Governor Green’s Executive Order Secures 2026 Solar Tax Credit
Posted on Jun 12, 2026
HONOLULU — In a strategic move to support renewable energy, Hawaii’s Governor Josh Green has implemented Executive Order 26-02, preserving the solar tax credit adjustments made by Act 24 for the year 2026. This directive aims to secure investments made in recent months and addresses solar industry concerns, ensuring stability for Hawaiian solar energy initiatives.
The Executive Order reinforces Governor Green’s previous commitment outlined in Executive Order 25-01, which highlights the essential role of distributed solar in achieving the state’s energy objectives. “Distributed solar energy has been, and will continue to be, a leading contributor to the state’s sustainability and resiliency goals,” the order states.
Chief Energy Officer Mark Glick emphasized the importance of the order for maximizing solar resources, particularly on Oʻahu, and noted that it addresses immediate concerns of solar installers and customers related to Act 24. “This immediate relief also provides the solar industry with an opening to design innovative proposals for the 2027 legislative session,” Glick remarked.
Rocky Mould, Executive Director of the Hawaiʻi Solar Energy Association, praised the order, highlighting rooftop solar’s role in reducing electricity costs. “Families, businesses and non-profits with solar have been able to cut their electricity bills by hundreds of dollars per month,” Mould stated, underscoring the cleaner and more resilient grid achieved through widespread solar adoption.
Hawaii leads the nation in per capita residential rooftop solar adoption, with installations covering nearly half of the state’s households. This reduces grid demand and benefits all electricity consumers, including those unable to install solar systems. Executive Order 25-01 had already set ambitious goals, including installing 50,000 more rooftop systems on Oʻahu by 2035 and accelerating the transition to 100% renewable energy on neighboring islands by ten years.
Executive Order 26-02 specifies that renewable energy systems operational within 2026 will be exempt from the $40 million annual cap on credits established by Act 24, provided investors can demonstrate reliance on credit availability prior to May 21, 2026. Act 24’s introduction of the cap and the eventual sunset of the Renewable Energy Technologies Income Tax Credit in 2030 had created uncertainties, prompting this executive clarification.
The order was developed in collaboration with the Hawaiʻi State Energy Office, the Department of Taxation, and the Department of the Attorney General, ensuring a comprehensive approach to support Hawaii’s clean energy transition.
Original Story at governor.hawaii.gov