Are Solar Panels Worth It in Arizona? Data-Backed Analysis
✓
Yes
Solar panels are a strong investment in Arizona based on available data.
The Numbers
Average System Cost
$109,962
24.6 kW system
After Federal ITC
$76,973
30% tax credit applied
Total Installations
293,541
99% residential
Factors in Favor
- ✓293,541 installations demonstrate strong market adoption
- ✓Federal 30% Investment Tax Credit available to all homeowners
- ✓99% residential - strong homeowner adoption
Things to Consider
- !Above-average installation cost ($4.47/W vs national $4.18/W)
Arizona vs National Average
| Metric | Arizona | National |
|---|---|---|
| Cost per Watt | $4.47 | $4.18 |
| Total Installations | 293,541 | 3,426,466 |
| Total Capacity | 7,216 MW | - |
Frequently Asked Questions
The average solar system in Arizona costs approximately $109,962 (avg 24.6 kW system at $4.47/W). After the 30% federal ITC, your net cost would be around $76,973.
All Arizona homeowners are eligible for the federal 30% Investment Tax Credit (ITC), which reduces the cost by approximately $32,989. Additional state and local incentives may further reduce your costs. Visit our Arizona incentives page for a complete breakdown.
Arizona has 293,541 solar installations, showing strong market adoption. Combined with competitive costs and available incentives, solar is a strong investment in Arizona.
Source: LBNL Tracking the Sun, U.S. Department of Energy, EIA. Costs and savings are estimates based on average residential installations and may vary.