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New York City solar at a glance
Con Edison credits exported energy at the retail rate (Phase One NEM (Rider R) with Customer Benefit Contribution). Solar customers also pay $1.29 per kW of panels a month, included in the estimates. Assumptions: methodology.
How Consolidated Edison Company of New York treats solar
Consolidated Edison Company of New York: Phase One NEM (Rider R) with Customer Benefit Contribution
Residential solar interconnected after March 9, 2017 is net metered under Phase One NEM for 20 years from the in-service date. Each month, exports offset imports kWh-for-kWh at the retail rate. Leftover kWh credits roll forward month to month, and any credits left at the end of the term are forfeited. Systems interconnected on or after Jan 1, 2022 pay a monthly CBC per kW DC, which credits cannot offset. Export rates are locked for 20 years from interconnection.
Permits and local programs in New York City
- Property tax abatement: NYC abatement of 7.5% of solar and/or storage installation cost per year for 4 years, for systems in service 1/1/2024 to 1/1/2035. Each year is capped at $62,500 or that year's property tax, whichever is lower.[6]
- Permits: NYC Department of Buildings permits are required for all building-connected solar. A PE or RA must confirm the roof can carry the load. Complete applications are typically reviewed in 5 to 10 days.[7]
- FDNY rooftop rules: The 2022 NYC Fire Code (effective April 15, 2022) applies the pitched-roof solar rules (FC512) to one- and two-family homes with shallow-pitched roofs and exempts them from rooftop access requirements. Brownstones and other small buildings may have permanent roof features encroach up to 2 feet on the clear path.[8]
New York City solar cost by system size
| System | Price before incentives[3] | After incentives | kWh in year 1[1] | Year-1 savings[2][4] | Payback (years) |
|---|---|---|---|---|---|
| 4 kW | $15,600 | $7,000 | 5,160 | $1,500 | 5 |
| 6 kW | $23,400 | $11,400 | 7,750 | $1,470 | 7 |
| 8 kW | $31,200 | $16,800 | 10,330 | $1,440 | 10 |
| 10 kW | $39,000 | $22,300 | 12,910 | $1,410 | 13 |
| 12 kW | $46,800 | $27,800 | 15,490 | $1,380 | 16 |
Incentives for New York City homeowners
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[9]
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
NY State Solar Energy System Equipment Credit (Tax Law 606(g-1))
25% of qualified solar equipment expenditures, up to $5,000; non-refundable; excess carries forward 5 years[10]
Confirmed on tax.ny.gov/pit/credits/solar_energy_system_equipment_credit.htm (that page says the credit is 25%, capped at $5,000, non-refundable, and can be carried over for up to five years, on Form IT-255). The tax.ny.gov page was last updated 2019-12-16. In the statute text, (g-1) mentions storage only in an exclusion ('recreational facility or equipment as a storage medium'). Battery storage is not added to this credit.
- Who
- Solar equipment that is bought, leased, or used under a power purchase agreement of 10+ years and installed at the taxpayer's principal residence in New York. Claimed on Form IT-255.
- Maximum
- $5,000
- Deadline
- No sunset in statute text
- Checked
- November 5, 2026
NYSERDA Residential Energy Storage Incentive (market-rate, Inclusive Storage Incentive, and Long Island)
Rest of State: $200/kWh (Block 1). Con Edison: $250/kWh (Block 1). Inclusive Storage Incentive (ISI): $450/kWh (Block 1). PSEG Long Island single-family: $250/kWh (Block 2). Paid on up to 25 kWh per home.[11]
Rates and budgets were read from portal.nyserda.ny.gov/Core_BlockChart_Page?programName=Residential Storage Incentive Program and PV_BlockChartV2_Page (Long Island: 'Current Incentive : $250/kWh'). The quote is from the Residential and Retail Storage Incentives page. Rest of State Block 1 is nearly exhausted. ISI eligibility details (DAC tract, <80% AMI, affordable housing) come from search snippets of NYSERDA webinar documents I did not open, so they are left out of this entry.
- Who
- Standalone or solar-paired home batteries installed by a NYSERDA-approved storage contractor. Incentives are paid on up to 25 kWh. ISI is the income- or location-qualified tier. Long Island projects apply through the NY-Sun Long Island Single-Family Residential Storage Incentive.
- Deadline
- First-come, first-served by block. Remaining budget on 2026-11-05: Rest of State Block 1 $321,550 left of $5.0M (Block 2 at $175/kWh not yet open); Con Edison Block 1 $5,507,425 left of $6.25M; ISI…
- Checked
- November 5, 2026
Real property tax exemption for solar (RPTL 487)
For 15 years, the added assessed value from the solar system is exempt from property tax[12]
The 15-year term and opt-out rule are in the statute and in the tax.ny.gov Assessor Manual (updated 2026-02-10): https://www.tax.ny.gov/research/property/assess/manuals/vol4/pt1/sec4_01/sec487.htm. Opt-out list: https://www.tax.ny.gov/research/property/legal/localop/487opt.htm (updated 2026-10-27). In NYC, NYSERDA says the city's abatement (RPTL 499-bbbb) is offered instead of this exemption.
- Who
- Solar (and wind, farm waste, storage, etc.) systems built before 1/1/2030, outside jurisdictions that have opted out. The owner files Form RP-487 with the local assessor.
- Deadline
- December 31, 2029
- Checked
- November 5, 2026
State sales tax exemption for residential solar equipment and installation (Tax Law 1115(ee))
Equipment and installation are exempt from the 4% state sales tax and the MCTD tax. Local sales tax is exempt only where the county or city has opted in.[13]
Local option: Pub 718-S (3/22, effective March 1, 2022; https://www.tax.ny.gov/pdf/publications/sales/pub718s.pdf) lists Erie County, Nassau County and New York City at a 0% local rate (local exemption adopted). Monroe County is in Part 1 (no local exemption) at a 4% local rate. The publication is dated 2022 and may not reflect later local changes.
- Who
- Residential solar energy systems equipment that produces heating, cooling, hot water and/or electricity for a residence, plus installation. PPA electricity is covered separately under 1115(ee)(2).
- Deadline
- No sunset in statute text
- Checked
- November 5, 2026
NYC Solar Electric Generating System (SEGS) and Storage Property Tax Abatement (RPTL 499-aaaa to 499-gggg)
7.5% of eligible solar and/or storage cost per year for 4 years (30% total). Each year is capped at the lesser of $62,500 or that year's property tax.[14]
'Compliance period' (RPTL 499-aaaa(4)) is the tax year the abatement starts plus the three tax years after it, so 4 years in total. The NYC DOF page https://www.nyc.gov/site/finance/property/landlords-solar-roof.page shows 7.5% for 1/1/24 through 1/1/35 and a $62,500 cap. The 30% total is computed as 7.5% x 4 years.
- Who
- Tax class 1, 2 and 4 properties in New York City. The NYC Department of Buildings approves applications, and the abatement starts July 1 after approval. Properties getting ICAP, 421-a, 421-b, 421-g or paying PILOTs are not eligible.
- Maximum
- $62,500
- Deadline
- December 31, 2034
- Checked
- November 5, 2026
Solar costs in nearby cities
Hempstead (Town of Hempstead, Long Island)
20 miles away · 1,349 kWh per kW
Rochester
251 miles away · 1,199 kWh per kW
Buffalo
292 miles away · 1,203 kWh per kW
All of New York
State averages, every city and incentive
Try your own numbers: open the calculator with New York City defaults.
FAQ
Frequently asked questions
How much do solar panels cost in New York City?
How does Con Edison pay for solar I send to the grid?
Con Edison uses Phase One NEM (Rider R) with Customer Benefit Contribution: exported energy offsets what you buy at the retail rate, with details on our New York net metering page.
sources
[ 14 ]Every number on this page links to one of these sources. Dates show when we last checked each one.
- NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)pvwatts.nlr.gov · checked Nov 5, 2026
- EIA Electric Sales, Revenue, and Average Price 2024, Table 6: Utility bundled retail sales, residentialeia.gov · checked Nov 5, 2026
- U.S. Distributed Solar and Storage 2026 Data Update (Barbose, Darghouth, O'Shaughnessy, Forrester), Berkeley Labeta-publications.lbl.gov · checked Nov 5, 2026
- Con Edison: Phase One NEM (Rider R) with Customer Benefit Contributionconed.com · checked Nov 5, 2026
- Con Edison: 2026 CBC (Phase One NEM, solar PV, SC 1)coned.com · checked Nov 5, 2026
- New York City: Property tax abatementnyc.gov · checked Nov 5, 2026
- New York City: Permitsnyc.gov · checked Nov 5, 2026
- New York City: FDNY rooftop rulesnyc.gov · checked Nov 5, 2026
- Public Law 119-21 - Sec. 70513(a) and (g)(5) (48E); Sec. 70512(a) and (l)(4) (45Y)govinfo.gov · checked Nov 5, 2026
- NY Tax Law 606(g-1) (NYS Open Legislation)nysenate.gov · checked Nov 5, 2026
- NYSERDA Residential Energy Storage Incentive Dashboardnyserda.ny.gov · checked Nov 5, 2026
- NY Real Property Tax Law 487nysenate.gov · checked Nov 5, 2026
- NY Tax Law 1115(ee)nysenate.gov · checked Nov 5, 2026
- NY RPTL 499-bbbb (revision 2023-09-29)nysenate.gov · checked Nov 5, 2026
City data last re-checked November 5, 2026.