Are Solar Panels Worth It in Maine?

6 factors to consider before getting solar panels in Maine

ConsumerAffairs has heard from thousands of solar customers who have already gone through the installation process. It’s generally worth it if you like the idea of lowering your monthly utility bills, helping the environment and gaining more energy independence. But it doesn’t work out for everyone. Here’s what to consider before making the switch.

1. Solar panel installation costs

2. Your energy consumption

3. Maine solar incentives

4. How you pay

5. How long you live in your house

6. The solar company you hire

1. Solar panel installation costs

Average solar panel costs in Maine are comparable to the national average. A typical residential solar panel installation costs $22,176 in Maine. That doesn’t include a solar battery, which can add $7,000 to $18,000 to your total system costs.

Some homeowners pair solar with battery storage for more energy independence and backup power during outages. Grid-tied systems need battery storage or another backup setup to keep powering a home during an outage.

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 Maine, the average cost per watt is only $2.88.

Solar panel costs by system size in Maine

2. Your current energy consumption

Look at your most recent utility bills to see how much electricity your house needs each month. This tells you what size and capacity your solar system needs to be. A typical Maine household needs a 7.7 kW system to offset its electricity needs with solar energy. You might need a larger or smaller system, depending on your current energy consumption.

Maine has some of the highest electricity costs in the country, and it’s not likely they'll go down anytime soon. Switching to solar now is a smart way to make your monthly utility bills more predictable.

3. Maine solar incentives

The 30% federal residential solar tax credit has expired, and Maine doesn’t offer many direct solar incentives. Homeowners may still save through a property tax exemption, battery programs and financing options.

• Property tax exemption: Qualifying solar equipment generally won’t increase your property tax bill.

• Battery incentives: Eligible homeowners can earn payments for sharing stored battery power with the grid during high-demand periods.

• Time-of-use savings: Central Maine Power customers may save by charging a battery when electricity is cheaper and using it when rates are higher.

What to know about net energy billing in Maine

Maine uses net energy billing instead of traditional net metering. This means that homeowners with solar panels can earn credits for extra solar power sent to the grid and use those credits to offset electricity they buy later. Unused credits expire after 12 months.

» EXPLORE: Maine solar incentives

4. How you pay

Solar loans are one common way Maine homeowners pay for solar. Some loans require little or no money down, although interest increases your total cost over time.

Leasing solar panels is another way to go solar with little upfront cost. You make monthly payments to use a system owned by a third party, typically for 20 to 25 years.

5. How long you plan to stay in your house

Solar panel installations are expensive, and it takes years for electric bill savings to make up for the initial cost. Solar panels typically pay for themselves within 16.68 years in Maine. If you sell your house and move before then, you might not fully realize the financial benefits of your solar investment.

A 2019 Zillow 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 $30,419 in total avoided utility costs over 25 years.

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

6. The solar company you hire

People have had 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.

» COMPARE: Best solar companies

Pros and cons of solar panels in Maine

It’s a common misconception that solar panels will completely eliminate your monthly power bill — this is not always the case. Maine gets less sunlight than many southern states, so homeowners may need a larger system to offset the same amount of electricity 

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 ask yourself 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. Maine averages three to five 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? Maine (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. North-facing roofs generally produce less solar energy, especially at steeper pitches, so you may need a larger system to offset the same amount of electricity.

• 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.

Find solar companies in Maine

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

Maine solar FAQ

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

Going solar in Maine might be easier than you think. The main obstacle 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. 

Solar costs vs. savings: Maine and nearby states