Solar power in Montgomery, Alabama
Alabama Power Company offers its Montgomery solar customers a net metering program. The utility will pay customers for the excess generation their solar system produces at a rate referred to as the “rate of purchase of alternative energy”. This rate is less than the retail rate of electricity. The rate you receive for excess energy in Alabama varies depending on what time of day and what time of year the energy was produced. Although the rate you receive is less than the retail rate, it is still extra money in your pocket that can be used to cover your utility bill costs.
Montgomery residents can also take advantage of the federal solar tax credit. The tax credit is equal to 30% of the cost of a solar system and is applied to your federal income taxes. In some cases, the credit could wipe out your entire tax bill for a year! The combination of the federal tax credit and Alabama Power Company’s net metering program can provide you with a great return on investment when installing a solar system in Alabama.
Even if you are not convinced about solar we recommend that at the very least you use the solar panel calculator to find out:
- How many solar panels you need to cover your power bill;
- How suitable your house is for solar;
- What incentives your house may be eligible for;
- The cost of solar panel installation in Montgomery and whether you are eligible for zero down solar deals; and
- Your likely payback period and return on investment from installing solar
Estimate your solar savings
The average cost of installing residential solar panels in Montgomery, Alabama in 2019 is $3.34 per watt. The average system size in the US is 6 kilowatts, which means the average price of a solar system in Montgomery, AL is $16,700. (before claiming 30% tax credit and other rebates)
What does the cost of a real solar system look like?
Facts about installing a 10.12kW solar system in Montgomery, AL
This system would offset 100% of your energy usage if your typical monthly bill is $154, however your situation may vary so try our solar calculator to get a result tailored to you.
Net cost of system
Cash - after 30% solar tax credit
6 Years 4 Months
Average payback time
Annual power production
levilized cost of solar energy
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 10.12kW system
Life-time savings on this system over the next 25 years
(Prices shown after repayments of capital)
Average total cost of solar panel installation in Alabama
|System Size||Cash purchase
After 30% solar tax credit
After 30% solar tax credit
Design your own solar panel system for your home
Going solar in Alabama
Check out all of the ways energy providers of Alabama can help you be more energy efficient and save money.
The following programs are available:
|Residential Renewable Energy Tax Credit||Federal||Personal Tax Credit|
|Tennessee Valley Authority - Green Power Providers||Utility||Performance-Based Incentive|
|Local Option - Sales and Use Tax Exemption||State||Sales Tax Incentive|
|Local Option - Property Tax Exemption||State||Property Tax Incentive|
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.