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The Renewable Energy Fund (REF) is Rhode Island's direct solar rebate program, administered by the Rhode Island Commerce Corporation. It pays $0.65 per watt, capped at $5,000, with an additional $2,000 for battery storage. You must apply during an open grant round before installation begins.
$0.65/W
Rebate Rate
$5,000
Max Rebate
$2,000
Battery Adder
25 kW
Max System
The REF is a state-funded grant program created by the Distributed Generation Standard Contracts Act. It is funded through the System Benefit Charge (SBC) on Rhode Island electricity bills — a small per-kWh fee that all ratepayers contribute to support renewable energy development.
The program is administered by the Rhode Island Commerce Corporation, the state's economic development agency. Unlike utility rebates in other states, REF is a direct grant program with competitive application rounds — you apply during scheduled windows and receive a check after your system is installed and interconnected.
Critical: Apply BEFORE Installation
You must submit your REF application and receive conditional approval before any installation work begins. Starting early — even roof prep or electrical upgrades — will disqualify your application with no appeal.
Administrator
Rhode Island Commerce Corporation
Funding Source
System Benefit Charge (SBC)
Eligible Systems
Residential solar PV up to 25 kW
Service Territory
All of Rhode Island
The formula is simple: $0.65 per watt, capped at $5,000. Systems at or below 7.69 kW receive the full calculated amount. Larger systems hit the cap.
| System Size | $0.65/W Calc | Actual Rebate | + Battery | Gross Cost* | Net (Solar) | Net (+ Battery) |
|---|---|---|---|---|---|---|
| 5 kW | $3,250 | $3,250 | $5,250 | $14,800 | $11,550 | $9,550 |
| 6 kW | $3,900 | $3,900 | $5,900 | $17,760 | $13,860 | $11,860 |
| 8 kWMost Common | $5,200 | $5,000(capped) | $7,000 | $23,680 | $18,680 | $16,680 |
| 10 kW | $6,500 | $5,000(capped) | $7,000 | $29,600 | $24,600 | $22,600 |
| 12 kW | $7,800 | $5,000(capped) | $7,000 | $35,520 | $30,520 | $28,520 |
| 15 kW | $9,750 | $5,000(capped) | $7,000 | $44,400 | $39,400 | $37,400 |
* Gross cost based on $3.06/W average RI installed price. Battery column adds $2,000 REF battery adder to the solar rebate.
Gross system cost: 8,000W x $3.06/W = $24,480
REF calculation: 8,000W x $0.65/W = $5,200 → capped at $5,000
Battery adder: +$2,000
Total REF rebate: $5,000 + $2,000 = $7,000
Net cost after REF: $24,480 - $7,000 = $17,480
Before additional savings from sales tax exemption (~$1,714), REG payments, and net metering credits.
The REF provides an additional $2,000 rebate for adding battery storage to your solar installation. This is a flat amount (not per-watt) that is added on top of the solar rebate. The battery must be paired with a new solar PV system — you cannot apply for the battery adder alone on an existing system.
Stack with ConnectedSolutions
Rhode Island Energy's ConnectedSolutions program pays battery owners annual performance payments for allowing the utility to dispatch your battery during peak demand events. This is separate from REF and can earn you $200-$400+ per year on top of the $2,000 REF adder. Learn about ConnectedSolutions
REF does not accept rolling applications. You must submit during one of three annual grant rounds. Rounds can close quickly when funds are allocated.
March - April
Typically opens first week of March
Highest competition — plan early
June - July
Usually opens early June
Moderate demand — good for planning
September - October
Opens early September
Last chance for calendar-year installation
Best Strategy
Get your installer quote and system design ready 4-6 weeks before the next grant round opens. Submit on the first day the round is open.
Typical Full Timeline
Application to rebate check: 6-12 months. Allow 4-6 weeks for review, 8-12 weeks for installation, 6-8 weeks for final processing.
Six steps from application to rebate check. The most important rule: do not begin installation until you have conditional approval.
REF operates on a grant-round basis, not rolling acceptance. Monitor the Commerce RI website for announcements. Rounds open in spring, summer, and fall. They can close within days if oversubscribed.
Tip: Sign up for Commerce RI email alerts to get notified the day a round opens.
Apply through the Commerce RI online portal during the open window. You will need: proposed system design (kW, panel count, layout), installer credentials and license info, site assessment documentation, proof of property ownership or landlord authorization.
Tip: Have your installer prepare the design package before the round opens so you can submit immediately.
Commerce RI reviews applications and issues conditional approvals. This typically takes 4-6 weeks after the round closes. Conditional approval locks in your rebate amount but does NOT mean you can start installation yet — wait for the official approval letter.
Tip: Do NOT begin installation before receiving your conditional approval letter. This will disqualify your rebate.
Once conditionally approved, complete your solar installation and submit proof of interconnection with Rhode Island Energy. You typically have 12 months from conditional approval to complete the project.
Tip: Schedule your installation promptly. If you miss the completion deadline, your conditional approval expires.
After installation is complete and your system is interconnected, submit: final inspection certificate, interconnection agreement from RI Energy, invoices showing final cost, and any change orders from the original design.
Tip: Keep copies of every document. Missing paperwork is the most common reason for rebate delays.
Commerce RI processes the final payment within 6-8 weeks of receiving your complete documentation package. The rebate is paid by check directly to the system owner (you, not the installer).
Tip: Some installers offer to "front" the rebate on your contract. Make sure any such arrangement is in writing.
Rhode Island allows stacking multiple incentives on the same solar installation. Here is exactly what works with the REF rebate.
REF upfront rebate + REG 15-year generation payments. Both apply to the same system. REG pays per kWh generated; REF reduces upfront cost.
Learn moreREF rebate + net metering credits (80% of retail rate for post-April 2023 systems, 1:1 for grandfathered). Net metering covers excess generation sent to the grid. REF reduces your upfront cost.
Learn moreSolar is exempt from RI 7% sales tax. This saves ~$1,714 on a $24,480 system. Applies automatically at purchase — no application needed.
Learn moreSolar value is exempt from property tax. Your home value increases but your tax bill does not. Applies automatically once the system is assessed.
Learn moreIf you lease or PPA, the financing company claims the 30% commercial ITC (Section 48/48E). REF eligibility depends on who is listed as system owner in the application. Leased systems may or may not qualify — confirm with Commerce RI.
Learn moreSection 25D expired December 31, 2025. There is no federal residential solar tax credit for homeowner-purchased systems. REF cannot stack with something that does not exist.
The $2,000 REF battery adder stacks with ConnectedSolutions demand response revenue. Earn annual payments for dispatching your battery during peak events.
Learn morePlus: REG 15-year generation payments, net metering bill credits, property tax exemption, and ConnectedSolutions battery revenue — all ongoing annual savings.
We have seen homeowners lose thousands in rebate money due to avoidable errors. Here are the most common mistakes and how to prevent them.
Risk: Automatic disqualification — no rebate, no appeal
Fix: Wait for your conditional approval letter before any work begins. This includes roof work and electrical upgrades.
Risk: Must wait 2-4 months for the next round
Fix: Sign up for Commerce RI alerts. Have your installer prepare documentation in advance so you can submit on day one.
Risk: Application rejected or delayed to next round
Fix: Use the Commerce RI checklist. Common missing items: installer license copy, site photos, roof structural assessment.
Risk: $5,000 cap applies regardless of system size
Fix: Systems above 7.7 kW all receive the same $5,000 rebate. Size your system based on your actual energy needs, not the rebate.
Risk: Leaving $2,000 on the table
Fix: If you are installing battery storage, include it in your REF application from the start. Adding it later is more complicated.
Risk: Conditional approval expires (typically 12-month window)
Fix: Track your completion deadline. Submit final docs within 30 days of interconnection approval.
The REF rebate is $0.65 per watt for residential solar, capped at $5,000 per project. Systems 7.7 kW and smaller receive the full calculated amount (e.g., 6 kW = $3,900). Systems larger than 7.7 kW hit the $5,000 cap. There is an additional $2,000 battery storage adder, bringing the maximum total rebate to $7,000 for solar plus battery.
REF operates on a grant-round schedule, not rolling acceptance. There are typically three rounds per year: Spring (March-April), Summer (June-July), and Fall (September-October). You must apply during an open round. Rounds can close quickly if oversubscribed, so have your documentation ready before the round opens.
No. This is the most common mistake that disqualifies homeowners. You must receive your conditional approval letter from Commerce RI before any installation work begins. Starting early — even ordering equipment or doing roof prep — can disqualify your application with no appeal process.
Yes. REF and REG are separate programs that stack together. REF provides an upfront rebate that reduces your purchase price, while REG pays you a fixed above-market rate per kWh of solar generation for 15 years. Together with net metering, RI solar owners can stack three separate incentives on the same system — the strongest combination in New England.
No. The federal residential solar tax credit (Section 25D) expired December 31, 2025, under the OBBBA signed July 4, 2025. Homeowners who purchase solar in 2026 receive $0 in federal tax credits. However, the REF rebate, REG program, net metering, and state tax exemptions remain active — and together they provide a strong financial case for going solar without any federal credit.
After you submit your complete final documentation (inspection certificate, interconnection agreement, final invoices), Commerce RI processes payment within 6-8 weeks. The total timeline from application to check is typically 6-12 months: application during a grant round (1-2 weeks), review and conditional approval (4-6 weeks), installation period (4-12 weeks), final documentation processing (6-8 weeks).
The REF rebate is one piece of Rhode Island's incentive stack. Explore everything else available to maximize your savings.
Complete overview of solar in Rhode Island — costs, incentives, and payback.
Above-market generation payments for 15 years — stacks with REF.
Current pricing data for RI solar installations by system size.
Earn annual revenue from your battery through demand response.
RI sales tax (7%) and property tax exemptions for solar.
Why RI solar still pays off without the federal 25D credit.
Our team handles the REF application process for you. We prepare the system design, documentation package, and submit during the next open grant round. Start with a free estimate to see your total cost after all RI incentives.