Solar Panel in Maryland: Cost & Best Companies 2024

Are you searching for cheap, renewable clean energy? Solar is the way to go. But what does it take to install solar panels in Maryland? We got the scoop. Here’s everything you need to know about installing solar panels in Maryland.

Solar Panel System Installation Costs in Maryland

Our first stop; the cost of installation. Cost, even if it’s just a ballpark figure will help you adjust your budget or at least review your financing options.

That said, what are the potential costs?

As of June 2023, it costs an AVERAGE of $2.74 per watt to install solar panels in Maryland. “Average” is the keyword; it could be higher, could be lower. It all depends on the solar equipment’s manufacturer and the rates of the solar installer.

So, how does this figure compare to the national average?

The average cost of installing PV panels in the US is $3.00 per watt. It is relatively cheaper to install solar panels in Maryland than in many parts of the country.

Maryland Solar Panel Installation Costs: The Breakdown


Is this $2.74 price tag justified, or is it just a number that the good solar installers of Maryland put together? Well, let’s break it down.

Parameter Cost per kW
Solar Panels 71¢
Inverters 27¢
Racking and Balancing Systems 27¢
Sales & Marketing 41¢
Installation 66¢
Permits & Inspection 14¢
Installer’s Margin 28¢
Grand Total $2.74

Factors Influencing Solar Panel Installation Costs in Maryland

Yes, the average cost of installing solar panels in Maryland is $2.74. And as I said, it may be higher or lower than $2.74 depending on these factors.

Your Energy Needs

Your energy needs dictate the size of your solar installation. To calculate your total energy needs, you’ll need two things, a list of all the electronic appliances in your premises and the number of hours in a day that you use each electronic. Oh, and the power requirement of each electrical appliance. You can find these, rated in watts (W), on the nameplate of the appliance.

How much electric power do you need in a day? Perhaps this video will help you.

The Size of Your Solar Panel Installation

The size of your solar panel installation can affect the cost of installation in two ways. When we talk about total cost, that increases with the size of your installation. You need more solar panels, so you have to pay more.

However, when discussing the average cost per watt, it decreases as the size of the installation increases due to economies of scale. This is not particularly a surprise considering you’re buying the solar panels in bulk. For example, the average cost per watt of a 4kW installation is $2.99, while that of a 10kW system is $2.63.

Now, let’s consider different solar panel sizes and see how the average price per watt and the total system cost play out.

System Size in kW Average Cost Per Watt System Cost

(Before Tax Credits)

4 kW $2.99 $11,960
5 kW $2.86 $14,300
6 kW $2.74 $16,440
7 kW $2.71 $18,970
8 kW $2.76 $22,080
9 kW $2.66 $23,940
10 kW $2.63 $26,300

Note: The prices above are eligible for solar tax credits and other incentives. They could end up costing less than the figures above. Speaking of solar incentives. What programs are available to Maryland residents?

Solar Incentives in Maryland


Solar incentives are the government’s (both federal and local) way of encouraging the populous to embrace solar power. What incentives can you expect in this bag of goodies?

Federal Investment Tax Credit

What better place to start than the federal level? Available to all residents of the United States is the Investment Tax Credit (ITC).

The ITC is a program that allows Americans to reduce their tax liability by 30% of the value of their latest solar installation. Let’s say you installed a solar panel system worth $15,000. Your purchase makes you eligible for a tax credit worth $4,500. Let’s also assume that you have a $5,000 tax bill in that year. You’ll only pay $500 ($5,000 – $4,500).

Investment Tax Credits can be carried on to the next five years if you don’t use all of them. I’ll let our buddies from Sollera explain the mystery that is Investment Tax Credit.

In 2022, the federal ITC had dropped from 30% to 26%. Initially, it was set to drop further to 22% in 2023 and end in 2024. But in August 2022, Congress rallied to restore the ITC to 30% until 2032. In 2033 it drops to 26%, 22% in 2034, and the ITC program ends in 2035.


Time flies, so grab yourself a solar panel system and claim your federal Investment Tax Credit today.

Note: You’re only eligible for the federal ITC if you own the solar panel system. Solar leases are not eligible for ITC.

Maryland’s Residential Clean Energy Rebate Program

The state of Maryland will pay you a flat fee of $1,000 when you install a solar panel system. But you only got 12 months from the date of your installation to claim this tantalizing reward. The solar panel system must also be installed in your primary residence and be mounted by a NABCEP-certified installer.

And NABCEP stands for North American Board of Certified Energy Practitioners. You can only claim this solar incentive if your solar panel system is paid for in full.

Sales Tax Exemption

In Maryland, all residential solar equipment is exempt from the 6% sales tax. Percentage-wise, not such a big deal, but for equipment that costs tens of thousands of bucks, you can save thousands.

Solar Property Tax Exemption

PV panels have been proven to increase the value of a home. But increased value usually means increased property taxes. Thanks to the solar property tax exemption of Maryland, you don’t have to worry about a bump in property taxes. The value that the solar panel system adds to your property is exempt from property taxes.

Net Metering

In Maryland, you can sell excess power generated by your solar panels back to the grid, in exchange for Solar Renewable Energy Credits (SRECs), which have monetary value.

Top Solar Panel Installers in Maryland

1. Luminar Solar


Based in Halethorpe, Maryland, Luminar Solar has a perfect rating on Google, completely studded with raving reviews. They serve the entire state of Maryland, so wherever you are, they can send someone. Besides installing solar panels for residential and commercial clients, Luminar Solar also doubles in roofing.

  • Location: 3600 Commerce Drive, Suite 601, Halethorpe, Maryland 21227
  • Phone: +1 800-971-6118


2. Renewable Energy Corporation


Renewable Energy Corporation offer by far the sweetest deal in Maryland. If you’re a military person, firefighter, police officer, 911 dispatcher, EMT, paramedic, or healthcare professional, you’re eligible for a $500 discount on your new solar installation. Get your free estimate and grab yourself a sweet discount.

  • Location: 1850 York Road Suite LM, Timonium, Maryland 21093
  • Phone: +1 410-560-9032


3. Paradise Energy Solutions


Are you looking for a reputable solar panel installer in the Easter Shore area? Perhaps you’ll be interested in Paradise Energy Solutions. They serve both homes and farms, helping residents reduce their tax bills and energy costs and, of course, save the planet.

Paradise Energy Solutions has offices all over the Eastern Shore, including Cambridge, Chestertown, Centreville, Chincoteague, Denton, Elkton, Easton, Federalsburg, Pocomoke City, Ocean City, Princess Anne, and Snow Hill.

  • Location: 436 Snow Hill Road, Salisbury, Maryland 21804
  • Phone: +1 410-845-2829


4. Solar-Verse


Or maybe you’d like to join the Solar-Verse. Based in Millersville and with two additional offices in Arlington, Texas, and Mooresville, North Carolina, Solar-Verse has the rare appeal of a regional outfit (serving the South).

So what do you get for your money when you hire Solar-Verse? Affordable solar financing options, long-lasting warranties, and certified installers.

  • Location: 313 Najoles Road, Suite P, Millersville, Maryland 21108
  • Phone: +1 443-971-7421


5. Power Factor


For over ten years, Power Factor has been serving the residents of Baltimore, Maryland. They’ve helped many homes and businesses realize their solar dreams with high-quality equipment, NABCEP-certified installers, and reasonable solar financing tools. Power Factor has worked with renowned corporations like Coca-Cola, Walmart, Amazon, and Hilton.

  • Location: 8240 Beachwood Road, Baltimore, Maryland 21222
  • Phone: +1 443-559-0174


6. MSSI – Maryland Solar Solutions, Inc


Maryland Solar Solutions has racked up a lot of silverware over the past couple of years. In 2017, it was crowned the best solar installer in Baltimore by the Baltimore Sun. MSSI scooped up the Critic’s Pick and Reader’s Choice awards in 2019 and 2020, respectively. That’s a solid resume if I ever saw one.

  • Location: 11436 Cronridge Drive, Suite V, Owings Mills, Maryland 21117
  • Phone: +1 410-363-4300


7. Solar SME, Inc.


Apart from serving Maryland, Solar SME is also active in Texas, North Carolina, Pennsylvania, and Virginia. They have a wide array of solar panels from reputable manufacturers, including LG, Panasonic, Generac, QCells, IronRidge, Recon, and Solar Edge. Besides the regular services you expect from a solar installer, Solar SME offers solar insurance and financing to their clients.

  • Location: 8518 Chestnut Avenue, Bowie, Maryland 20715
  • Phone: +1 240-913-5449


Installing Solar Panels in Maryland: Things to Keep in Mind


Planning to install solar panels in Maryland? Here are a few things to consider.

1. The Slope of Your Roof

The shape and slope of your roof have a direct impact on solar panel placement and potential energy output. The Department of Energy recommends that solar panels be installed on roofs with a slope between 15° and 40°. But if you can customize your solar panel tilt angle, go for 31.2°.

2. Peak Sunlight Hours

Maryland gets a year-round average of 4.47 hours of peak sunlight in a day. In the summer, the figure increases to 4.71 hours and decreases to 3.84 hours in the winter. These values are roughly in line with the national average.


Final Thoughts

And that, folks, is all the information you need to install solar panels in Maryland. Just to recap, let’s highlight the factors that are working for you:

  • The cost of installing solar panels in Maryland is fairly cheap; $2.74 compared to the national average of $3.00
  • Maryland has a ton of solar incentives that will further drop the cost of installation
  • You have many professional solar panel installers at your disposal

With all these advantages on your side, what’s your excuse for not going solar?

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