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Cost of Solar Panels in Arkansas (2026)

How much is it to go solar in the Natural State?

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    Edited by: Justin Martino
    man installing solar panels on building roof

    A typical residential solar panel installation costs $34,248 in Arkansas. How much you actually pay depends on the size of your system and other factors.

    Based on feedback from several solar customers in Arkansas, the investment can pay off over time. But it's not always worth it. On average, Arkansas homeowners with solar panels avoid $44,741 in total utility costs over 25 years.


    Key insights

    In Arkansas, the average solar panel installation costs $2.38 per watt. “Cost per watt” is similar to the price per square foot when you buy a house. It helps you compare the value of solar energy systems in different sizes.

    Jump to insight

    The federal solar tax credit expired at the end of 2025, but you might still be eligible for other solar incentives.

    Jump to insight

    Assuming an upfront purchase, it takes about 11.8 years to break even (when your savings with solar panels make up for the cost).

    Jump to insight

    How much do solar panels cost in Arkansas?

    The average cost to install solar panels in Arkansas ranges from $11,900 to $23,800. 

    This doesn’t include the cost of a solar storage battery, which can add $7,000 to $18,000 to your total system costs. A battery can help you rely less on the grid and is practically essential for an off-grid system.

    The size of your solar panel system is another big factor in your overall solar costs. The average size of solar energy systems in Arkansas is 14.39 kW (kilowatts). Depending on your household energy usage, you might need a smaller or larger system.

    Solar panel costs by system size in Arkansas

    Are solar panels worth it in Arkansas?

    We think solar panels are worth it in Arkansas. A solar power system is a good investment if you want to save money on future electric bills and reduce your carbon footprint.

    It also makes sense for energy independence. For example, Joe in Mountain View installed solar panels on a cabin for the cost savings. “There's no electricity down there and this is the sole electrical source,” Joe said. “There's no telling what it would have cost me to get electricity there.”

    Nationally, homeowners with solar panels typically save $20,000 to $90,000 over 25 years.

    Just be sure you understand the deal you’re getting. Curt in Benton was excited to go solar but had a negative experience with a solar company. He said reps misled him about Arkansas’ net metering rate and overall costs.

    If your house is a good candidate for solar, it’s worth it if you like the idea of lower monthly utility bills and more energy independence. Over 25 years, homeowners with solar panels avoid $44,741 in utility costs on average. If you also have an electric vehicle, solar panels will save you even more.

    » STILL NOT SURE? Solar energy pros and cons

    Solar panel installation cost factors in Arkansas

    The equipment — solar panels, inverters, mounting hardware and other electrical accessories — is typically the largest portion of your overall total costs (approximately 25% to 50%). Labor, which includes planning, preparing and connecting your system to the grid, accounts for 10% to 30%. Local permits and fees are a small part of your overall costs.

    Solar panels

    The cost of solar panels varies based on the solar panel efficiency and the size and weight of your panels. In Arkansas, you can expect to pay around $2.85 per watt for solar panels. Here are some average costs you can expect for other equipment:

    Condition of your roof

    Quality solar panels should last 25 to 30 years, and your roof needs to last just as long. If you want to ensure a seamless and cost-effective solar journey, your roof must match the system's longevity. Get your roof inspected, fixed or replaced before you go solar.

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

    Labor costs

    Solar equipment costs are going down, but labor costs are higher than ever in some areas. Installing solar panels yourself might initially seem cheaper because you'll save on labor costs. However, it's crucial to consider several factors for safety before going the do-it-yourself route. If not installed correctly, solar panels pose safety risks, causing roof leaks and other problems.

    Solar incentives in Arkansas

    The 30% federal residential solar tax expired at the end of 2025, and there are relatively few statewide solar incentives in Arkansas. However, net metering is still available.

    Net metering lets you earn credits for extra solar power sent to the grid.

    Most new Arkansas solar customers receive credits at a lower, utility-set rate rather than the full retail electricity rate. That means you generally save more by using your solar power at home.

    Some customers who qualified under older rules can still receive full kilowatt-hour credits through 2040.

    How can I pay for solar panels in Arkansas?

    Financing and leasing makes the upfront costs of solar more manageable.

    • Solar loans work 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.

    • Leasing solar panels lets you set up a system without the high upfront costs. Monthly payments usually range $150 to $250. Agreements last 20 to 25 years.

    » SOLAR PANELS: Lease vs. buy

    How to save money on solar panels in Arkansas

    There’s no way around it: Solar panel installations are expensive. Here are some tips to maximize your savings on solar panels in Arkansas:

    • Compare quotes: Get quotes from at least three or four different solar companies.
    • Lower your electrical load: For example, replacing an old refrigerator with a more eco-friendly one reduces your electric load, which also helps lower your utility bill. If you use less electricity, you need fewer solar panels, making the whole system cheaper.

    » MORE: Why are solar panels so expensive?

    Compare solar installation companies in Arkansas

    We compared ratings and reviews, equipment options, warranties, availability and other factors to pick the top solar companies in Arkansas.

    Simplify your search

    Switch to solar with a system built for you.

      FAQ

      Will hail damage my solar panels?

      Yes, hail can damage solar panels, but you shouldn’t let that deter you from installing them. Many solar panels can withstand smaller hail. The cost of fixing any damage that does occur may be covered by your homeowners insurance.

      Can I get free solar panels in Arkansas?

      You can lease solar equipment with minimal upfront costs. However, we’re not aware of a totally free solar option in Arkansas. Solar scams that promise free solar panels often, unfortunately, end up costing people quite a bit of money.

      How are solar costs trending in Arkansas?

      The cost to go solar in Arkansas has fallen 47% over the last 10 years, according to the Solar Energy Industries Association.

      How does net metering work in Arkansas?

      If your solar panels make more electricity than your home needs, you can send the extra power to the grid and earn bill credits. How much those credits are worth depends on your utility.

      Residential systems are generally limited to 25 kW, though your utility may approve a smaller system based on how much electricity you use.

      » EXPLORE: Where your solar savings go the furthest

      Will solar panels increase the value of my home?

      Installing solar panels can significantly increase a home's value. According to a Zillow study, homes with solar panels sell for 4.1% more on average. The exact increase in value varies by location, with homes in active solar markets seeing higher boosts.

      Bottom line

      The ConsumerAffairs Research Team has conducted extensive research to compare the costs of going solar in Arkansas and other states. Even though Arkansas isn’t the best state for solar, it still ends up being worth it for a lot of residents.

      Solar costs vs. savings: Arkansas and nearby states

      *For 100% usage offset; **Over 25 years

      Article sources
      ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
      1. DSIRE, "Arkansas Programs." Accessed Sept. 8, 2026.
      2. EnergySage, "The cost of solar panels in Arkansas." Accessed Sept. 8, 2026.
      3. Solar Energy Industries Association, "Arkansas Solar." Accessed Sept. 8, 2026.
      4. SolarReviews, "How much do solar panels cost in Arkansas?" Accessed Sept. 8, 2026.
      5. Arkansas Democrat-Gazette, “Solar power bill sent to governor's desk.” Accessed Sept. 8, 2026.
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