How much do solar panels cost in Arizona?

In Arizona, solar panel installation averages about $2.16 per watt. For a typical $150 monthly electric bill, a 6.3 kW system (16 panels) costs approximately $13,824 before incentives, or $9,677 after the 30% federal tax credit.

Is solar worth it in Arizona?

Yes — with 6.54 peak sun hours per day and 15.5¢/kWh electricity rates, solar in Arizona typically pays for itself in 5.3 years. The rating is Excellent.

Solar Panel Cost & Savings in Arizona (2026)

Quick Arizona Solar Facts

6.54

Peak Sun Hours/Day

15.5¢

Electricity Rate

$2.16

Install Cost/Watt

5.3 yrs

Avg Payback

In Arizona, a typical 6.3 kW system (16 panels) costs approximately $9,677 after the 30% federal tax credit. With 6.54 peak sun hours per day and 15.5¢/kWh electricity rates, annual savings average $1,821 with a payback period of 5.3 years. Rating: Excellent. Source: NREL PVWatts v8 (PSH), US EIA July 2026 (rates), SEIA/EnergySage Q1 2026 (costs).

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How many solar panels do I need in Arizona?

For a typical home with a $150 monthly electric bill in Arizona, you need about 16 panels (6.4 kW system). Your exact number depends on your specific monthly usage and roof orientation.

What solar incentives are available in Arizona?

Every US homeowner qualifies for the 30% federal Investment Tax Credit (ITC) through 2032. Many states also offer additional incentives — check our main calculator's Incentives tab for Arizona-specific rebates, tax credits, and net metering policies.

Is Arizona a good state for solar?

Arizona has 6.54 peak sun hours per day (U.S. average: 4.98). With electricity at 15.5¢/kWh (U.S. average: 18.83¢/kWh), solar in Arizona typically pays for itself in 5.3 years. Overall rating: Excellent.