Maryland announces $25 million grant program to fund home energy efficiency and solar for income-qualified residents

BALTIMORE, MD—The Maryland Energy Administration (MEA) this week announced the availability of $25 million in new grant funding for the Fiscal Year 2026 Residential Energy Equity Grant Program. The flagship state effort is designed to help low- and moderate-income Marylanders reduce their utility bills, improve their homes, and lower greenhouse gas emissions through comprehensive energy upgrades.

In a major expansion this year, the program will now also fund the design and installation of solar photovoltaic energy systems for qualifying residences, alongside traditional energy efficiency measures.

Solar Technology Added to Grant Eligibility

The Residential Energy Equity Grant Program provides funding for home and building energy efficiency upgrades. Previously focused on efficiency improvements like updated lighting, appliances, and HVAC systems, the program’s new inclusion of solar technology significantly boosts the potential for long-term savings.

MEA Director Paul G. Pinsky emphasized the triple benefit of the program. “The Residential Energy Equity program helps income-qualified Marylanders in all parts of the state make home energy improvements that deliver long-term utility bill savings, healthier and safer homes, and reduced greenhouse gas emissions. That’s a win-win-win,” Pinsky stated.

The grants are specifically aimed at reducing the disproportionate financial burden faced by low-income households, which, according to the U.S. Department of Energy, often spend a percentage of their income on energy that is three times higher than higher-income households.

“This program ‘helps the helpers’ by working through partners to deliver tangible relief for the Marylanders who need it most,” Pinsky added.

Expanding Access and Financial Relief

Energy efficiency upgrades directly reduce the amount of energy a household consumes, freeing up income for other essential expenses. The addition of solar power further enhances savings by generating energy at virtually zero operating cost.

Qualifying residents who install solar systems can also benefit from Maryland’s net metering law, which allows homeowners to sell any excess energy produced by their system back to the power grid, further increasing their cost savings.

The total anticipated funding for the program in FY26 is $25.2 million.

Non-profit organizations, cities, and counties are eligible to apply for the funding to develop projects that advance zero-emission technologies, electrification, and solar deployment to benefit income-qualified residents.

Interested applicants must submit their proposals by the deadline of December 18, 2025, at 3 p.m. Full details are available in the official Funding Opportunity Announcement.

For more information, applicants can contact Program Manager Angel Saules at [email protected] or 410-537-4000.

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