State solar profile · #33 of 51
Solar in Arkansas: cost, payback & incentives
What a typical home should expect from solar in Arkansas - sunshine, electricity rates, modeled payback, and the 2 incentive programs that change the math, built from NREL, EIA, and DSIRE data.
- 4.8
- kWh/m²/day irradiance
- 11.4¢
- avg electricity rate
- 17.2 yr
- payback (#45)
- 2
- incentive programs
The verdict
Arkansas scores 24/100 for solar - #33 of 51 - with a modeled 17.2-year payback and roughly $7,475 net over 25 years on a typical 6 kW system before any incentives.
- 24/100
- solar score (#33)
- 17.2 yr
- modeled payback (#45)
- $959
- 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.
Arkansas at a glance
4.8
irradiance (kWh/m²/day)
11.4¢
electricity rate (per kWh)
$16,500
6 kW system cost
17.2 yr
est. payback (#45)
8,410
kWh/year (6 kW)
$959
annual savings
25-year ROI for a 6 kW system
$16,500
system cost
$959/yr
modeled savings
17.2 yr
break-even
+$7,475
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 →
Installed solar capacity in Arkansas, 2015–2024
Total solar nameplate capacity in Arkansas reported to the EIA, utility-scale and reported distributed systems.
Where Arkansas sits nationally
Every state by sunshine (left-to-right) and payback speed (faster toward the bottom). Arkansas is highlighted, its position shows whether sun or electricity rates drive its return.
Arkansas (highlighted): 4.8 kWh/m²/day, 17.2-yr modeled payback - slower than the national average.
What the data says about solar in Arkansas
Arkansas ranks #33 of 51 with a composite solar score of 24/100 (Marginal). The score blends inputs from NREL and EIA: average irradiance of 4.8 kWh/m²/day, residential electricity at 11.4¢/kWh, a turnkey 6 kW installed cost of $16,500 ($2.75/W), and 2 tracked state and utility incentive programs.
On those inputs, a 6 kW array here is modeled to generate roughly 8,410 kWh/year and offset about $959 in annual utility spending at the state's average rate, an estimated 17.2-year simple payback (#45 of 51 for speed to break-even) and a projected +$7,475 net position over a 25-year horizon before utility-rate escalation.
Policy matters as much as physics. Arkansas's net-metering framework is classified as full, which governs how exported generation is credited, and its renewable portfolio standard is: Mandatory (15% by 2040). The 2 active programs tracked in DSIRE include tax exemption and net metering types, each can stack to compress payback. 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
- Mandatory (15% by 2040)
- Installed cost / watt
- $2.75/W
- Annual production (6 kW)
- 8,410 kWh
- Installed capacity (EIA 2024)
- 1.8 GW
Top incentive programs
2 programs available for Arkansas residents
All Arkansas solar incentives (2)
Your next step
How to act on Arkansas's numbers.
- Run the savings calculator with your real electricity bill, the figures above use state averages, not your usage. Calculate for Arkansas
- Check net-metering and SREC value before signing, in a "full" state, export compensation often decides the return. Net-metering guide
- Stack Arkansas'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.