Community solar explained
Community solar lets a household use a share of a solar array that sits somewhere else. DOE says nearly 50% of households and businesses cannot host rooftop solar, and its page counts community solar projects in 44 states and localities including DC.
What it is
The U.S. Department of Energy defines community solar as “any solar project or purchasing program, within a geographic area, in which the benefits flow to multiple customers such as individuals, businesses, nonprofits, and other groups”. In most cases the panels are off site.
The common model is a subscription. You pay for a share of the array, usually as a monthly fee. The utility pays the project owner for the power. Your share of that value comes back to you as a credit on your own electric bill, so your wires and your utility do not change.
It differs from rooftop solar with net metering. With net metering the panels are on your roof and your own meter. With community solar the meter is a shared one and the bill credit is the link.
Who it can help
DOE names renters, people who cannot afford panels, and people whose roofs or electrical systems do not suit solar. It also says that programs built for low-income households all require subscribers to achieve energy savings.
Where you live decides whether it is open to you. DOE counts 24 states with enabling legislation, and 19 states plus DC with policies for low-income participation. States with enabling laws typically have more projects and more subscriptions, according to the same page.
What the EIA data shows
EIA does not publish a community solar count. Its closest line is virtual net metering, defined in the form instructions as “a billing arrangement that allows multiple energy customers to receive net metering credit from a shared onsite or remote renewable energy system as if it was located behind the customer's own meter”. Community solar is one use of it, but not the only one.
In the 2024 file, utilities in 42 states and DC reported virtual net metering. The total is 4,205 MW of capacity and 182,398 customers, of which 91,705 are homes. New York has the most capacity at 1,840 MW. Illinois has the most home customers at 33,268.
On average each home customer in the file is attached to about 3.6 kW of virtual capacity.
United States, Virtual net metering capacity by state, 2024: EIA retail sales.
CSV| State | Virtual capacity, MW | Virtual customers, all sectors | Virtual customers, home | Home price 2025, cents per kWh |
|---|---|---|---|---|
| New York | 1,839.7 | 1,877 | 10 | 26.39 |
| Maine | 824.5 | 65,450 | 162 | 27.78 |
| Illinois | 388.2 | 42,914 | 33,268 | 17.69 |
| Rhode Island | 378.4 | 88 | 0 | 29.46 |
| Maryland | 249.3 | 11,633 | 8,913 | 19.48 |
| California | 201.2 | 14,987 | 9,163 | 32.54 |
| Connecticut | 80.6 | 1,075 | 0 | 29.38 |
| Pennsylvania | 50.1 | 647 | 296 | 19.30 |
| Oklahoma | 26.2 | 4,860 | 3,069 | 13.12 |
| Colorado | 20.8 | 2,875 | 2,535 | 15.85 |
| Arkansas | 19.0 | 910 | 499 | 12.84 |
| Georgia | 17.6 | 3,980 | 3,965 | 14.73 |
Source: EIA-861 2024, Net_Metering: virtual capacity (projects of 1 MW and over plus under 1 MW) and virtual customers, summed by state; prices EIA retail sales 2025. Twelve largest states by capacity. Retrieved 2026-10-02. CSV, 51 rows.
The ranking is not the same as the ranking for rooftop systems. Compare it with net metering by state and with the rooftop solar ranking.
A savings example, our scenario
Assumptions: a home that uses the U.S. average of 863 kWh a month at the 2025 U.S. average price of 17.30 cents per kWh. That is an energy-only bill of $149.35 a month. We apply the 20% household savings that DOE lists as a best practice. The use and price are EIA data. The 20% is DOE’s benchmark, and your own contract may be better or worse.
On those inputs the household would keep about $29.87 a month, or $358 a year, after paying the subscription. It is an illustration. A real offer can have a different split, and fees can change. Use the contract, not this number.
Contract terms to compare
DOE gives a short list of protections it calls best practices. Use it as a checklist when you read an offer.
| Term | What to find in the contract | Why it matters |
|---|---|---|
| Bill credit | How the credit is set: a share of the project output, valued at the utility's credit rate | The credit is the money you receive |
| Subscription fee | A monthly fee or a price per kWh, and whether it can change | The fee is what you pay to get the credit |
| Net savings | Credit minus fee, stated as a percent of the bill it replaces | DOE lists at least 20% household savings as a best practice |
| Exit and sign-up fees | Any fee to join, leave or move | DOE lists no such fees as a best practice |
| Contract length and moves | Term, and what happens if you move out of the utility area | A move can end the credit |
| Disclosure and complaints | Plain-language terms up front and a way to file a complaint | DOE lists both as protections |
Source: DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics. Retrieved 2026-10-02. CSV, 6 rows.
The consumer protections are described by DOE as practices to look for. They are not rules that apply everywhere. Each state sets its own, so check your state commission’s page too.
How to find a project
DOE says to contact your local electric utility or search the web for subscriptions in your area, and notes that the sign-up process depends on your state. It points to NREL’s state policy spreadsheet and to the Groundswell LIFT toolkit. See also the incentives and solar pages on this site: solar payback by state and incentives.
Utility bills also change when a credit appears. The bill reading guide shows the usual lines. A credit line should match what the contract promised.
What this page cannot tell you
We have no data on subscription prices, on how many households subscribe, or on the savings people actually get. EIA does not publish a count of community solar projects. The virtual net metering numbers also include arrangements that are not community solar: no data on the split.
Key facts and where they come from
| Fact | Value | Source | Date |
|---|---|---|---|
| Community solar definition | A project or program where benefits flow to multiple customers | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| Households and businesses unable to host rooftop solar (NREL analysis) | Nearly 50% | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| States and localities with at least one community solar project | 44, including DC | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| States with enabling legislation | 24 | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| States and DC with low-income participation policies | 19 states and DC | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| Best-practice household savings | At least 20% | DOE, Community Solar Basics, energy.gov/eere/solar/community-solar-basics | retrieved 2026-10-02 |
| Virtual net metering capacity, U.S. | 4,205 MW | EIA-861 2024, Net_Metering | 2024 data |
| Virtual net metering customers, U.S. | 182,398 | EIA-861 2024, Net_Metering | 2024 data |
| Virtual net metering home customers | 91,705 | EIA-861 2024, Net_Metering | 2024 data |
| States and DC reporting virtual net metering | 42 | EIA-861 2024, Net_Metering | 2024 data |
| Largest state by capacity: New York | 1,840 MW | EIA-861 2024, Net_Metering | 2024 data |
| EIA definition of virtual net metering | Credit from a shared onsite or remote system as if behind the customer's meter | EIA-861 2024 Instructions (EIA, Form EIA-861) | 2024 form |
| U.S. average home price | 17.30 cents per kWh | EIA retail sales, 2025 | 2025 annual |
Related guides
Questions
What is community solar?
A solar array shared by many customers, usually off site. DOE says subscribers pay for a share and receive a bill credit for the electricity their share produces.
Do I need a roof?
No. DOE says community solar can help renters and people whose roofs or electrical systems do not suit solar, and notes nearly 50% of households and businesses cannot host rooftop solar.
Is it available in every state?
No. DOE lists at least one project in 44 states and localities including DC, and 24 states with enabling legislation.
How much should I save?
DOE lists at least 20% household savings as a best practice for consumer protection. Your offer may differ; read the contract.
Are there exit fees?
DOE lists no exit, termination or sign-up fees as a best practice. Some contracts may still have them, so check.
How much community solar is there in the EIA data?
EIA has no community solar line. Its virtual net metering line shows 4,205 MW and 182,398 customers in 2024, and it includes arrangements that are not community solar.
Which state has the most virtual net metering capacity?
New York, with 1,840 MW in the EIA-861 2024 file.
Is community solar the same as net metering?
No. Net metering credits energy from panels at your own meter. Community solar credits you for a share of a shared array. EIA calls the shared form virtual net metering.