Solar panels on properties
You may have installed, or want to install, rooftop or ground-level panels that use solar cells to generate electricity from sunlight. For small installations, there may be no impact on the assessed value of your property. However, medium- and large-sized rooftop or ground installations may cause an increase.
Solar panels on your rooftop
If you've added solar panels to your property's rooftop and your property's primary use hasn't changed (e.g. residential or non-solar industrial), your property value may not change.
Solar panels on the ground
When you add ground-mounted solar panels to your property, your assessed value will not change as long as:
- The generation capacity is 10 kW or less.
- The solar panels are not the primary use of the property.
If your panels have the capacity to generate more than 10 kW, there may be a change in your property's:
- classification (residential, commercial, industrial, etc.)
- assessed value
Summary of potential classification changes
Small installation (up to 10 kW)
- No change to property classification.
- No increase in assessed property value.
Medium installation (10 kW–500 kW)
- No change to property classification.
- Assessed property value may increase.
Large installation (Over 500kW)
- Property will be reclassified (in part) to industrial.
- Assessed property value may increase.
Leasing your property to a corporate power producer
If you lease part or all of your property to a corporate power producer (someone who is in the business of electricity generation, transmission or distribution), your assessed property value may increase. If so, your municipality may tax the portion used for the generation of electricity at the industrial rate.
How solar installations affect your property taxes
MPAC is responsible for assessing and classifying your property, while your local municipality is responsible for setting your property tax rate. Please contact your municipality for more information about how a solar panel installation may affect your property taxes.
For the most recent rules about renewable energy installation, please see the fact sheet published by the Ministry of Finance.