California has long been a leader in residential solar due to its strong incentives, but recent changes have caused some to question its commitment. Despite this, installing solar panels in California can still save you money. California ranks first in the nation for solar energy production in 2024, but reduced incentives have caused it to fall behind in rankings. The state does not make CNET’s list of states with the best solar panel incentives. However, there are various incentives available for Californians who invest in solar energy systems, such as property tax exclusions, the Self-Generation Incentive Program, and programs for low-income customers in disadvantaged communities. Net metering incentives have been reduced, but new participants can still benefit from contributing surplus solar energy to the grid. PACE financing programs allow residents to pay back loans for solar panels through property taxes, and there are additional local incentives offered by cities, towns, and municipalities in California. Some examples include rebates for income-qualified residents, programs for solar inverter replacement, and free solar panel installations for eligible customers.
