Your Maryland Solar Contract Is Costing You More Than You Were Told. Here's What Maryland Law Lets You Do About It.
The short version: Most Maryland solar leases have an escalator clause. It raises your payment 2.9% every year. Over 25 years, a $150 payment grows to more than $300. In Maryland, the Public Service Commission ordered SmartEnergy Holdings to refund $6.5 million. Big solar companies that worked in Maryland have gone bankrupt. Sunnova Energy is one of them. If your solar panels aren't saving what you were told, you have real rights. Start with a free Solar Relief Assessment to see what's actually in your contract.
There is a reason solar sales teams have been working the Baltimore-Washington suburbs harder than almost anywhere else on the East Coast. Maryland has high electricity rates, state incentives, and Solar Renewable Energy Credits that made the pitch sound like a no-brainer.
But here's what your salesperson didn't mention: SREC values shift. Incentive programs change. And that "guaranteed savings" projection was built on assumptions about BGE and Pepco rate increases that haven't played out the way they predicted.
So now you're paying a monthly solar bill that keeps going up. You're watching SREC income come in below what you were promised. And the company that sold you the system? They might not even exist anymore.
If you signed a solar contract in Maryland and the numbers aren't matching up, this is what you need to know.
The Maryland Attorney General Is Watching Solar
In Maryland, the Public Service Commission ordered SmartEnergy Holdings to refund $6.5 million. That refund went to about 32,000 Maryland customers. The people had signed up by phone between February 2017 and May 2019. Maryland AG Anthony Brown also joined a group of AGs in October 2025. They sued the federal EPA over a $7 billion Solar for All program cancellation.
This matters to you. State enforcement agencies have put it on the record. The same sales tactics used on Maryland homeowners are now named in court filings. If what your salesperson told you doesn't match your contract, you're not alone. You're not crazy. And you have options.
What's actually in your Maryland solar contract
Here's what most Maryland homeowners don't find out until they've been paying for a year or two: the deal you signed isn't the deal you were sold.
Your salesperson told you solar would save money - especially with SRECs on top. But did they mention the escalator clause in your lease? That's the line that raises your payment every year - by as much as 2.9%. On a 25-year lease, that turns a $150 monthly payment into more than $300! Most Maryland homeowners don't notice until they compare their current bill to what they originally signed up for.
Did they explain what happens when you try to sell your home? Your buyer has to agree to take over your solar contract. Many buyers in Maryland's competitive housing market won't. That means you're facing a buyout of $7,000 to $30,000 or more just to close the sale on your own house.
And did they tell you what happens when the company behind your contract goes bankrupt? More than 100 solar companies filed for bankruptcy in 2024 alone, per SolarInsure. Titan Solar Power. Pink Energy. Sunnova filed Chapter 11 in June 2025. When your installer goes under, your payments don't stop. Your contract doesn't disappear. But the warranty you were counting on is gone with them.
Your rights under Maryland law
Maryland gives you stronger legal tools than most states. Here's what your salesperson almost certainly didn't explain.
Your 3-day cancellation window. Maryland's Door-to-Door Sales Act (MD Commercial Law section 14-301 et seq.) gives you 3 business days to cancel any contract signed at your home. This is on top of the federal FTC Cooling-Off Rule. If your salesperson didn't tell you about this right, that affects the enforceability of your Maryland contract. Pull out your paperwork. If there's no cancellation notice on the front page, that's your answer.
Maryland Consumer Protection Act - with private right of action. MD Commercial Law section 13-301 prohibits unfair and deceptive trade practices. Here's what makes Maryland different from most states: this law gives you the right to bring a private lawsuit. You don't have to wait for the AG to act. If your solar company misrepresented savings, system performance, or contract terms, you can take action yourself. That's a tool most states don't give you.
SREC market volatility. Solar Renewable Energy Credits were a key part of the Maryland solar pitch. Your salesperson projected steady SREC income as if it were guaranteed. But SREC values fluctuate based on market conditions. If the actual values have come in lower or less predictable than what you were shown, your financial picture is different from what was presented at the kitchen table. That's not market risk you agreed to share - that's a projection that was dressed up as a promise.
BGE and Pepco rate structures. Whether you're a BGE or Pepco customer, your Maryland solar savings were projected against those utility rates. If those rates haven't climbed at the pace your salesperson assumed, the savings gap is narrower than you were promised. The projection was their best-case scenario. You're living in the real one.
Hidden dealer fees in your loan. If you financed your Maryland solar system through a loan, there is a good chance a dealer fee was added to your balance without being clearly explained. Under the federal Truth in Lending Act, every finance charge must be disclosed. If yours wasn't, that's a violation - and it means you've been paying interest on money that went to the solar company, not to your system.
What you can do right now
You don't have to figure this out alone. Here are the first steps for Maryland homeowners.
File a complaint with the Maryland Attorney General. Go to https://www.marylandattorneygeneral.gov/Pages/CPD/complaint.aspx. Or call 410-528-8662 (main) / 1-888-743-0023 (toll-free). Filing is free. The AG's office reads every complaint.
Compare what the salesperson told you to what's in your contract. In most cases, the two don't match. That gap is what makes a case.
Pull your utility bills from the last 12 months. Add up what you're paying the utility plus what you're paying for solar. Compare that to what you'd pay the utility alone. If the numbers don't work, that's a real gap — not just a feeling.
Find the escalator clause and the dealer fee in your contract. These two lines cause the biggest gap between what you were sold and what you're paying. You can spot both by reading your own paperwork.
Every contract is different. But the first step is the same for everyone. Understand what you signed. Solar Home Advocate built the free Solar Relief Assessment for this exact moment. Someone walks through your contract with you in plain English. They tell you your options.
You Signed a Solar Contract in Maryland. Find Out What It's Actually Costing You - And What You Can Do About It.
Maryland homeowners have stronger legal tools than most states - including the right to bring private lawsuits under the Maryland Consumer Protection Act. A free Solar Relief Assessment helps you understand what's in your contract, what went wrong, and what your next steps are for you and your family.
[Get free Solar Relief Assessment →](https://solarhomeadvocate.com/free-assessment?utm_source=substack&utm_medium=article&utm_campaign=state-guide&utm_content=maryland)Get free Solar Relief Assessment →**
No charge. No obligation. No high-pressure pitch.
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"Sal says: A 2.9% escalator clause nearly doubles your payment over 25 years. Freedom Forever filed Chapter 11 in April 2026. If you signed a solar contract in Maryland, these facts hit your math and your warranty."
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Frequently Asked Questions
What are my rights if I signed a solar contract in Maryland?
Did a salesperson come to your home? If yes, you have a 3-day right to cancel. That's under Md. Code Ann., Com. Law §14-301 et seq. and the federal FTC Cooling-Off Rule. Maryland also has Maryland Consumer Protection Act (Md. Code Ann., Com. Law §13-101 et seq.). That law covers unfair or deceptive sales tactics. You can file a complaint with the Maryland Attorney General. Go to https://www.marylandattorneygeneral.gov/Pages/CPD/complaint.aspx or call 410-528-8662 (main) / 1-888-743-0023 (toll-free). If your salesperson didn't tell you about the 3-day cancel rule, that can affect your contract.
Has Maryland sued any solar companies?
Yes. In Maryland, the Public Service Commission ordered SmartEnergy Holdings to refund $6.5 million. That refund went to about 32,000 Maryland customers. The people had signed up by phone between February 2017 and May 2019. Maryland AG Anthony Brown also joined a group of AGs in October 2025. They sued the federal EPA over a $7 billion Solar for All program cancellation.
How does the escalator clause affect my Maryland solar contract?
Most Maryland solar leases have an escalator clause. It raises your payment about 2.9% every year. On a 25-year lease, a $150 payment grows to more than $300. Maryland's average electricity rate is about 20.61 cents per kilowatt-hour in early 2026. That's above the national average of 17.45 cents. Utility rates haven't always gone up 2.9% a year. So your solar payment can climb faster than your would-be utility bill. Your savings shrink instead of grow.
What happens if my Maryland solar company went bankrupt?
SolarInsure counted more than 100 solar company bankruptcies in 2024. Big names include SunPower (Aug 2024), Sunnova Energy (June 2025), Titan Solar Power (June 2024), Freedom Forever (April 15, 2026), Pink Energy (Oct 2022), and Vision Solar (Dec 2023). If your installer went bankrupt, your contract still stands. Your payments still go out. But the workmanship warranty usually dies with the company. The panel maker's warranty (often 25 years) still exists. But filing a claim without an active installer is hard.
Can I cancel my Maryland solar contract?
Did the salesperson come to your home? Then Maryland law gives you 3 business days to cancel. That's under Md. Code Ann., Com. Law §14-301 et seq. and the federal FTC Cooling-Off Rule. If those 3 days have passed, you may still have options. Did they skip the cancel notice? Did they use deceptive sales tactics? Did your loan hide fees? Any of those can open a path to cancel. It depends on your specific contract and how it was sold.
What are hidden dealer fees on a Maryland solar loan?
Solar finance companies add dealer fees of 15 to 30 percent to your loan. They roll the fee into the principal. They don't list it separately. That means you pay interest on fee money that went to the solar company. Not to your panels. The federal Truth in Lending Act says every fee must be listed clearly. A hidden fee can be a federal violation. That's one of the strongest paths to renegotiate or exit a solar loan.
How do I file a solar complaint in Maryland?
Go to the Maryland Attorney General's website at https://www.marylandattorneygeneral.gov/Pages/CPD/complaint.aspx. Or call 410-528-8662 (main) / 1-888-743-0023 (toll-free). Filing is free. Write down what the salesperson told you at the sale. Save your contract. Save any texts, emails, and voicemails with the installer. If you have a solar loan, keep your loan paperwork. A formal complaint creates a record. That record strengthens any legal review later.