The NC Center for Clean Energy Technology (NCCETC) published a report finding that 49 states, plus Washington DC and Puerto Rico, had adopted distributed solar policies by 2025.
The NC Clean Energy Technology Center (NCCETC) has released its 2025 Annual Review and Q4 Update edition of “The 50 states of solar energy“, a quarterly series providing insight into regulatory and legislative discussions and actions related to distributed solar policy. The policies related to net metering, community solar, and residential utility rate increases. The most active states were Colorado, Illinois, Connecticut, Virginia, Maine, and New Jersey.
2025 Policy Action on Distributed Solar Policy and Tariff Design. NCCETC
The report identifies 10 trends in solar energy policy, including states’ responses to declining federal tax credits, consolidating billing in community solar programs, and changes in net metering policies.
“Policymakers have paid a lot of attention to properly valuing distributed generation in 2025,” said Rebekah de la Mora, senior policy analyst at NCCETC and lead author of the report. “Along with studies and research on the value of distributed generation, policymakers and utilities have looked at integrating advanced rate designs and energy storage into net metering programs as they can help reflect the ‘true’ value of distributed generation.”
In 2025, a total of 386 distributed solar policy and rate changes at the state and utility levels were proposed, considered or decided. The report notes that the 10 most active states on solar policy were Nevada, Virginia, West Virginia, Idaho, Maine, Illinois, Colorado, Hawaii, Washington and Massachusetts. Nine of the states have proposed changes to net metering/billing regulations or compensation. Four states focused their policies on community solar. Several countries are tackling interconnection problems.
“Throughout 2025, policymakers and utilities have taken action to streamline distributed additions to the grid,” said Vincent Potter, project manager at NCCETEC. “Regulators have considered or adopted revised interconnection standards for distributed generators, in part in response to the abrupt termination of federal tax credits. Policymakers also explored measures to increase the deployment of distributed generation through new incentive programs, combined with energy storage and increasing program capacity.”
During the fourth quarter of 2025, 44 states, plus DC and Puerto Rico, took action on distributed solar policy or rate design, for a total of 215 actions in the fourth quarter.
News release from the NC Clean Energy Technology Center
