Federal solar credit ended Dec 31, 2025
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Incentives · Hawaii

Hawaii Solar Incentives, Rebates and Tax Breaks

Fact-checked by Sorted & Saved data desk
Updated Data verified Nov 5, 2026

Hawaii homeowners who buy solar in 2026 can still use 1 state, utility or local program listed below. The federal Federal Residential Clean Energy Credit (25D)[1] is gone for systems installed after 2025, so state and utility programs now carry more of the savings. Each card shows the value, the deadline and the official source we checked.

On this page [ 5 ]

Federal incentives

Federal · tax creditClosed

Federal Residential Clean Energy Credit (25D)

30% for systems installed 2022–2025; not available for installations completed after December 31, 2025[1]

The 30% federal credit for homeowners who bought solar ended with Public Law 119-21. A system counts in the year its installation is completed, so paying in 2025 for a 2026 installation does not qualify.

Who
Homeowners who bought and installed a system by December 31, 2025 claim it on IRS Form 5695 for that tax year.
Deadline
December 31, 2025
Checked
November 5, 2026
Federal · tax creditEnding soon

Business credit for leased and PPA systems (48E)

Claimed by the system owner, not the homeowner; solar must begin construction by July 4, 2026 or be in service by December 31, 2027[2]

If a company owns the panels on your roof (a lease or power purchase agreement), that company may claim the business clean electricity investment credit and can reflect it in your price. You cannot claim it yourself.

Who
Third-party-owned systems (leases and PPAs). Ask the provider whether the price assumes this credit.
Deadline
December 31, 2027
Checked
November 5, 2026

State incentives in Hawaii

State · tax creditEnding soon

Renewable Energy Technologies Income Tax Credit (RETITC)

35% of actual cost, capped at $5,000 per single-family solar PV system; Act 24 (2026) adds eligibility limits, a $40 million annual statewide cap from 2027 and a future sunset (2026 installs protected by Executive Order 26-02)[3]

Hawaii taxpayers who install and place in service a qualifying solar PV system on single-family residential property; Act 24 changes apply to taxable years after December 31, 2026.

Who
Hawaii taxpayers who install and place in service a qualifying solar PV system on single-family residential property; Act 24 changes apply to taxable years after December 31, 2026.
Maximum
$5,000
Deadline
None set in the source
Checked
November 5, 2026

How these incentives stack

Cash rebates are paid first and usually reduce the cost a tax credit is based on. State tax credits only help if you owe enough state income tax. Exemptions (sales and property tax) apply automatically or through a form, and they do not reduce what you owe the installer on paper, so check that a quote does not charge tax that the law exempts. The calculator applies the programs it can model and lets you switch utility rebates on or off.

FAQ

Frequently asked questions

Does Hawaii have a solar tax credit?

Yes: Renewable Energy Technologies Income Tax Credit (RETITC)[3] (35% of actual cost, capped at $5,000 per single-family solar PV system; Act 24 (2026) adds eligibility limits, a $40 million annual statewide cap from 2027 and a future sunset (2026 installs protected by Executive Order 26-02)[3]).

Can I still get the federal solar tax credit?

No, not if you buy the system and installation is completed after December 31, 2025 (Federal Residential Clean Energy Credit (25D)[1]). If a company leases you the panels or sells you the power, that company may still claim a business credit and may pass some value on through the price.

sources

[ 3 ]

Every number on this page links to one of these sources. Dates show when we last checked each one.

  1. IRS FS-2025-05: FAQs for modification of sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D under Public Law 119-21 (OBBB)irs.gov · checked Nov 5, 2026
  2. Public Law 119-21 - Sec. 70513(a) and (g)(5) (48E); Sec. 70512(a) and (l)(4) (45Y)govinfo.gov · checked Nov 5, 2026
  3. Haw. Code R. 18-235-12.5-03 - Other Solar Energy Systems (Hawaii Administrative Rules, via Cornell LII)law.cornell.edu · checked Nov 5, 2026

Incentive list last re-checked November 5, 2026. Programs change; confirm with the program before you sign.

Change log

  1. Monthly output per kW in Honolulu updated to [125.7, 114.4, 139.8, 137.5, 140.7, 144.3, 150.5, 151.8, 148.3, 135.8, 116.2, 116.6] kWh/kW/month (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).
  2. Average solar radiation on the panels in Honolulu updated to 5.82 kWh/m2/day (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).
  3. Solar output per kW in Hawaii (PVWatts, Honolulu) updated to 1621.6 kWh/kW/yr (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).
  4. Renewable Energy Technologies Income Tax Credit (RETITC): now "35% of actual cost, capped at $5,000 per single-family solar PV system; Act 24 (2026) adds eligibility limits, a $40 million annual statewide cap from 2027 and a future sunset (2026 installs protected by Executive Order 26-02)" (ending).