Are Solar Panels Worth It in Louisiana?

6 factors to consider before getting solar panels in Louisiana

ConsumerAffairs has heard from thousands of solar customers who have already gone through the installation process, including several from Louisiana. Here’s what to consider before making the switch.

1. Solar panel installation costs

2. Your energy consumption

3. How you pay

4. Louisiana solar incentives

5. How long you stay in your house

6. The solar company you hire

1. Solar panel installation costs

Average solar panel costs in Louisiana are comparable to the national average. A typical residential solar panel installation costs $29,484 in Louisiana.

Most installers set the price according to the system's wattage, with a typical cost between $2.50 and $5 per watt. “Cost per watt” is a little like looking at the price per square foot when you buy a house. It helps you compare the value of solar energy systems in different sizes. In Louisiana, the average cost per watt is $2.34.

Average solar panel costs by system size in Louisiana

NOTE: The estimated costs above do not include a solar storage battery. Adding a battery costs $7,000 to $18,000, which can double your total system costs.

2. Your current energy consumption

A typical Louisiana household needs a system with a capacity of 12.6 kW to offset its electricity needs with solar energy. Depending on your current energy consumption, you might need a larger or smaller system.

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

You get the most out of solar if your appliances are electric. Solar panels will save you even more if you also have an electric vehicle. (This may be obvious: Solar panels generate electricity. They won’t help you save on gas bills.)

Incidentally, it’s smart to get your electrical loads as low as possible before going solar. That way, you can get a smaller system, which will be cheaper overall. If you have older electrical appliances, upgrade those before investing in solar panels.

3. How you pay

Solar panel installations are expensive, but you don’t have to pay in full upfront.

• 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.

Monthly costs: solar payments vs. savings

Compare your expected solar payment and remaining utility bill with what you pay for electricity now. Also consider interest, fees and total loan costs.

4. Louisiana solar incentives

Solar incentives in Louisiana are limited. There’s no state solar tax credit, and the federal residential credit has also expired for new systems.

One benefit that remains is a property tax exemption. Qualifying solar equipment on an owner-occupied home generally won’t increase the home’s taxable value.

What to know about net metering in Louisiana

Louisiana’s net metering rules aren’t especially generous for newer solar customers. You pay the full retail rate for electricity you use from the grid, but you usually get much less for extra solar power you send back.

For many customers, 2026 export rates are around 3.6 to 4 cents per kWh, though the exact rate depends on your utility.

That means you’ll usually get more value from using your solar power at home — or storing it in a battery — than from sending it back to the grid. The biggest downside is that solar storage batteries are expensive: $7,000 to $18,000.

5. How long you plan to stay in your house

It takes years for electric bill savings to make up for the initial cost — about 12.2 years on average in Louisiana. If you sell your house and move before then, you might not fully realize the financial benefits of your solar investment.

A 2019 study found that, on average, houses with solar panels sell for 4.1% more. Let’s say you spend $25,000 putting solar panels on a house that costs $400,000. It might sell for $16,400 more in a few years, but you miss out on some of that $29,318 in total avoided utility costs over the system’s life span.

Solar panels last 25 to 30 years.

In other words, don't get solar panels just because you want to sell your house soon. Consider a home improvement project with a better return on investment, like remodeling the bathroom or kitchen, instead.

6. The solar company you hire

We’ve heard from several solar customers in Louisiana. In the best-case scenario, it’s easy to make the switch and you’re happy with your system’s performance. In the worst-case scenario, you end up paying thousands for midtier solar equipment from a company with poor customer service and no follow-up or support.

One of the most common complaints is related to pushy sales reps who make promises that can’t be delivered. That’s why it’s so important to thoroughly research and verify claims made by sales teams before making a decision.

Use NREL’s PVWatts Calculator to estimate how much electricity a solar panel can produce over a year on your house — just type in your address. Project Sunroof is a free solar savings estimator powered by Google Earth imagery.

Is my house a good candidate for solar panels?

Going solar ends up being worth it for many homeowners as long as their house is a good candidate to support the panel installation. Here’s what to think about before you commit:

• What is the condition of my roof? If you have to replace your roof, do that before you install solar panels. Solar panels are designed to last up to 30 years, so you want your roof to last just as long. Otherwise, it could cost thousands to remove the panels, fix your roof and reinstall the panels again.
• What is the size and angle of my roof? Louisiana (and the rest of the United States) is in the Northern Hemisphere, so solar panels perform best on south-facing roofs. The worst place to install would be on north-facing roofs, especially if those roofs have a high pitch. For example, if the only place you can install is a north-facing roof with a 30-degree pitch, your costs will likely go up by 30% to 40%.
• How much sunlight do I get? Solar panels need regular exposure to sunlight to produce the most energy possible. Louisiana averages 4 to 4.5 peak sun hours each day. However, lots of shading — like trees or tall buildings above your roof — could make your solar system less efficient.

Pros and cons of solar panels in Louisiana

It’s a common misconception that solar panels will totally eliminate your monthly power bill. This is not always the case. On the bright side, you’ll likely pay less each month than you would for traditional utility bills. 

Benefits of solar panels in Louisiana

• Cheaper energy bills: The average homeowner in Louisiana uses a lot of power, which adds up to a lot of savings when you switch to solar. Going solar now means your monthly energy expenses will be more predictable (and often much lower).
• More energy independence: With solar panels plus an energy storage battery, you’ll be less vulnerable to power outages. Solar panels also protect you from future energy cost increases.
• Better for the environment: Traditional energy sources like coal and natural gas release carbon dioxide and other harmful pollutants into the air. Installing solar panels on your roof helps the environment by reducing greenhouse gas emissions and dependence on fossil fuels.
• Higher home resale value: Installing solar panels can significantly increase a home's value. According to the above 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 sometimes seeing even higher boosts.

Drawbacks of solar panels in Louisiana

• Solar equipment is expensive: Even with rebates and other financial incentives, the price typically starts between $10,000 and $30,000. It’s even more expensive if you want a solar battery for energy storage. Solar battery costs are generally between $7,000 and $18,000. Getting a solar battery might be strategic if net billing rates continue to decline in Louisiana. That way, you can store energy at home instead of tapping into the local grid when needed.
• Potential roof leaks: The installation involves drilling holes into the roof to anchor the panel mounting systems. If not done correctly, this can lead to leaks or structural damage.
• Energy production varies: Solar panels are dependent on weather conditions and seasonality. Solar panels still work on cloudy days, but less available sunlight does affect how efficiently they produce energy.

» MORE: Solar energy pros and cons

Find solar companies in Louisiana

A good solar company helps you navigate local incentives, permitting and net metering policies. Compare our picks for Louisiana’s top solar companies to learn more.

Louisiana solar FAQ

Bottom line: Is going solar in Louisiana worth it for you?

Going solar in Louisiana might be easier than you think. The main obstacle to going solar is the high upfront cost of purchasing and installing solar panels, inverters and other equipment. For a lot of homeowners, it ends up being worth it as long as their cost savings over time outweigh the initial investment. Others are happy to go solar for the environmental benefits alone.

Solar costs vs. savings: Louisiana and nearby states