Solar Panels in Massachusetts: The SMART Program Pays Extra on Top of Net Metering

What the SMART Program Actually Pays Per Kilowatt-Hour

The SMART program is a separate incentive layer that pays you a fixed rate for every kilowatt-hour your system generates — not just the surplus, but total generation. This is a crucial distinction from net metering. Net metering credits depend on the match between your production and consumption in real time; SMART payments are based on your generation meter reading, regardless of whether that electricity flows into your home or onto the grid.

SMART is administered through each utility and funded by a small surcharge on all ratepayers. It launched in 2018 and has been extended and expanded multiple times since. As of April 2026, the program operates in capacity “blocks” — as each block fills with enrolled systems, the rate for the next block steps down by around 4%. This declining-rate structure rewards early movers, so locking in your SMART rate promptly after interconnection approval matters considerably.

For a residential system under 25 kW installed in Eversource territory, the current base SMART rate is approximately $0.13 per kWh. On an 8 kW system in eastern Massachusetts that produces around 9,200 kWh per year, that works out to roughly $1,196 per year in SMART payments alone. National Grid territory rates are slightly different, so always confirm the current block rate with your installer before finalizing your financial projections. The SMART contract runs for 10 years, providing a known, guaranteed income stream with no market exposure. For a full cost breakdown by state and system size, see our guide to How Much Do Solar Panels Cost in 2026? Complete US.

Adders and subtractors can shift your base rate meaningfully. Installing paired battery storage adds $0.05 per kWh to your SMART rate — a boost that also increases your home’s energy resilience. Low-income households may qualify for an additional $0.05 adder. Ground-mounted systems and dual-use agricultural installations (agrivoltaics) have their own adder schedules. On the subtractor side, if your home is in a particularly high-solar-penetration circuit, the utility may apply a “smart inverter” subtractor of around $0.01 per kWh, which is generally minor compared to the adder opportunities.

Qualifying for SMART: Who Is Eligible and What the Process Looks Like

SMART is available to Massachusetts residents served by Eversource, National Grid, or Unitil — the three investor-owned utilities that together cover the vast majority of the state. Customers of municipal light plants (MLPs), such as those in towns served by local co-ops, are not eligible for SMART but may have separate local incentive programs worth investigating through DSIRE, the national incentive database.

System size limits for residential SMART enrollment top out at 25 kW AC for a single home installation. Virtually all residential rooftop systems fall well under this ceiling — a typical Massachusetts home needs 7–12 kW based on average annual consumption of around 8,500 kWh, per EIA household data. The system must be interconnected to your utility’s grid, meaning you need to complete the utility interconnection application before SMART enrollment can be finalized. This process typically takes 30–90 days depending on the utility, your grid circuit, and whether any infrastructure upgrades are required.

Your installer handles most of the paperwork. Once interconnection approval is granted and the system passes inspection, your installer submits the SMART application on your behalf through the MassCEC SMART portal. The block rate at the time your application is approved is the rate you lock in for all 10 years — not the rate when you signed your installation contract. This creates a modest timing risk if you are near a block rollover, so ask your installer to check current block capacity before scheduling your installation date.

There is no income cap for the base SMART program, though the low-income adder of $0.05 per kWh requires documentation of participation in qualifying assistance programs such as LIHEAP or fuel assistance. Homeowners, landlords with tenant-occupied buildings, and renters with landlord permission can all participate. Community solar subscribers — those who subscribe to an off-site solar farm rather than installing panels on their own roof — have access to a separate SMART community shared solar track with its own rate structure, typically in the $0.08–$0.11 per kWh range as of 2026.

If you want to understand how adding battery storage alongside your solar system could lift your SMART adder and improve your overall return, the battery storage calculator can model those scenarios with current Massachusetts incentive data factored in.