Arizona solar rebates and incentives have been updated on the Arizona solar power information page here. I have to say, the state, the legislators, and utilities have come a long, long, way since our last review of the page. They’ve come a long way with rich incentives and a new net metering policy which requires most utilities to pay you for the extra solar juice your panels produce. Read the full Arizona page here, but here’s the bottom line: For an average 5kW system in the greater Phoenix area, this is what you get for solar rebates and incentives:
- Cost Before Incentives: $35,000 (5000watts x $7/watt) (Don’t panic!)
- State Rebate: Subtract $15,000 ($3/watt x 5000 watts)
- 30% Federal Tax Credit: Subtract $6,000 (calculated after State rebate)
- Arizona State Tax Credit: Subtract $1,000
- Years to Payback: 10 years (Using Net Metering and “Time of Use” TOU rate (Schedule ET-1) That means you get about 80% of your electric costs free after 10 years. Not bad.
Estimated NET Cost: $13,000
Oh, yeah. This helps too:
- Greenhouse Gas (CO2) Saved: 9618lbs/year, or similar to not driving 11,500 miles a year.
- New Monthly Electric Bill with Solar (First Year): What used to be a $100 average bill without solar is now about $15/month average.
Last modified: December 28, 2018