Arkansas · Net metering

AR Net Metering

Sets the billing terms for excess solar generation sent back to the grid by residential customers in Arkansas -- see the credit rate and how it shapes payback below.

Avoided cost rate
stated benefit
Residential
eligible customers
17.2 yr
Arkansas baseline payback
2
other Arkansas programs

What it means

In Arkansas, a 6 kW system already pays back in about 17.2 years on ~$959/year of modeled savings, and the AR Net Metering stacks on top of that, on top of any federal credit.

Avoided cost r…
stated benefit
17.2 yr
baseline payback (pre-incentive)
3
Arkansas programs that stack
full
net-metering policy

Payback and savings are modeled from public NREL/EIA data; the program benefit is summarized from DSIRE and may change.

Program description

Arkansas net metering provides monthly credits for excess generation at utility avoided cost.

Program at a glance

Program type
Net metering
Eligible customers
Residential
Stated benefit
Avoided cost rate
State electricity rate
11.4¢/kWh
Arkansas solar score
24/100

How Arkansas compares to the U.S. average

Why this incentive matters more (or less) here - Arkansas's solar fundamentals against the national average.

Irradiance
Arkansas: 4.8 kWh/m²/day
U.S. avg: 4.82 kWh/m²/day
Electricity rate
Arkansas: 11.4¢/kWh
U.S. avg: 15.98¢/kWh
Modeled payback
Arkansas: 17.2 yr
U.S. avg: 14.2 yr

Source: NREL irradiance and U.S. EIA rates; payback modeled by PlainSolarData. Bars are scaled to the larger of the two values per metric.

Solar's trajectory in Arkansas

The market this incentive operates in: total installed solar capacity in Arkansas reported to the EIA.

-500 MW0 MW500 MW1.0 GW1.5 GW2.0 GW 2015201620172018201920202021202220232024 1.8 GW
Arkansas now has about 1.8 GW of installed solar, the backdrop programs like this one are built on.

Source: U.S. Energy Information Administration, installed solar nameplate capacity As of 2024

Arkansas's solar incentive stack

How this net metering sits among Arkansas's 2 tracked programs, by type

programs

What this shows Arkansas tracks 2 incentive types; net metering (1 program) governs the billing side, while the state's other tracked types handle upfront cost or ongoing payments.

Source DSIRE incentives registry As of 2024

How this incentive fits Arkansas's solar picture

The AR Net Metering governs how Arkansas credits excess solar generation sent back to the grid, one of the state's DSIRE-tracked solar policies. Eligibility is scoped to residential customers, with a stated benefit of Avoided cost rate. DSIRE lists no scheduled sunset, though enabling legislation and appropriations can still be revised year to year.

That baseline is slower than most states, which raises the stakes for every incentive on the table. Arkansas averages 4.8 kWh/m²/day of usable sunlight and residential rates of 11.4¢/kWh, producing an estimated 8,410 kWh/year and $959 of annual utility offset on a typical 6 kW system costing $16,500. That baseline already implies a 17.2-year simple payback and a 25-year modeled net of roughly $7,475 before this incentive - every dollar this net metering delivers compresses that payback further.

A handful of other levers are worth checking alongside this one. Arkansas has 3 solar incentive programs indexed in DSIRE, including adjacent options like AR Solar Property Tax Exemption. The state's net-metering policy is classified as full, which governs how excess generation is credited and often decides whether a given program is worth claiming for a specific household.

Your next step

  • See Arkansas's full solar profile, score, irradiance, rates, payback, and every program you can claim. Arkansas solar data
  • Run the savings calculator with your real bill to see how this incentive changes your own payback. ROI calculator
  • See how net-metering credits are valued state by state. Net-metering guide

Estimates here are modeled from public data and are not financial advice; confirm program terms and your own eligibility before relying on a dollar figure.

Frequently asked questions

What is the AR Net Metering?
The AR Net Metering is a net metering available to residential solar customers in Arkansas. The stated benefit is Avoided cost rate.
How does the AR Net Metering work?
Arkansas net metering provides monthly credits for excess generation at utility avoided cost.
Who is eligible for the AR Net Metering?
The program is available to residential customers in Arkansas. Check the official program page for current eligibility requirements and deadlines.
How does this incentive affect solar ROI in Arkansas?
Arkansas has an estimated 17.2-year payback for a 6 kW system before incentives, with about $959/year in modeled savings. A net metering like this lowers upfront cost or raises annual return, shortening that payback. Run the calculator for a figure based on your own bill.
Are there other solar incentives in Arkansas?
Yes - Arkansas has 3 solar incentive programs tracked in DSIRE, including AR Solar Property Tax Exemption. State programs are designed to stack on top of any available federal solar tax credit rather than replace it.

Incentive data from the DSIRE (Database of State Incentives for Renewables & Efficiency); state solar economics from NREL and the U.S. EIA. See our methodology.