The Financial Benefits of Solar Energy

Solar Savings

Affordable solar is more of a reality than you may think! Cotuit Solar is with you every step of the way. We typically see a 4-7 year payback on investment. This is one of the reasons we believe direct ownership of solar is the best investment our customers can make. With the new Solar Loan available, going solar has never made more financial sense. With direct ownership, YOU take the tax & energy credits, not the leasing company. As a result, most of our customers are cash positive at the end of year one!

With over 30 years of solar installation experience, our dedicated team works to make affordable solar a reality for you! Call us today 508-428-8442 to take advantage of the solar incentives before they are gone!

Solar Loan

Residential solar ownership is the way to go! Residential ownership in Massachusetts is better than an investment in the stock market according to this study. A recent MA Department of Energy Resources (DOER) study showed that the net present value (NPV) to homeowners under the direct ownership scenario is more than ten times that of the third-party ownership scenario [leases and PPAs].

The $30 million MA Solar Loan Program, a partnership between the Massachusetts Department of Energy Resources (DOER) and Mass Clean Energy Center (MassCEC), is working with local banks and credit unions to provide financing to homeowners interested in installing PV Systems on their homes. The Solar Loan helps make solar an affordable option- call us today to see if you qualify!

Solar DOER Loan Overview:

    • 681 minimum FICO score
    • Closing Costs – $500 maximum
    • No Money Down and no payments required during installation
    • Loan Amount – up to $60,ooo
    • Interest Rate – as low as 3.99% fixed
    • Term – 5, 10, 20 year options
    • Payments – Interest only payments during construction period. Then Interest and Principal once PTO is achieved.
    • No penalty for early repayment
    • No lien on property
    • Ability to re-amortize within the first 18 months at no cost

Income Based Incentives


Solar Mass Renewable Target (SMART) Incentive Program Low Income Adder

Adds ~$0.05/kWh to the SMART incentive rate for customers below 80% of the MA median income.

Mass Solar Loan Income Based Loan Support (IBLS)

Reduces the Mass Solar Loan principal by either 10% or 30% of the gross system cost,
depending on applicant’s income. Initial loan is for full amount of project cost. 10%-30%
of principal is paid down through program within 6 months of installation.

Mass Solar Loan Interest Rate Buy Down (IRBD)

Reduces the Mass Solar Loan interest rate by 1.5% for customers below 80% of the MA
median income.

Income Guidelines and Incentives

Eligibility is based on total household income (Tax Return Form 1040 line 22) as determined by the federal income tax filing for the most recent year available. See below for income thresholds.
for income thresholds.

Cotuit Solar Loan Customers

  • The contract with Cotuit Solar is contingent upon execution of the loan 
  • Cotuit Solar will submit a technical application on behalf of the client to the MassSolar Loan Program.
  • Eligibility for the IBLS is based on the gross income from your most recently filed federal tax returns
  • Once the technical application is approved the client will take the approval letter to the participating Lender of choice. View participating Lenders.
For more information about the solar loan program, please visit Income Based Loan Support (IBLS) as well as the Mass Solar Loan website. 


Below is a list of the current available solar incentives. For additional information, please visit the Database of State Incentives for Renewable Energy as well as the Department of Energy Resources (DOER).

Federal Tax Credit

Available for residential or commercial installations. This is a 26% credit for the gross cost which will be applied to the tax year during which your system is completed and can be carried over to subsequent years. The credit is set to decrease to 22% at the end of 2020.  Here is a link to the tax form 5695 for the credit. Download the Federal Tax Credit Form.

$1,000 State Tax Credit

This is a one-time tax credit available for primary residences only. Any excess credit amount may be carried over to the next 1-3 taxable years.

$4,000 Local Solar Rebate for Nantucket

In July 2017, the Town of Nantucket launched a local solar rebate program intended to stimulate the adoption of solar energy systems on primary, residential properties located on island.  Rebates of up to $4000 are available to cover a portion of the costs of successfully installed solar photovoltaic systems. Click here to learn more. 

SMART or Solar Mass Renewable Target Incentive Program

The SMART Program is a statewide solar PV incentive program administered by the Massachusetts Department of Energy Resources (DOER). Under SMART the utilities will pay a fixed incentive rate for every kWh your PV system produces. The rate offered will decline as the program progresses, meaning the earliest customers will receive the highest rate. Your rate is locked-in at the time you sign up for the program and will remain fixed for 10 years. The utility will install a meter to record your production. You will reduce or eliminate your electric bill from Eversource through net metering in addition to receiving your SMART incentive payments.

For Example:
If your Electric Rate is $.20/kWh (3 year historical average).
The fixed incentive rate is estimated to be $.14/kWh.
Annual PV system production: 10,000kWh/year
Electric Bill Savings: 10,000kWh * $.20= $2,000
Fixed SMART payment: 10,000kWh * $.14 = $1,400
Total annual economic benefit: 10,000kWh * $.34 = $3,400

SRECS or Solar Renewable Energy Credits

For systems installed and granted Permission to operate on or before November 26, 2018. This is a market based incentive which means the SREC value will fluctuate. SRECs are sold separately from the power they produce so you receive energy credit from Eversource in addition to selling your SRECs. Learn more about the SREC II Program.

  • Every 1000 kWh produced is equivalent to one SREC
  • You can sell them through an SREC Aggregator. 
  • The price is market-based and fluctuates over time. 
  • You will receive credit for a period of 10 years.
  • In order to sell SRECs, they need to be reported first to an online Production Tracking System (or PTS).
  • They can either be entered manually or automatically through a Data Acquisition System (DAS).
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