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Solar incentives · Arkansas · 2026
Solar rebates in Arkansas.
The federal, state, and utility solar incentives available in Arkansas for 2026, then matched to a vetted local installer.
Programs · Arkansas
6
active programs & rules in 2026
Non-legacy schedule at avoided cost; pre-Sept-2024 grandfathered · verified 2026-09-01
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The full list
6 programs available right now in Arkansas.
Tax credit
#01
Federal Residential Clean Energy Credit (Section 25D) - ENDED
The 30 percent federal Residential Clean Energy Credit under Section 25D expired for property placed in service after December 31, 2025. Cash and loan purchases made now receive no federal tax credit, and Arkansas has no state solar tax credit to fall back on.
Source ↗ Tax credit
#02
Federal Commercial ITC (Section 48E) - via Lease / PPA
Section 48E, the commercial Clean Electricity Investment Credit, survives at 30 percent and is available to third-party owners of residential systems under leases and power purchase agreements. The provider claims it and may reflect part of the value in the rate offered. Ask what they claim and what actually reaches you, and confirm with a tax advisor.
Source ↗ Net metering
#03
Act 278 of 2023 - one-to-one net metering ended
Act 278, passed by the 94th General Assembly in 2023, overhauled Arkansas net metering. Projects developed before September 30, 2024 were grandfathered at the one-to-one rate for a 20-year contract duration, running through September 2040. Customers interconnecting after September 30, 2024, with certain exceptions, take service under a non-legacy net metering schedule, under which generation consumed on site in real time offsets a retail purchase while excess exported to the grid is compensated at avoided cost, well below retail.
Program
#04
Act 278 consumer protections - five business days and required disclosures
Act 278 also legislated protections for solar buyers. A seller must give a prospective customer a minimum of five business days to evaluate a proposal, and that proposal must include a system description and placement, the nameplate generating capacity and expected monthly and annual output, annual degradation estimates, the installation timeline, total cost, payment schedule and payback period, forecast monthly and annual bill savings in dollars, warranty information and terms, and energy efficiency audit results with available efficiency measures. Sellers must also demonstrate compliance with applicable safety requirements and standards, hold required permits or certifications, and carry a bond or other acceptable financial security to ensure proper maintenance. Customers must be given notice that they may file a complaint with the Attorney General.
Source ↗ Program
#05
No Arkansas state solar tax credit
Arkansas does not offer a state income tax credit for residential solar. With the federal residential credit expired for property placed in service after December 31, 2025, a cash or loan purchase now receives no tax credit at either level. Ask your county assessor how residential solar is treated for property assessment at your address, since that is administered locally.
Utility
#06
Cooperatives and municipal utilities set their own terms
Arkansas is served extensively by electric cooperatives and municipal utilities alongside its investor-owned utilities. Terms for customer generation, interconnection processes and any solar-specific charges can differ between them. Check the utility name on a recent bill before applying any Entergy Arkansas figure to your address.
Net metering · Arkansas
Non-legacy schedule at avoided cost; pre-Sept-2024 grandfathered
Arkansas net metering changed under Act 278 of 2023, and the pivot is a date. Projects developed before September 30, 2024 were grandfathered at the one-to-one rate for a 20-year contract duration, which runs through September 2040. For those customers an exported kilowatt hour and a consumed one remain worth the same, and nothing about the change affects them for the working life of the system. Customers interconnecting after September 30, 2024, with certain exceptions, take service under a non-legacy net metering schedule instead. Under it, generation consumed on site in real time offsets electricity you would have bought at the retail rate, which remains the most valuable outcome, while excess exported to the grid is compensated at avoided cost, a wholesale-style measure well below the roughly 14.2 cent Arkansas residential average. The utilities argued in support of the change that full retail credit shifted transmission, distribution and maintenance costs onto other customers. Whatever view you take of that, the practical consequence for a new system is the same: self-consumption is worth substantially more than export, so the design should be built from your daytime load rather than from your annual total, load shifting into daylight is free value, and storage carries more weight than the national conversation suggests. Arkansas is also served extensively by electric cooperatives and municipal utilities whose terms may differ, so confirm what applies at your address.
Worth checking before you sign:
taking a rebate can change your net-metering terms, and export credit rules
differ by utility. Your matched installer confirms the exact numbers for
your address.
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