Home Solar in Quebec:
Local installers, tax credits, and rebates.
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Quebec is a large, populous province in eastern Canada. Its capital is Quebec City and the largest city is Montreal, where half of the province resides. French is the sole official language of Quebec.
The Quebec provincial government does not provide direct solar rebates and incentives. It does provide rebates for electric vehicles and charging stations, which can be tied in to solar panels. In addition to that, the province has reasonable interconnection policies and rate designs, making it a favorable place for businesses and residents to invest in solar energy.
Quebec does not provide any solar energy rebates or incentives that help to reduce the overall cost of solar systems.
Our EnergyPal Advisors can help you navigate any local incentives in your area and also apply them to the available solar panel offerings.
Rebates and Tax Breaks
Unfortunately there are no rebates or tax incentives in Quebec. There may be some local ones in your town, so be sure to check.
Other Energy Incentives
Quebec does offer some other incentives and rebates for residents who make their homes more energy efficient or purchase energy efficient new homes. These offerings are not specific to solar energy, but still reduce consumption and pollution.
Residents of Quebec can qualify for multiple rebates pertaining to electric vehicles. Earn up to $8,000 when purchasing new or used electric vehicles. In addition, you can get a $600 refund for purchasing a vehicle charging station for your home. Businesses also qualify for rebates when they install electric vehicle charging stations.
The Canadian federal government helps businesses to pay for their solar systems. It can abolish the first-year rule and achieve an accelerated Capital Cost Allowance (CCA) rate. For more information, visit the tax savings for industry portion of their website.
Utility policy factors determine what your utility provider pays you for the excess power you produce and what you save on your power bill by reducing electricity usage. Quebec has poor utility policies, mostly due to its very low price of energy.
One important policy for solar customers is called Net Metering. Net Metering is a billing mechanism that allows solar customers to push electricity to the grid for credit that can be used later, like at night when your solar panels aren’t generating power. This incentivizes people to go solar, provides clean energy for others to use and prevents waste.
Some provinces have poorer net metering policies than others, meaning that credits may not be able to be rolled over to the next month or year, or that you don’t earn full watt-for-watt credit for your excess energy.
Quebec’s Net Metering program is average. Credits can be carried over into the next month, and you can connect a system up to 20 kW in size (small, but adequate). Every two years on March 31st your credits expire.
Solar Setup Fees
Quebec’s program charges you about $400 for an interconnection study, but you do not need to pay for a bi-directional meter (necessary for Net Metering).
Electricity prices in Quebec are extremely low. Usually you don’t want high prices, but with solar, the higher the prices, the more you save, and the more economical a solar system becomes. So Quebec’s low prices are not an advantage.
The average total cost of electricity in Quebec is $0.073 per kWh, including fixed and variable costs, and assuming a monthly usage of 1,000 kWh. Under similar assumptions, the Canadian national average for all provinces is $0.135 per kWh.
Rate designs are comprised of monthly fees and either a flat or tiered rate you pay for electricity. Good rate designs, which save you money when you conserve energy, are tiered and have low fixed monthly fees. Poor rate designs have flat rates and high fixed monthly fees.
Quebec is above average when it comes to the quality of its electricity bill rate design. It has tiered rates and low fixed fees (around $12 per month).
You still pay fixed monthly fees when you go solar because you are still tied to the grid. Being tied to the grid is a good thing, because otherwise you might not have power at night or if your system stopped working suddenly. Even if you go off of the grid and rely on a battery source, the high cost of the battery would not outweigh the monthly fee and the overall savings obtained from a net metering program.
PACE stands for Property Assessed Clean Energy and is a financing program for solar projects that is tied to the home instead of the homeowner. The PACE program is not available in Quebec.
Other Energy Financing
Solar systems can be financed by bank loans, solar installer financing, new home mortgages, energy loans and home equity loans or lines of credit. Cash works too. Talk to your EnergyPal Advisor about financing solar options in Quebec. We regularly source the best deals and terms for customers.