By the Solar X Team. ESA/ECRA Licensed Electrical Contractor, Licence 7017538. Published . Last fact checked . 8 min read.
If you own property in Halifax Regional Municipality, you have access to one of the lowest fixed solar financing rates in Canada. The Solar City program finances solar installations at a 4.75% fixed interest rate over 10 years, with no credit check, no upfront cost, and no penalty for paying it off early. The municipality pays your contractor directly when the work is done.
Here is how the program actually works, what most websites get wrong about it, and how to decide if it beats your other financing options.
What Is Solar City?
Solar City is run by Halifax Regional Municipality as part of the HalifACT climate plan. Instead of a bank loan, the program uses a Local Improvement Charge, usually shortened to LIC. Think of an LIC like this: the cost of your solar system is attached to your property as a voluntary charge, the same legal mechanism municipalities use for things like street improvements. You repay the municipality over time, and if you ever sell, the charge can move with the house.
The mechanism is set out in Halifax's By Law S 500, Respecting Charges for Energy Equipment, so the terms are written into municipal law rather than a lender's fine print.
The program supports three solar technologies: photovoltaic panels, solar hot air, and solar hot water. For most homeowners in 2026, photovoltaic is where the economics are.
The Financing Terms at a Glance
| Term | Detail |
|---|---|
| Interest rate | 4.75%, fixed for the full term |
| Term | 10 years |
| Credit check | None; financing attaches to the property |
| Eligibility standing | Municipal accounts must be in good standing |
| Upfront cost | None; HRM pays the contractor directly |
| Early payoff | Any amount, any time, no penalty |
| First payment | Due about six weeks after the LIC invoice is mailed |
| Payment options | Annual, or bi weekly and monthly pre authorized payments |
| If you sell | Pay the balance in full, or transfer the charge to the buyer if both parties agree |
Terms verified against Halifax Regional Municipality's official Solar City pages, property owner guide, and program FAQ on July 10, 2026. Program terms can change, so confirm current details at halifax.ca before signing.
Two details worth understanding before you compare this to a line of credit. First, interest accrues daily on the principal, and the annual amount due is one tenth of the principal plus interest on the remaining balance. Second, HRM gives you an interest free window: any amount you pay within the first six weeks of being invoiced carries no interest. If you have partial cash on hand, that window is the cheapest money you will ever repay.
One Thing Most Websites Get Wrong
A lot of solar marketing pages, including some from installers, say Solar City is repaid "through your property tax bill." That is not what the municipality says. According to HRM's own program documentation, the LIC is an additional annual charge that is separate from your property tax bill. You receive a distinct LIC invoice and a 10 year schedule of payments. It is a small distinction, but if you budget around your tax bill, you need to know a second bill is coming.
Who Qualifies
Solar City is open to property owners within HRM boundaries, and it goes beyond single family homes:
- Residential property owners
- Non profit organizations
- Places of worship
- Co operatives
- Charities
There are no credit checks. The requirement is that your municipal accounts are in good standing: property taxes paid, and any existing municipal liens either paid or on an approved payment plan. If you are not sure where your account stands, HRM says to register anyway and they will confirm eligibility for you.
How the Process Works, Step by Step
- 1
Register online
Sign up through the Solar City program page at halifax.ca with your property details and assessment number.
- 2
Get your project ID
If your property qualifies, HRM emails you a unique Solar City project identification number and instructions.
- 3
Get contractor proposals
You contact solar contractors and obtain an installation proposal sized to your energy needs and consumption. To be eligible for funding, the application needs a feasibility report, supporting calculations, and technical specification sheets, the equipment must meet applicable CSA standards, and the system must be designed to generate at least 70% of an optimal system's output.
- 4
Select your contractor
Once you are satisfied with a proposal, you email the Solar City office with your selection.
- 5
Installation and Certification of Completion
When the work is done, the contractor submits a Certification of Completion with the final cost, permits, inspection records, and monitoring access.
- 6
HRM pays the contractor directly
The municipality will not pay until all required documents are submitted and approved. You never front the money.
- 7
You receive the LIC invoice and payment schedule
The first payment is due about six weeks later, and any amount paid within that six week window is interest free.
Note the sequencing: rebates and incentives are collected by you separately and are not subtracted from the financed amount, though your contractor helps with the paperwork.
Why 4.75% Matters in 2026
The Nova Scotia rebate landscape has thinned out. The SolarHomes residential rebate closed to new homeowner applications in April 2025, and the federal Canada Greener Homes Loan closed October 1, 2025. What is left is financing plus net metering, and Halifax happens to have the strongest combination in the province:
The rate itself. At 4.75% fixed, Solar City undercuts the 6.45% offered by comparable PACE style programs elsewhere in Nova Scotia, and it is competitive with, or better than, many home equity lines of credit, without touching your credit file.
Net metering. Nova Scotia Power credits exported solar at the full residential retail rate, about 19.1 cents per kilowatt hour as of May 2026, among the best net metering values in Canada. Residential systems up to 27 kW qualify under Nova Scotia Power's Self Generating Option, and surplus summer production is banked as credits and drawn down through fall and winter. Confirm current rates and credit rules directly with Nova Scotia Power before finalizing system size.
Rising rates. Nova Scotia has some of the highest residential electricity prices in Canada, and each increase makes every kilowatt hour your panels produce worth more over the 25 to 30 year life of the system.
Put together, a well sized Halifax system financed through Solar City can have its annual payment substantially offset by energy savings, though actual results depend on your consumption, roof, and system design. No installer can honestly promise your savings will exceed your payments, so treat any pitch that guarantees it with suspicion.
Three Things to Check Before You Sign
1. Compare the true cost of money. Run the 10 year Solar City repayment against a line of credit if you have access to one. For many owners the no credit check structure, fixed rate, and direct contractor payment win, but do the math for your situation.
2. Size the system to your consumption, not your roof. Oversized systems leave banked net metering credits on the table. A properly engineered design matches your annual usage against Nova Scotia Power's rules, which is core to our residential solar design process.
3. Contractor documentation quality. HRM will not release payment without a complete Certification of Completion package: permits, inspections, specification sheets, monitoring access. A contractor who is sloppy with paperwork delays your project at the finish line. Ask any installer you interview how many Solar City completion packages they have submitted.
Where Solar X Fits In
Solar X is an ESA and ECRA licensed electrical contractor (Licence 7017538) headquartered in Toronto, with more than 10,000 solar and battery installations and 118 MW of installed capacity across Ontario, Alberta, Nova Scotia, and New Brunswick, including weather resistant systems engineered for the Atlantic climate. We are a Tesla Powerwall certified installer and an approved Home Depot Canada Local Pro for electrical services.
If you are an HRM property owner considering Solar City, the practical first step is a properly engineered proposal you can submit with your project ID. We design residential solar and battery systems sized to your actual consumption and Nova Scotia Power net metering rules, with CSA compliant equipment documentation prepared for program submission.
Outside HRM? If you live in West Hants, read our guide to the relaunched Switch West Hants financing program, which offers 15 year solar terms at 6.45% fixed. Homeowners elsewhere in Atlantic Canada can see how fast regional incentives are moving in our breakdown of the New Brunswick solar rebate closing in 2026.
Get a Free Halifax Solar Assessment
We will map system size, production estimates, and realistic payback for your property. No pressure, no guaranteed install dates before approvals are complete, just numbers you can verify and submit with your Solar City project ID.
Frequently Asked Questions
What is the Halifax Solar City program?
Solar City is a Halifax Regional Municipality program that finances solar energy systems through a voluntary Local Improvement Charge on the property. The municipality pays your solar contractor directly when the project is complete, and you repay over 10 years at a fixed 4.75% interest rate.
What is the interest rate in 2026?
The rate is 4.75%, fixed for the full 10 year term. Interest is calculated on the principal and accrues daily. The annual payment is one tenth of the principal plus interest on the remaining balance, and you can pay off the full balance at any time without penalty.
Does the financing require a credit check?
No. There are no credit checks. The financing attaches to the property rather than the person. You must be in good financial standing with the municipality on property taxes, Local Improvement Charges, and other municipal charges.
Is the charge added to my property tax bill?
No. According to Halifax Regional Municipality, the Local Improvement Charge is billed separately from your annual property tax bill. Your first payment is due about six weeks after the invoice is mailed, and you can set up bi weekly or monthly pre authorized payments instead of one annual payment.
What happens if I sell my home?
You have two options: pay the remaining balance in full at the point of sale without penalty, or transfer the charge to the new owner, as long as both parties agree.
Who is eligible?
Property owners within Halifax Regional Municipality boundaries, including residential owners, non profit organizations, places of worship, co operatives, and charities, provided municipal accounts are in good standing. Registration is done online through the Halifax Solar City page.
Can the financing be combined with rebates?
Yes, Solar City can be combined with other available incentives, but rebates are collected by the property owner separately and are not subtracted from the financed amount. In 2026 the main ongoing value for most homeowners is Nova Scotia Power net metering rather than upfront rebates, since the SolarHomes residential rebate closed in April 2025.
Sources
- Halifax Regional Municipality, About Solar City: halifax.ca/home-property/solar-projects/about-solar-city
- Halifax Regional Municipality, Solar City property owner guide: halifax.ca/home-property/solar-projects/property-owner-guide
- Halifax Regional Municipality, Solar City FAQ: halifax.ca/home-property/solar-projects/frequently-asked-questions
- Nova Scotia Power, net metering and residential rates: nspower.ca
Disclaimer. This article was fact checked against Halifax Regional Municipality's official Solar City program page, property owner guide, and program FAQ, as of July 10, 2026. Financing terms, rates, and eligibility are set by Halifax Regional Municipality under By Law S 500 and can change without notice. Confirm current terms at halifax.ca before making financial decisions. Solar X is not affiliated with Halifax Regional Municipality. Nothing here is financial advice. Solar X Canada is an ESA/ECRA licensed electrical contractor (Licence 7017538). Questions about this article: info@solar-x.ca or 1 833 376 5279.