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BED was the first utility in the US to source 100% of its power from renewable generation. Vermont's largest municipal utility. This guide covers solar costs, incentives, net metering policies, and savings projections specifically for BED ratepayers in Burlington.
$0.19/kWh
Estimated residential rate. About 14% below the state IOU average of $0.22/kWh.
Available
Net metering at retail rate. BED provides 100% renewable energy.
Burlington
Burlington Electric Department provides electricity to the town of Burlington in Vermont.
$0.25/watt
Max: $2,500 (10 kW max). Incentive for residential solar installations in Burlington.
(802) 658-0300
Official WebsiteFree Audit Available
Schedule a free home energy audit to identify savings opportunities before going solar.
Municipal utilities typically offer lower electricity rates because they operate as non-profit, community-owned entities. There are no shareholders to pay, and local governance keeps costs in check. Here is how BED’s estimated rates compare to Vermont’s investor-owned utility (IOU) average.
| Metric | BED | VT IOU Average |
|---|---|---|
| Residential Rate (est.) | $0.19/kWh | $0.22/kWh |
| Annual Cost (900 kWh/mo) | $2,052 | $2,376 |
| Ownership | Community-owned, non-profit | Shareholder-owned, for-profit |
| Rate Setting | Local board/town meeting | State PUC regulated |
| Savings vs. IOU | ~14% lower rate = ~$324/yr savings | |
Rates shown are estimates based on publicly available data. Municipal utility rates can change based on local board decisions. Even with lower rates, solar panels still provide significant savings by reducing or eliminating your electric bill. Contact BED for your exact current rate.
Understanding available incentives is key to maximizing your solar investment. Here is what BED customers can access in 2026.
The federal residential solar ITC expired on December 31, 2025. Homeowners who purchase solar panels with cash or a loan no longer receive a federal tax credit. However, third-party owned systems (solar leases and PPAs) may still qualify under Section 48/48E, with the financing company claiming the credit. This makes local utility rebates more valuable than ever.
BED
$0.25/watt
Max: $2,500 (10 kW max)
Incentive for residential solar installations in Burlington.
Must be a BED customer. System must be professionally installed.
heat pump
$400/ton
Rebate for cold climate heat pumps.
Must be displacing fossil fuel or electric resistance heat.
water heater
$200-$400
Rebate based on tank size for heat pump water heaters.
Must be ENERGY STAR certified.
ev charger
Up to $600
Rebate covering up to 50% of Level 2 charger cost.
Must enroll in EV rate.
battery
$150/kWh
Incentive for residential battery storage.
Must participate in peak shaving program.
weatherization
Up to $2,000
Rebates for comprehensive weatherization including insulation and air sealing.
Must complete BED energy audit first.
appliance
$100
Rebate for induction cooktop purchase.
Must be replacing gas stove.
appliance
Up to $100
Rebates for electric lawn mowers and equipment.
Must be replacing gas equipment.
Here is what a typical 8 kW residential solar installation looks like for BED customers, including available incentives and projected savings over 25 years.
Projection assumes $0.19/kWh rate with no annual increase (conservative estimate). Actual savings may be higher as rates typically increase 2-4% per year.
With a solar lease or power purchase agreement (PPA), a third-party company owns the system on your roof. The system owner can still claim the 30% federal ITC under Section 48/48E, which often results in lower monthly payments for you. You pay a fixed monthly rate or per-kWh price that is typically lower than your utility rate, with no upfront cost.
Customize your system size to see estimated costs and savings based on BED’s rates and available incentives.
Estimate your solar costs and savings with BED
19 panels at 430W each
Annual Production
10,000 kWh
Year 1 Savings
$1,900/yr
Payback Period
~13 years
25-Year Net Profit
$21,608
Estimates based on 1250 kWh/kW annual production, 0.19/kWh utility rate, and 0.5% annual panel degradation. Federal residential solar tax credit (Section 25D) expired Dec 31, 2025. Actual results vary by roof orientation, shading, and usage patterns.
Net metering at retail rate. BED provides 100% renewable energy.
Net metering is the billing mechanism that makes rooftop solar financially attractive. When your solar panels produce more electricity than your home uses, the excess flows back to the grid and your meter effectively “runs backwards.” Here is the typical process with BED:
Smart water heater program for grid stabilization.
Incentive: Up to $200/year
As a municipal utility, Burlington Electric Department may participate in different state and federal programs compared to investor-owned utilities. Here is a summary of what BED customers can typically access.
The utility offers its own rebate and incentive programs for customers (see the incentives section above for details).
Home Electrification and Appliance Rebates are available regardless of utility type. Up to $8,000 for income-qualified households.
Municipal utilities set rates locally without shareholder profit margins, which often results in lower electricity costs.
BED offers net metering, allowing solar customers to earn credits for excess generation.
Burlington Electric Department is a municipal utility, also known as a publicly owned utility or municipal light plant (MLP). Unlike investor-owned utilities (IOUs) such as large regional utilities, municipal utilities are owned and operated by the local community.
Burlington Electric Department customers pay approximately $0.19/kWh, which is roughly 14% less than the state average for investor-owned utilities ($0.22/kWh). As a municipal utility, BED sets rates locally, and revenue stays in the community rather than going to shareholders.
Yes. Burlington Electric Department offers a solar rebate of $0.25/watt (max $2,500 (10 kW max)). Incentive for residential solar installations in Burlington. Note: The federal residential solar tax credit (Section 25D) expired on December 31, 2025, so this local rebate is now one of the most important incentives available to homeowners.
Yes. Burlington Electric Department offers net metering for solar customers. Net metering at retail rate. BED provides 100% renewable energy.
As a municipal utility, Burlington Electric Department may participate in different programs than investor-owned utilities. Contact the utility directly or visit their website to learn about available efficiency programs and rebates.
To install solar panels as a Burlington Electric Department customer: (1) Get a free solar estimate to determine your optimal system size. (2) Contact BED about interconnection requirements and any pre-approval needed. (3) Choose a NABCEP-certified installer. (4) After installation, apply for any available utility rebates. (5) Your system connects to the grid and you begin saving. The process typically takes 2-4 months from signing to activation.
Get a free, personalized solar estimate tailored to BED’s rates and incentives. Our NABCEP-certified team handles everything from design to permitting to interconnection.
Serving Burlington and all of Vermont. Free consultation, no obligation.