Cost & Savings Breakdown
Based on $150/month electric bill in Ann Arbor
System Size
5.9 kW
Annual Production
7,449 kWh
Gross System Cost
$18,391
Federal Tax Credit (30%)
-$5,517
State Incentive
-$500
Net Cost
$12,374
Monthly Savings
$122
CO₂ Offset/yr
6,853 lbs
25-Year Savings Projection
Utility & Net Metering
Local UtilityDTE Energy
Net Metering PolicyFull Retail
Compensation RateFull retail rate
Capacity Limit150% of annual consumption
Electricity Rate$0.196/kWh
Peak Sun Hours4.3 hrs/day
Available Incentives
30%
Federal ITC — Deduct 30% of your system cost from federal taxes. Available through 2032.
$500
Michigan State Incentive — Michigan offers a property tax exemption for solar installations.
Common Questions
How much does solar cost in Ann Arbor?
Solar in Ann Arbor, Michigan costs approximately $18,391 for a 5.9 kW system. After the 30% federal tax credit, your net cost is about $12,374.
What is the solar payback period in Ann Arbor?
The estimated payback period for solar in Ann Arbor is 8.5 years, based on a $150/month electric bill and local sun hours of 4.3 hrs/day.
Does DTE Energy offer net metering?
DTE Energy offers Full Retail net metering. Full retail rate.