What is the solar score for Arizona?

Arizona has a solar score of 61/100 (Strong), ranking #3 of 51. The composite blends solar irradiance (6.5 kWh/m²/day, 40%), incentive density (30%), and modeled payback (30%).

How long does it take for solar panels to pay for themselves in Arizona?

The estimated payback for a 6 kW system in Arizona is 10.3 years, ranking #8 of 51 for speed to break-even. At a $15,900 system cost and $1,537/year modeled savings, that implies +$22,525 net over 25 years before rate escalation.

How much does a solar system cost in Arizona?

A 6 kW residential system in Arizona averages $15,900 before incentives, or $2.65 per watt. Arizona has 4 tracked state and utility incentive programs that can lower net cost.

How much electricity do solar panels produce in Arizona?

A 6 kW system in Arizona produces an estimated 11,388 kWh/year, based on average irradiance of 6.5 kWh/m²/day. Actual output varies with roof orientation, shading, and panel efficiency.

What solar incentives are available in Arizona?

Arizona offers 4 solar incentive programs including tax exemption, net metering, rebate, and more. Net metering here is classified as full.

Does Arizona have net metering for solar?

Arizona's net-metering policy is classified as "full." Homeowners receive full retail credit for excess solar exported to the grid.

State solar profile · #3 of 51

Solar in Arizona: fast modeled payback

Name: Arizona Solar Data, Cost, Incentives & ROI
Creator: PlainSolarData
Published: 2024-10-01
License: https://creativecommons.org/publicdomain/zero/1.0/

Arizona clears a modeled 10.3-yr break-even (#8 of 51) at 13.5¢/kWh and 6.5 kWh/m²/day, with 4 DSIRE programs in the stack.

6.5
kWh/m²/day irradiance: 13.5¢
avg electricity rate: 10.3 yr
payback (#8): 4
incentive programs

61 Strong

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EIA nameplate inventory

Nameplate AZ · Arizona score #3/51

Arizona | 61/100 | 10.3 yr payback | 5.3 GW

VS-AVG 61/100
GW #3/51
IRR 6.5 kWh
STRIP 13.5c/kWh
FORM860 10.3 yr
MW 5.3 GW
SCORE 4 programs
RANK near New Mexico

Stamps derive from this state's NREL irradiance, EIA Form 860 / Electric Power Monthly nameplate, and DSIRE incentive row (score, rank, sun, rate, payback, capacity, programs, peer), not a quote or site assessment. Modeled figures use a typical 6 kW system; your roof, shading, and utility tariff decide the real return. See our disclaimer. Verify with EIA Form 860 → · Read with methodology → · Net-metering guide → · Personalized estimate → · All state rows → · States ranked → · Payback vs U.S. avg (14.2 yr): 3.9 yr faster

ME

9
RI

10
NH

10
AZ

10
NM

10
NY

11

What this shows Arizona sits at 10.3 years among nearest payback peers (3.9 yr faster vs the 14.2-yr U.S. average).

Fast-band 25-year ROI · Arizona

$15,900

system cost

$1,537/yr

modeled savings

10.3 yr

break-even

+$22,525

25-year net

At $15,900 and $1,537/yr, Arizona is already in the faster third of modeled paybacks. Roof, shading, and tariff still move the real number. Run a personalized estimate →

Installed solar capacity in Arizona, 1997–2024

Total solar nameplate capacity in Arizona reported to the EIA, utility-scale and reported distributed systems.

Arizona now has about 5.3 GW of installed solar capacity across 109 reported facilities.

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

Arizona on the sun-and-speed corner

Irradiance 6.5 kWh/m²/day (at/above the 4.8 national mean) vs 10.3-yr payback (fast band vs 14.2-yr mean). Crosshairs mark those means.

Arizona (highlighted): 6.5 kWh/m²/day, 10.3-yr modeled payback - faster than the national average.

Source: PlainSolarData model, NREL irradiance + EIA rates As of 2024

Solar & grid details

Net-metering policy: full
Renewable portfolio standard: Mandatory (15% by 2025)
Installed cost / watt: $2.65/W
Annual production (6 kW): 11,388 kWh
Installed capacity (EIA 2024): 5.3 GW
Notable programs: APS Renewable Energy Incentive Program

Top incentive programs

4 programs available for Arizona residents

Tax exemption AZ Solar Property Tax Exemption · Full property tax exemption Net metering AZ Net Energy Metering · Retail rate credit Rebate APS Renewable Energy Incentive Program · $75/kW AC Tax credit AZ Residential Solar Tax Credit · 25% of cost, max $1,000

All Arizona solar incentives (4)

Tax exemption

AZ Solar Property Tax Exemption

Full property tax exemption

Solar equipment added to a home is fully exempt from Arizona property tax assessment.

Net metering

AZ Net Energy Metering

Retail rate credit

Customers receive bill credits at retail rate for excess solar generation exported to grid.

Rebate

APS Renewable Energy Incentive Program

$75/kW AC

Arizona Public Service offers upfront rebate for grid-tied solar installations.

Tax credit

AZ Residential Solar Tax Credit

25% of cost, max $1,000

State income tax credit of 25% for residential solar systems, up to $1,000 per year.

Other fast-payback peers for Arizona

Two non-geographic peer sets for Arizona: composite score neighbors and payback-year neighbors (deduped so each row links a distinct comparison).

Similar composite solar score

Nearest nationwide matches on the NREL/EIA/DSIRE blend (61/100 here).

New Mexico · score 57/100
California · score 66/100
Hawaii · score 67/100
Nevada · score 53/100

Similar modeled payback

Nearest payback-year peers nationwide (10.3 yr modeled here).

New Hampshire · 9.8 yr payback
Rhode Island · 9.7 yr payback
New York · 11.1 yr payback

Peers are nearest-neighbor matches on published composite scores and modeled 6 kW payback years; rankings above use the same fields but sort the full corpus.

Solar resource from NREL; electricity rates and installed capacity from the U.S. EIA; incentive programs from DSIRE. See our methodology.

Compiled from official public sources by the publisher. · Updated July 2026