Cost of solar panels in Delaware

How much do solar panels cost in Delaware?

Installing residential solar panels generally costs between $10,000 to $30,000 or more, with individual costs varying. Your system's size is a big factor in how much you pay overall. Not surprisingly, systems with less power output typically cost less. The average size of solar systems in Delaware is 9.5 kilowatts (kW).

To determine what size system you need, start by looking at how much electricity you used in the last year in kilowatt-hours (kWh). You’ll find this information through your electric account dashboard online. Then, divide your annual kWh by 1,200 to find the necessary system size.

For example, the typical Delaware household uses 11,400 kWh per year. Using this formula, the typical household would need a 9.5-kW system.

» WATT’S THE DIFFERENCE? kW vs. kWh

Average cost by system size in Delaware 

Are solar panels worth it in Delaware?

Delaware has a good climate for solar panels. People who go solar there often do it to save money and gain more energy independence, like Robert in Claymont. He told us he dreams “of a day no money [is] spent to the electrical company.”

We’ve talked to other solar customers all over the state. While many in Delaware are happy with their solar systems, not everybody gets the deal they expected. Some experience delays in getting their solar projects online, partly due to grid connection issues and a backlog of project applications, according to the Delaware Business Times.

Delaware receives an average of 3 to 3.5 hours of peak sun hours daily.

Others tell us about inadequate energy production and hidden fees, even if the contract looks great at first.

One resident, Fuji in Middletown, said the contract looked “great on paper” but advised others to look out for hidden fees and shoddy installation. Fuji’s system only generates about half of their energy needs, and they ended up paying more each month than before going solar.

Solar is still worth considering in Delaware. It’s just extra important to do your research so you get the most out of it. If you do it right, you can actually make money, like Christopher in Newark. He said he makes “money every quarter” and has had “zero electricity bills” since going solar.

» MORE: Are solar panels worth it?

Cost factors of going solar in Delaware

The cost of your solar setup isn't just about slapping some panels on your roof and calling it a day. Many factors affect the price, from the equipment you choose to the condition of your roof and how you decide to pay.

Solar equipment costs

When it comes to equipment, there are solar panels, inverters and batteries to think about. All of these components have separate price tags, so make sure you know what you're getting into.

Solar panels come in all shapes and sizes, and their efficiency can vary. The panels' size, weight and efficiency all play a role in how much you end up paying. In Delaware, you can expect to pay around $2.58 per watt.

Inverters are what turn the solar energy into usable electricity for your home. They run around $1,000 and $3,000.

Solar batteries store any extra juice for later. These can add an extra $7,000 to $18,000 to your total costs.

Condition of your roof

Quality solar panels can last 25 to 30 years, but you're setting yourself up for a headache if your roof is on its last legs. If your roof needs repairs or replacement down the line, you'll need to remove those panels, fix the roof and then put the panels back up.

It’s as expensive and frustrating as it sounds, so make sure your roof is in good shape before installing solar panels.

» LEARN MORE: Should you replace your roof before going solar?

How you pay

If you want to finance your solar setup, you can apply for a solar loan, but keep in mind that interest will add to your overall costs. Leasing is another route, often with little or no down payment required. Read the fine print to understand how leasing affects your long-term costs and what happens when the lease term is up.

You could also go with a power purchase agreement (PPA). Under a PPA, a third-party company owns the solar panels. You purchase the electricity generated by the panels at a fixed rate.

» SOLAR PANELS: Lease vs. buy

Local permits and fees

Depending on where you live in Delaware, you might need various permits to install your solar panels legally. These come with fees, and while they're usually not overly expensive, they're still something you'll need to budget for.

Other cost factors

Solar panels are pretty low-maintenance, but there are still some costs. You might need to replace a component here or there, and periodic cleaning is a must. Some people opt for system monitoring (if it isn’t already included), which can increase your costs by $80 to $400.

Solar incentives, tax credits and rebates in Delaware

The average ITC value in Delaware is $$7,353 in 2023.

The federal solar investment tax credit (ITC) is the biggest factor in reducing the cost of going solar in Delaware. If you install a residential solar panel system by the end of 2032, you will receive a federal income tax credit worth 30% of your solar system's total cost — including equipment, labor and permits. The credit drops to 26% in 2033 and 22% in 2034.

Delaware also offers some local incentives. There are three rebate programs for solar energy systems and water heaters that can snag you up to $8,000. Residents can also earn from their solar production through net metering and the solar renewable energy credits (SREC) program.

» EXPLORE: Delaware solar incentives

Compare solar installation companies in Delaware

Compare popular solar companies available in Delaware below. Read our guide to finding the best solar companies for more.

» TIPS: Getting the best solar quotes

Bottom line

Solar panels aren’t very popular in Delaware despite the state having a good climate for them. On average, you could save an estimated $29,016 over 25 years by making the switch. When you factor in those long-term savings, plus net metering and solar renewable energy credits, you could potentially get quite a bit out of installing a solar system.

» STILL NOT SURE? Solar energy pros and cons

Solar costs: Delaware vs. nearby states