Home battery backup in 2026, after the federal credit ended.
The 30% federal homeowner credit is gone for systems installed after 2025. A battery still keeps the lights on in an outage, and in Connecticut it can still earn money every year.
The federal credit has ended
The residential clean energy credit (Section 25D) was 30% of the cost of a homeowner-owned solar or battery system. The IRS says the credit is not available for property placed in service after December 31, 2025. We do not include it in any 2026 homeowner's numbers.
This is general information reviewed on October 19, 2026, not tax or legal advice. Ask your tax professional about your situation before relying on any credit.
What a battery still does
- Backup. Solar panels alone shut off in an outage. A battery keeps the circuits you choose running: fridge, furnace blower, well pump, lights, Wi-Fi.
- Evening solar. It stores daytime solar for use after sunset.
- Program payments. In some states, the utility pays you to let it call on your battery at peak times.
Connecticut: Energy Storage Solutions
For Eversource and United Illuminating customers enrolling on or after April 1, 2026, the program manual sets these residential payments:
| Payment | Standard | Underserved community | Low income |
|---|---|---|---|
| Enrollment incentive, per kWh of battery capacity | $30 | $30 | $30 |
| Yearly performance payment, per kW | $300 | $450 | $550 |
Grid-Edge locations receive $130 per kWh at enrollment instead of $30. Performance payments run for up to 10 years and follow the battery's average kW during utility events, not its nameplate.
Under the manual, the utilities can call 30 to 60 events in summer (June through September) and up to 10 in winter (November through March). Each event lasts up to 3 hours, between 12 PM and 9 PM, with at least 24 hours' notice. During events the battery keeps at least the manufacturer's recommended minimum charge in reserve.
See home battery storage and adding a battery to solar you already have.
Massachusetts: ConnectedSolutions
Massachusetts utilities pay homeowners to let them draw on a battery during summer peaks through ConnectedSolutions, run through Mass Save. Rates and enrollment rules are set by the program; check them there or ask us for your address.
New Jersey: proposed, not final
On August 19, 2026 the New Jersey Board of Public Utilities released a straw proposal for about 150 MW of home batteries, paid yearly over 10 years based on performance. It is a draft for comment. No rates have been set and no final order has been issued as of October 19, 2026.
Florida
This guide does not cover a Florida battery incentive. In Florida, a home battery's main job is backup through storm season and storing solar for the evening. See going solar in Florida in 2026.
How to decide
- List the circuits you need in an outage and for how long.
- Check whether your state or utility pays for battery dispatch.
- If you already have solar, find the inverter make and model: it decides how a battery connects.
Send us one bill and your address and we will tell you in writing what a battery does at your home and which payments apply.
Questions homeowners ask
Can I still get the 30% federal tax credit for a home battery?
No. The IRS says the residential clean energy credit (Section 25D) is not available for property placed in service after December 31, 2025. Ask your tax professional about your situation.
What does Connecticut pay for a home battery in 2026?
For enrollments on or after April 1, 2026, Energy Storage Solutions pays $30 per kWh at enrollment ($130 at Grid-Edge locations) and a yearly performance payment of $300 per kW, $450 in underserved communities or $550 for low-income households, for up to 10 years.
Can I add a battery to solar I already have?
Usually. The existing inverter decides how the battery connects. In Connecticut, you do not need solar to take part in Energy Storage Solutions.
Sources
- IRS, Residential Clean Energy Credit
- Energy Storage Solutions Program Manual, version May 19, 2026
- Energy Storage Solutions, program changes for April 1, 2026
- New Jersey Board of Public Utilities, press release, August 19, 2026
- Mass Save
Reviewed October 19, 2026. Programs and rates change; your written review confirms what applies to your address.
See your numbers before you commit to anything.
Send us one electric bill. You get a written review of your home: what solar and a battery would cost, what they would save, and which incentives apply. Free, and free when the answer is no.