Complete Guide to Solar Energy in Virginia

Your complete resource for solar energy in Virginia. Everything you need to know about solar laws, solar costs, solar financing, and solar installation.

$2.78-$3.02
Cost per Watt (2025)
7-12 years
Average Payback Period
200+ days
Annual Sunny Days
80%
Property Tax Exemption

Why Virginia is Perfect for Solar Energy

Abundant Sunshine

Virginia receives over 200 sunny days annually with approximately 2,800-3,000 hours of sunshine per year. Cities across the state provide excellent solar radiation levels, making Virginia ideal for year-round solar energy production and strong investment returns.

Property Tax Exemptions

Virginia offers substantial property tax exemptions for solar installations: 80% exemption for the first five years, 70% for the next five years, and 60% thereafter. Many localities provide additional exemptions, significantly reducing the long-term cost of solar ownership.

Strong Net Metering

Virginia’s net metering policy credits solar owners at full retail electricity rates for excess energy sent to the grid. This 1-to-1 credit system maximizes savings and accelerates payback periods, making solar financially attractive throughout the state.

Federal Tax Credit Expiring

The 30% federal Investment Tax Credit expires December 31, 2025, representing the final opportunity for maximum federal savings. Combined with Virginia’s property tax exemptions and net metering, 2025 offers optimal conditions for solar investment.

Quick Solar Facts

Average System Size: 7-8 kW
Annual Generation: 9,000-10,500 kWh
Federal Tax Credit: 30% (until December 31, 2025)
Typical Payback: 7-12 years
System Lifespan: 25-30 years

Quick Solar Savings Calculator

Important 2026 Updates

Federal ITC Expiration

The 30% federal Investment Tax Credit expires December 31, 2025. Systems must be installed and operational by year-end to qualify. No residential solar tax credit exists after 2025.

IRS Residential Clean Energy Credit →

Net Metering Protection

Virginia regulators rejected Appalachian Power’s proposal to reduce net metering credits in August 2025. Full retail rate credits preserved for solar owners. Dominion Energy’s proposal pending review.

Virginia SCC Net Metering Decision →

Virginia Solar Laws & Regulations

Understanding the legal framework that supports solar energy in Virginia

Federal Incentives

30% Investment Tax Credit (ITC) available through December 31, 2025, saving $5,000-$8,000 on typical residential systems. No residential credit after 2025.

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Property Tax Exemption

Virginia localities offer solar property tax exemptions: typically 80% for first 5 years, 70% for next 5 years, 60% thereafter. Exemptions vary by locality.

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Solar Access Rights

Virginia Code §55.1-1820.1 protects homeowners’ rights to install solar. HOAs cannot prohibit solar unless the recorded declaration specifically bans it. HOAs may impose reasonable restrictions.

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