title: "Community Solar Market Passes 10 GW: What Growth Means for Renters" date: 2026-02-15 category: Markets tags: ["community solar", "renters", "solar access", "market growth"] summary: "The U.S. community solar market surpassed 10 GW of installed capacity, bringing solar access to renters and those who can't install rooftop panels."
Community Solar Tops 10 GW Milestone
The U.S. community solar market reached approximately 10 GW of cumulative installed capacity in 2025, up from 7.5 GW in 2024. More than 5 million households and businesses now participate in community solar programs — many of them renters, condo owners, and low-income households who cannot install rooftop panels.
What Is Community Solar?
Community solar (also called shared solar or solar gardens) allows multiple subscribers to benefit from a single solar installation — typically a ground-mounted array of 1–5 MW. Subscribers receive credits on their electricity bill proportional to their share of the project's output.
Key point: You don't need to own your roof, have good sun exposure, or make any upfront investment.
Market Growth
| Year | Cumulative Capacity | States with Programs | |:-:|:-:|:-:| | 2020 | 3.2 GW | 20 | | 2021 | 4.5 GW | 22 | | 2022 | 5.8 GW | 25 | | 2023 | 7.0 GW | 29 | | 2024 | 7.5 GW | 35 | | 2025 | ~10 GW | 39 |
The acceleration in 2025 reflects several new state programs launching and existing programs expanding capacity limits.
Leading State Programs
| State | Capacity | Notable | |-------|:-:|--------| | Minnesota | ~1,200 MW | Pioneer program (est. 2014); mature market | | New York | ~2,000 MW | Largest market; strong LMI (low-to-moderate income) provisions | | Massachusetts | ~1,100 MW | SMART program; adder for LMI subscribers | | Illinois | ~800 MW | Climate & Equitable Jobs Act expanding access | | New Jersey | ~600 MW | New permanent program launched 2024 | | Colorado | ~450 MW | Long-standing program; Garden model | | Maine | ~350 MW | Rapid growth since 2020 legislation | | Maryland | ~400 MW | Expanding capacity limits | | California | ~500 MW | New programs targeting disadvantaged communities | | Virginia | ~300 MW | Shared solar program growing |
Economics for Subscribers
How Savings Work
- You subscribe to a portion of a community solar project (e.g., 5 kW share)
- The project generates electricity and feeds it to the grid
- Your utility credits your bill for your share of the generation
- You pay the project developer a subscription fee — typically less than the bill credit
Typical Savings
| Subscription Model | Typical Savings | Risk | |---|:-:|---| | Percentage discount (most common) | 5–15% off electricity portion of bill | Low | | Fixed rate per kWh | 10–20% below utility rate | Low to moderate | | Ownership share (buy-in) | 15–30% savings over 20 years | Moderate |
Most programs today use the percentage-discount model — you save a guaranteed 5–15% on the energy portion of your bill with no upfront cost and the ability to cancel (typically with 30–90 days notice).
Low-Income Access Provisions
A major development in 2024–2025 is the expansion of LMI provisions:
- IRA bonus: Community solar projects can earn an additional 10–20 percentage point ITC bonus for serving low-income subscribers or being located in low-income communities
- New York: Requires projects to allocate capacity to LMI subscribers
- Illinois: Additional per-kWh adder for LMI-serving projects
- HUD guidance: Community solar bill credits don't count against subsidized housing energy allowances in most programs
These provisions are increasing access for the households that benefit most from lower electricity costs.
How to Subscribe
Finding Projects
- EnergySage Community Solar Marketplace — compare available projects in your area
- Your utility's website — some utilities manage their own community solar programs
- State program websites — NYSERDA (NY), MassCEC (MA), Xcel Energy (MN/CO)
- Developer websites — Nexamp, Arcadia, Perch Energy, Summit Ridge Energy, US Solar
What to Look For
- Savings guarantee: What percentage discount is promised?
- Contract length: Typically 12–25 years (shorter terms available from some providers)
- Cancellation policy: Can you leave if you move? (Most programs allow it with notice)
- LMI eligibility: Higher savings may be available for qualifying households
- Credit model: How are bill credits calculated? (Net metering credit vs. avoided cost)
- Fees: Are there any upfront costs or membership fees?
Red Flags
- Upfront fees exceeding $100 (most legitimate programs have zero upfront cost)
- Guaranteed savings claims exceeding 25% (unusually high — verify independently)
- No cancellation option
- Pressure to sign immediately
What's Next for Community Solar
Expanding Access
The DOE has set a target of community solar powering 5 million households by 2025 — roughly achieved. The next goal is broader LMI access and expansion to states that don't yet have enabling legislation.
Virtual Net Metering
The growth of virtual net metering policies (allowing community solar credits to offset bills from any ratepayer in the utility territory) is the key policy enabler. States without VNM are the primary barrier to community solar expansion.
Pairing with Storage
Community solar + battery storage projects are emerging, providing evening-hour bill credits and additional grid services. This improves the economics for both subscribers and project developers.
Community solar represents the most significant pathway to solar access for the ~50% of American households who rent, live in apartments, or have unsuitable roofs. As more states enable programs and LMI provisions expand, millions more households stand to benefit.