How much does solar power cost?

How much does solar cost? How much will I save?

A residential solar power system is a great investment. A typical residential installation of 7 kW will save on monthly utility bills, and should increase the value of your home.

If you are an APS customer, you could save an estimated $1,600 per year, or an estimated $1,100 per year if you are an SRP customer. Given that utility rates increase at a rate of about 3% per year, over 20 years you will save an estimated $13,100.

In addition, local realtors believe that each $1 in reduction utility bills per year results in an increase in home value of $20. So, a typical SRP customer may see an increase in their home value of $22,000.

For a typical 7 kW installation, the upfront investment will be approximately $23,200, depending on the property. The financial return over 10 years of such a system can be as much as $33,100.

Click here to see similar details for a variety of small, medium and large installations, and download this pdf file.

Interested in Cleaning the Air?

System size

4.2 kW

7 kW

Installed price (approximate)

$ 28,750

$ 47,200

APS / SRP installation rebate

$ 12,600

$ 21,000

Arizona State Personal Income Tax Credit

$ 1,000

Federal Personal Income Tax Credit

$ 2,000

Installed Price after Incentives

$ 13,150

$ 23,200

Output in kWHr per year in AZ, estimated

7,550

12,500

Estimated annual electric bill savings APS ET-1 rate

$875

$1625

Estimated annual electric savings SRP standard rate

$585

$1062

Estimated area required on your roof (sq ft)

420

730

Increase in home value (approximate, average b/n SRP & APS)

$ 14,600

$ 26,870

10 year power bill savings - APS (including 3% annual rise)

$ 10,412

$ 19,937

10 year power bill savings - SRP (including 3% annual rise)

$ 6,961

$ 12,638