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DOER Published Final SMART 3.0 Regulations
DOER published the final Solar Massachusetts Renewable Target SMART 3.0 regulations and redline rule amendments).
As background, SMART 3.0 includes:
(1) the following minimum capacity percentage set asides: (i) 10% for standalone Solar Tariff Generation Units (STGUs) of 25kW-500kW; (ii) 10% for low income property STGUs; and (iii) 15% for community shared STGUs;
(2) annual changes in base compensation rates or compensation rate adders are limited to the greater of 20% or $0.01/kWh;
(3) the flat incentive rate for STGUs up to 25kW will “be based on the Annual SMART Program Assessment and methodology identified in” DOER guidelines;
(4) STGUs will be eligible for Class I RECs;
(5) STGUs must: (i) use solar photovoltaic technology; (ii) not have a capacity over 5MW; and (iii) be connected to the Massachusetts grid;
(6) STGUs with “a maximum net power production capacity of greater than” 1MW: (i) must obtain FERC qualifying facility status; and (ii) if they “do not qualify for a Locational Compensation Rate Adder… be co-located with an Energy Storage System”;
(7) energy storage systems must: (i) have a nominal rated power capacity of at least 25%; (ii) have a nominal useful energy capacity of at least two hours; (iii) “have at least a 65% round trip efficiency in normal operation”; (iv) “be online and able to discharge at least 85% of the time during the Summer Peak Period and Winter Peak Period”; and (v) must either “dispatch 100 complete cycle equivalents per year or… participate in a demand response or grid services program”;
(8) community shared STGUs requirements include: (i) allocation to low income customers of either at least 40% of bill credits or at least 15% of bill credits at no cost; (ii) providing “discount on the value of allocated bill Credits” of at least 40% for low-income customers and 20% for all other residential customers; and
(9) DOER also made a single edit to 225 CMR 20.00 (redline) making STGUs larger than 25kW eligible for compensation under the regulation for 20 years from the unit’s incentive payment effective date, rather than RPS effective date.
Also on August 28, 2025, DOER published the 2025 Annual Program Year Report 2025 Annual Program Year Report. Of note: (1) Given the short timeframe between the release of SMART 3.0 and the start of Program Year 2025, 225 CMR 28.05(2) sets out a distinct process for the first Annual Program Year Report; and (2) the report set the PY25 Compensation Rate Adders as well as the following:
- Capped Capacity: 900MW;
- Electric Utility Capacity Allocations: (i) Eversource: 441.12MW; (ii) National Grid: 406.31MW; and (iii) Unitil: 52.57MW;
- Capacity Set Asides: (i) 25-500kW Standalone STGUs: 10%; (ii) Low Income Property STGUs: 10%; and (iii) Community Shared Solar STGUs: 15%;
- Base Compensation Rates: (i) 25-250kW STGUs: $0.2821/kWh; (ii) 250-500kW STGUs: $0.2482/kWh; (iii) 500-1,000kW STGUs: $0.2113/kWh; and (iv) 1-5MW STGUs: $0.1729/kWh; and
- Flat Incentive Rates: (i) STGUs up to 25kW: $0.03/kWh; and (ii) Low Income STGUs: $0.06/kWh.
Note that DOER will stop accepting Statement of Qualification Applications under 225 CMR 20.00 on 12/31/26.
As background, the Solar Massachusetts Renewable Target (SMART) Program is a tariff-based incentive that is paid directly by the utility company to the system owner, following the approval of the application by the Solar Program Administrator and DOER.
The DOER regulation in 225 CMR 20.00 sets the regulatory framework for the program, which is being phased out for SMART 3.0, established by 225 CMR 28.00. DPU Docket No. 20-145 deals with some of the regulatory aspects of the program.
Solar Massachusetts Renewable Target SMART Program
(The Solar Massachusetts Renewable Target (SMART) Program is the DOER’s incentive program to support the development of solar in Massachusetts.)

