Solar Payback Calculator

State comparison

Solar payback by state — all 51 records

Every state and the District of Columbia, with the two inputs that set the ceiling on a rooftop system — what electricity costs and how much sun the roof gets — and what this site's model does with them. Sort by any column.

Showing 51 of 51 records
Residential electricity rate, sunlight, and modeled solar payback for the 50 states and the District of Columbia. Select a column heading to sort.
State incentives on record
Hawaiianalysis42.86¢5.64.5 yr4.7 yrRenewable Energy Technologies Income Tax Credit (RETITC) 35% of system cost capped per system size; Customer Self-Supply and Customer Grid-Supply Plus tariffs; some of the highest electricity rates in the US drive fastest payback.
Californiaanalysis31.97¢5.75.8 yr6.2 yrNEM 3.0 (Net Billing Tariff) since April 2023 sharply reduced export credits; SGIP battery rebate; DAC-SASH for low-income households; property tax exclusion through 2026-12-31.
Connecticut28.75¢4.48.1 yr9.1 yrResidential Renewable Energy Solutions tariff (buy-all or netting) administered by Eversource and UI; sales and property tax exemptions.
Massachusettsanalysis29.35¢4.38.1 yr9.1 yrSMART program incentive payments per kWh (declining block); state personal income tax credit 15% capped at $1,000; property and sales tax exemptions; net metering.
Rhode Island28.65¢4.38.3 yr9.3 yrRenewable Energy Growth program performance-based incentive; net metering retained; sales and property tax exemptions.
New Yorkanalysis24.43¢4.29.8 yr11.2 yrNY-Sun Megawatt Block incentive ($/W declining); 25% state tax credit up to $5,000; sales tax exemption; property tax exemption (opt-in by municipality); Value of Distributed Energy Resources (VDER) compensation.
Maine24.29¢4.29.9 yr11.3 yrNet Energy Billing (NEB) with kWh credit option; Efficiency Maine programs; sales tax exemption.
Arizonaanalysis14.91¢6.610.2 yr11.7 yrState income tax credit up to $1,000 (Form 310); sales tax exemption on solar equipment; export rates set by utility (APS, SRP, TEP) under approved tariffs.
New Hampshire23.40¢4.210.2 yr11.7 yrResidential renewable energy rebate from PUC RGGI funds; net metering retained at avoided cost plus retail kWh credit blend.
Nevada15.00¢6.410.4 yr12.0 yrTiered net metering compensation under SB 405 (75%-95% of retail depending on tier); property tax abatement; NV Energy Solar Generations rebates in past program years.
New Mexico14.20¢6.211.2 yr13.2 yrNew Solar Market Development Tax Credit (10% up to $6,000, subject to annual cap); gross receipts tax deduction; property tax exemption; net metering.
Vermont21.90¢4.011.3 yr13.2 yrNet metering tariff (Rule 5.100) with adjusters by location and resource type; sales tax exemption; property tax exemption.
New Jerseyanalysis19.34¢4.411.6 yr13.6 yrSuccessor Solar Incentive (SuSI) program issues SREC-II credits at fixed price; sales tax exemption; property tax exemption; net metering.
Colorado14.92¢5.511.9 yr14.2 yrSales and use tax exemption; property tax exemption; Xcel Energy Solar*Rewards declining-block incentive in select years; net metering retained.
Michigananalysis19.30¢4.212.1 yr14.3 yrDistributed Generation tariff (replaced full net metering for most IOUs); 1% inflow/outflow split tariff at DTE and Consumers; no state income tax credit.
Texasanalysis14.94¢5.412.1 yr14.4 yrNo statewide tax credit; utility-specific rebates (Oncor, AEP, CenterPoint) and retail provider buyback plans (Green Mountain, Octopus, Rhythm) replace traditional net metering; property tax exemption; ERCOT grid does not require utility approval for most residential interconnection.
Maryland17.86¢4.512.1 yr14.5 yrResidential Clean Energy Rebate ($1,000 flat per system, while funded); SREC market under RPS; sales and property tax exemptions; net metering.
District of Columbiaanalysis17.71¢4.412.5 yr14.9 yrSolar for All program (income-qualified free systems); SREC market among highest-priced in US; net metering; property tax exemption.
Floridaanalysis14.14¢5.412.7 yr15.3 yrProperty tax exemption and sales tax exemption on solar equipment; net metering retained after 2022 veto of HB 741; no statewide income tax.
Pennsylvania17.77¢4.213.0 yr15.6 yrSREC market under AEPS (depressed prices in 2026); net metering retained at full retail for IOU customers under PUC rules; PA Sunshine ended in 2013.
Delaware16.57¢4.513.0 yr15.6 yrGreen Energy Program rebates from utilities (Delmarva, DEMEC, DEC); SREC market; net metering.
Alaska24.82¢3.013.0 yr15.7 yrAlaska Energy Authority renewable energy fund (project-scale); residential solar limited by low insolation and high latitude.
Wisconsin17.18¢4.313.1 yr15.8 yrFocus on Energy rewards for residential solar; net metering at retail rate for systems up to 20 kW at most IOUs; sales tax exemption.
Georgia14.08¢5.113.4 yr16.3 yrGeorgia Power monthly netting (not full retail net metering) capped on first-come basis; no statewide tax credit.
Alabama15.18¢4.713.5 yr16.4 yrTVA Green Connect for partial service territory; no statewide tax credit; no statewide net metering mandate.
Kansas14.15¢5.013.6 yr16.5 yrProperty tax exemption for renewable energy property; net metering retained but reduced compensation in some utilities under KCC orders.
Illinoisanalysis15.87¢4.413.7 yr16.7 yrIllinois Shines (Adjustable Block Program) pays for SRECs at fixed contract prices; Illinois Solar for All for low-income; property tax special assessment.
South Carolinaanalysis14.23¢4.913.7 yr16.8 yr25% state tax credit up to $3,500 per year or 50% of tax liability; net billing replaced full net metering under Energy Freedom Act (Act 62) for new customers.
Minnesota15.45¢4.513.8 yr16.8 yrSolar*Rewards rebates at Xcel; sales tax exemption; net metering retained; property tax exemption for residential systems under 10 kW.
North Carolinaanalysis14.13¢4.913.8 yr16.9 yrDuke Energy net billing (replacing legacy net metering for new customers); 80% property tax exclusion for residential; no income tax credit since 2015 sunset.
Indianaanalysis14.77¢4.614.0 yr17.2 yrNet metering phased down by SEA 309 (excess generation credited near wholesale); property tax deduction; no income tax credit.
Virginia14.41¢4.714.1 yr17.3 yrNet metering retained; Solar Freedom Act expansion; Dominion residential rider for shared solar; property tax exemption (locality-dependent).
Ohio15.99¢4.214.2 yr17.4 yrNet metering retained at generation rate (not full retail) for IOU customers; SREC market under Alternative Energy Portfolio Standard.
Mississippi13.39¢4.914.4 yr17.9 yrNet metering with avoided-cost-plus-2.5 cent adder for residential customers (PSC Docket 2011-AD-2); no statewide tax credit.
Utahanalysis12.22¢5.314.6 yr18.1 yrRenewable Energy Systems Tax Credit (residential 25% up to $400 — sunset 2024 for new installs); net billing under Rocky Mountain Power Schedule 137.
Oklahoma12.24¢5.214.8 yr18.4 yrLimited net metering for residential systems up to 100 kW; no statewide tax credit; OG&E and PSO have offered demand-charge rate options.
West Virginia15.07¢4.214.9 yr18.6 yrNet metering retained for systems up to 25 kW residential; no statewide tax credit; property tax assessment unchanged.
Missouri12.91¢4.815.2 yr19.0 yrNet metering retained; Ameren and Evergy rebates have varied year to year; property tax exemption for solar.
Wyoming12.47¢4.915.3 yr19.2 yrNet metering for systems up to 25 kW; no statewide tax credit; limited utility rebate activity.
South Dakota12.86¢4.715.5 yr19.5 yrNo statewide net metering mandate; property tax discount; case-by-case interconnection.
Arkansas12.32¢4.915.5 yr19.5 yrNet metering preserved by Act 464 of 2019; no statewide tax credit; property tax exemption for residential solar.
Iowa13.40¢4.515.5 yr19.5 yrState solar tax credit historically tied to federal credit and now in wind-down; net billing under 2020 SF 583; property tax exemption.
Oregon14.70¢4.015.8 yr20.0 yrOregon Solar + Storage Rebate (income-tier based); net metering retained for IOUs; property tax exemption.
Louisianaanalysis11.73¢5.015.9 yr20.1 yrNet metering at avoided cost since 2020 PSC order; sales tax exemption on solar equipment under specific conditions; no current state income tax credit.
Tennessee12.42¢4.715.9 yr20.2 yrTVA service territory: Green Connect program (project-scale and home generation partnership); residential rooftop economics weaker without retail net metering.
Kentuckyanalysis12.79¢4.516.1 yr20.5 yrNet metering replaced with net billing under SB 100 (2019); compensation rates set by PSC by utility; no income tax credit.
Montana12.66¢4.516.3 yr20.7 yrAlternative Energy System tax credit (up to $500 individual / $1,000 joint); property tax exemption for first 10 years; net metering retained.
Nebraska11.53¢4.916.4 yr20.9 yrNet metering for systems up to 25 kW; Dollar and Energy Saving Loans at below-market rates; public power state with utility-specific programs.
Idaho11.52¢4.916.4 yr20.9 yrState income tax deduction for residential alternative energy device (up to $5,000 first year, $5,000 each next three); net metering retained at Idaho Power.
North Dakota11.51¢4.617.3 yr22.4 yrProperty tax exemption for 5 years; net metering up to 100 kW; no statewide tax credit.
Washington11.90¢3.720.0 yrSales tax exemption (full for systems up to 100 kW); net metering retained; no statewide cash incentive after production-incentive sunset 2020.

A dash means the system does not break even inside the 25-year model horizon.

Why 17 states have a page and the rest have a row

This site used to publish a separate article for all 51 records. They were generated from one template, so the 34 states without hand-written analysis said the same six things in the same order with different numbers substituted in. Measured against each other, those pages were 84 to 94 per cent word-identical, and two of them were 97 per cent identical to each other. That is not a comparison tool; it is the same page printed fifty-one times.

So they were retired. A state keeps a page here when someone has read that state's statute, commission order or tariff and written about what it does to the arithmetic — with the source printed on the page so you can check the work. Today that is 17 states: Arizona, California, District of Columbia, Florida, Hawaii, Illinois, Indiana, Kentucky, Louisiana, Massachusetts, Michigan, New Jersey, New York, North Carolina, South Carolina, Texas, Utah. The retired URLs redirect here, where the underlying data for all 51 is still published in full. More states get written up as the research is done rather than as the template is re-run.

What the modeled payback column means

One representative system, identical for every state, so the column compares states rather than quotes: 7 kW DC at $3.20/W installed ($22,400), production estimated from NREL NSRDB irradiance at a 78 per cent performance ratio, 0.5% a year of panel degradation, and a 25-year horizon. No federal credit is applied — Section 25D expired for expenditures after 31 December 2025 — and no state incentive is applied either, which is why the incentive column matters and why the written state pages exist.

The main column applies 3% a year of electricity price escalation. The next column switches that off. Publishing both is deliberate: the gap between them is the single largest assumption on this site, and a payback figure that quietly depends on prices rising for twenty-five years should say so next to the number that does not.

The largest assumption the table cannot show is that every kilowatt-hour produced is worth the full retail rate. In most states it is not: exports are credited at a commission-set rate, at avoided cost, or at whatever a retail provider offers. That is exactly what the written state pages are about, and it is why a state's position in this table is a starting point rather than an answer.

Where the data comes from

Estimate only. Numbers shown are modeled projections, not quotes or guarantees. Actual production, electricity rates, financing terms, and available incentives vary by household, utility, roof condition, shading, and policy changes. The Residential Clean Energy Credit (Section 25D, the 30% federal tax credit) expired for systems placed in service after December 31, 2025. Verify all numbers with a licensed installer and your utility before making a purchase decision. See full disclaimer.