The price of solar energy is not the same across the United States. Among other things, state incentives for solar, localized costs, and marketplace competition varies. The amount you can save by switching to solar power also depends on the price of grid-based electricity, in terms of kilowatt hours. States with expensive electricity – New York and California – may indirectly encourage homeowners to go solar to slash utility bills.
By installing residential solar panels, you can expect to cut energy bills by 50% or more.
If you are wondering which are the states with the cheapest solar power, take a look at the list of the top 20, based on the Q3 2010 report from U.S. Solar Market Insight (published by the Solar Energy Industries Association and GTM Research), shown to the left.
Colorado tops the list of states for cheap solar power with an average installed price of $5.90 per watt. In last place is Wisconsin, with solar PV installations costing $7.55 per watt.
In the middle of the list are solar powerhouse states, including California and New Jersey, with $6.71 and $6.75 per watt. In New York, homeowners pay an average of $7.10 per watt for solar power.
If your state does not show up on the list of the top 20 states with the cheapest solar power, don’t take that as an indication solar is an unwise investment. In fact, its just the opposite!
Prices for solar panels are continuing to fall, while efficiencies increase. Grid parity – the point at which solar power is no more expensive than fossil-fuel based electricity has already arrived in Hawaii and is on the near horizon in other states, too.
By installing solar panels, you can immediately start saving on your utility bills and guard against future utility rate hikes. This is the case in these top 20 states, and the remaining 30 in the nation!