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Montana Statewide Rule

Montana Net Metering Caps Home Solar Systems at 50 kW

Some RestrictionsApplies statewide across Montana (2026)

Key Facts

System size cap
50 kilowatts
Governing statute
MCA 69-8-103, 69-8-602
Regulator
Public Service Commission
Eligible fuel
Solar, wind, hydropower
Excess credits
Forfeited quarterly, no payment
Last verified: July 31, 2026

Summary

Montana requires regulated electric utilities to offer net metering to customers whose solar systems generate no more than 50 kilowatts. The Montana Public Service Commission oversees the program under Title 69, Chapter 8. Rural electric cooperatives are exempt from the mandate.

"Net metering system" means a facility for the production of electrical energy that: (a) uses as its fuel solar, wind, or hydropower; (b) has a generating capacity of not more than 50 kilowatts; (c) is located on the customer-generator's premises; (d) operates in parallel with the electricity supplier's transmission and distribution facilities; and (e) is intended primarily to offset part or all of the customer-generator's requirements for electricity.

Full Breakdown

Under Mont. Code Ann. 69-8-103(19), a qualifying net metering system runs on solar, wind, or hydropower and tops out at 50 kilowatts of generating capacity, sited on the customer-generator's premises. Section 69-8-602 forces public utilities to interconnect these systems using a single bidirectional kilowatt-hour meter and to bill customer-generators the same minimum monthly fee as others in their rate class. The Montana Public Service Commission administers the rules. Excess kilowatt-hour credits carry month to month but are surrendered to the utility each quarter without compensation under 69-8-603. Rural electric cooperatives fall outside the mandate.

Violations & Penalties

There is no statewide permit or fee for the panels themselves; disputes over a regulated utility's refusal to interconnect or properly credit generation are resolved by the Montana Public Service Commission, which enforces Title 69.

Frequently Asked Questions

Do I need a state permit to install solar panels in Montana?
No statewide solar panel permit exists. Montana law instead guarantees net metering for systems up to 50 kilowatts served by regulated utilities. Local building and electrical permits still apply.
What is the maximum solar system size for net metering?
Mont. Code Ann. 69-8-103(19) caps a qualifying net metering system at 50 kilowatts of generating capacity, using solar, wind, or hydropower.
Do rural electric co-ops have to offer net metering?
No. Montana's net metering mandate under Title 69, Chapter 8 applies to public utilities regulated by the Public Service Commission, not to rural electric cooperatives.

Sources

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