Best Solar Companies in Raleigh

Should I go solar in Raleigh? What are the financial benefits?

Yes, it is generally worth going solar in Raleigh, North Carolina, for several reasons:

1. Sunshine: Raleigh gets an average of 255 days of sun per year, which is quite favorable for solar power generation.
2. Cost Savings: The total potential savings of installing solar in Raleigh is estimated to be around $1,690 annually.
3. Incentives and Rebates: Solar incentives and rebates can significantly reduce the cost of installing solar in Raleigh. The most significant incentive is the 30% federal solar tax credit, available to any taxpayer in the country when they purchase solar panels or battery storage.
4. Local Solar Installers: There are many top-rated solar companies in Raleigh, such as NC Solar Now, Blue Raven Solar, and Yes Solar Solutions, which offer various services including installation, maintenance, and financing options.
5. Environmental Impact: By producing clean energy with home solar panels, local residents are preserving Raleigh’s natural beauty and cutting home electricity costs.

*However, the exact worth of going solar can vary depending on specific factors such as your home’s solar potential, your current electricity usage, and the specific financing and pricing options offered by your chosen solar installer.

How much does solar save homeowners in Raleigh, North Carolina?

1. Average Cost of Electricity in Raleigh, NC: As of April 2024, the average residential electricity rate in Raleigh, NC is 15 ¢/kWh1. The average monthly electric bill for residential customers is $208/month, which is calculated by multiplying the average monthly consumption by the average electric rate1.
2. Cost of Solar Panels: The average cost of a 5 kW solar panel system in Raleigh, NC, before incentives, is about $13,487. Prices range from $11,464 to $15,510.
3. Savings with Solar Panels: If you pay for your system with cash, you’ll save about $19,509 over 20 years on electricity costs with a 5 kW system in Raleigh, NC2. This estimate is based on real solar quote data and considers your system’s cost, the federal tax credit, and inflation rates.
4. Net Metering Policies in North Carolina: Net metering allows you to earn credits for any excess solar electricity you send to the grid when your solar panel system generates more than you need. However, new net metering rules approved on March 23, 2023, will lower solar savings for Duke Energy customers3. The changes are expected to reduce the average solar shopper’s savings by approximately 20 percent. But, residents of North Carolina can lock in current net metering rates through 2026 by deciding to go solar and submitting a completed interconnection application by October 1, 2023.

While the upfront cost of solar panels can be significant, the long-term savings, combined with the benefits of net metering, can make it a worthwhile investment. It’s always a good idea to consult with a local solar provider for a more accurate assessment based on your specific situation.

What is the average cost of going solar in Raleigh, North Carolina?

The average cost of going solar in Raleigh by system size and estimated output performance:

• 3 kW System
  • Average Cost (Before ITC): $8,276
  • Average Cost (After ITC): $5,793
  • Estimated Output (kWh/day): 0.675
• 4 kW System
  • Average Cost (Before ITC): $11,034
  • Average Cost (After ITC): $7,724
  • Estimated Output (kWh/day): 0.9
• 5 kW System
  • Average Cost (Before ITC): $13,793
  • Average Cost (After ITC): $9,655
  • Estimated Output (kWh/day): 1.125
• 6 kW System
  • Average Cost (Before ITC): $16,552
  • Average Cost (After ITC): $11,586
  • Estimated Output (kWh/day): 1.35
• 7 kW System
  • Average Cost (Before ITC): $19,310
  • Average Cost (After ITC): $13,517
  • Estimated Output (kWh/day): 1.575
• 8 kW System
  • Average Cost (Before ITC): $22,069
  • Average Cost (After ITC): $15,448
  • Estimated Output (kWh/day): 1.8
• 9 kW System
  • Average Cost (Before ITC): $24,827
  • Average Cost (After ITC): $17,379
  • Estimated Output (kWh/day): 2.025
• 10 kW System
  • Average Cost (Before ITC): $27,586
  • Average Cost (After ITC): $19,310
  • Estimated Output (kWh/day): 2.25

*Please note that these are average estimates and the actual figures can vary based on factors like the specific solar system you choose, the orientation and tilt of your roof, and changes in electricity rates. It’s always a good idea to get quotes from multiple solar installers to understand the costs and savings specific to your situation.

Raleigh Solar Incentives & Rebates

Here are some of the key incentives, tax credits, and rebates available for solar installations in Raleigh, North Carolina:

1. Federal Solar Investment Tax Credits: This is a federal incentive that allows you to deduct 30% of the cost of installing a solar energy system from your federal taxes.
2. Duke Energy – NC Solar Rebate Program: Duke Energy offers a rebate program for residential, nonresidential, and nonprofit customers who install solar panels. The rebate rates are as follows:
   • Residential: $0.60/W-AC
   • Nonresidential: $0.50/W-AC
   • Nonprofit: $0.75/W-AC
3. Property Tax Abatement for Solar Electric Systems: This incentive allows for a property tax exemption on the added value of solar panel systems. Residential systems can receive 100% of the appraised value, while all other systems can receive 80% of the appraised value1
4. Active Solar Heating and Cooling Systems Exemption: This property tax incentive exempts the value of solar heating and cooling systems.
5. EnergyUnited (Electric) Residential Energy Efficiency Program: This program offers rebates for energy-efficient heat pumps.
6. Duke Energy (Electric) – Residential Energy Efficiency Rebate Program: This program offers rebates for various energy-efficient appliances and improvements.
7. NC GreenPower Production Incentive: This performance-based incentive varies by technology and system size.
8. Local Option – Financing Program for Renewable Energy and Energy Efficiency: This loan program is a local option available for renewable energy and energy efficiency projects.
9. Local Option – Green Building Incentives: This green building incentive is authorized by legislation for green buildings.
10. Duke Energy Progress – Residential Energy Efficiency Rebate Program: This program offers various rebates for energy-efficient appliances and improvements.

*Please note that these incentives and programs are subject to change, and it’s always a good idea to check with a local solar provider or the relevant utility company for the most current information. Also, the actual savings will depend on the specifics of the installation, including system size, orientation, and local electricity rates.

How Do I Apply for the Federal Solar Tax Credit?

Here’s a step-by-step guide on how to apply for the Federal Solar Tax Credit in Raleigh:

1. Gather Your Documents: Collect all the necessary documents related to your solar installation. This includes receipts and invoices from your solar installation, which will show the total cost of your solar system.
2. Fill Out IRS Form 5695: Download and fill out IRS Form 5695, Residential Energy Credits. On Form 5695, enter the full amount you paid to have your solar system installed in line 1.
3. Calculate Your Credit: Calculate the amount of your federal solar tax credit. This is done by taking the total cost of your system and multiplying it by 0.30. For example, if you spent $25,000 all-in on going solar (parts, labor, permits, etc), then your tax credit would be worth $7,500.
4. Complete Your Tax Return: Fill in Form 1040 as you normally would. When you get to line 5 of Schedule 3 (Form 1040), it’s time to switch to Form 5695.
5. Claim Your Credit: File Form 5695, Residential Energy Credits with your tax return to claim the credit. You must claim the credit for the tax year when the property is installed, not merely purchased.
6. Consult a Tax Professional: This guide does not constitute tax advice. Consult a licensed tax professional regarding your situation.

The Federal Solar Tax Credit is a significant incentive that can help reduce the cost of going solar. Make sure to take advantage of it if you’re eligible.