State solar profile · #51 of 51
Solar in Alaska: cost, payback & incentives
What a typical home should expect from solar in Alaska - sunshine, electricity rates, modeled payback, and the 2 incentive programs that change the math, built from NREL, EIA, and DSIRE data.
- 3.4
- kWh/m²/day irradiance
- 22.5¢
- avg electricity rate
- 17 yr
- payback (#43)
- 2
- incentive programs
The verdict
Alaska scores 10/100 for solar - #51 of 51 - with a modeled 17-year payback and roughly $10,700 net over 25 years on a typical 6 kW system before any incentives.
- 10/100
- solar score (#51)
- 17 yr
- modeled payback (#43)
- $1,340
- modeled annual savings
- full
- net-metering policy
All figures are modeled from public NREL/EIA/DSIRE data for a typical 6 kW system; your result depends on roof, shading, utility tariff, and installer pricing.
Alaska at a glance
3.4
irradiance (kWh/m²/day)
22.5¢
electricity rate (per kWh)
$22,800
6 kW system cost
17 yr
est. payback (#43)
5,957
kWh/year (6 kW)
$1,340
annual savings
25-year ROI for a 6 kW system
$22,800
system cost
$1,340/yr
modeled savings
17 yr
break-even
+$10,700
25-year net
Estimates from state averages; actual results vary by system size, roof orientation, shading, utility rate, and installer pricing. Run a personalized estimate →
Where Alaska sits nationally
Every state by sunshine (left-to-right) and payback speed (faster toward the bottom). Alaska is highlighted, its position shows whether sun or electricity rates drive its return.
Alaska (highlighted): 3.4 kWh/m²/day, 17-yr modeled payback - slower than the national average.
What the data says about solar in Alaska
Alaska ranks #51 of 51 with a composite solar score of 10/100 (Marginal). The score blends inputs from NREL and EIA: average irradiance of 3.4 kWh/m²/day, residential electricity at 22.5¢/kWh, a turnkey 6 kW installed cost of $22,800 ($3.80/W), and 2 tracked state and utility incentive programs.
On those inputs, a 6 kW array here is modeled to generate roughly 5,957 kWh/year and offset about $1,340 in annual utility spending at the state's average rate, an estimated 17-year simple payback (#43 of 51 for speed to break-even) and a projected +$10,700 net position over a 25-year horizon before utility-rate escalation.
Policy matters as much as physics. Alaska's net-metering framework is classified as full, which governs how exported generation is credited, and its renewable portfolio standard is: None. The 2 active programs tracked in DSIRE include tax exemption and grant types, each can stack to compress payback. Notable programs include Alaska Renewable Energy Fund. Note that the 30% federal residential solar tax credit (§25D) ended for systems placed in service after December 31, 2025, so state and utility incentives now carry more of the economics, confirm current federal rules with the IRS and your tax advisor.
Solar & grid details
- Net-metering policy
- full
- Renewable portfolio standard
- None
- Installed cost / watt
- $3.80/W
- Annual production (6 kW)
- 5,957 kWh
- Installed capacity (EIA 2024)
- 8 MW
- Notable programs
- Alaska Renewable Energy Fund
Top incentive programs
2 programs available for Alaska residents
All Alaska solar incentives (2)
Your next step
How to act on Alaska's numbers.
- Run the savings calculator with your real electricity bill, the figures above use state averages, not your usage. Calculate for Alaska
- Check net-metering and SREC value before signing, in a "full" state, export compensation often decides the return. Net-metering guide
- Stack Alaska's 2 incentive programs, each lowers net cost or raises annual return. See all programs
Modeled estimates from public data, not financial advice; a binding figure requires a site-specific assessment from a licensed installer.
Solar resource from NREL; electricity rates and installed capacity from the U.S. EIA; incentive programs from DSIRE. See our methodology.