Cost & Savings Breakdown
Based on $150/month electric bill in Madison
System Size
7 kW
Annual Production
10,210 kWh
Gross System Cost
$20,629
Federal Tax Credit (30%)
-$6,189
State Incentive
None
Net Cost
$14,441
Monthly Savings
$122
CO₂ Offset/yr
9,393 lbs
25-Year Savings Projection
Utility & Net Metering
Local UtilityAlabama Power
Net Metering PolicyAvoided Cost
Compensation RateAvoided cost rate
Capacity Limit25 kW limit
Electricity Rate$0.143/kWh
Peak Sun Hours5 hrs/day
Available Incentives
30%
Federal ITC — Deduct 30% of your system cost from federal taxes. Available through 2032.
Common Questions
How much does solar cost in Madison?
Solar in Madison, Alabama costs approximately $20,629 for a 7 kW system. After the 30% federal tax credit, your net cost is about $14,441.
What is the solar payback period in Madison?
The estimated payback period for solar in Madison is 9.9 years, based on a $150/month electric bill and local sun hours of 5 hrs/day.
Does Alabama Power offer net metering?
Alabama Power offers Avoided Cost net metering. Avoided cost rate.