Solar comparison
New York vs New Jersey Solar: Payback, SRECs, and Incentives Compared
Compare New York and New Jersey residential solar: electricity rates, installation costs, NY-Sun vs NJ SREC programs, net metering, and payback.
Quick answer
What this comparison means
Both New York and New Jersey have high electricity rates and strong solar incentives, making them top solar states. New Jersey's SREC program (SuSI) pays $85–110 per MWh for 15 years, while New York's NY-Sun offers upfront rebates ($0.20–0.40/W). Net metering is favorable in both states. Payback is typically 5–9 years in both, with NJ slightly faster due to SREC income.
Comparison table
| Factor | Option A | Option B | Why it matters |
|---|---|---|---|
| Electricity rate | $0.29/kWh | $0.23/kWh | Both states have rates 50–100% above the national average. |
| Solar cost | $2.90/W | $2.75/W | NY install costs slightly higher in NYC metro; NJ costs competitive statewide. |
| Payback | 6-9 years | 6-8 years | Both repay in 5–9 years. NJ SREC income accelerates payback. |
| Main incentive | NY-Sun rebate ($0.20–0.40/W upfront, varies by region) | SuSI SREC program ($85–110/SREC, 15-year term) | NY incentive is upfront; NJ incentive is annual income. Both are strong. |
| Net metering | Full retail net metering (residential) | Full retail net metering (residential) | Both states offer 1:1 net metering. This is a major advantage for solar-only systems. |
| Property tax | 15-year property tax exemption for solar | Property tax exemption for solar (no expiration) | Both states protect solar from property tax reassessment. |
| Best next step | Check NY-Sun incentive availability in your utility territory | Check current SREC pricing and contract terms | Run state-specific numbers before comparing installer quotes. |
Data Sources
This comparison uses state electricity-rate ranges, local incentive context, net-metering rules, and solar production assumptions informed by NREL PVWatts-style modeling. Final quotes, utility tariffs, and interconnection rules can materially change the economics.
Assumptions
Payback and ROI are directional estimates, not financial advice. They assume typical residential roof conditions, stable household usage, currently available incentives, and separate treatment of battery backup value, financing costs, and installer-specific add-ons.