Plug-In Solar in Hawaii — Status: deferred
Bill: SB 2902 / HB 1644 — Relating to Plug-In Solar Energy Systems
Sponsor: Sen. Glenn Wakai (SB 2902)
Legislative Status: Deferred until 2027. SB 2902 passed the full Senate and cleared the House Energy & Environmental Protection Committee before the session ended without a full House floor vote. Strong momentum; sponsors plan to reintroduce in 2027.
Current Status: Passed Senate · In House Consumer Protection and Commerce Committee (April 2026)
Last Updated: April 2026
Key Information
| Average Electricity Rate | 42.7¢/kWh |
| Estimated Annual Savings | $680/year |
| TOU Rate Spread | 18¢/kWh |
| Peak Sun Hours/Day | 5.8 |
| Retail Choice | none |
Key Provisions
Exempts small plug-in solar systems from HECO interconnection requirements. Allows self-installation. Given Hawaii's extremely high electricity rates ($0.427/kWh), savings potential is the highest in the nation.
What You Can Do
If passed: self-install without HECO approval. At $0.427/kWh, an 800W system could save $500+ per year.
What You Can't Do (Yet)
Law not yet enacted. HECO currently requires interconnection agreements.
Available Rebates & Incentives
Hawaii Renewable Energy Technologies Income Tax Credit (RETITC): 35% state tax credit on solar PV system cost, capped at $5,000 for residential systems. Hawaiian Electric Smart Renewable Energy Export provides bill credits for grid exports. The federal 30% ITC (Section 25D) expired December 31, 2025.
Incentive Program Links
- Hawaii RETITC — Hawaii State Energy Office — 35% state income tax credit on solar PV costs, capped at $5,000 for residential systems.
- Hawaiian Electric — Smart Renewable Energy Export — Earn bill credits for excess solar exported to the grid; no project size limits.
- Hawaiian Electric — Customer Incentive Programs — BYOD Plus battery incentives for customers adding storage to solar systems.
- DSIRE — Hawaii Solar Incentives — Full list of Hawaii state and utility solar incentive programs.
Demographics (US Census 2023)
| Population | 1,435,138 |
| Total Households | 493,898 |
| Owner-Occupied | 308,421 |
| Renter-Occupied | 185,477 |
| Single-Family Homes | 307,443 |
| Apartment Units (5+) | 173,290 |
| Median Household Income | $95,322 |
| Median Home Value | $846,400 |
Solar Resource Data (NREL PVWatts)
| Peak Sun Hours/Day | 5.78 |
| Optimal Tilt Angle | 20° |
| Optimal Azimuth | Due South (180°) |
| Est. Annual kWh (800W system) | 1300 kWh |
| Best Solar Months | July, August, September |
Major Utilities
| Utility | Customers | Net Metering |
|---|---|---|
| Hawaiian Electric | ~1.4 million customers | No |
News Coverage
- State support could energize movement to equip more homes with plug-in solar — Hawaii Public Radio (February 25, 2026)
- Balcony solar is taking state legislatures by storm — Canary Media (February 2026)