Massachusetts has the Northeast’s most stacked solar incentive structure. The SMART program provides a direct payment for every kWh of solar generation over 10 years, while net metering provides retail-rate credits for exported energy. The combination has made Massachusetts one of the top East Coast residential solar markets despite the relatively modest irradiance compared to Sun Belt states.
Massachusetts Solar Scale
Massachusetts has over 4 GW of installed solar — extraordinary for a northern state with 4.0–4.5 peak sun hours/day. The SMART program has been the primary driver since it replaced SREC in 2018. Boston, Worcester, Springfield, and the Cape and Islands are all active residential solar markets.
SurgePV’s PV design software helps automate compliance documentation.
SMART Program: Massachusetts’s Core Solar Incentive
SMART (Solar Massachusetts Renewable Target) provides a fixed $/kWh payment for all solar generation over a 10-year contract. Key features:
| Feature | Details |
|---|---|
| Payment rate | Fixed $/kWh set at time of reservation; 10-year term |
| Applies to | All solar production (self-consumed + exported) |
| Program cap | 3,200 MW statewide across 3 utilities |
| Block structure | 8 blocks; rate decreases as each fills |
| Storage adder | Additional $/kWh for systems paired with storage |
| Low-income adder | Additional $/kWh for qualifying LMI projects |
| Utility administrators | Eversource, National Grid, Unitil |
SMART Block Structure (Approximate, 2026)
| Block | Status | Approximate Rate |
|---|---|---|
| Blocks 1–4 | Filled | — |
| Block 5 | Largely filled | ~$0.17–0.19/kWh |
| Block 6 | Active | ~$0.13–0.16/kWh |
| Block 7 | Upcoming | ~$0.11–0.13/kWh |
| Block 8 | Future | ~$0.09–0.11/kWh |
Rates vary by utility territory. Check mass.gov/smart for current block status.
SMART Adders Stack
Battery storage adds approximately $0.03–0.05/kWh to the SMART rate. Low-income projects in Eversource territory can receive adders of $0.05–0.06/kWh above the base block rate. Community solar with low-income subscriptions has additional adders. These stacking incentives make SMART financially attractive even in later, lower-rate blocks.
SMART Payment Calculation Example
7 kW residential system, Eversource territory, Block 6 at $0.14/kWh Annual production: 7,700 kWh
Annual SMART payment = 7,700 kWh × $0.14 = $1,078/year
Over 10-year contract = $10,780 total (not discounted)Combined with net metering savings (estimated $400–600/year for exported generation) and the 30% federal ITC, total first-year financial return can reach $3,500–$4,500 on a $20,000 system.
Massachusetts Net Metering
Massachusetts net metering is regulated by the DPU under the Green Communities Act and subsequent amendments:
| Feature | Massachusetts Net Metering |
|---|---|
| Rate | Full retail rate per kWh |
| System size | Up to 2 MW |
| Credit rollover | Monthly |
| Annual settlement | Credits roll forward indefinitely; no expiration |
| Cash payment | No cash payment for excess — credits roll forward |
| Cap | Eliminated for residential; remains for some commercial |
The indefinite rollover of net metering credits (credits never expire) is unusual and favorable. Seasonal overproduction in summer rolls forward to offset winter bills — the full annual production value is realized.
SMART + Net Metering Together
| Payment Type | Basis | Rate |
|---|---|---|
| SMART payment | Total solar production (kWh) | Fixed $/kWh per block |
| Net metering credit | Exported solar (kWh) | Retail rate |
These two programs are additive: SMART pays for every kWh produced. Net metering pays for the portion exported. A customer who self-consumes 50% of their solar production gets:
- SMART payment on 100% of production
- Net metering credit on the 50% that was exported
Massachusetts Utility Interconnection
Eversource (Eastern MA including Boston, Cape Cod)
- Online application: eversource.com/solar
- Residential under 10 kW: simplified process, 20–30 business days
- Commercial 10 kW–2 MW: standard process, 45–90 days
- IEEE 1547-2018 and UL 1741 SA required
National Grid (Central and Western MA)
- Online application: nationalgridus.com
- Similar timelines to Eversource
- National Grid territory includes Worcester, Springfield area
Unitil (NH/MA border region)
- Small utility serving the Lowell and Fitchburg MA areas
- Online application via unitil.com
- Same DPU rules apply
Massachusetts Incentives Summary
| Incentive | Amount | Notes |
|---|---|---|
| Federal ITC (30%) | 30% of system cost | All MA solar customers |
| SMART program | $0.11–0.19/kWh × 10 years | Current block rate; reserve early |
| Net metering | Retail rate credits (indefinite rollover) | All IOUs |
| Sales Tax Exemption | 6.25% MA sales tax exempt | Solar equipment purchases |
| Property Tax Exemption | Available under MGL c. 59 §5(45th) | File with local assessor |
AHJ Permitting in Massachusetts
Massachusetts building permits are issued by local building departments. The state has adopted NEC 2020.
Major Market Permitting
| City | Notes |
|---|---|
| Boston | City of Boston ISD; active solar market; online portal |
| Worcester | City of Worcester; standard residential process |
| Springfield | City of Springfield; Western MA; National Grid territory |
| Cambridge | City of Cambridge; progressive solar policies; Eversource territory |
| Cape Cod (Barnstable County) | Multiple towns; Eversource territory; strong solar market |
Standard MA permit package:
- Electrical one-line diagram with NEC 690 calculations
- Site plan showing roof orientation and array layout
- Roof framing plan or structural letter
- Equipment cut sheets (modules, inverter, racking)
- SMART program documentation (if applicable)
Model SMART + Net Metering Returns in Massachusetts Proposals
SurgePV calculates SMART block payments, net metering credits, and IRA ITC together to show Massachusetts customers their complete 10-year financial picture.
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Frequently Asked Questions
What is the SMART program?
SMART (Solar Massachusetts Renewable Target) provides a fixed $/kWh payment for all solar generation over a 10-year contract, paid by the serving utility. Rates range from approximately $0.11–0.19/kWh depending on the current capacity block. The program is capped and rates step down as blocks fill — reserve capacity early to lock in higher rates.
Can I get both SMART and net metering in Massachusetts?
Yes. SMART pays for all solar production. Net metering credits your bill for exported solar at the retail rate. They’re additive. The combination makes Massachusetts one of the strongest Northeast solar incentive markets.
Does Massachusetts have a net metering credit expiration?
No. Massachusetts net metering credits roll forward indefinitely — they never expire. Seasonal summer overproduction can offset winter bills, realizing the full annual value of the system’s production.
