What Should You Pay For Solar In Kentucky?

Find Out For Your Home Based On Recent Installations In Your ZIP

Solar power in Kentucky

Last fact checked on July 24, 2019 by Catherine Lane

Kentucky residents don’t have access to as many solar incentives as residents in other states. Although there is room for improvement in the realm of solar incentives, Kentucky does have a great net metering policy that gives customers a credit on their utility bill for the full retail value of each excess kWh their solar system produces. 

The combination of the 30% federal tax credit and net metering creates the potential for a ton of savings on solar system installations in Kentucky. 


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Solar power in Kentucky

Kentucky solar power facts


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

10 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 7.98kW system

This 7.98kW system would offset 100% of your energy usage if your typical monthly bill in Kentucky is $119, however your situation may vary so try our solar calculator to get a result tailored to you.

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How much do solar panels cost in Kentucky

$3.65 per watt

Cash purchased solar system
Before 30% solar tax credit

$4.06 per watt

Financed solar system
Before 30% solar tax credit

N/A cents/kWh

Av. 15 year term, 2.5% price escalator

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

The advantage of installing solar panels in Kentucky is the state-mandated net metering requirement. Utilities must offer kilowatt hour (kWh) credits to their solar customers for excess energy generated by their solar systems. Customers of Tennessee Valley Authority (TVA) can take advantage of the Green Power Providers rebate to help lower the costs of installing a solar system.

SolarPowerRocks provides a great breakdown of solar incentives and policy for each state within the US.

The disadvantage of installing solar panels in Kentucky is that there is very little in the way of state and utility-based incentives. Also, Kentucky recently enacted a new law that drastically changes the future of net metering. Starting in 2020, new net metering customers will not receive the full retail rate for excess energy their solar system produces.  

The start of 2020 will bring a decrease of the federal tax credit, the end of the TVA rebate, and the elimination of full retail net metering, so the best time to go solar in Kentucky is right now!

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 Kentucky

Solar panels produce different amounts of energy in different locations.

Around the Frankfort area solar panels installed on a south facing 30 degree pitch roof will typically produce:

1,357kWh 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 electricity 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 Kentucky?

Net metering in Kentucky

Solar, by its nature, generates the most power during the middle of the day when most people are at work or school and little power is being used in the home. The net metering policy in Kentucky mandates that for every surplus kWh generated by solar (like the excess energy your system creates during the day) utilities must provide a credit that is equal to the full retail rate of electricity to offset costs on future bills. 

In 2019, Kentucky legislature passed Senate Bill 100, which is set to drastically change the future of net metering. Senate Bill 100 allows the Public Service Commission to determine what the rate credit of excess generation will be. This rate will likely be less than the retail rate.  



Tennessee Valley Authority Green Power Providers

Tennessee Valley Authority (TVA) teamed up with a select few local power companies to provide incentives for homeowners who go solar through the Green Power Providers program. Customers install a solar energy system on their home and TVA pays 9 cents for every kilowatt hour of energy generated by a system that is 10 kilowatts (kW) or less in size. Through this contract, TVA receives all renewable energy credits that are produced by the system. 

This program will close on December 31, 2019, so the sooner you install solar and apply to the program, the better!

Kentucky Solar Calculator

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


You can either use our full monthly 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 Kentucky using our full monthly 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 Kentucky

Check out all of the ways energy providers of Kentucky 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
Net Metering State Net Metering
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.