Massachusetts Expands Net Metering for Homeowners in 2025

Massachusetts Strengthens Its Solar Advantage

Massachusetts has long led the way in clean energy policy — and the state just gave solar homeowners another reason to celebrate.
As of February 2025, the Department of Public Utilities expanded the size limit for automatic net metering eligibility, making it easier for more households to earn full credit for the power their panels produce.

What Changed in 2025: Larger Systems Now Qualify Automatically

Before this update, residential systems up to 10 kW AC qualified for net metering without hitting the statewide “cap.”
Now, systems up to 25 kW AC are automatically eligible.

That means:

• You no longer need to apply for limited cap space.
• You can install a larger solar system and still earn full retail-rate credits.
• These rules apply to systems interconnected on or after February 2025.

This expansion stems from the Massachusetts Climate Bill signed in August 2022 — a law that took more than two years to be fully implemented through the updated net metering tariff.

Why This Update Matters for Homeowners

This policy change helps Massachusetts families design solar systems that fit their growing electricity needs — not just what they use today.

With more homes adding:

• Electric vehicles (EVs)
• Mini-split heat pumps
• Electric water heaters and appliances

…the jump from 10 kW to 25 kW gives homeowners the room to plan for a fully electrified lifestyle without losing eligibility for retail-rate net metering.

How Bigger Systems Can Mean Bigger Savings

Here’s what the change could look like in real numbers:

• A 10 kW system produces roughly 14,000 kWh per year, saving about $5,000 annually.
• A 25 kW system could generate up to 35,000 kWh per year, with potential savings over $10,000 annually, assuming usage and space allow.

The bottom line: more solar capacity means more credits — and more savings — especially as electricity rates keep climbing.

A Quick Refresher: What Net Metering Does

Net metering lets you earn credits for extra electricity your solar panels send back to the grid.
Those credits apply to your future bills — reducing supply, delivery, and even fixed charges.

Massachusetts offers one of the best versions in the country:

• Full retail-rate credits (around 90% of what you pay per kWh).
• No expiration — credits roll over indefinitely.
• 25-year grandfathering — once you’re interconnected, you keep today’s rules.

Learn more about how net metering works.

How Massachusetts Compares to Other States

While Massachusetts just expanded its program, several other states have moved in the opposite direction.
California, Hawaii, and over a dozen others have replaced retail net metering with “net billing”, which credits exported solar at much lower wholesale rates.

If Massachusetts ever followed suit, a typical Western Mass homeowner could lose $50,000–$100,000 in lifetime solar savings.
That’s why locking in today’s policy — guaranteed for 25 years once your system is installed — is so important.

Local Perspective: A Win for Western Massachusetts

“This expansion is great news for Western Mass homeowners,” says the Valley Solar design team.
“It gives people more flexibility to size systems for future needs — whether that’s charging an EV or heating their home with a heat pump — without worrying about hitting a cap.”

For customers served by Eversource, National Grid, or Unitil, this update means you can confidently install a system up to 25 kW AC and receive the same full retail net metering benefits as before.

Key Takeaways

• The net metering size limit increased from 10 kW AC to 25 kW AC in February 2025.
• Homeowners can now install larger systems and still qualify automatically.
• Net metering credits in Massachusetts apply to all parts of your bill and never expire.
• Once interconnected, your system’s benefits are protected for 25 years.
• Acting now secures the most favorable solar credit program in the country.