Solar in Michigan: what homeowners need to know

Utilities regulated by the Michigan Public Service Commission now use the distributed generation program, which bills inflow and outflow separately instead of netting them at the retail rate. Customers who were in the earlier net metering program before the commission set their utility's new tariff may keep those terms for up to 10 years from their enrollment date.

Electricity drawn from the grid is billed at the regular retail rate, and electricity sent to the grid earns a credit set by the commission that must reflect cost of service, which is less than the full retail rate. The credit appears on the next bill, and any amount not used carries forward.

Under the distributed generation program, a system may be sized up to 110% of the customer's electricity use over the previous 12 months, with a program maximum of 550 kilowatts. At least half of each utility's program capacity is reserved for systems of 20 kilowatts or less.

The federal residential clean energy credit, section 25D, ended for home solar expenditures made after December 31, 2025, under the law signed July 4, 2025. The IRS treats the expenditure as made when installation is completed, so a system completed in 2026 does not qualify even if it was paid for earlier.

No. The consultation is free for homeowners, and there is no obligation to buy anything.

Our team confirms a few details with you, then one local solar company for your area contacts you to set up the visit. Your request never goes to a list.