SMUD - Battery Storage Incentive Program

SMUD offers enrollment incentives up to $10,000 for residential customers who install eligible battery storage systems and enroll within 90 days of receiving permission to operate. You must have a battery installed and participate in SMUD's Solar and Storage Rate (SSR) to qualify; eligible batteries include Tesla Powerwall, Enphase, Sonnen, SolarEdge, Franklin, and Eguana models. In addition to the upfront incentive, Tesla battery owners receive ongoing quarterly incentives ($110–$330 depending on number of units), and all participants keep full battery access during outages while SMUD maintains a 20% reserve.

This program incentivizes customer adoption of five qualified battery manufacturers, with enrollment incentives calculated at $500/kWh minus a 20% holdback (capped at $10,000 per household). You should inform customers about the one-time interconnection fee for new solar-plus-battery or battery-only installations, though no fee applies when adding storage to existing solar; customers must be on SMUD's Solar and Storage Rate and cannot be MED Rate customers. Tesla batteries unlock additional quarterly performance incentives, while other manufacturers currently receive only the enrollment incentive, creating upsell and differentiation opportunities.

This rebate program targets SMUD residential customers on the Solar and Storage Rate, excluding MED Rate and rental units (pending future policy), with incentives scaled by battery nameplate capacity at $500/kWh minus 20% holdback up to $10,000 per household. Enrollment must occur within 90 days of PTO; income-qualified customers with fully subsidized systems may participate but are ineligible for cash incentives. Tesla batteries receive year-round quarterly incentives ($110–$330) to optimize load-shifting during peak demand periods, while other brands receive one-time enrollment payments, creating differentiated participation mechanics across five major manufacturers.