For many homeowners, rooftop solar can seem like a great idea that is simply too expensive to pull off. Ann Arbor, Michigan, is testing a different model that lets residents add panels and batteries without paying thousands of dollars upfront.
That approach is already underway in Ann Arbor’s Bryant neighborhood, where some households are using it to lower what they owe DTE Energy Co. and keep backup power available during outages.
Residents who join Ann Arbor’s Sustainable Energy Utility, a city program launched in 2024, do not have to purchase solar equipment themselves because the utility pays for the equipment and installation, the Detroit News reported. Participants then pay monthly fees that change by season and use the electricity from their panels to reduce how much power they need from the grid.
Ann Arbor started with a pilot in Bryant, a neighborhood known as one of the city’s more affordable areas, and city officials said about a third of homeowners there have signed up. Residents may also qualify for extras including home energy assessments, insulation, and roof upgrades.
Shoshannah Lenski, executive director of the Ann Arbor Sustainable Energy Utility, said, “We’re the first of its type in the nation. So we’re figuring this out as we go, which is part of why we’re doing a pilot here in this neighborhood. We’re learning from it, and in 2027, we’ll be expanding city-wide.”
Going solar is one of the best ways to save money on home energy, especially when high upfront costs don’t stand in the way. Homeowners who want to explore their options can use EnergySage to get free solar installation estimates and compare quotes.
Rather than replacing DTE Energy Co., the city’s program operates alongside it as a secondary utility. Its goal is to help households generate more of their own electricity, cut carbon pollution, and depend less on the grid.
A 2025 Michigan Citizens Utilities Board performance report found the state’s utilities were among the least reliable in the nation in 2023 and that power costs are relatively high, according to The Detroit News. Lenski said many residents are interested not just in saving money but in resilience, since solar paired with batteries can keep essential appliances running during blackouts.
Before the city program, private solar quotes of $30,000 to $70,000 had put the technology out of reach for Bryant resident Todd Jensen. His system is expected to save about $130 per year, while the average participating household is projected to save around $200 annually.
Warren Leon, executive director of the Clean Energy States Alliance, said Ann Arbor is “especially ambitious and especially creative” in its climate work, pointing not only to solar and batteries but also to geothermal planning supported by federal funding.
Grant funding helped get the Bryant pilot off the ground, including over $8 million in grants from the Michigan Public Service Commission and the Michigan Department of Labor and Economic Opportunity, The Detroit News reported.
The city also received $10.8 million from the U.S. Department of Energy to move toward a neighborhood geothermal system. Over time, the utility expects to fund additional projects through bonds, though Lenski said higher borrowing costs and rising solar equipment prices could make expansion more difficult.
The program is intended to make cleaner energy available to people who otherwise might never pursue it. Elaine Jordan, a Bryant neighborhood resident, described the momentum on her block this way: “Next door they were getting insulation, two doors down they’re getting a roof. It’s like the whole street is full as the neighborhood is being upgraded.”
Interested homeowners can also benefit from free tools outside of Ann Arbor’s pilot. With EnergySage’s help, the average person can save up to $10,000 on solar purchases and installations. EnergySage’s solar map shows the average cost of a home solar panel system on a state-by-state level, along with details on solar incentives in each state. Together, these resources can help you get the best price for rooftop solar panels and access available incentives.
Adding battery storage to a solar setup is one of the best ways to protect your home during outages, save money on energy, and rely less on an increasingly unreliable grid. It can also help households store extra daytime electricity for use after dark or when the grid goes down. You can explore EnergySage for information about home battery storage options, including competitive installation estimates.
As Lenski put it, “Power is not a nice-to-have luxury product. It really is a necessity.”
These stories look at no-money-down solar programs, city rooftop efforts, and community energy projects.
• Palmetto is offering homeowners rooftop solar on your home with no money down.
• In California, one city is turning rooftop solar into relief for low-income homes.
• In North Lincolnshire, a community effort reached an impressive milestone, offering free solar.
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