Solar Panel Cost in Indiana (2026)

Net metering: Net metering closed; EDG credit at 125% of wholesale

Indiana closed net metering to new solar customers under Senate Enrolled Act 309, no later than July 1, 2022. New residential systems instead receive the Excess Distributed Generation credit, which the Indiana Utility Regulatory Commission sets at the average wholesale cost of electricity from the prior year plus 25 percent. That has produced a credit roughly 70 to 80 percent below the retail rate, so an exported kilowatt hour is worth a small fraction of one you consume yourself. A second change compounds the first. The Indiana Supreme Court held that a utility may measure excess generation instantaneously rather than netting across a billing period, on the reasoning that the statute does not direct utilities on how often the measurement must be made. Under instantaneous netting a household pays the full retail rate for everything it draws from the grid at any moment while everything it sends to the grid earns only the Excess Distributed Generation rate, with no monthly offset in between. The practical consequences are large. A system sized to annual consumption will export a great deal of its midday output at the low rate, so a smaller system matched to daytime load frequently returns better. Shifting flexible loads into daylight converts low-value exports into full-value offsets at no cost, and storage carries more weight here than the national conversation suggests. Existing customers were grandfathered: systems installed before 2018 keep full net metering until July 1, 2047, and those installed between the start of 2018 and the close of the programme until July 1, 2032.