Solar rules by state

Solar in Indiana

Here's what generally applies to solar in Indiana. This page is educational: Power Done Better installs in Southwest Florida, so for Indiana we can point you toward what applies and, where we can, refer you to a trusted local pro.

See all states

Educational + referral only. Power Done Better installs in Southwest Florida. This page is educational information about solar rules in Indiana — we don't provide local installation there, but we're happy to point you toward what applies and, where we can, refer you to a local resource.

Net metering

What you get for exported power

Policy type: Net billing (below-retail export credit) — varies by utility.

Indiana largely ended retail net metering under Senate Enrolled Act 309 (2017). New solar customers of the five largest investor-owned utilities now get Excess Distributed Generation (EDG) credit instead of 1:1 net metering: exports are credited at roughly 125% of the prior-year average wholesale (avoided-cost) rate — well below retail, typically about one-third to one-half of the retail rate. Grandfathered systems keep full net metering (installed before 2018 → until 2047; installed 2018–July 2022 → until 2032). Some rural electric cooperatives (REMCs) and municipal utilities may still offer their own net-metering-style terms.

Typical export credit: ~125% of avoided wholesale cost (roughly 1/3–1/2 of retail)
Varies by utility: Yes

Incentives

Programs on the table

Program terms and budgets change — treat these as a starting point and confirm current status.

Renewable Energy Property Tax Deduction (Ind. Code § 6-1.1-12-26)

active

The added home value from a solar system is excluded from your property tax assessment; file Form 18865 with the county auditor.

Amount: 100% of added assessed value

Solar Equipment Sales Tax Exemption

active

Indiana's 7% state sales tax is waived on qualifying solar energy equipment.

Amount: 7% state sales tax waived

Taxes

Credits & exemptions

State solar tax credit

Indiana has no statewide personal solar income tax credit.

Property tax exemption

Yes

Added value from solar is excluded from property tax assessment under Ind. Code § 6-1.1-12-26 (file Form 18865 with the county auditor).

Sales tax exemption

Yes

7% state sales tax waived on qualifying solar energy equipment.

SREC market

None

No meaningful residential SREC market in Indiana.

Utilities

Who most homeowners have here

Your exact terms depend on your utility — this is the shortlist most visitors fall under.

AES Indiana (formerly IPL)
Duke Energy Indiana
NIPSCO
Indiana Michigan Power (I&M)
CenterPoint Energy Indiana (formerly Vectren)

The bottom line

What this means for you

Indiana is no longer a 1:1 net-metering state. Under SEA 309, new solar customers of the big utilities get the Excess Distributed Generation (EDG) rate — roughly 125% of wholesale, well below retail — so exported power is worth far less than the power you buy, and self-consumption plus battery storage matter more here. The upsides are a property-tax exclusion on the added home value and a sales-tax exemption on equipment. Note the federal 30% residential credit expired 12/31/2025, so 2026 cash/loan buyers can't claim it.

Before you decide

Read this the right way

Rules, rates, and incentives change and vary by utility — confirm current terms with your utility and a licensed installer before deciding. Any figures shown here are cited educational estimates, not a quote, and not a guarantee of savings or eligibility. Nationwide in 2026: the federal residential solar tax credit (IRC Section 25D, the 30% ITC) expired 12/31/2025, so a cash or loan purchase placed in service in 2026 gets $0 federal residential credit — there is no 2026 residential credit. Lease/PPA (third-party-owned) systems may still access the business credit (Section 48E) through 2027. This is general information, not tax, legal, or financial advice. Sources are listed below, last verified 2026-08-18.

Sources

Indiana Utility Regulatory Commission — Net metering / EDG orders (SEA 309) — Indiana Utility Regulatory Commission (primary, verified 2026-08-18)
Solar United Neighbors — Net metering in Indiana — Solar United Neighbors (secondary, verified 2026-08-18)
DSIRE — Indiana programs — DSIRE (NC Clean Energy Technology Center) (primary, verified 2026-08-18)
DSIRE — Renewable Energy Property Tax Exemption (Indiana) — DSIRE (NC Clean Energy Technology Center) (primary, verified 2026-08-18)

Educational · Referral

We install in Southwest Florida

We don't install in Indiana, so we won't pretend to be your local expert. If you're in Indiana, use the sources on this page to check your utility and DSIRE — and if you want, we can point you toward a trusted local pro.

Browse all states Ask us for a referral