Pennsylvania · Tax exemption · Deep-stack program
PA Solar Energy Property Tax Exemption
Removes a tax burden residential solar owners in Pennsylvania would otherwise carry -- see what it covers, eligibility, and payback impact below.
- Property tax exemption
- stated benefit
- Residential
- eligible customers
- 14.2 yr
- Pennsylvania baseline payback
- 3
- other Pennsylvania programs
Deep-stack program · mid directory
Pennsylvania runs a 4-program DSIRE stack; this tax exemption is one layer on a 14.2-year modeled baseline, not the whole story.
- Stack4 programs
- In-state #2/3
- Type #34/45
- Baseline14.2 yr
In-state directory place #2 of 3 (mid alphabet). National tax exemption directory #34 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
Pennsylvania law exempts solar energy systems from property tax assessment.
Program at a glance
- Program type
- Tax exemption
- Eligible customers
- Residential
- Stated benefit
- Property tax exemption
- State electricity rate
- 16.5¢/kWh
- Pennsylvania solar score
- 24/100
Solar's trajectory in Pennsylvania
The market this incentive operates in: total installed solar capacity in Pennsylvania reported to the EIA.
Pennsylvania's solar incentive stack
How this tax exemption sits among Pennsylvania's 3 tracked programs, by type
- Tax exemption
Tax exemption
1 programs
- Net metering
Net metering
1 programs
- SREC
SREC
1 programs
What this shows Pennsylvania 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.
How this tax exemption layers inside Pennsylvania's deep stack
The PA Solar Energy Property Tax Exemption removes a tax burden solar owners would otherwise carry, one of Pennsylvania's DSIRE-tracked solar incentive programs. Eligibility is scoped to residential customers, with a stated benefit of Property tax exemption. 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. Pennsylvania averages 4.3 kWh/m²/day of usable sunlight and residential rates of 16.5¢/kWh, producing an estimated 7,534 kWh/year and $1,243 of annual utility offset on a typical 6 kW system costing $17,700. That baseline already implies a 14.2-year simple payback and a 25-year modeled net of roughly $13,375 before this incentive - every dollar this tax exemption delivers compresses that payback further.
Pennsylvania bundles a deep incentive stack, so this program rarely stands alone. Pennsylvania has 4 solar incentive programs indexed in DSIRE, including adjacent options like PA Net Metering, Pennsylvania SREC Market. 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.
Other Pennsylvania incentives
Frequently asked questions
Where does the PA Solar Energy Property Tax Exemption sit in Pennsylvania's deep program stack?
How does this tax exemption work beside Pennsylvania's other programs?
Who is eligible for the PA Solar Energy Property Tax Exemption?
How does this incentive affect solar ROI in Pennsylvania?
Which other Pennsylvania programs stack with this one?
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 · Pennsylvania solar data · ROI calculator · All incentives.