Massachusetts is set to curb one of the most aggravating costs in home solar: an unexpected utility fee that has sometimes added more than $10,000 to a project.
A newly approved cost-sharing plan, supporters say, should make rooftop systems easier for many households to afford and easier to budget for.
Here's what to know
According to CommonWealth Beacon, the Massachusetts Department of Public Utilities finalized the plan. For some homeowners, it is expected to significantly reduce surprise interconnection expenses.
Previously, a homeowner seeking to hook up solar panels could be charged for a transformer upgrade if the added power would push nearby equipment beyond its capacity. Even though that equipment often served multiple homes or businesses, the bill could still climb into the thousands.
That arrangement also made timing a major factor: If one neighbor had already used most of a transformer's remaining room by installing solar, the next person could be stuck paying the full upgrade cost.
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More background
Massachusetts has a lot riding on the policy. Electricity rates in the state are roughly twice the national average, and officials are trying to expand clean energy while also meeting climate goals. But as CommonWealth Beacon reported, the state has been falling behind on new solar additions and on its 2028 target of 10 gigawatts.
CommonWealth Beacon reported that the problem affects about 3% of smaller solar additions in the Bay State. One homeowner, Abe Walters of Bellingham, lives in an environmental justice community and was hit with a $12,000 transformer-upgrade charge after securing financing and moving through other parts of the solar process.
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James Manzer, regional vice president of ReVision Energy, said those surprise charges can be highly disruptive for both customers and installers: "And you may need to tell the customer, 'Oh hey, by the way, we need to upgrade your transformer, and that's $7,500 extra. This is your new return on investment.'"
What's being done?
Rather than leaving those costs up to chance, the new system sets a standard fee. Homeowners installing residential solar or battery storage will pay $225 to their utility, and that pooled money will cover grid-related costs up to $10,000 for Eversource and National Grid customers and up to $1,450 for Unitil customers.
Supporters say the new approach should be fairer and allow more projects to move ahead. Brendan Moss, a spokesperson for National Grid, said the policy will "create a more predictable, transparent, and equitable path to interconnection."
For homeowners weighing solar, EnergySage's free services can also help take some of the guesswork out of the process. With EnergySage's help, the average person can save up to $10,000 on solar purchases and installations. EnergySage's solar map shows the average cost of a home solar panel system on a state-by-state level, along with details on solar incentives in each state, helping readers find the best price for rooftop panels and access available savings.
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Department of Public Utilities Commissioner Staci Rubin said the change is intended to remove a cost hurdle that can keep people from lowering their bills and taking part in the clean energy transition: "People who are eager to help participate and contribute to the clean energy transition can do so without these major cost barriers on the interconnection side."
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