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Get a Free QuoteEvery solar, heat pump, battery, and tax incentive deadline in one place. Know exactly what is active, what is expiring soon, and what already expired — so you never miss a window to save.
Massachusetts still has a deep bench of active clean energy incentives in 2026, though two federal credits have now expired. The federal residential solar tax credit (Section 25D) expired December 31, 2025, and the federal EV charger credit (Section 30C) for home chargers expired June 30, 2026— it is no longer available. The Section 48E commercial ITC terminates for wind/solar facilities that begin construction after July 4, 2026 (Physical Work Test required; no 5% safe harbor). SMART 3.0 capacity blocks are open but filling. Mass Save rebates (including up to $800 on EV chargers) run through year-end. Tax exemptions and the HEAT Loan have no expiration date.
Filter by category, expand any incentive for full details and action items. Countdowns update automatically.
Currently available and accepting applications
Deadline approaching — act now
No longer available for new applicants
Regulatory change — awareness only
Detailed breakdown of each Massachusetts clean energy incentive, its deadline, and what it means for your project in 2026.
The Section 25D residential clean energy Investment Tax Credit was the single largest incentive for Massachusetts homeowners going solar. It provided a 30% tax credit on the total installed cost of a qualifying solar energy system, battery storage, and other clean energy improvements on a primary residence. For a typical $31,000 Massachusetts solar installation, this credit was worth approximately $9,300 — reducing the net cost to around $21,700.
Congress did not extend the residential ITC past December 31, 2025. This means any solar, battery, or clean energy system installed on a residence after that date cannot claim the federal 30% credit. Homeowners who completed installations by the deadline can still claim the credit on their 2025 federal tax returns using IRS Form 5695. The credit was nonrefundable, meaning it could only offset federal income tax liability, but unused portions could be carried forward to future tax years.
Bottom line:If you installed solar before January 1, 2026, file IRS Form 5695. If you are installing in 2026, this credit is $0. The remaining Massachusetts incentives still make solar financially viable — payback periods have increased from 5–7 years to 8–11 years, but 25-year returns remain strong.
The Section 48/48E Investment Tax Credit is the commercial counterpart to the now-expired residential 25D credit. It provides a 30% tax credit for solar, battery, and clean energy installations owned by commercial entities. For Massachusetts homeowners, this credit is accessible through Power Purchase Agreements (PPAs) and solar leases where a third-party developer owns the system and passes savings through to the homeowner as lower monthly payments.
The critical deadline was a begin-construction cutoff. Per IRS Notice 2025-42, the Section 48E credit terminates for wind and solar facilities that begin construction after July 4, 2026. Projects that begin construction on time have a placed-in-service backstop of December 31, 2027. For these wind/solar facilities, “begin construction” must be satisfied through the Physical Work Test— starting physical work of a significant nature. The 5% cost safe harbor that developers relied on in prior years is not available for this wind/solar deadline.
For Massachusetts homeowners pursuing a PPA or lease, the practical takeaway is that a third-party owner’s project with a documented begin-construction date that met the Physical Work Test on or before July 4, 2026 locked in the full §48E timing. Ask your developer how and when they satisfied that test. New starts still qualify if placed in service by December 31, 2027.
Bottom line: If you want a $0-down PPA or lease that captures the 30% Section 48E ITC, note that the begin-construction window closed July 4, 2026: developers that began construction (Physical Work Test) by then locked in the full timing, and projects starting now still qualify if placed in service by December 31, 2027. Cash and loan buyers are not directly affected.
The Alternative Fuel Vehicle Refueling Property Credit (Section 30C) was a federal tax credit of 30% of the cost of buying and installing an EV charger, capped at $1,000 per charging port for residential property. Per the IRS Form 8911 instructions (rev. December 2025), it applied to property placed in service on or before June 30, 2026— the OBBBA pulled this termination date forward from 2032. The residential credit expired June 30, 2026 and is no longer available for home chargers placed in service after that date.
Massachusetts homeowners still have strong EV charger incentives. Mass Save offers $300 off a qualified Level 2 charger, plus up to $500 more for enrolling in a managed charging program — up to $800 total. Eversource and National Grid off-peak EV rates cut charging costs 30–40% versus standard rates, and pairing your charger with solar drops your marginal charging cost to near $0.
Bottom line: The federal Section 30C credit for home EV chargers expired June 30, 2026. Your Massachusetts savings now come from Mass Save (up to $800), off-peak EV rates, and solar. See our MA EV charger incentives guide for the full utility-rebate stack.
The Solar Massachusetts Renewable Target (SMART) program is the state’s flagship solar incentive. SMART 3.0 pays residential solar owners approximately $0.03 per kWh produced over a 20-year contract term. For a typical 10 kW system producing 12,000 kWh per year, that translates to roughly $360 per year or $7,200 over the 20-year term. Systems with battery storage receive an additional $0.04/kWh adder, bringing annual payments to approximately $840/year ($16,800 over 20 years).
SMART 3.0 PY2026 capacity blocks opened January 1, 2026 and will close December 31, 2026 or when all capacity is reserved, whichever comes first. Each utility territory (Eversource, National Grid, Unitil) has separate capacity allocations. Enrollment is first-come, first-served. With the federal residential ITC gone, SMART payments are now the single largest ongoing financial incentive for residential solar in Massachusetts. Low-income and moderate-income households qualify for enhanced rates of 1.5x to 2x the base rate.
Status update: The updated SMART 3.0 tariff was approved by the Massachusetts Department of Public Utilities on May 19, 2026 (D.P.U. 25-175), confirming the program structure for current enrollments.
Bottom line:SMART 3.0 is the most important active incentive for MA solar. Complete your interconnection application early — capacity blocks have filled before year-end in prior program years. Adding battery storage nearly triples your annual SMART payments.
Mass Save offers some of the most generous heat pump rebates in the country. Standard-income homeowners can receive up to $8,500 for a whole-home heat pump installation, with individual unit rebates ranging from $1,250 for a single ductless head to $3,250 for a ducted system. Income-eligible households (under 80% Area Median Income) qualify for enhanced rebates up to $16,000 or more, often covering 75–100% of installation costs. Moderate-income households (80–120% AMI) receive mid-tier enhanced rebates.
Heat pump water heater rebates range from $750 (standard income) to $2,500 (income-eligible). All installations must be performed by a Mass Save qualified contractor and use equipment from the Mass Save Qualified Products List. For the 2026 program year, the install window runs January 1 through December 31, 2026, and rebate applications must be submitted by February 28, 2027. The program is part of the current Mass Save three-year plan (2025–2027). A free Home Energy Assessment is required before most rebate applications. Note that the separate R-410A refrigerant rebate-eligibility cutoff already passed on March 31, 2026.
Bottom line: Schedule a free Home Energy Assessment now. Income-eligible households can get heat pumps installed for near-zero out-of-pocket cost. Standard-income rebates are generous but may be reduced in future program years.
The Mass Save HEAT Loan is one of the best clean energy financing tools available anywhere in the country. It provides 0% interest financing — genuinely zero percent, with no origination fees, no closing costs, and no prepayment penalty — for up to $25,000 with terms up to 7 years (84 months). Eligible improvements include heat pumps, heat pump water heaters, insulation, air sealing, ENERGY STAR replacement windows, weatherization, and residential batteries enrolled in ConnectedSolutions.
The HEAT Loan is administered through participating lenders and requires completion of a Mass Save Home Energy Assessment before application. There is no published expiration date — the program is funded through utility ratepayer charges and has been available for multiple program cycles. However, program terms and maximum amounts can change between three-year planning periods. The current program plan runs through 2027. The HEAT Loan can be combined with Mass Save rebates, effectively financing only the portion of your project cost not covered by rebates.
The Mass Solar Loan program, administered by the Massachusetts Clean Energy Center (MassCEC), provides interest rate buy-downs that reduce the effective interest rate on solar loans from participating lenders. For income-eligible households, the program offers additional rate reductions that can bring the effective rate close to or below 3%. The program also provides a loan loss reserve that reduces lender risk, enabling loans for homeowners who might not qualify through conventional financing.
Unlike the HEAT Loan, the Mass Solar Loan is funded through MassCEC’s budget allocation and can close when funds are exhausted. Availability fluctuates based on MassCEC funding cycles. Check current availability and participating lender rates at masscec.com before beginning your project. The Mass Solar Loan can be combined with SMART 3.0 payments, the MA state tax credit, and all tax exemptions.
Massachusetts offers three state-level tax incentives for solar installations, none of which have published expiration dates. The MA State Tax Credit provides a 15% credit on installation costs capped at $1,000, claimed on your Massachusetts income tax return via Schedule EC. The Sales Tax Exemption eliminates the 6.25% state sales tax on solar equipment, saving approximately $1,938 on a $31,000 system. The Property Tax Exemption prevents your property tax assessment from increasing for 20 years after solar installation, even though solar adds roughly $3,000 per kW in home value.
Combined, these three tax incentives are worth approximately $4,500–$6,500 on a typical 10 kW Massachusetts solar installation (counting 20 years of avoided property tax increases). These incentives are codified in Massachusetts General Laws and require legislative action to modify. While they are considered stable, homeowners should not assume permanence — state budget pressures could lead to future changes. The sales tax exemption and property tax exemption apply automatically; the state tax credit requires you to file Schedule EC.
ConnectedSolutions is a utility demand-response program run by Eversource and National Grid that pays battery storage owners for dispatching energy during peak grid demand events. The program operates in two seasons: summer (June through September) and winter (December through March). Summer payments are the highest at $225–$275 per enrolled kW of battery capacity depending on your utility. Winter payments add approximately $50 per enrolled kW.
For a typical Tesla Powerwall 3 (13.5 kWh usable), annual ConnectedSolutions payments range from $500–$800. Over 10 years, this generates $5,000–$8,000 in additional income beyond the energy savings the battery already provides. Events are called by the utility with advance notice (typically 21 hours), and your battery automatically responds through compatible smart inverter systems. You retain a configurable reserve for backup power during events. Enrollment must be completed before each season begins — the summer 2026 enrollment window opens in April/May.
Bottom line: If you have a battery (or are considering one), ConnectedSolutions significantly improves ROI. Enroll through your utility portal before the summer season begins. Adding a battery also qualifies you for the SMART 3.0 battery adder ($0.04/kWh for 20 years).
Under the AIM Act, the EPA mandated a phased reduction in hydrofluorocarbon (HFC) production and imports. R-410A, the dominant refrigerant in residential heat pumps and air conditioners since the early 2000s, is an HFC with a global warming potential (GWP) of 2,088. The 2026 production quota represents a 40% reduction from the baseline, driving up R-410A costs for both new equipment manufacturing and existing system servicing.
New heat pump models are transitioning to R-454B (Opteon XL41, GWP of 466) and R-32 (GWP of 675). Major manufacturers including Mitsubishi, Carrier, Daikin, and Fujitsu have released or announced R-454B models for the US market. Existing R-410A systems do not need to be replaced — they will continue to operate and can be serviced, but refrigerant costs for repairs and recharges are expected to increase over time. If you are planning a new heat pump installation in 2026, asking your installer about R-454B or R-32 models is a smart long-term decision.
Massachusetts’ Stretch Energy Code and the newer Specialized Opt-in Energy Code require heat pump space heating and heat pump water heating in new residential construction. Over 300 municipalities — representing the vast majority of the state’s building activity — have adopted either the Stretch Code or the Specialized Code. The Specialized Code, effective January 2024, goes further by requiring all-electric new construction with no fossil fuel infrastructure.
This requirement applies only to new construction and major renovations, not existing homes choosing to retrofit. However, it signals the direction of Massachusetts energy policy and has important implications for home values. Homes built to Stretch Code standards with heat pump systems are increasingly preferred by buyers, and the requirement ensures a growing inventory of heat-pump-ready homes. For existing homeowners considering heat pump installation, the Stretch Code adoption provides additional confidence that heat pumps are the long-term standard for Massachusetts homes.
The optimal time to start your clean energy project depends on which incentives you want to capture and your financing approach.
One major incentive expired at the end of 2025. Here is what changed and what it means for 2026 buyers.
Still need to claim it? If your solar system was installed and operational by December 31, 2025, file IRS Form 5695 with your 2025 federal tax return. The credit can be carried forward if your 2025 tax liability was less than the credit amount. You have up to 3 years to amend your return if you missed it.
While nothing is confirmed, here are the developments Massachusetts homeowners should watch for in 2027.
New capacity blocks expected to open January 1, 2027. Base rates may adjust based on market conditions and program review. The 20-year contract term and battery adder structure are expected to continue.
The current three-year plan (2025–2027) continues. Heat pump rebate amounts for 2027 are expected to remain similar to 2026, though budget allocations could shift based on 2025–2026 program spending.
Multiple bills have been proposed in the Massachusetts legislature to create a state-level solar tax credit to partially replace the expired federal ITC. None have passed as of March 2026, but momentum is building with bipartisan support.
Additional municipalities are expected to adopt the Specialized Opt-in Energy Code requiring all-electric new construction. This continues the trend toward heat pumps as the default heating standard in MA.
The program is expected to continue with potential rate adjustments. As battery adoption grows and grid reliability improves, per-kW payments may be revised. Enrolling now locks in current-year rates.
By 2027, the majority of new heat pump models are expected to use R-454B or R-32 refrigerants. R-410A costs will continue rising. Early adopters of next-gen refrigerant models benefit from lower lifetime maintenance costs.
Common questions about MA clean energy incentive deadlines and timing.
As of 2026, the following MA clean energy incentives remain active: SMART 3.0 solar performance payments ($0.03/kWh base rate, 20-year term), Mass Save heat pump rebates (up to $8,500 standard, up to $25,000 income-eligible or no-cost pathways), HEAT Loan 0% financing (up to $25,000, terms up to 7 years), Mass Solar Loan low-interest financing, MA state solar tax credit ($1,000), 6.25% sales tax exemption on solar equipment, 20-year property tax exemption, ConnectedSolutions battery demand-response payments ($225–$275/yr per battery), and the Section 48/48E commercial ITC (30%) through PPA/lease financing. The federal residential Section 25D ITC expired December 31, 2025.
The federal residential clean energy Investment Tax Credit (Section 25D) expired on December 31, 2025. Homeowners who completed solar installations by that date can still claim the 30% credit on their 2025 tax returns using IRS Form 5695. For 2026 installations, the residential ITC is no longer available. However, the commercial Section 48/48E ITC (30%) remains available through PPA and lease financing structures where a third-party developer owns the system.
The Section 48E clean electricity Investment Tax Credit provides a 30% credit for solar and battery installations owned by commercial entities, including PPA and lease providers. Per IRS Notice 2025-42, the credit terminates for wind and solar facilities that begin construction after July 4, 2026. For these wind/solar facilities, “begin construction” must be satisfied through the Physical Work Test (starting physical work of a significant nature) — the 5% cost safe harbor is not available for this deadline. Projects that begin construction in time have a placed-in-service backstop of December 31, 2027. Homeowners accessing this credit through a PPA or lease should confirm with the developer that their project has a documented begin-construction date that meets the Physical Work Test.
No. The Section 30C Alternative Fuel Vehicle Refueling Property Credit for residential home chargers expired June 30, 2026 and is no longer available for chargers placed in service after that date. The OBBBA moved this termination date forward from 2032. The credit had been 30% of the cost of buying and installing an EV charger, capped at $1,000 per charging port for residential property. Massachusetts homeowners can still save through the Mass Save EV charger rebate (up to $800 with managed charging) and off-peak EV rates from Eversource, National Grid, and Cape Light Compact. For the full Massachusetts utility-rebate stack, see our MA EV charger incentives guide.
Yes, SMART 3.0 Program Year 2026 opened on January 1, 2026 and runs through December 31, 2026. Enrollment is on a first-come, first-served basis within each utility territory (Eversource, National Grid, Unitil) and capacity block. The base residential rate is approximately $0.03/kWh over a 20-year term, with a $0.04/kWh adder for battery storage systems. Capacity blocks can fill before year-end, so early enrollment is recommended.
Mass Save heat pump rebates for 2026 vary by income level and installation type. Standard-income homeowners can receive up to $8,500 for whole-home heat pump systems ($1,250–$3,250 per individual unit). Income-eligible households (under 80% AMI) can receive enhanced rebates up to $16,000 or more. Moderate-income households (80–120% AMI) receive mid-tier enhanced rebates. Heat pump water heater rebates are $750–$2,500 depending on income. These rebates are active through December 31, 2026.
The Mass Save HEAT Loan program does not have a published expiration date as of 2026. It provides 0% interest financing up to $25,000 with terms up to 7 years (84 months) for qualifying energy efficiency improvements including heat pumps, heat pump water heaters, insulation, weatherization, ENERGY STAR replacement windows, and ConnectedSolutions batteries. There are no origination fees, no closing costs, and no prepayment penalty. However, the program is funded through utility ratepayer charges and could be modified in future program years. A Home Energy Assessment is required before applying.
ConnectedSolutions is a demand-response program offered by Eversource and National Grid that pays battery storage owners for dispatching energy during peak demand events. The 2026 summer season runs June through September and pays $225–$275 per enrolled kW. The winter season runs December through March and pays an additional $50 per enrolled kW. Typical annual earnings for a 10 kWh battery are $500–$800. Enrollment must be completed before each season begins through your utility’s portal.
The EPA’s AIM Act mandates a 40% reduction in HFC production including R-410A, the most common heat pump refrigerant. Starting in 2026, reduced production quotas are increasing R-410A costs. While existing R-410A systems continue to operate and can be serviced, refrigerant recharge costs are rising. New heat pump models are transitioning to R-454B (Opteon XL41) and R-32 refrigerants with lower global warming potential. If you are planning a new heat pump installation, asking your installer about newer refrigerant models can help you avoid future maintenance cost increases.
If you are financing through a PPA or lease, the §48E begin-construction window closed July 4, 2026: a developer that began construction (meeting the Physical Work Test) by then locked in the full-timing pathway, and projects starting now still qualify for the 30% Section 48E ITC if placed in service by December 31, 2027 under IRS Notice 2025-42. If you are paying cash or using a loan, this deadline does not directly affect you since the residential Section 25D ITC already expired December 31, 2025. However, acting sooner is still advisable because SMART 3.0 capacity blocks can fill, panel supply chains could tighten, and installer availability becomes limited during summer peak season.
While no new legislation has been confirmed as of March 2026, several developments are expected for 2027: SMART 3.0 Program Year 2027 should open with new capacity blocks (rates may adjust), Mass Save’s next three-year plan (2025–2027) will continue through year-end 2027, ConnectedSolutions is expected to continue with potential rate adjustments, and the Specialized Opt-in Energy Code adoption may expand to more municipalities. The Section 48/48E ITC will continue for qualifying commercial installations. Massachusetts legislators have proposed but not yet passed additional state-level incentives to replace the expired federal residential ITC.
The §30C EV charger credit expired June 30, 2026, and the §48E begin-construction window closed July 4. SMART 3.0 capacity blocks are filling, and Mass Save rebates run through year-end. Get a free quote from NuWatt to lock in every available incentive before your window closes.
Stack every available incentive for the lowest net cost.
Read guideHow SMART payments work, rates, adders, and enrollment.
Read guideEvery incentive still available now that the federal ITC is gone.
Read guideMass Save rebate amounts, eligibility, and how to apply.
Read guideHow commercial ITC works through PPA/lease for homeowners.
Read guideMass Save rebates and off-peak EV rates for home chargers.
Read guide