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An arrow graphic shows that Alabama has no renewable portfolio standard.

Carve-out: None
Tracking system: Midwest Renewable Energy Tracking System (M-RETS)

Electric utilities Entergy Louisiana and Southwestern Electric hit their cap of 0.5% of monthly retail peak load under the old net metering program. In December 2016, Louisiana Public Service Commission (PSC) adopted regulations to credit net excess generation at the avoided cost rate and removed the aggregate net metering cap. Its net metering and standard interconnection policies are both capped at 300 kW, which covers some portion of the midmarket. Louisiana allows local governments to implement Property Assessed Clean Energy (PACE) financing programs.

Latest Updates

  • The PSC issued General Order 12-8-2016 to credit net excess generation at the avoided cost rate instead of the retail rate.
  • In December 2016, Louisiana PSC removed the aggregate net metering cap after some utilities hit the cap of 0.5% of monthly retail peak load.

Net Metering

All investor-owned utilities (IOUs) and electric cooperatives in Louisiana are required to offer net metering for commercial and agricultural systems up to 300 kW. Commercial customers with solar photovoltaic (PV) greater than 300 kW can be considered by the Louisiana PSC for net metering on a case-by-case basis. As utilities reached their aggregate net-metering cap the PSC began evaluating existing net metering policies. The PSC made a decision in December 2016 to remove the aggregate net metering cap. Net excess generation credits will be carried over every month at the avoided cost rate. New Orleans determines net metering policy through city ordinance.

System size limit: 300 kW commercial and agricultural, 25 kW residential

Aggregate cap: None

Credit: Net excess generation is credited at the avoided cost rate

RECs: Not applicable

Meter aggregation: Not addressed


Louisiana utilities are responsible for providing customer-generators with interconnection meters; customers are responsible for interconnection costs, including installing the meter. All interconnection systems are required to meet safety and performance standards set forth by the National Electical Code, the Institute of Electrical and Electronics Engineers, the National Electrical Safety Code, and UL. Net metering is required for all interconnection systems, and the same system capacity limits apply. Insurance requirements are not addressed.

System size limit: 300 kW for commercial and agricultural, 25 kW for residential

Liability insurance: Not addressed

External disconnect switch: Required for most systems, with the exception of certain inverter-based systems that are designed to automatically shut down if utility service is lost

Third Party Ownership

The status of third-party ownership in Louisiana is unclear.

Community Solar

There are currently no statewide community solar policies in Louisiana. Utilities and developers may offer community solar programs.

State Incentive Programs

Program Administrator Incentive
Solar Energy System Exemption Louisiana Department of Revenue  Solar equipment attached to residential buildings or swimming pools is exempt from personal property taxation.
Program Administrator Incentive
Sustainable Energy Financing Districts Local authorities Louisiana allows local governments to form Sustainable Energy Financing Districts (SEFDs), a form of PACE financing. PACE allows property owners to repay loans for solar PV projects through a special assessment on the property over a specified loan term. SEFDs are authorized to issue bonds and pay the bonds on assessments against property improvements. Property improvements that "interfere with a right held by a public utility" are not eligible for PACE financing.

Utility Incentive Programs

Please check with local utilities for midscale solar incentives.


The list below provides some resources for each type of policy or program. Please reference and contact relevant authorities and local utilities for the most up-to-date and accurate information on state and utility policies and incentive programs.

Net Metering and Interconnection

Programs and Incentives