Are Solar Panels Worth It in Georgia?

7 factors to consider before getting solar panels in Georgia

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

1. Solar panel installation costs

2. Your energy consumption

3. Georgia solar incentives

4. How much you can save

5. How long you stay in your house

6. How you pay

7. The solar company you hire

1. Solar panel installation costs

Average solar panel costs in Georgia are comparable to the national average. A typical 7-kW solar panel system costs $17,500. That doesn’t include a solar battery, which can add $7,000 to $18,000 to your total system costs.

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 Georgia, the average cost per watt is $2.50.

Average solar panel installation cost by system size in Georgia

2. Your current energy consumption

A typical Georgia household needs a 12.97 kW system to offset its electricity needs with solar energy. You might need a larger or smaller system, depending on your current energy consumption.

How to know what system size you need

Check your utility bills from the past 12 months and add up your total electricity use in kilowatt-hours (kWh). A solar installer can use that number to estimate the system size you need and how much of your electric bill solar could offset.

Once you know your current energy consumption, you can calculate your potential savings and the time it should take for your solar installation to pay for itself. In Georgia, solar panels usually pay for themselves within 10.1 years.

3. Georgia solar incentives

The 30% federal solar tax credit is gone, and Georgia doesn’t offer many statewide solar rebates or tax breaks, but there are still a few ways to lower costs. Some homeowners may qualify for utility financing, such as Central Georgia EMC’s PowerUp loan, or use FHA- or VA-backed mortgage programs to finance solar.

What to know about net billing in Georgia

Georgia doesn’t have traditional net metering for most new solar customers. Instead, utilities generally use net billing, which gives you credits for extra solar power you send to the grid — but usually at a lower rate than what you pay for electricity.

For Georgia Power customers, that means you’ll usually save more by using your solar power at home, or storing it in a battery, than by sending it back to the grid.

» MORE: Solar incentives in Georgia

4. How much you can save

Over 25 years, Georgia homeowners with solar panels can avoid approximately $45,038 in total utility costs. Your actual savings depend on how much electricity you use, local rates, your system size, financing costs and how much solar power your home can produce.

Not every system delivers the savings homeowners expect. Cory in Grovetown said their combined electric bill and solar payment left them spending about $80 more each month than before. They also said the savings estimate was based on less than a full year of electricity use, which made the projection less reliable.

Before you sign, compare your expected solar payment plus your remaining utility bill with what you pay for electricity now. If possible, make sure the estimate is based on a full 12 months of your actual energy use (not just a few recent bills).

5. How long you stay in your house

It takes years for electric bill savings to make up for the initial cost — about 10.1 years on average in Georgia. If you sell your house and move before then, you might not fully realize the financial benefits of your solar investment.

It’s true that solar panels can increase the value of your home. But they can also complicate a sale. This is especially true if you lease your system, since the buyer may need to take over the contract.

If you think you’ll move in the next couple of years, you may want to consider a home improvement project with a better return on investment, like a kitchen or bathroom remodel.

6. How you pay

If you can, it’s often financially strategic to pay for the whole thing upfront. You own the system from day one, plus you don’t have to pay interest on a loan. Of course, cash isn’t always an option. That’s when loans, leases and other agreements come into play.

• 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.

• Power purchase agreements are similar to solar leases. Instead of buying the panels, you agree to buy the electricity they produce at a set rate. The solar company owns and maintains the system, and contracts typically last 10 to 25 years.

» SOLAR PANELS: Lease vs. buy 

7. The solar company you hire

People have mixed experiences with solar companies. In the best-case scenario, it’s easy to make the switch and you’re happy with the system’s performance. In the worst-case scenario, you end up paying thousands for mid-tier 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 NLR’s PVWatts Calculator to estimate how much electricity a solar panel system can produce over a year on your house.

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 a solar panel installation. Here’s what to think about before you commit:

• How old are my appliances? The first step is to ensure that your electrical loads are as small as possible. If you have an older refrigerator or air conditioning unit, for instance, it’s smart to upgrade those before investing in solar panels. That way, you can get a smaller system, which will be cheaper overall.

• How much sunlight do I get? Solar panels need regular exposure to sunlight to produce the most energy possible. Georgia 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.

• What is the size and angle of my roof? North-facing roofs generally produce less electricity, especially with a steep pitch, so you may need more panels to meet your energy needs.

• 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.

Pros and cons of solar panels in Georgia

It’s a common misconception that solar panels will completely eliminate your monthly power bill. This is not always the case. Still, you’ll likely be paying less than you would for traditional utility bills.

​

Find solar companies in Georgia

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

Georgia solar FAQ

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

Solar panels are generally worth it if you like the idea of cheap, clean energy. The main drawback is the high upfront cost of purchasing and installing the equipment. On the bright side, once that’s paid for, solar panels can significantly reduce or even eliminate your electricity bills. For many Georgians, the long-term savings outweigh the upfront costs over time.

Solar costs vs. savings: Georgia and nearby states