Community Solar Policy Landscape and Pathways to Meaningful Benefits: A Review of Equitable Access and Household Savings

As of August 2024, community solar legislation and policies have been implemented in 24 U.S. states and localities, including the District of Columbia. These policies have driven significant growth in the community solar market. The states that have enacted legislation accounting for over 62.8% of the country's installed capacity. Community solar policy designs are evolving, with many states expanding programs, enhancing equitable access, and ensuring household savings. The National Community Solar Partnership+ (NCSP+) aims to deploy 20 GWac of community solar capacity by 2025. NCSP+ has identified five meaningful benefits of solar energy, in alignment with the priorities of the Justice40 Initiative: equitable access and consumer protections; meaningful household savings; resilience, storage, and grid benefits; community-led economic development; and solar workforce. This report focuses primarily on recent policy trends concerning equitable access and household savings. Several leading states have updated their programs to extend access, particularly to low- and moderate-income customers. Seventeen states now have carve-outs for income-qualified customers, with a notable increase in the size and number of these carve-outs in recent years. States are also using various methods to determine income qualification, mainly household income, geographic eligibility, and categorical eligibility. Furthermore, policies increasingly mandate household savings for community solar subscribers, with 10 states requiring some form of savings. This emphasis on financial benefits is reinforced by new federal initiatives like the U.S. Environmental Protection Agency's Solar for All program. With 7.87 GWac of community solar capacity deployed and an additional 8 GWac expected to come online in the next ~2 years, legislative and policy frameworks are key to ensuring broad access to community solar. The ongoing refinement of these policies highlights the importance of equitable access and economic benefits in driving community solar growth across the United States.