Carolina's solar incentive stack

How this tax exemption sits among North Carolina's 3 tracked programs, by type

programs

What this shows North Carolina tracks 3 incentive types; 1 are tax exemptions like this one, removing a cost solar owners would otherwise carry, on top of the state's other program types.

Source DSIRE incentives registry As of 2024

How this tax exemption layers inside North Carolina's deep stack

The NC Renewable Energy Property Tax Exclusion removes a tax burden solar owners would otherwise carry, one of North Carolina's DSIRE-tracked solar incentive programs. Eligibility is scoped to residential customers, with a stated benefit of 80% appraised value exclusion. DSIRE lists no scheduled sunset, though enabling legislation and appropriations can still be revised year to year.

That baseline is slower than most states, which raises the stakes for every incentive on the table. North Carolina averages 5.2 kWh/m²/day of usable sunlight and residential rates of 12.8¢/kWh, producing an estimated 9,110 kWh/year and $1,166 of annual utility offset on a typical 6 kW system costing $16,800. That baseline already implies a 14.4-year simple payback and a 25-year modeled net of roughly $12,350 before this incentive - every dollar this tax exemption delivers compresses that payback further.

North Carolina bundles a deep incentive stack, so this program rarely stands alone. North Carolina has 4 solar incentive programs indexed in DSIRE, including adjacent options like NC Net Metering, Duke Energy NC Solar Rebate. The state's net-metering policy is classified as full, which governs how excess generation is credited and often decides whether a given program is worth claiming for a specific household.

Frequently asked questions

Where does the NC Renewable Energy Property Tax Exclusion sit in North Carolina's deep program stack?
The NC Renewable Energy Property Tax Exclusion is a tax exemption available to residential solar customers in North Carolina. The stated benefit is 80% appraised value exclusion.
How does this tax exemption work beside North Carolina's other programs?
Solar systems are assessed at 80% below appraised value for property tax purposes.
Who qualifies, and what does a late in-state directory place mean?
The program is available to residential customers in North Carolina. Check the official program page for current eligibility requirements and deadlines. In-state directory place #3 of 3 (late alphabet).
How does this incentive affect solar ROI in North Carolina?
North Carolina has an estimated 14.4-year payback for a 6 kW system before incentives, with about $1,166/year in modeled savings. A tax exemption like this lowers upfront cost or raises annual return, shortening that payback. Run the calculator for a figure based on your own bill.
Which other North Carolina programs stack with this one?
North Carolina has 4 solar incentive programs tracked in DSIRE, including NC Net Metering, Duke Energy NC Solar Rebate. State programs are designed to stack on top of any available federal solar tax credit rather than replace it.

Incentive data from the DSIRE (Database of State Incentives for Renewables & Efficiency); state solar economics from NREL and the U.S. EIA. See our methodology · North Carolina solar data · ROI calculator · All incentives.