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Maryland Policy

Net Metering in Maryland: What Changes Before July 2027

Maryland's net energy metering program is being rewritten on a schedule set by state law, with a new tariff due by July 1, 2027. Here is what is settled, what is still proposed, and what it means if you are weighing solar now.

By the Go Solar DMV news desk · Oct 30, 2026 · 5 min read

Net Metering in Maryland: What Changes Before July 2027

Key facts

Net metering in Maryland: where it stands right now

Net metering in Maryland is still available, but it is on a clock. Proposed Public Service Commission regulations under RM 56 would require electric companies to provide net metering until the earlier of the date statewide eligible customer-generator capacity reaches 3,000 megawatts, or July 1, 20277. A summary of the Utility RELIEF Act of 2026 from CCAN Action Fund describes the same structure: the existing net metering program ends on July 1, 2027 unless the 3,000 megawatt cap is hit before then, after which the Commission develops a replacement program6.

That means a Maryland homeowner or small business looking at solar today is not racing a cap that is about to slam shut this month. They are working inside a window that, under the current rules as described in those sources, runs into 202767. What comes after is being designed now, and the design work has firm dates attached to it34.

Net metering Maryland end date and the deadlines that follow

The Commission opened Public Conference 78 (PC 78) as the proceeding for the net energy metering successor program work required by the Utility RELIEF Act, established a NEM Successor Program Working Group, and required that group to file a draft report and framework by October 27, 20263.

By December 15, 2026, the Commission must submit a report on the proceeding to the Governor and the General Assembly, including recommendations for a successor program that incentivizes the development of distributed generation and minimizes ratepayer costs in the short term and the long term4.

From there, the RELIEF Act requires the Commission to develop and implement a new net energy metering tariff by July 1, 20275. So the practical sequence is: framework this fall, legislative report in December, new tariff by mid-2027345.

What is the net metering limit in Maryland?

The statewide limit in the current framework is 3,000 megawatts67. In its 2025 net metering report, issued November 20, 2025, the Commission reported total installed capacity of all net-metered facilities — rooftop solar, aggregate net metering, and operational community solar — at approximately 1,537 megawatts, or 51.23% of the cap910.

The pipeline is what pushed this into legislation. The Commission found that pending community solar projects of roughly 2,911 megawatts nearly exceed the 3,000 MW statewide cap on their own, before counting anything already installed9. That pipeline is why the Commission's November 2025 annual report flagged the limit as within reach and recommended legislation to raise it and build long-term regulations410.

There is a genuine split in the sources on where the cap lands. A law firm client alert on the RELIEF Act states the Act expands the overall net-metering capacity cap from 3,000 MW to 6,000 MW8, and 2026 legislation (HB 1476) proposed an increase in the net energy metering capacity limit from 3,000 megawatts to 6,000 megawatts4. The proposed RM 56 regulations, which remain proposed, still reference 3,000 megawatts7. If a cap number matters to your decision, ask for the enacted statutory text rather than relying on a summary.

Net metering changes in Maryland: what a successor program could look like

The statute tells the Commission what the successor has to balance: incentives for distributed generation on one side, short- and long-term ratepayer costs on the other4. One legal summary reads the Act as grandfathering projects that are already constructed or that satisfy certain development milestones, while requiring a successor program by July 1, 2027 that is expected to provide reduced benefits for new projects8.

Grandfathering is the part worth pinning down in writing before you sign anything. The milestone language is what determines whether a system that is contracted now but energized later is treated under the existing terms8. Ask your installer to show you the criteria being applied, not a verbal assurance.

If you want to be heard in the proceeding, the Commission has said that parties and interested persons wishing to participate in the NEM Successor Working Group may reach out to NEMSuccessor.PSC@maryland.gov to be included in the participation roster3. Solar United Neighbors, a working group participant, has said the Commission will hold public hearings in November5; specific hearing dates should be confirmed on the Commission's own calendar before you plan around them.

The federal credit change that affects your 2026 math

Separate from state policy, the federal picture changed. Per IRS guidance on Public Law 119-21, the Section 25D residential clean energy credit is not allowed for any expenditures made after December 31, 2025, and the Section 25C energy efficient home improvement credit is not allowed for property placed in service after December 31, 202511.

The practical consequence is simple: a 2026 residential quote that still subtracts a federal residential credit from the bottom line is not describing current law11. State officials have acknowledged the gap. The Maryland Energy Administration's director, discussing the state's new grant program, said "It's not going to necessarily fully replace the ITC"13, and energy officials framed the grants as a way to fill financing holes created by federal clean energy tax credit cuts12.

Maryland-specific programs are a separate question from federal credits, and they change on their own schedule. Our Maryland solar incentives page is where we keep that state-level detail current.

What the $200 million Megawatts for Maryland program does not do

Gov. Wes Moore announced the launch of the Megawatts for Maryland program, developed and administered through the Maryland Energy Administration as a two-stage, two-year auction awarding grants to renewable energy generation and battery storage project developers1. Applicants must have completed preliminary development steps, including applying for relevant approvals from state regulators or the regional grid operator, PJM Interconnection, and notifying local officials about their proposed projects2.

That is a developer-scale program, and it is not a rooftop rebate. The program aims to increase electricity supply as demand grows, and officials say more generation could help ease energy costs2 — but projects have yet to be selected, and developers will have time to bring them into operation2. One secondary account reports preliminary applications close November 30, with final bids due January 22, 2027 and awards expected in spring 202715; those dates came from a newsletter rather than the agency, so verify them against the Maryland Energy Administration's own program page if you are a landowner or business with a site to offer.

For a household or a small commercial roof, the decision this year still turns on the net metering tariff you qualify for and the interconnection timeline, not on this auction267.

What to do if you are considering solar in Maryland now

First, get the grandfathering criteria in writing, since the successor program is expected to provide reduced benefits for new projects8. Second, confirm the timeline on your own interconnection, because the existing framework runs to July 1, 2027 at the latest under the proposed regulations and the Act summaries67. Third, once your system is operational you register with the Maryland Public Service Commission, which issues a Solar Photovoltaic System Certification confirming the system is interconnected and approved14.

If you want a straight read on what your own roof and utility territory look like under current rules, start with a qualification review. Common questions about interconnection, equipment and timelines are collected on our solar FAQs page.

Questions people ask

Is net metering ending in Maryland?

The existing program has an end date rather than an immediate shutoff. CCAN Action Fund's summary of the Utility RELIEF Act says the existing net metering program ends July 1, 2027 unless the 3,000 megawatt cap is hit first, after which the Commission develops a replacement6. Proposed RM 56 regulations describe the same earlier-of-the-two structure7. A successor tariff is required by July 1, 20275.

What is the net metering limit in Maryland?

The current framework references a 3,000 megawatt statewide limit67. The Commission's 2025 report put total installed net-metered capacity at approximately 1,537 MW, or 51.23% of that cap, while noting pending community solar projects of roughly 2,911 MW9. A law firm summary states the RELIEF Act expands the cap from 3,000 MW to 6,000 MW8, and 2026 legislation proposed that same increase4, so confirm the enacted text before relying on a specific number.

What about Pepco net metering in Maryland?

Net metering is a statewide requirement on electric companies under Commission regulations rather than a single utility's program7. The Utility RELIEF Act does add regional caps: per CCAN Action Fund's summary, small utility service areas are capped at 150% of net metered solar capacity installed on April 1, 2026, with no regional cap for larger utility service areas6. Ask your installer to confirm available headroom in your specific territory before signing.

Is there still a 30% federal tax credit for Maryland solar in 2026?

Per IRS guidance on Public Law 119-21, the Section 25D residential clean energy credit is not allowed for any expenditures made after December 31, 202511. Any 2026 residential quote that still prices in that credit is not reflecting current federal law11.

Does the Megawatts for Maryland program pay for rooftop solar?

No. It is a two-stage, two-year auction awarding grants to renewable energy generation and battery storage project developers, administered through the Maryland Energy Administration1. Applicants must have completed preliminary development steps such as applying for approvals from state regulators or PJM and notifying local officials2. Officials say more generation could help ease costs over time, but projects have not yet been selected2.

Sources

  1. 'Megawatts for Maryland' program debuts with $200 million allocation - solarbuildermag.com
  2. Maryland’s $200M clean energy program won’t lower electric bills anytime soon - yahoo.com
  3. COMMISSIONERS ___________ KUMAR P. BARVE CHAIR FREDERICK H. HOOVER, JR. - psc.maryland.gov
  4. HB 1476 Department of Legislative Services Maryland General Assembly - mgaleg.maryland.gov
  5. Solar Webinar: Overview of Maryland's Proposed Changes to Net Energy Metering - Live Green Howard County - livegreenhoward.com
  6. Every Single Thing in Maryland’s Utility RELIEF Act of 2026 - CCAN Action Fund - ccanactionfund.org
  7. Title 20 PUBLIC SERVICE COMMISSION - psc.maryland.gov
  8. The RELIEF Act of 2026 - gfrlaw.com
  9. Net Energy Metering In the State of Maryland - psc.maryland.gov
  10. In 2025 net metering report, PSC finds that Maryland is approaching 3,000 MW program cap, recommends legislation to develop long-term regulations and raise cap - Eyes and Ears Subsite - sea-ee.com
  11. FAQs for modification of sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, AND 179D under Public Law 119-21, 139 Stat. 72 (July 4, 2025), commonly known as the One, Big, Beautiful Bill (OBBB) - irs.gov
  12. New $200M program aims to boost Maryland clean energy - The Banner - thebanner.com
  13. Maryland rolls out new grant program for solar, battery projects - newsfromthestates.com
  14. How Maryland Net Metering Works - solarenergyworld.com
  15. Another $200 Million for Developers. Still No Relief for Your Electric Bill. - mydailynoise.substack.com
  16. Maryland rolls out new grant program for solar, battery projects - Maryland Matters - marylandmatters.org
  17. Maryland rolls out new grant program for solar, battery projects - yahoo.com
  18. MD rolls out new grant program for solar, battery projects - Maryland Daily Record - thedailyrecord.com
  19. ‘Megawatts for Maryland’ program to award $200M for in-state clean energy projects - wypr.org
  20. Maryland Energy Administration - en.wikipedia.org

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