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Illinois Solar Answers

How Illinois Shines works, and who receives the REC value

Written by Chad Panton, Co-founder, ISI Energy · Last reviewed October 2026

Short answer: Illinois Shines is the state's solar incentive program, formally the Adjustable Block Program. It pays for the Renewable Energy Credits (RECs) a solar system produces. Those payments go to an Approved Vendor, a company the program has qualified, not directly to the homeowner. The vendor may pass some or all of that value to you as a lower price or another arrangement, and Illinois requires the vendor to show you exactly how in a standardized Disclosure Form before you sign anything. The program does not guarantee that you will save money.

What is Illinois Shines?

Illinois Shines is administered by Energy Solutions on behalf of the Illinois Power Agency (IPA), an independent state agency. It was created by the Future Energy Jobs Act in 2016 (P.A. 99-0906), significantly expanded by the Climate and Equitable Jobs Act in 2021 (P.A. 102-0662), and amended again by the Clean and Reliable Grid Affordability Act in 2025 (P.A. 104-0458). (Source: illinoisshines.com/about.)

The program supports two kinds of projects: Distributed Generation (solar on your own home or building) and Community Solar (a subscription to a share of a larger project elsewhere). This article is about the first kind.

What is a REC, and why does the state pay for it?

A Renewable Energy Credit represents the environmental attributes of one megawatt-hour (1,000 kWh) of renewable electricity. Illinois utilities are required by law to source a growing share of their power from renewables. Rather than build everything themselves, the state buys RECs from projects like rooftop solar through long-term contracts, which is how the program funds incentives. (Source: illinoisshines.com/about.)

In plain terms: the state pays for the "green" part of your electricity, separately from the electricity itself.

Who actually receives the money?

This is the part most homeowners get wrong, often because a salesperson implied otherwise.

The REC contract is between the state (through the utility) and the Approved Vendor. Illinois Shines states: "These payments are received by solar developers and may be passed on to customers" through lower project costs or lower power costs. (Source: illinoisshines.com/about.)

So the homeowner does not get a check from the State of Illinois. What you get depends on your agreement with the vendor:

  • Under a cash purchase or loan, the vendor often reduces your price by some or all of the expected REC value, or structures a pass-through payment. The Disclosure Form states the amount and timing.
  • Under a lease or power purchase agreement, the system owner typically keeps the REC value, which is one reason the monthly payment can be what it is.

Neither structure is wrong. What is wrong is not knowing which one you are in. Illinois Shines requires Approved Vendors to "disclose REC values alongside system or subscription costs" so you can compare offers. (Source: illinoisshines.com/about.) See Purchase, loan, lease, or PPA for the comparison.

What is an Approved Vendor, and what is a Designee?

An Approved Vendor is a company that applied to the Program Administrator, met the program's requirements, and is allowed to submit projects and hold REC contracts. A Designee is a company working under an Approved Vendor, for example an installer or a sales organization, that is registered with the program in that role. The program publishes a searchable list of both. (Source: illinoisshines.com/faqs, "Approved Vendors and Installers.")

Two more requirements matter to you:

1. The installing company must be certified by the Illinois Commerce Commission as a Distributed Generation Installer and be in good standing.

2. The person performing the installation must be a Qualified Person under Illinois law (83 Ill. Adm. Code 468.20).

(Source: illinoisshines.com/faqs.) How to check both is covered in How to verify an Illinois solar company.

What is the Disclosure Form?

Before you sign a contract for on-site solar, the Approved Vendor or its Designee must give you a Disclosure Form. Illinois Shines describes it as designed "to provide customers with clear information about their solar project," with different versions by project type and financing type. (Source: illinoisshines.com/faqs.) It covers, among other things:

  • System size and cost.
  • How the REC value is handled and what, if anything, is passed to you.
  • How your utility will credit electricity you export, which for new ComEd customers means supply-only net metering. See How solar billing works for ComEd customers.
  • Key contract terms that affect you.

If a company asks for a signature before showing you this form, that is a program violation, and it is your signal to stop.

Does Illinois Shines guarantee savings?

No. The Illinois Attorney General's consumer guide states plainly: "The ABP does not guarantee that you will save money on your electric bill." Savings are only guaranteed if your contract explicitly guarantees them. (Source: Illinois Attorney General, "Learn More About Solar Energy.")

That is why we do not publish savings figures. Your results depend on your usage, your roof, your utility's billing rules, and the terms you sign.

How does program capacity and timing work?

Illinois Shines releases incentive capacity in blocks, by project category, at the start of each program year in June. When a block fills, new projects go on a waitlist with priority review when capacity opens again. Running out of capacity in a block does not mean the state has run out of money; it means a wait. (Source: illinoisshines.com/faqs.) Your vendor should tell you whether your project is expected to be accepted immediately or waitlisted, and the Disclosure Form should reflect the REC price that applies.

What about Illinois Solar for All?

Illinois Solar for All is a separate program for income-qualified households and certain nonprofits and public facilities, with different rules, including a guarantee of savings and a prohibition on upfront payments for qualified participants. (Source: Illinois Attorney General, "Learn More About Solar Energy"; illinoissfa.com.) If you think you may qualify, ask, and verify the company is an Illinois Solar for All Approved Vendor on that program's directory.

What to ask any solar company about Illinois Shines

1. Who is the Approved Vendor on my project? Show me your listing.

2. Who is the installer, and what is its ICC Distributed Generation Installer certificate number?

3. Show me the Disclosure Form before we discuss signing.

4. Exactly how is the REC value handled for me: lower price, pass-through payment, or kept by the owner?

5. Is my project expected to be accepted now or waitlisted?

What this means for you

Illinois Shines is a real program with real consumer protections, and it is a reason solar is viable in this state. The protection only works if you use it: insist on the Disclosure Form, confirm who is paid, and compare offers on that basis. ISI Energy is not an Approved Vendor and does not install; we explain the program and coordinate with licensed partners who are registered with it, and we show you where to verify everything we say. Book a free consultation or call (224) 395-1162.

Frequently asked questions

Does Illinois Shines pay homeowners directly?

No. REC payments go to the Approved Vendor that holds the REC contract. The vendor may pass value on to you through a lower price or another arrangement, and must disclose how in the Disclosure Form. Source: illinoisshines.com.

What is the Illinois Shines Disclosure Form?

A standardized form the Approved Vendor or Designee must give you before you sign an installation contract. It shows system size, cost, how the REC value is handled, how your utility credits exported electricity, and key terms. Source: illinoisshines.com/faqs.

Is ISI Energy an Illinois Shines Approved Vendor?

No. ISI Energy is a sales, education, and project-coordination company. Projects are submitted to Illinois Shines by the Approved Vendor on your project, which we identify to you before you sign anything.

Sources

  • Illinois Shines, "About the Program," illinoisshines.com/about/
  • Illinois Shines, "Consumer FAQs," illinoisshines.com/faqs/ (updated January 2026)
  • Illinois Shines, "Consumer Protection Support," illinoisshines.com/consumer-protection-support/
  • Illinois Attorney General, "Learn More About Solar Energy" (PDF), illinoisattorneygeneral.gov
  • Illinois Solar for All, illinoissfa.com

ISI ENERGY LLC is a sales, education, and project-coordination company and is not affiliated with the Illinois Power Agency, Illinois Shines, Illinois Solar for All, or any utility. This article is educational and is not a guarantee of incentives, savings, or outcomes.

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