Incentives

Federal battery credit ended: what Oregon owners can do

Battery storage is a popular upgrade in Oregon, and the federal credit that once applied to it has ended. Here is what that means now.

Electrician working inside a home battery system enclosure

Did Batteries Qualify? Here's How It Worked

Yes, batteries qualified for the federal residential credit, which has since ended.

With outages and rate changes on many homeowners' minds, having a home battery isn't just about backup power - it's about energy independence.

Here's a question we used to hear often: "Do batteries qualify for the federal solar tax credit?"

Short answer: they did, but the residential credit has ended. Here is what it was and what to do now.

Update, Oct 2026: the federal residential solar credit (25D) ended Dec 31, 2025. Business credits may still apply - ask us.

The Basics: What Was the Federal Battery Tax Credit?

Under the federal residential solar credit, homeowners could claim a credit for a share of the cost of battery storage on their federal income taxes, as long as the batteries met certain criteria. That residential credit has now ended.

It applied to residential lithium-ion battery systems, including:

  • Enphase IQ batteries
  • Tesla Powerwalls
  • And other similar systems

How It Worked: Paired With Solar vs. Standalone Batteries

There were two main paths to claiming the battery credit:

  1. Installed with a Solar System: This was the most common and the easiest way to qualify, when the battery was installed alongside your solar panel system.
  2. Standalone Battery Installations: Standalone batteries could also qualify, even if they weren't paired with a solar installation, provided they met a minimum capacity. That was good news for homeowners in Portland, West Linn, or Oregon City who already had solar and wanted to add backup power without replacing their current system.

What Costs Were Covered?

The credit applied to the total cost of the project, including:

  • Battery hardware
  • Installation and labor costs
  • Electrical panel or wiring upgrades
  • Permitting fees

Today, cost depends on your roof, usage, and equipment. We give you a real number in a free quote.

Local Incentives for Oregon Homeowners

Oregonians may still qualify for:

Amounts and eligibility change often - we check the current numbers for your home. We help customers across Northwestern Oregon - from Salem to Oregon City to McMinnville - understand and apply for the programs that currently apply.

How to Get Started

To get started, ask us for a battery or battery-plus-solar proposal. As a licensed Oregon electrical contractor, we handle everything from design to installation, permitting to paperwork - and we'll check which incentives currently apply to you.

Request Your Free Battery + Solar Proposal

Email: [email protected]

Phone: (971) 526-5545

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