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Solar Panel Cost in Tucson, Arizona

Local pricing, savings, and net metering data for Tucson homeowners.

$1,460
Annual Savings
6.3 yrs
Payback Period
$9,238
Net Cost
$40,632
25-Year Savings

Cost & Savings Breakdown

Based on $150/month electric bill in Tucson

System Size
5.4 kW
Annual Production
10,282 kWh
Gross System Cost
$14,626
Federal Tax Credit (30%)
-$4,388
State Incentive
-$1,000
Net Cost
$9,238
Monthly Savings
$122
CO₂ Offset/yr
9,459 lbs

25-Year Savings Projection

-$8k$4k$16k$29k$41kBreakeven yr 6$41kyr 1yr 5yr 10yr 15yr 20yr 25

Utility & Net Metering

Local UtilityTucson Electric Power
Net Metering PolicyFull Retail
Compensation RateFull retail rate
Capacity Limit125% of annual consumption
Electricity Rate$0.142/kWh
Peak Sun Hours6.5 hrs/day

Available Incentives

30%
Federal ITC — Deduct 30% of your system cost from federal taxes. Available through 2032.
$1,000
Arizona State IncentiveArizona offers a 25% state tax credit up to $1,000.
View all Arizona incentives →

Common Questions

How much does solar cost in Tucson?

Solar in Tucson, Arizona costs approximately $14,626 for a 5.4 kW system. After the 30% federal tax credit, your net cost is about $9,238.

What is the solar payback period in Tucson?

The estimated payback period for solar in Tucson is 6.3 years, based on a $150/month electric bill and local sun hours of 6.5 hrs/day.

Does Tucson Electric Power offer net metering?

Tucson Electric Power offers Full Retail net metering. Full retail rate.

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