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Americans can no longer get federal tax credits to install solar panels at home, but a growing number are using state incentives to add home batteries.

Homeowners installed a record 673 megawatts of battery storage in the first quarter of 2026, according to data from the U.S. Energy Information Administration.

States with high electricity prices and policies that encourage battery installation drove the surge. California and Hawaii led the country in new storage. Texas and Arizona also saw significant increases.

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