Community Solar LMI-PPA Grant Program

The Community Solar LMI-PPA Grant Program is administered by the Maryland Energy Administration (MEA), a state agency tasked with promoting clean, affordable, and reliable energy while reducing greenhouse gas emissions across Maryland. This program is part of the Strategic Energy Investment Fund and is specifically designed to expand access to renewable energy for low-income households through the state’s Community Solar Program. By providing financial incentives to Community Solar Subscriber Organizations, the program seeks to reduce the cost burden associated with power purchase agreements and ensure that the benefits of solar energy are equitably distributed. The primary objective of the program is to enable low-income Maryland residents to access clean energy at reduced costs. The program accomplishes this by subsidizing solar developers who commit to delivering measurable savings to low-income subscribers. In fiscal year 2026, the program focuses exclusively on low-income households, defined as those at or below 200 percent of the federal poverty level or otherwise qualifying for income-based assistance programs. Funding is distributed competitively across two Areas of Interest: AOI-1, which incentivizes projects that allocate a portion of solar output to low-income subscribers at discounted rates, and AOI-2, which supports projects located on landfills or brownfields and provides even greater benefits, including free or heavily discounted energy. Funding under this program totals approximately $17 million, with $5 million allocated to AOI-1 and $12 million to AOI-2. Individual awards are capped at $1,000,000 for AOI-1 projects and $6,000,000 plus interconnection incentives for AOI-2 projects. AOI-2 projects may also receive additional funding based on system capacity and interconnection costs, including up to 75 percent reimbursement of certain wiring expenses beyond a specified threshold. The minimum grant award considered is $50,000. Funds may only be used for eligible project costs incurred after the execution of a grant agreement, and cannot be used for activities such as income verification. Eligible applicants must be registered Community Solar Subscriber Organizations in good standing with the Maryland Public Service Commission and authorized to do business in Maryland. Projects must be located within the state and comply with a range of technical, regulatory, and operational requirements, including participation in the permanent Community Solar Program and adherence to IEEE and National Electric Code standards. Additional requirements include maintaining long-term subscriber savings guarantees, ensuring project completion by May 30, 2030, and employing certified solar professionals in project design. The application process requires submission of a complete application package, including a signed application form, IRS Form W-9, proof of good standing, site plans, energy production estimates, and documentation demonstrating site control and projected subscriber savings. Applications must be submitted electronically via email to the MEA by the stated deadline. The program does not require a pre-application phase such as a letter of intent. Applications are evaluated through a multi-step competitive review process that includes eligibility screening, individual scoring by evaluation team members, and a final group review to determine funding recommendations. Evaluation criteria focus primarily on greenhouse gas reductions per dollar of funding requested, with additional points awarded for factors such as subscriber benefit levels, use of storage technology, project siting on landfills or brownfields, and public education components. Awards are made based on ranking until funds are exhausted, with the possibility of partial funding offers. Successful applicants must enter into a formal grant agreement and comply with reporting, payment, and performance requirements, including demonstrating operational status and delivering energy benefits to subscribers. The application deadline for the FY26 cycle was December 23, 2025 at 3:00 PM ET, and the program is expected to recur annually. The Maryland Energy Administration has announced its intent to reopen the program for fiscal year 2027, with applications anticipated to begin in Autumn 2026. Interested applicants are encouraged to monitor updates and prepare for future cycles. Questions regarding the program can be directed to the program manager via email or phone.

Focus on maximizing greenhouse gas reduction per dollar and demonstrating strong subscriber savings; include storage pairing and landfill siting where possible; ensure all required documentation is complete and accurate