Cost of Solar Panels in Arizona (2026)

How much do solar panels cost in Arizona?

Before considering any incentives, a typical solar panel system costs $10,686 to $21,372 in Arizona. Average prices in Phoenix are comparable, ranging from $10,333 to $20,665. It costs between $10,839 and $21,677 to go solar in Tucson.

System size, whether or not you want to add an energy storage battery and the condition of your roof can have a big impact on the overall costs.

Average solar panel costs by system size in Arizona

NOTE: The estimated costs above do not include the price of a solar storage battery. Adding a battery can double your total costs.

How to compare solar quotes

Get quotes from at least three to four different solar companies in Arizona. Make sure the estimated price includes all the equipment you want, labor, permits and grid hookup. Watch for hidden fees for system monitoring or maintenance service charges.

Solar prices in Arizona have decreased 42% over the last decade.

Most installers set the price according to the system's wattage. Similar to “cost per square foot” when buying a house, “cost per watt” allows you to compare the relative value of a solar panel system. It shows you the per-dollar price of your system’s energy production potential.

According to our latest research, the average cost per watt is $2.14 in Arizona.

Solar panel costs in Arizona

Are solar panels worth it in Arizona?

Lots of sunshine and generally solar-friendly policies make solar panels worth it for many homeowners in Arizona. One resident, Ray in Queen Creek, installed 18 solar panels on his 2,706-square-foot single-unit home in 2022. The system cost $14,000 after government incentives and rebates.

When we followed up with him to ask about his savings since switching to solar, he said his system consistently generates more than 1,000 kilowatt-hours (kWh) per month.

Arizona gets an average of 7 to 8 peak sunlight hours daily.

During the summer, he pays about $100 each month, even after weeks of triple-digit temperatures (significantly lower than his neighbor’s $600 bill). “My neighbors can’t believe what I’m paying,” he said. In the cooler months, his bill drops to under $30.

Ray’s advice to other Arizonans going solar: Do your research, especially regarding the choice of solar panels and the warranties offered. Use the National Renewable Energy Laboratory (NREL) PVWatts Calculator to estimate how much electricity a solar panel can produce over a year on your house.

Solar panel installation cost factors in Arizona

How much you pay to go solar largely depends on the size of your system, the equipment you want and the condition of your roof. Local permits and fees are a small part of your overall costs.

Size of your system

A typical Arizona household needs about a 7 kW system, which costs $14,980 on average. Depending on your household’s energy needs, you might need a smaller or larger system.

How to estimate what system size you need: First, look at your electric bill. It should say how many kilowatt-hours (kWh) you used last year. Then, divide that number by 1,200 to estimate your system size in kilowatts (kW).

For example, if you used 12,000 kWh of electricity last year, you would need a 10-kW system. If you used 10,800 kWh, you would need a 9-kW system.

Pro tip

Upgrade old appliances with more eco-friendly ones before you go solar. If you use less electricity, you need fewer solar panels, which makes the entire system more cost-effective.

» WATT’S THE DIFFERENCE? kW vs. kWh

Solar equipment

The equipment — panels, inverters, mounting hardware and other electrical accessories — is typically the largest portion of your overall solar costs (approximately 25% to 50%).

• Solar panels: Prices vary depending on efficiency rating. In general, monocrystalline panels are considered the best bang for your buck. Cheaper solar panels are typically polycrystalline.
• Solar batteries: The cost of solar batteries generally ranges between $7,000 and $18,000. Solar batteries store any excess energy your panels produce during the day, allowing you to keep your lights on at night. Without a battery, that unused clean energy goes to the power grid, and you’ll still depend on utility power after dark.
• Solar inverters: Inverters convert the solar power generated by your panels from direct current (DC) to alternating current (AC). Inverter costs usually range from $1,000 to $3,000.
• Monitoring system: Some companies include a solar monitoring system to track the amount of energy your system produces and identify any potential issues. If not, you can buy a stand-alone system for $80 to $400.

Condition of your roof

High-quality solar panels last 25 to 30 years, and your roof needs to last just as long.

ConsumerAffairs often hears from disgruntled solar customers who feel blindsided by expensive roof repairs needed after their solar panel installation was complete. This is a frustrating and expensive process — avoid it if you can.

“It took them more than six weeks to get a crew out to uninstall the panels and another three-plus weeks of constantly calling to schedule the reinstall after the roof was replaced,” Iqbal in Phoenix wrote in a review. “Not to mention that the removal and reinstall is costing me nearly $10,000 to get completed.”

Another solar customer, Cheryl in Florence, told us, “To replace the roof, the panels have to come off and must go back on for a cost of $3,900 in addition to the cost of the roof.”

» SHOULD YOU: Replace your roof before going solar?

Labor costs

Labor, which includes planning, preparing and connecting your solar system to the grid, accounts for 10% to 30% of total costs. Solar equipment costs are going down, but labor costs are still relatively high in some parts of the state.

You might be tempted to install the system yourself. DIY solar panels are cheaper, but there are potential issues: Incorrectly installed solar panels can cause roof leaks, electrical safety risks and other dangerous problems.

Local permits

You will need permits from your municipality before you begin work on your solar project. These fees range from $150 to $600 in most places in Arizona. The process is different depending on where you live in Arizona. For instance, you can submit your permit online in Maricopa County and through an app in Oro Valley.

Ongoing maintenance

Solar panels are relatively cheap to keep up with. If you clean the solar panels yourself, the only maintenance cost will be the water used to hose them down. Hiring a professional to clean your solar panels typically costs between $100 and $350.

Pro tip

If you have an electric car, ask about EV charger options. Homeowners in more rural parts of Arizona should also consider critter guards to protect the panels.

» RELATED: How many solar panels do you need for your house?

Regional solar considerations in Arizona

Whether going solar is worth it also depends on where you live in Arizona. Areas in the southwestern part of the state tend to get more sunlight than the northeast.

Since solar panels generate more power with more sunlight, this can affect the financial returns on your investment.

» STILL NOT SURE? Solar energy pros and cons

How can I pay for solar panels in Arizona?

Financing options and leasing programs make going solar much more affordable for the average Arizonan. In an ideal scenario, your solar power system generates enough extra power to cancel out your monthly payment.

• Solar financing: A solar loan works like any other type of home improvement loan. There’s an application and approval process. You pay it back over time (with interest) each month.
• Solar leases: Leasing solar panels lets you set up a system without the high upfront costs. A potential downside is that you are not eligible for the same financial incentives.
• Power purchase agreements: A solar power purchase agreement (PPA) is similar to leasing. You buy the power generated by the system on a per kilowatt-hour (kWh) basis. It’s a fixed price, and the cents/kWh is usually cheaper than the utility’s rate for the same amount of electricity.

» SOLAR PANELS: Lease vs. buy

Solar incentives in Arizona

With the federal solar tax credit expiring, it makes sense to take advantage of as many solar incentives in Arizona as possible, such as:

• State tax credit: Homeowners can claim 25% of the cost of solar equipment on personal state income taxes (up to $1,000).
• Sales tax exemption: You don’t have to pay state sales tax when you buy solar panels and similar equipment.
• Property tax exemption: For the purpose of property tax assessment, solar technology adds no taxable value to homes in Arizona.

You might also be eligible for local incentives. Mohave Electric Cooperative has a rebate program for homeowners investing in renewable energy, and the City of Scottsdale has a green building program encouraging residents to reduce their energy consumption.

Compare solar installation companies in Arizona

The best solar companies make it easy to switch, and customers are generally happy with their system’s performance.

FAQ

Bottom line

Home solar system costs typically range from $10,000 to $30,000 or higher, depending on factors such as the system's size, local labor rates and available incentives.

The ConsumerAffairs Research Team has conducted extensive research to compare the costs of going solar in Arizona and other states.

Solar costs vs. savings: Arizona and nearby states