Solar Incentives in Maryland: the Residential Clean Energy Grant
Like many of its' neighboring states, Maryland offers incentives in the form of tax rebates to homeowners for going solar. This includes the installation of photovoltaic (PV) solar panels and other solar technologies (such as solar thermal water heaters).
Since 2004 (one of the earlier programs in the country), Maryland provides a grant to those who install PV solar panelling. The amount is up to $3,000 or 25% of the total installation cost (whichever is lower). Your property will also be exempt from an increase in property tax due to the new system. Keep in mind that there is a limited pot of money for these rebates (in 2011 it was $3.2 million), so you will want to apply for the grant prior to having the contractor start the job.
Lastly, the local utility is required to provide net-metering. That is, if you create more power than you use in any given month, the extra power gets credited to your next billing cycle. However, if you have remaining credits at the end of the fiscal year, that does not carry over.
In addition to the incentives at the state level, you are also eligible for the federal tax rebate, which allows you to claim up to 30% of the total cost of the installation come April 14th.