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Solar Cost by State 2026: Cheapest and Most Expensive States

Reviewedby Chen Wei

~13 min read

A 50-state solar cost table built from RenewableCalc's state data layer, including installed $/W, typical system cost, electricity rate, payback, net metering, and solar grade.

Solar cost by state is not just a sunshine ranking. Installed cost per watt, local electricity rates, export rules, and system size all change the economics. This data asset ranks every US state by installed solar cost per watt, then shows the full 50-state table for quote checks, reporting, and state-by-state solar planning.

Data Sources

Solar cost per watt

RenewableCalc states.ts data layer

Installed $/W assumptions are stored per state and currently reviewed through 2026-06-21. The page is regenerated from that data layer, not hand-edited state rows.

Electricity rates

EIA residential electricity benchmarks in states.ts

Rates are stored as dollars per kWh and used for solar ROI and payback planning estimates.

Solar production context

NREL / PVWatts-derived sun-hour assumptions in states.ts

Peak sun-hour assumptions support state-level solar planning and calculator defaults.

Policy context

State PUC, utility, and DSIRE-derived fields in states.ts

Net metering and state incentive notes are planning references. This page does not assume a 2026 federal residential solar tax credit; verify current tax and utility rules before purchase decisions.

Key findings

Across the 50-state dataset, the average installed solar cost is $2.73/W, the average modeled residential system is 8.0 kW, and the average upfront system cost before incentives is about $21,802. The average modeled payback is 8.5 years. The cheapest state by installed cost per watt is Arizona at $2.40/W, while the highest-cost state is Alaska at $3.50/W. The fastest modeled payback in the current data layer is California at 6 years. Cost per watt is only one input: high electricity prices can make an expensive solar market attractive, while low electricity prices can stretch payback even when installation costs are low.

Cheapest states for solar by cost per watt

These are the 10 lowest-cost states in the current data layer. The ranking uses installed cost per watt before incentives, then shows typical system size and modeled payback for context.

RankStateSolar costTypical systemEst. upfront costElectricity ratePaybackNet meteringGrade
1Arizona$2.40/W8.0 kW$19,200$0.16/kWh7 yrsNet metering (export credit at avoided cost rate ~$0.09-0.10/kWh)A
2Kansas$2.45/W8.5 kW$20,825$0.15/kWh9 yrsVaries by utility; no statewide mandateC
3Nevada$2.45/W7.5 kW$18,375$0.14/kWh8 yrsNet metering (tiered, ~75-95% of retail rate)A
4Oklahoma$2.45/W8.5 kW$20,825$0.14/kWh8 yrsNet metering at avoided cost rateC
5Arkansas$2.50/W9.0 kW$22,500$0.14/kWh8 yrsFull retail net metering (1:1 credit)D
6Idaho$2.50/W8.0 kW$20,000$0.13/kWh8 yrsNet metering at retail rate (Idaho Power/Rocky Mountain Power)B
7Nebraska$2.50/W8.5 kW$21,250$0.13/kWh9 yrsNet metering at avoided cost rateC
8New Mexico$2.50/W8.0 kW$20,000$0.15/kWh6 yrsFull retail net meteringA
9Texas$2.50/W8.0 kW$20,000$0.16/kWh9 yrsVaries by utility, no statewide mandateB
10Alabama$2.55/W9.0 kW$22,950$0.17/kWh9 yrsVaries by utility, no statewide mandateD

Most expensive states for solar by cost per watt

Higher installed cost does not always mean poor economics. Hawaii, Massachusetts, and New York have high installed costs, but high electricity prices and strong local solar economics can still keep payback competitive.

RankStateSolar costTypical systemEst. upfront costElectricity ratePaybackNet meteringGrade
1Alaska$3.50/W6.0 kW$21,000$0.27/kWh14 yrsFull retail net metering (up to 25 kW)D
2Rhode Island$3.20/W7.0 kW$22,400$0.30/kWh8 yrsFull retail net meteringA
3Massachusetts$3.20/W7.5 kW$24,000$0.30/kWh7 yrsFull retail net metering + SMART incentivesS
4Vermont$3.10/W7.0 kW$21,700$0.24/kWh9 yrsFull retail net meteringA
5Maine$3.10/W7.0 kW$21,700$0.28/kWh10 yrsNet energy billing (retail rate credit)B
6Connecticut$3.10/W8.0 kW$24,800$0.30/kWh8 yrsNet metering at retail rate + monthly credit rolloverA
7New York$3.00/W7.0 kW$21,000$0.29/kWh7 yrsFull retail net metering (up to system size limit)S
8New Hampshire$3.00/W7.0 kW$21,000$0.27/kWh8 yrsFull retail net meteringB
9Hawaii$3.00/W6.0 kW$18,000$0.42/kWh6 yrsNet metering capped/closed to new customers; replaced by CGS+ and Smart Export programsS
10Wisconsin$2.90/W8.0 kW$23,200$0.19/kWh10 yrsFull retail net meteringC

Full 50-state solar cost table

Use this table as a quote-checking reference, not as an installer bid. A real quote can differ because of roof complexity, panel choice, electrical upgrades, battery storage, permitting, financing, and local labor.

RankStateSolar costTypical systemEst. upfront costElectricity ratePaybackNet meteringGrade
1Arizona$2.40/W8.0 kW$19,200$0.16/kWh7 yrsNet metering (export credit at avoided cost rate ~$0.09-0.10/kWh)A
2Kansas$2.45/W8.5 kW$20,825$0.15/kWh9 yrsVaries by utility; no statewide mandateC
3Nevada$2.45/W7.5 kW$18,375$0.14/kWh8 yrsNet metering (tiered, ~75-95% of retail rate)A
4Oklahoma$2.45/W8.5 kW$20,825$0.14/kWh8 yrsNet metering at avoided cost rateC
5Arkansas$2.50/W9.0 kW$22,500$0.14/kWh8 yrsFull retail net metering (1:1 credit)D
6Idaho$2.50/W8.0 kW$20,000$0.13/kWh8 yrsNet metering at retail rate (Idaho Power/Rocky Mountain Power)B
7Nebraska$2.50/W8.5 kW$21,250$0.13/kWh9 yrsNet metering at avoided cost rateC
8New Mexico$2.50/W8.0 kW$20,000$0.15/kWh6 yrsFull retail net meteringA
9Texas$2.50/W8.0 kW$20,000$0.16/kWh9 yrsVaries by utility, no statewide mandateB
10Alabama$2.55/W9.0 kW$22,950$0.17/kWh9 yrsVaries by utility, no statewide mandateD
11Georgia$2.55/W9.0 kW$22,950$0.15/kWh9 yrsNo net metering mandate (Georgia Power offers avoided cost rate ~$0.03-0.04/kWh)C
12Kentucky$2.55/W8.5 kW$21,675$0.15/kWh9 yrsNet metering at retail rate (capped)D
13Louisiana$2.55/W9.0 kW$22,950$0.14/kWh8 yrsFull retail net meteringC
14Mississippi$2.55/W9.0 kW$22,950$0.16/kWh9 yrsNet metering at avoided cost rateD
15North Carolina$2.55/W9.0 kW$22,950$0.16/kWh8 yrsNet metering at retail rate (Duke Energy)B
16South Carolina$2.55/W9.0 kW$22,950$0.16/kWh7 yrsNet metering at avoided cost rateB
17Tennessee$2.55/W9.0 kW$22,950$0.15/kWh9 yrsNo net metering mandate (TVA offers $0.02/kWh premium)C
18Florida$2.60/W8.5 kW$22,100$0.15/kWh8 yrsFull retail net metering (subject to legislative changes)A
19Indiana$2.60/W8.5 kW$22,100$0.18/kWh9 yrsNet metering at retail rate (being phased to avoided cost by 2027)C
20Iowa$2.60/W8.0 kW$20,800$0.13/kWh7 yrsFull retail net meteringC
21South Dakota$2.60/W9.0 kW$23,400$0.14/kWh9 yrsVaries by utility; limited net meteringC
22Utah$2.60/W8.0 kW$20,800$0.13/kWh8 yrsNet metering at avoided cost rate (Rocky Mountain Power)B
23Wyoming$2.60/W8.5 kW$22,100$0.14/kWh10 yrsNet metering at avoided cost rateC
24Missouri$2.65/W8.5 kW$22,525$0.13/kWh9 yrsNet metering at avoided cost rate (some utilities offer retail)C
25Colorado$2.70/W8.0 kW$21,600$0.17/kWh8 yrsNet metering at retail rate (Xcel Energy territory); avoided cost elsewhereA
26Montana$2.70/W8.0 kW$21,600$0.13/kWh10 yrsNet metering at retail rate (NorthWestern Energy)C
27North Dakota$2.70/W8.5 kW$22,950$0.12/kWh11 yrsNet metering at avoided cost rateC
28Ohio$2.70/W8.5 kW$22,950$0.19/kWh9 yrsNet metering at retail rate (subject to caps)C
29Virginia$2.70/W9.0 kW$24,300$0.17/kWh8 yrsNet metering at retail rate (Dominion Energy)B
30Washington$2.70/W8.0 kW$21,600$0.14/kWh10 yrsFull retail net metering (annual credit)B
31West Virginia$2.70/W8.0 kW$21,600$0.16/kWh10 yrsNet metering at retail rate (capped at 3%)D
32California$2.80/W6.0 kW$16,800$0.33/kWh6 yrsNet billing (NEM 3.0, export rates ~$0.05-0.08/kWh)S
33Delaware$2.80/W8.0 kW$22,400$0.18/kWh7 yrsFull retail net metering + SREC marketB
34Illinois$2.80/W8.0 kW$22,400$0.19/kWh8 yrsFull retail net meteringB
35Maryland$2.80/W8.0 kW$22,400$0.22/kWh7 yrsFull retail net meteringB
36Oregon$2.80/W7.5 kW$21,000$0.15/kWh9 yrsFull retail net meteringB
37Pennsylvania$2.80/W8.0 kW$22,400$0.21/kWh9 yrsFull retail net meteringC
38Michigan$2.90/W8.0 kW$23,200$0.21/kWh10 yrsNet metering at retail rate (distributed generation)C
39Minnesota$2.90/W7.5 kW$21,750$0.15/kWh8 yrsFull retail net meteringB
40New Jersey$2.90/W8.0 kW$23,200$0.23/kWh7 yrsNet metering at retail rateA
41Wisconsin$2.90/W8.0 kW$23,200$0.19/kWh10 yrsFull retail net meteringC
42Hawaii$3.00/W6.0 kW$18,000$0.42/kWh6 yrsNet metering capped/closed to new customers; replaced by CGS+ and Smart Export programsS
43New Hampshire$3.00/W7.0 kW$21,000$0.27/kWh8 yrsFull retail net meteringB
44New York$3.00/W7.0 kW$21,000$0.29/kWh7 yrsFull retail net metering (up to system size limit)S
45Connecticut$3.10/W8.0 kW$24,800$0.30/kWh8 yrsNet metering at retail rate + monthly credit rolloverA
46Maine$3.10/W7.0 kW$21,700$0.28/kWh10 yrsNet energy billing (retail rate credit)B
47Vermont$3.10/W7.0 kW$21,700$0.24/kWh9 yrsFull retail net meteringA
48Massachusetts$3.20/W7.5 kW$24,000$0.30/kWh7 yrsFull retail net metering + SMART incentivesS
49Rhode Island$3.20/W7.0 kW$22,400$0.30/kWh8 yrsFull retail net meteringA
50Alaska$3.50/W6.0 kW$21,000$0.27/kWh14 yrsFull retail net metering (up to 25 kW)D

Methodology

This page is generated from lib/data/states.ts, which is the same state data layer used by RenewableCalc's solar calculators and state pages. The estimated upfront cost is: estimated upfront cost = solarCostPerWatt x avgSystemSize x 1,000 The ranking sorts states by installed solar cost per watt before incentives. Electricity rate, payback, net metering, and solar grade are displayed as context fields so readers can distinguish cheap installation markets from high-ROI markets. For 2026 planning, this page does not default to a federal residential solar tax credit. State incentives, utility export rates, tax treatment, and program eligibility should be verified before signing a contract.

How to use this dataset

For homeowners, compare a quote's $/W against the state row first. If a quote is materially above the state benchmark, look for a clear reason: battery storage, premium equipment, roof work, service-panel upgrades, unusual permitting, financing costs, or a small system size that pushes fixed costs higher. For writers and researchers, cite the table as a planning dataset and link to the exact URL. The row values come from one maintained data layer, which makes the table easier to refresh than a hand-edited roundup.

Cite this page

> RenewableCalc. "Solar Cost by State 2026: Cheapest and Most Expensive States." Data layer reviewed 2026-07-03; state data latest refresh 2026-06-21. https://rencalc.com/en/articles/solar-cost-by-state-2026

Next step

Run a personalized estimate after checking the state benchmark. The Solar ROI Calculator applies your bill, state, system size, and project assumptions so you can compare a real quote against the planning range.

Quick questions

What is the main takeaway from Solar Cost by State 2026: Cheapest and Most Expensive States?

Solar cost by state is not just a sunshine ranking. Installed cost per watt, local electricity rates, export rules, and system size all change the economics. This data asset ranks every US state by installed solar cost per watt, then shows the full 50-state table for quote checks, reporting, and state-by-state solar planning.

Should I use a calculator before making a clean energy decision?

Yes. A calculator helps turn general advice into an estimate based on your usage, local electricity rate, equipment assumptions, and savings goal.

Are RenewableCalc estimates a quote or guarantee?

No. RenewableCalc estimates are planning tools. Final pricing, incentives, utility tariffs, tax treatment, and installer quotes can change the result.