⚠️ The federal clean-energy tax credits were rolled back in 2026 (solar/battery credits ended Dec 31, 2025; the EV-charger credit June 30, 2026). State & utility rebates are now the main savings.
HomeStatesKentucky

Solar Panel Cost in Kentucky

Average costs, savings, and incentives for solar installations across Kentucky.

$2.80
Avg Cost/Watt
4.6 hrs/day
Peak Sun Hours
$0.112/kWh
Electricity Rate
Avoided Cost
Net Metering

Estimated Savings for a Typical Kentucky Home

Based on a standard 8 kW home system

System Size
8 kW
Gross Cost
$22,400
State Incentive
None
Net Cost
$22,400
Annual Savings
$1,204
Payback Period
18.6 yrs
25-Year Savings
$18,709
CO₂ Offset/yr
9,886 lbs

Kentucky Solar Incentives

Federal Tax Credit (Expired Dec 31, 2025)

The 30% federal Residential Clean Energy Credit ended for purchased systems on December 31, 2025. Homeowners buying with cash or a loan in 2026 can no longer claim it. A solar lease or PPA can still pass through a federal credit through 2027 — the installer claims it and lowers your payments.

Net Metering Policy: Avoided Cost

Top utility in Kentucky: LG&E and KU Energy. View full incentives detail →

Solar Costs by City in Kentucky

City Annual Savings Payback (yrs) Population Utility
Louisville$1,09620.4633,045LG&E and KU Energy
Lexington$1,18219322,570Kentucky Utilities
Bowling Green$1,28217.572,294LG&E and KU Energy
Owensboro$1,24118.159,012Kentucky Utilities
Covington$1,03021.740,956Duke Energy KY
Georgetown$1,31117.136,066Kentucky Utilities
Richmond$1,03221.735,696Kentucky Utilities
Florence$95423.532,408Duke Energy KY
Hopkinsville$1,09620.432,042Pennyrile Electric
Elizabethtown$1,32516.930,289LG&E and KU Energy

Solar Savings Calculator

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Quick Facts: Kentucky

  • ⚡ Avg rate: $0.112/kWh
  • 🌞 Peak sun: 4.6 hrs/day
  • 🏭 Top utility: LG&E and KU Energy
  • 📋 Net metering: Avoided Cost
View all Kentucky incentives →