Rhode Island · Tax exemption
RI Solar Property Tax Exemption
Removes a tax burden residential solar owners in Rhode Island would otherwise carry -- see what it covers, eligibility, and payback impact below.
- Full property tax ex…
- stated benefit
- Residential
- eligible customers
- 9.7 yr
- Rhode Island baseline payback
- 3
- other Rhode Island programs
What it means
In Rhode Island, a 6 kW system already pays back in about 9.7 years on ~$1,913/year of modeled savings, and the RI Solar Property Tax Exemption stacks on top of that, on top of any federal credit.
- Full property …
- stated benefit
- 9.7 yr
- baseline payback (pre-incentive)
- 4
- Rhode Island programs that stack
- full
- net-metering policy
Payback and savings are modeled from public NREL/EIA data; the program benefit is summarized from DSIRE and may change.
Program description
Rhode Island exempts solar energy systems from local property taxes.
Program at a glance
- Program type
- Tax exemption
- Eligible customers
- Residential
- Stated benefit
- Full property tax exemption
- State electricity rate
- 26¢/kWh
- Rhode Island solar score
- 37/100
How Rhode Island compares to the U.S. average
Why this incentive matters more (or less) here - Rhode Island's solar fundamentals against the national average.
Source: NREL irradiance and U.S. EIA rates; payback modeled by PlainSolarData. Bars are scaled to the larger of the two values per metric.
Solar's trajectory in Rhode Island
The market this incentive operates in: total installed solar capacity in Rhode Island reported to the EIA.
Rhode Island's solar incentive stack
How this tax exemption sits among Rhode Island's 3 tracked programs, by type
- Tax exemption
Tax exemption
1 programs
- Net metering
Net metering
1 programs
- Performance
Performance
1 programs
What this shows Rhode Island 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 incentive fits Rhode Island's solar picture
The RI Solar Property Tax Exemption removes a tax burden solar owners would otherwise carry, one of Rhode Island's DSIRE-tracked solar incentive programs. Eligibility is scoped to residential customers, with a stated benefit of Full property tax exemption. DSIRE lists no scheduled sunset, though enabling legislation and appropriations can still be revised year to year.
That's the backdrop this incentive works against. Rhode Island averages 4.2 kWh/m²/day of usable sunlight and residential rates of 26¢/kWh, producing an estimated 7,358 kWh/year and $1,913 of annual utility offset on a typical 6 kW system costing $18,600. That baseline already implies a 9.7-year simple payback and a 25-year modeled net of roughly $29,225 before this incentive - every dollar this tax exemption delivers compresses that payback further.
A handful of other levers are worth checking alongside this one. Rhode Island has 4 solar incentive programs indexed in DSIRE, including adjacent options like RI Net Metering, RI Renewable Energy Growth (REG) Program. 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.
Your next step
- See Rhode Island's full solar profile, score, irradiance, rates, payback, and every program you can claim. Rhode Island solar data
- Run the savings calculator with your real bill to see how this incentive changes your own payback. ROI calculator
- Read how state and federal solar credits work together. Tax-credit guide
Estimates here are modeled from public data and are not financial advice; confirm program terms and your own eligibility before relying on a dollar figure.
Other Rhode Island incentives
Frequently asked questions
What is the RI Solar Property Tax Exemption?
How does the RI Solar Property Tax Exemption work?
Who is eligible for the RI Solar Property Tax Exemption?
How does this incentive affect solar ROI in Rhode Island?
Are there other solar incentives in Rhode Island?
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.