See how much it will cost to install solar panels for your home in New York
See how much it will cost to install solar panels for your home in New York
Solar power in New York
Last fact-checked on March 12, 2020, by Evan Nicoles
New York has an array of solar incentives available to home and business owners looking to go solar.
In 2014, New York announced a new strategy, Reforming the Energy Vision (REV), to strengthen and modernize The Empire State’s energy system. Through REV, the Clean Energy Fund (CEF) was developed to provide funding for programs such as NY-Sun, a leader in solar funding and financing options for the state.
New York is striving to reach aggressive renewable energy goals through their Clean Energy Standard. The goal is to derive 50% of the energy consumed by the state from renewable resources and to reduce greenhouse gas emissions by 40% by 2030. It is likely that the state will continue to fund solar incentives and financing programs in order to meet these objectives.
The objectives of REV combined with an ambitious Clean Energy Standard and high utility power costs makes New York one of the best states to go solar.
Compare solar quotes from the top solar companies in New York
New York solar power facts
$3.84 watt
Average cost: 5kW solar power system
?6 Years 1 Month
Average payback time
$131,667
Average lifetime savings
?6¢ kWh
Levelized cost of solar energy
40¢ kWh
If you don't get solar
?17,035 kWh
Annual power production
Cash flow graph based on cash purchase of a 13.89kW system
This 13.89kW system would offset 100% of your energy usage if your typical monthly bill in New York is $318, however, your situation may vary so try our solar calculator to get a result tailored to you.
How much can solar panels save you in New York
Average total cost of solar panel installation in New York
| System Size | Cash purchase After 26% solar tax credit |
Financed purchase After 26% solar tax credit |
|---|---|---|
| 3kw | $9,013 | $9,734 |
| 4kw | $11,692 | $12,627 |
| 5kw | $14,208 | $15,345 |
| 6kw | $16,517 | $17,838 |
| 7kw | $18,700 | $20,196 |
| 8kw | $20,720 | $22,378 |
| 9kw | $22,577 | $24,384 |
| 10kw | $24,272 | $26,214 |
How much do solar panels cost in New York?
$3.84 per watt
Cash purchased solar system
Before 26% solar tax credit
$4.29 per watt
Financed solar system
Before 26% solar tax credit
$18.7¢ /kWh
Lease/PPA
Ave 15 year term, 2.5% price escalator
What are the pros and cons of installing solar panels in New York?
The advantage of installing solar panels is that both state-based incentives and the federal tax credit are available. New York also has one of the best overall returns on investment for residential solar panels in the nation because of expensive utility rates. With REV and the Clean Energy Standard, it seems that the transition to solar will be supported well into the future in The Empire State.
SolarPowerRocks provides a great breakdown of solar incentives and policy for each state within the US.
The disadvantage of installing solar panels is that there is less overall solar irradiation per year, so a solar system in New York produces less than a system could in other states. However, local incentives more than make up for this. New York homeowners will be kicking themselves if they don’t install solar panels while the state’s generous incentives are still around.
Enter your details to calculate the cost and savings you are likely to get from installing solar panels for your home.
Best solar companies in New York
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How much electricity will solar panels produce in New York
Solar panels produce different amounts of energy in different locations.
Around the New York area solar panels installed on a south-facing 27-degree pitch roof will typically produce:
1,230kWh
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 zip code.
I want to buy a solar panel kit and install it myself
What rebates, solar tax credits and other solar incentives are available in New York?
New York Residential Solar Tax Credit
New York offers a state-based tax credit for new solar generation systems equal to 25% of the costs of a qualified solar system, up to $5,000.
If the amount you receive as a credit exceeds your taxes for the year, the unused portion of your credit can be carried forward for up to 5 years.
For example, if your state income tax is $3,000 and your tax credit is equal to $4,000, you will have $1,000 in credit that will be applied to the next year’s income tax.
NY-Sun MW block incentive
NY-Sun created the MW block incentive system to help reduce the cost of solar installations. Through this program, the state is broken into three regions:
- The Con Edison Region (NYC and Westchester County)
- Long Island Region, and
- Upstate Region (remainder of the state)
Each region was given a capacity allocation that was broken up into “blocks”, with each block having a different cap for the amount of watts that can be installed. The incentive amount decreases as you move from block to block.
For example, the Con Edison region is currently in Block 8 which has a capacity of 70,000 kW with an incentive of $0.30 per watt installed. This means 70,000 kW of solar can be installed before moving to Block 9. Everyone who goes solar within Block 8 will receive $0.30 per watt they install on their home. When Block 8 has reached its capacity, it will move to Block 9, where you only receive $0.20 per watt installed. So the sooner you install, the better.
In fact, if you install a 5 kW system in the Con Edison region now, you are entitled to a $1,500 rebate. If you wait until the end of the program, you will only receive $1,000.
NY-Sun also runs the Affordable Solar program where they double the size of your rebate depending on your income level.
The MW block program has already closed in the Long Island Region, and the ConEdison and the Upstate Region blocks are filling up fast. The time to switch to solar is now!
NY-Sun financing options
NY-Sun offers two loan options for homeowners: On-Bill Recovery and Smart Energy Loans. Loans are available for amounts ranging from $1,500 to $25,000, depending on your qualifications. Loan terms can be over the course of 5, 10, or 15 years.
On-Bill Recovery loans add installation costs as a new line item on your monthly utility bill, ensuring that the energy savings you get from solar cover the loan payment. What’s nice about this option is that if you move, the unpaid balance of the loan can be transferred to the new homeowner.
Smart Energy Loans are repaid through installments that go directly to the New York State Energy Research and Development Authority’s loan servicer.
New York Solar Calculator
Regardless of what you want to know about the economics of installing solar panels for your home or business in New York, we have a solar calculator that can show you exactly the information you require.
What you can find out about installing solar panels in New York 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:
- What size solar system do you need?
- Answers the question of how many solar panels do I need?
- How many square feet of roof space you need for solar panels
- Solar electricity production in annual kWh (kilowatt-hours) you can expect from your solar system in New York
- The value of solar tax credits and other incentives you are entitled to based on the estimated size of system you need, your location and your utility provider.
- Likely cost based on an average of prices charged for solar systems of that size in the last year in New York or New York ;
- The likely payback period on your solar panels and your investment return.
- Your total lifetime solar savings based on each of the major solar finance options, a cash purchase, a cash purchase funded with a HELOC sol (home equity line of credit) and a zero-down PPA or third party lease product.
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 New York 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.
Going solar in New York
Check out all of the ways energy providers of New York 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 |
| Residential Solar State Tax Credit | State | Personal Tax Credit |
| Property Tax Exemption | State | Property Tax Incentive |
| Solar Sales Tax Exemption | State | Sales Tax Incentive |
| Value of Distributed Energy Resources - Phase One Net Metering | State | Net Metering |
| NY-Sun Smart Energy Loan | State | Loan Program |
| NYSERDA Retail Energy Storage Incentive Program | State | Battery Rebate |
| Net Metering | State | Net Metering |
| NY-Sun Affordable Solar Program | State | Low-Income Program |
| NY-Sun Megawatt Block Program - Con Edison - Block 9 | Utility | Rebate Program |
| NY-Sun Megawatt Block Program - Upstate Region - Block 8 | Utility | Rebate Program |
| NY-Sun Megawatt Block Program - Con Edison Region - Block 8 | Utility | Rebate Program |
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 is the solar installers who specialize in your area.
