A complete review of the Tesla Solar panels offerings in 2020.
Written by Chris Meehan
Updated August 13, 2021
5 minutes read
Categories: Solar financing, Solar panels, Solar power
We first wrote an article comparing the solar panels offered by SolarCity to other large solar installers in 2017.
Since this time SolarCity was acquired by its largest shareholder Tesla Motors and has now become Tesla Energy.
In the last year Telsa has really supercharged its residential solar panel offerings.
The three most significant changes are:
- the introduction in 2019 of a solar rental option on Tesla Solar Panels. Catherine Lane's article explains the details of this offering. In short, you can rent your panels on a month by month basis from Tesla with the only caveat that you have to pay Tesla an unknown amount if you ever want them removed. Other than this shortcoming it is a great idea and allows renters and people who are unsure how long they will stay in their home to access the cost savings offered by solar.
- Tesla now publishes the cost of Tesla solar panels on their website. They are the first major company in America to do this and we here at Solar-Estimate applaud this move. Pricing transparency has long been missing from the residential solar power industry in America.
- The cost of Tesla solar panels has fallen quite a lot and their cash purchase offers are now competitive with small local solar companies who usually have better customer satisfaction ratings
How much do Tesla Solar Panels cost in 2020?
In 2019 Tesla standardized its solar system sizes to reduce complexity and engineering costs. The soalr panel system sizes for Telsa solar panels are now:
- A small system, equal to 3.8 kilowatts (kW) in size
- A medium system, equal to 7.6 kW in size
- A large system, equal to 11.4 kW in size
- An extra-large system, equal to 15.2 kW in size
Tesla solar panels cost table (before incentives)
| State | Small system cost | Medium System cost | Large System cost | Extra-large system cost |
|---|---|---|---|---|
| AZ | $10,000 | $18,000 | $26,500 | $34,500 |
| CA | $10,500 | $19,500 | $29,000 | $37,500 |
| CT | $10,500 | $19,500 | $29,000 | $37,500 |
| FL | $10,000 | 18,000 | $26,500 | $34,500 |
| MA | $10,500 | $19,500 | $29,000 | $37,500 |
| NJ | $10,500 | $19,500 | $29,000 | $37,500 |
| NM | $10,500 | $19,500 | $29,000 | $37,500 |
| NY | $10,000 | $18,000 | $26,500 | $34,500 |
| TX | $10,000 | $18,000 | $26,500 | $34,500 |
Tesla solar panels cost table (after incentives)
| State | Small system cost | Medium System cost | Large System cost | Extra-large system cost |
|---|---|---|---|---|
| AZ | $6,400 | $12,320 | $18,610 | $24,530 |
| CA | $7,770 | $14,430 | $21,460 | $27,750 |
| CT | $7,770 | $14,430 | $21,460 | $27,750 |
| FL | $7,400 | $13,320 | $19,610 | $25,530 |
| MA | $6,770 | $13,430 | $20,460 | $26,750 |
| NJ | $6,232 | $11,353 | $16,844 | $21,596 |
| NM | $7,770 | 14,430 | $21,460 | $27,750 |
| NY | $4,900 | $8,820 | $14,610 | $20,530 |
| TX | $7,400 | $13,320 | $19,610 | $25,530 |
Cost of a medium (7.6 kW) solar system
| State | System Cost after Tax Credits |
Value Generated per Year |
25 Year Savings (including system cost) |
|---|---|---|---|
| AZ | $13,098 | $1,400 | $21,901 |
| CA | $15,162 | $2,100 | $37,338 |
| CT | $15,162 | $1,400 | $19,838 |
| MA | $14,162 | $1,400 | $20,838 |
| NJ | $15,162 | $1,200 | $14,838 |
| NM | $15,162 | $1,400 | $19,838 |
Is renting Tesla solar panels a good option?
Catherine Lane's article explains the details of the pros and cons of renting Tesla solar panels.
In short, you can rent your panels on a month by month basis from Tesla with the only caveat that you have to pay Tesla an unknown amount if you ever want them removed. Other than this shortcoming it is a great idea and allows renters and people who are unsure how long they will stay in their home to access the cost savings offered by solar. You save less than if you buy the system outright but you cans till save something with little risk. If you rent the system Tesla keeps the tax credit and any other incentives as they remain the owner of the panels.
Our advice is to buy the Tesla solar panels rather than rent them and look at other financing options if you need a zero down product. Other financing options will allow you to keep the tax credits.
Telsa Solar Panels are still offered through leases and PPA agreements in certain states, but they are a declining % of their sales
The companies also offer power-purchase agreements and leases. Under these agreements, the solar installer owns the solar system on the homeowner’s rooftop and the homeowner either pay a fixed payment for the system or pays for the power the system produces on a monthly basis. If you’re interested in going with one of the big installers you should also consider whether or not you’re looking for other home services. Each offers residential energy storage systems, for instance.
SolarCity is owned by Tesla and could soon offer electric vehicle (EV) chargers alongside its other services, for instance. Vivint Solar has partnered with Mercedes Benz to offer energy storage services and ChargePoint to offer its customers EV chargers. Its parent company Vivint offers security systems and home automation systems that it can also offer to Vivint Solar customers. Sunrun offers its BrightBox energy storage system which uses LG batteries.