How much do solar panels cost in Tennessee?

In Tennessee, solar panel installation averages about $2.52 per watt. For a typical $150 monthly electric bill, a 8.9 kW system (23 panels) costs approximately $23,184 before incentives, or $16,229 after the 30% federal tax credit.

Is solar worth it in Tennessee?

Yes — with 4.82 peak sun hours per day and 14.9¢/kWh electricity rates, solar in Tennessee typically pays for itself in 8.7 years. The rating is Strong.

Solar Panel Cost & Savings in Tennessee (2026)

Quick Tennessee Solar Facts

4.82

Peak Sun Hours/Day

14.9¢

Electricity Rate

$2.52

Install Cost/Watt

8.7 yrs

Avg Payback

In Tennessee, a typical 8.9 kW system (23 panels) costs approximately $16,229 after the 30% federal tax credit. With 4.82 peak sun hours per day and 14.9¢/kWh electricity rates, annual savings average $1,862 with a payback period of 8.7 years. Rating: Strong. 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 Tennessee?

For a typical home with a $150 monthly electric bill in Tennessee, you need about 23 panels (9.2 kW system). Your exact number depends on your specific monthly usage and roof orientation.

What solar incentives are available in Tennessee?

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 Tennessee-specific rebates, tax credits, and net metering policies.

Is Tennessee a good state for solar?

Tennessee has 4.82 peak sun hours per day (U.S. average: 4.98). With electricity at 14.9¢/kWh (U.S. average: 18.83¢/kWh), solar in Tennessee typically pays for itself in 8.7 years. Overall rating: Strong.