Delaware Solar Laws

Installing solar panels in Delaware offers significant financial and environmental benefits, but navigating the legal landscape is crucial. Homeowners and businesses must understand how federal, state, and local laws affect solar panel installation, use, and maintenance. Delaware solar laws include a mix of incentives, regulations, and protections that support solar adoption while ensuring safety and compliance. From federal tax credits to state-level net metering and HOA protections, each layer of regulation plays a role in shaping Delaware’s solar energy policy. Knowing these laws helps residents make informed decisions and avoid costly delays or violations.

Federal Regulations and Policies Affecting Solar Installation in Delaware

Federal Solar Investment Tax Credit (ITC)

The most impactful federal policy is the Federal Solar Investment Tax Credit (ITC), which allows homeowners and businesses to deduct 30% of the cost of installing a solar energy system from their federal taxes. This credit applies to both residential and commercial systems and can be rolled over for up to five years if the full amount is not used in the first year. Delaware residents benefit from this nationwide incentive, which significantly reduces upfront costs.

Net Metering Guidelines

Federal guidelines support net metering, allowing solar panel owners to receive credit for excess electricity sent back to the grid. While net metering policies are administered at the state level, federal energy policy encourages states to adopt fair net metering rules. In Delaware, net metering is available for systems sized up to 110% of a customer’s historical energy use.

Renewable Energy Portfolio Standards (RPS)

Federal energy policy also promotes Renewable Portfolio Standards, which require utilities to source a portion of their electricity from renewable sources. Delaware’s RPS mandates that utilities like Delmarva Power procure increasing percentages of solar energy, reaching 10% by 2035. This federal-state partnership helps create a stable market for solar energy and supports long-term growth.

Delaware Solar Regulations and Policies

Delaware Green Energy Program

Delaware’s Green Energy Program offers grants to homeowners who install solar panels. These grants vary by utility provider, with Delmarva Power, Delaware Electric Cooperative (DEC), and DEMEC (Newark) offering between $2,000 and $6,000 per installation. This program is administered by the Delaware Department of Natural Resources and Environmental Control (DNREC).

Solar Renewable Energy Credits (SRECs)

Delaware solar policy includes a robust SREC market, where solar system owners earn credits for each megawatt-hour of electricity produced. These credits can be sold to utilities to help them meet RPS requirements. Delaware’s SREC program offers approximately $30 per credit for the first 10 years and $10 per credit for years 11 to 25.

HOA Solar Laws in Delaware

Delaware passed House Bill 65 in 2019, which prohibits homeowner associations from restricting the installation of solar panels on private residences. This law ensures that HOA rules cannot override a homeowner’s right to install solar systems, whether roof-mounted or ground-mounted.

Community Solar Policy

Delaware supports community solar projects, allowing multiple households to share the benefits of a single solar installation. Senate Bill 2, signed in 2021, expanded community solar access and streamlined regulations to encourage more projects statewide.

Does Delaware Have Solar Access Laws?

Yes, Delaware has solar access laws that protect a homeowner’s right to install and operate solar energy systems. Solar access laws ensure that property owners can receive sunlight without obstruction from neighboring buildings or vegetation. These laws differ from solar easement laws, which are voluntary agreements between property owners to maintain access to sunlight.

In Delaware, solar access is protected through legislation like House Bill 65, which overrides HOA restrictions. While Delaware does not have a formal solar easement statute, property owners can negotiate easements to preserve sunlight access. These legal tools are essential for long-term solar viability, especially in densely populated areas.

Do You Need Permits for Solar Installation in Delaware?

Yes, homeowners in Delaware must obtain permits before installing solar panels. Solar panel installation regulations require electrical and building permits to ensure safety and code compliance. Permits are typically issued by local municipalities or county governments, depending on the location of the property.

In addition to standard permits, some jurisdictions may require zoning approval or historic district clearance if the property is in a protected area. Installers must also comply with solar panel roof regulations, which govern structural integrity and fire safety.

How to Obtain Permits for Solar Installation in Delaware

Before starting a solar installation, it is essential to secure the proper permits to comply with Delaware solar laws. The permitting process ensures that systems meet safety standards and local building codes. The Delaware Department of Natural Resources and Environmental Control (DNREC) oversees statewide solar policy, while local governments handle permitting.

Step-by-Step Permit Process

  • Site Assessment – Hire a certified solar installer to assess your property and design a system that meets local codes and utility requirements
  • Permit Application – Submit applications for electrical and building permits to your local city or county building department. Include system design plans, equipment specifications, and contractor credentials
  • Zoning Review (if applicable) – If your property is in a historic district or subject to zoning restrictions, obtain approval from the local zoning board
  • HOA Notification (if applicable) – Inform your homeowner’s association of the installation. Under Delaware HOA solar laws, they cannot prohibit the system, but notification may still be required
  • Inspection Scheduling – Once permits are approved, schedule inspections with local officials to verify compliance during and after installation
  • Utility Interconnection – Apply for interconnection with your utility provider. This step allows your system to send excess electricity to the grid under net metering rules
  • Final Approval and Operation – After passing inspections and receiving utility approval, activate your system and begin generating solar energy