Arizona ranks #8 in America for savings from installing solar panels on your home

Solar power in Arizona

Arizona is one of the best states to install solar in. The combination of a federal and state level tax credit mean solar is cheaper than ever.

Arizona also has the highest level of solar irradiation in the entire United States so solar produces about 180% more than what it does in places such as New York. With excellent incentives and amazing sun coverage solar for your home or business is a no brainer in Arizona.


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Solar power in Arizona

Arizona solar power facts


Average cost of a 5kw solar power system in 2019
Price shown before incentives

6 Years 5 Months

Average payback time


Average lifetime savings
Price shown after repayments of capital


levelized cost of solar energy


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


Annual power production

Cash flow graph based on cash purchase of a 10.3kW system

This 10.3kW system would offset 100% of your energy usage if your typical monthly bill in Arizona is $250, however your situation may vary so try our solar calculator to get a result tailored to you.

Solar companies in Arizona that provide pricing through the Solar-Estimate marketplace


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How much do solar panels cost in Arizona

$3.73 per watt

Cash purchased solar system
Before 30% solar tax credit

$4.14 per watt

Financed solar system
Before 30% solar tax credit

16.9¢ cents/kWh

Av. 15 year term, 2.5% price escalator
See local solar panel cost data for your city

What are the pros and cons of buying solar panels for your home in Arizona

The advantages of installing solar panels is there is both net metering and the federal tax credit. In addition, Arizona produces the most electricity from solar in the whole country so less panels are needed to wipe out your bill.

The disadvantage of installing solar panels Incentives aren't as impressive in some states but overall still above average there is no reason to not go solar in Arizona. Enter your details to calculate the cost and savings you are likely to get from installing solar panels for your home.

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Best brands of solar panels

To find the best brands of solar panels you can use America's most trusted solar panel comparison and reviews website, SolarReviews.

However, reviews of solar panels can be a bit meaningless because most consumer owners have not had any issues and so whilst solar company reviews are very important when choosing solar installers they are of less use when choosing solar panels.

For more information to help you make an informed decision about this topic, I would recommend this article about buying solar panels.


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How much electricity will solar panels produce in Arizona

Solar panels produce different amounts of energy in different locations.

Around the Phoenix area solar panels installed on a south facing 23.5 degree pitch roof will typically produce:

1,752kWh per year per 1kw of peak DC (direct current) capacity

For more information about how your location, roof direction and roof tilt affects solar power production use the solar panels calculator and enter your zipcode below.


See how much electricty your solar panels could produce

I want to buy a solar panel kit and install it myself

What rebates, solar tax credits and other solar incentives are available in Arizona?

Aside from the federal solar tax credit, Arizona residents can also receive a state tax credit for 25% of the system cost. Unfortunately, this incentive is capped at only $1,000 but is still a nice bonus.



Net Metering in Arizona

Net metering is the process of crediting excess energy from a solar system. Especially in Arizona solar systems will frequently produce more energy than the home needs. The excess energy is sent to the power grid, net metering requires your utility to pay you for this energy at the same rate you purchase power at.

Arizona net metering is a little funny. For APS (Arizona's largest utility) they offer a "solar export tariff" of $0.1161 per kiloWatt-hour. Since $0.1161 is pretty close to the retail electric rate this is essentially net metering but isn't dictated by current power prices. Another difference is that APS will only compensate you at this rate for 10 years instead of 20-25 years like most net metering contracts.

As for Salt River Project (Arizona's next largest utility), they offer net metering but require you to switch to a time-of-use rate plan. On time-of-use, your power price varies depending on the time of day, so the credit you receive for your exported solar energy will depend on the time it's exported. Unlike APS, Salt River Projects net metering contract is for 20 years.

In short, Arizona does offer some net metering however, not all utilities are obliged to provide it.



Simplified Arizona Interconnection guidelines

No statewide guidelines are in place so it can be a slight headache but I wouldn't worry as your local solar pros handle all this.

Arizona Solar Calculator

Regardless of what you want to know about the economics of installing solar panels for your home or business in Arizona we have a solar calculator that can show you exactly the information your require.


You can either use our full monty solar calculator that shows you everything you could possibly want to know or you can use one of our range of smaller calculators for specific solar calculations that focus on providing you only with the specific information you require.



What you can find out about installing solar panels in Arizona using our full monty solar calculator

This solar calculator requires you to input your address, utility company, your average monthly power spend - It tells you:

If you want to see all of the above but also see live pricing, the three best solar deals available in your city and get binding quotes from each of these solar companies then use this solar panels calculator. This calculator requires you to also input your name and contact details because most of our 200+ installer partners will only authorize the sharing of their live solar pricing where we have validated that you are a real homeowner with a home in their service area. We respect the privacy of your data and only share your contact details with the solar companies you ask us to get binding quotes from.


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Going solar in Arizona

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

The following programs are available:
Find your local rebates and incentives

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