Cost of solar in Albuquerque, NM

Electricity Consumption in Albuquerque

Electricity Consumption by New Mexico residents averages 656 kWh per month. It ranks #13 in the nation for savings from installing solar panels on the home.

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Solar power in Albuquerque, New Mexico

As an Albuquerque resident you most likely purchase your power from PNM.

What solar incentives do PNM offer in my city?

PNM is required by law to provide a program called net metering to all their solar customers. Net metering means that at times like during the middle of the day when your solar system is producing more power than needed to service your home the excess generation is sent to PNM via the grid and PNM must credit that power at their retail rate in the form of credit on your bill.

What will net metering make my bill look like?

Your electric bill on net metering entirely depends on how much power your home draws from the grid and how much power your solar system exports to the grid. For example if your home drew 800kWh of power from the grid at times your solar couldn't service your homes demand but your solar system exported 800kWh of excess generation you would not receive an electric bill. 

In the example above the only bill you would receive would be a minimum service charge which varies based on which rate you're on but is normally about $10-$20 per month.

What if my solar system exports more energy than I draw from the grid?

in any given month if you solar system has exported more energy than what was drawn from the grid each kWh is still valued at 1 for 1 with the retail electric rate and is carried over to the next month.

If any credit remains at the end of the yearly billing cycle PNM will value each kWh of credit at the avoided cost rate (about 3-4 cents) and deposit the balance into your account directly.

PNM's REC program

Unfortunately REC payments are currently set at $0.0025/kWh which would make the average solar owner in Albuqurque about $20 per year. Considering the contract term is only 8 years and the application fee is $150 this incentive is barely worth the paperwork.

How does the 30% federal solar tax credit affect me?

Any one with an income tax liability is eligible to claim 30% of the cost of a solar system as a deduction to federal taxes. There is also no dollar limit to this incentive.

What if my tax liability is less than 30% of my solar system cost?

If you owe less in tax than 30% of the cost of your system you may elect to receive the full tax credit in increments over several years.

 

Even if you are not convinced about solar we recommend that at the very least you use the solar panel calculator to find out:

 

Estimate your solar savings

 

Solar power in New Mexico

The average cost of installing residential solar panels in Albuquerque, New Mexico in 2018 is $3.52 per watt. The average system size in the US is 6 kilowatts, which means the average price of a solar system in Albuquerque, NM is $17,600. (before claiming 30% tax credit and other rebates)

What does the cost of a real solar system look like?

Facts about installing a 2.19kW solar system in Albuquerque, NM

This system would offset 100% of your energy usage if your typical monthly bill is $61, however your situation may vary so try our solar calculator to get a result tailored to you.

$6,055

Net cost of system
Cash - after 30% solar tax credit

7 Years 2 Months

Average payback time

3,519
kWh

Annual power production


/kWh

levilized cost of solar energy

37¢
/kWh

If you don't get solar
The forecast average utility price over the next 25 years

Cash flow graph based on cash purchase of this 2.19kW system

Life-time savings on this system over the next 25 years

$23,821

(Prices shown after repayments of capital)

 


 

Solar companies in Albuquerque, NM that provide pricing through the Solar-Estimate marketplace

33

 


Solar calculator and quote comparison tool

Average total cost of solar panel installation in New Mexico

System Size Cash purchase
After 30% solar tax credit
Financed purchase
After 30% solar tax credit
3kw $8,106 $8,754
4kw $10,500 $11,340
5kw $12,740 $13,759
6kw $14,784 $15,967
7kw $16,709 $18,046
8kw $18,480 $19,958
9kw $20,097 $21,705
10kw $21,560 $23,285

 

Design your own solar panel system for your home

Going solar in New Mexico

Check out all of the ways energy providers of New Mexico can help you be more energy efficient and save money.

The following programs are available:
Incentive Name Eligibility Type
Residential Renewable Energy Tax Credit Federal Personal Tax Credit
Find your local rebates and incentives

Please keep in mind that the best source of up-to-date information on incentives are the solar installers who specialize in your area.