How Much Do Solar Panels Cost in Connecticut? (2024 Savings Guide)

How Do Connecticut’s Solar Prices Compare to the National Average?

The average cost per watt to install photovoltaic (PV) equipment in Connecticut — $3.49 — is quite high and well above the national average of $3.33. That means your money doesn’t go as far in Connecticut as in most other states.

However, Connecticut homeowners use far less energy per month than most Americans, according to the Energy Industries Association (EIA). Lower energy demands mean fewer panels are necessary to offset your consumption.

Put together, this means the overall cost of a solar energy system in Connecticut is below the national average by about $3,000 to $4,000. While you can expect to pay an average of $26,175 for a solar power system in Connecticut, the average cost nationally is $29,970.

Connecticut’s high energy costs make converting to solar power an even better deal. Connecticuters pay around 26.78 cents per kilowatt-hour (kWh) for electricity, nearly 50% higher than the national average. This means every bit of power your solar panels generate is worth more than what’s typical across the country.

What Are the Main Factors of Solar System Costs in Connecticut?

While the average cost of a solar panel system in Connecticut is $18,323 after the federal credit, it’s not uncommon to see prices as low as $12,215 or as high as $26,873. The typical price range is so large because there are many cost factors at play, including the following:

• Your average monthly energy demands
• The panel brand you choose
• Add-on products that you have installed alongside your solar panels

In the sections below, we’ll explain how and why each of these factors can affect your total costs.

Your Monthly Energy Needs

Your home solar system should be large enough to offset the amount of energy your home typically consumes. The more electricity you use, the larger your system will need to be to compensate.

The average monthly energy consumption in Connecticut is 711 kWh, according to the Energy Industries Association (EIA). If your consumption is higher or lower, your solar project costs will follow.

We strongly recommend making sure your system is sized to meet or exceed your energy needs. In some states, oversizing can be a waste of money, but in areas with high energy costs like the Constitution State, paying more for a larger system usually pays off.

Choosing a smaller system will save you money initially, but you’ll miss out on savings over time, ultimately reducing the value of your solar project.

Panel Brand and Efficiency Rating

Another major cost factor when going solar in Connecticut is the panel brand you choose. There’s a wide range in cost from brand to brand, with popular solar panel models ranging from around $3.00 up to $4.00 per watt to install.

While more expensive panels increase your initial costs, they can help you save money over time. Generally speaking, more expensive panel brands will have higher efficiency ratings, better durability and better warranty coverage.

This is another area where we really recommend not pinching pennies. Installing a high-efficiency, monocrystalline solar panel — like Maxeon panels from SunPower — will cost more upfront, but you’ll very likely get your money’s worth.

Connecticut is also no stranger to extreme weather, including hurricanes and tropical storms. Investing in a panel with good durability and a lengthy warranty could end up saving you money on repairs and replacements over time.

Add-on Products You Have Installed

Many Connecticut homeowners choose to install solar batteries alongside their panels. Add-on products like this will bump up your installation costs considerably, but they provide a few important benefits.

First, solar batteries can help maintain power through blackouts, which provides peace of mind in an area where extreme weather isn’t uncommon. Second, they allow you to store energy your panels produce to use later, when the sun isn’t shining. This is especially important in a state like Connecticut where energy costs are so high. Ideally, you’ll avoid needing to draw electricity from the grid whenever you can – and solar batteries can really help.

We don’t recommend solar batteries for savings in many states, but Connecticut is one where investing an additional $10,000 or so in a high-quality solar battery can actually end up saving you more money over time.

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Additional Costs of Going Solar in Connecticut

When you’re considering the price of converting to solar in Connecticut, your panel cost will be the biggest factor. However, there are some other costs you might want to consider to get the whole picture. Here are a few additional costs you might run into and how much they can affect your total price.

• Additional solar equipment: Your solar panels are the main component of your PV system, but you’ll need additional pieces to install and connect your panels to your home. These include inverters, racking systems and wiring. In most cases, these other components will add a few hundred dollars to your total.

• Installation labor and administrative costs: The installation company you hire will, of course, charge you for the labor to install your panels. Since this usually runs into the thousands of dollars, we’ve included these costs in the estimates above. However, you might also be charged administrative fees for filing and closing permits, applying for local incentives and rebates, and other tasks. These fees can cost a few hundred dollars, as well.

• Building permits: All cities and townships in Connecticut require you to file for permits before installing your rooftop solar panels. Local governments then also require an inspection after the installation to close out the permits. You might be charged a fee for permit filing and closing. Depending on your municipality, you could pay up to $300 or more for permits and inspections.

• Interconnection and inspections: Your utility company requires that you apply for interconnection before you can connect to the electric grid, and most require an inspection after the connection to make sure everything was done properly. Some utility companies don’t charge for this, but many charge between $50 and $150 for the application and any mandatory inspections.

Watch Below: Why Are Solar Batteries Important and Will CT Pay You To Install One?

What Maintenance Costs Can Solar Owners Expect in Connecticut?

One of the upsides to going solar in Connecticut is that you generally won’t run into many maintenance costs. Some solar customers choose to have their panels cleaned, since pollen and debris can build up on the surface and decrease production. However, since the Constitution State and all of New England see above-average rainfall per year, this shouldn’t be an issue in your area.

Additionally, most high-quality panel brands come with manufacturer’s warranties that cover defects and issues with the panels for an average of 25 years. If you do run into problems with your equipment, you likely won’t be on the hook for repair costs, thanks to that warranty coverage

Which Solar Financing Options Will Help You Save the Most in Connecticut?

There are four main ways to pay for your solar panels: cash, solar loans, solar leases and power purchase agreements, or PPAs for short. The option you choose will play a major role in your initial costs and how much you pay overall for your solar panel system.

A cash purchase is generally the best option if you can afford it. While you have to pay the full cost out of pocket, you ultimately save the most money over time. Cash purchases also let you take advantage of the federal tax credit, which is a huge advantage.

Solar loans also let you take the federal credit. However, borrowing money to buy your solar panels means it takes longer to own your solar power system outright, and the total cost is higher because of the interest charged. Loans usually have no down payment requirement, though, so they are considerably more accessible than paying in cash.

A solar lease is a rental agreement. You pay a fixed monthly rate to rent your panels, and the energy they produce goes toward offsetting your utility bills. You never ultimately own your solar panels, so your savings are much lower overall. Plus, you won’t have access to the federal tax credit — a potential loss of around $7,853 in Connecticut.

A PPA is an agreement to pay a below-retail rate for your energy for a certain length of time. In exchange, you get solar panels installed on your home at no cost. This seems like an appealing option on the surface, but it actually saves the least amount of money and doesn’t let you take the federal credit. We do not recommend PPAs for most homeowners.

If you’re not sure which options you can afford or which would work for your specific needs, we suggest heading first to our solar calculator to see what a system designed for your home and energy demands would cost. You can then use that estimate to gauge which payment options could work for you.

The best solar panel installation companies in Connecticut offer a wide range of these financing options. Two that stand out are Green Power Energy and Momentum Solar. If you’d like to keep your financing options open, we recommend including both of these companies in your search.

The table below is also a great starting point to see how the different payment options compare in terms of initial cost, monthly fees and long-term savings.

What Are Other Ways You Can Save When Going Solar in Connecticut?

Although solar adoption is less expensive in Connecticut than it is in most other states, it’s still quite expensive. That’s why most residents look for additional ways to save money. Some of the best ways to keep costs down include:

• Installing a solar energy storage system
• Oversizing your system
• Taking advantage of federal and local incentives

We’ll explain why we recommend these cost-saving strategies in the following sections.

Install a Solar Battery

In most states, a solar battery will add a pretty significant cost to your installation total and won’t provide enough savings to offset it. However, since most Connecticuters don’t have access to net energy metering, a solar battery can offer similar savings by providing free solar energy during times when panels are producing enough to eliminate energy costs.

Solar batteries are especially beneficial in your state because the cost of power that you do pull from the grid is so high — nearly 27 cents per kWh, as opposed to the national average of 16.79 cents. Therefore, every kWh your battery offsets is worth more than it would be in most other states. Over time, these savings can add up to thousands of dollars.

Plus, Connecticut’s Public Utilities Regulation Authority (PURA) has a battery incentive program that can leave you with a solar rebate of between $1,000 and $3,000 in most cases just for installing a solar battery alongside your system. This makes choosing a battery storage system a no-brainer, in our opinion.

Solar batteries like the Tesla Powerwall can also add to your home value, which is just another reason to add one to your solar project.

Oversize Your Solar System

Sizing your system to meet your energy demands is always a good idea, but in Connecticut, we recommend oversizing your system a bit. That’s because energy costs are so high in this state, and you want to avoid drawing electricity from the grid whenever you can.

A reputable installer can help you figure out the best size system for your home. They’ll account for the efficiency your panels will naturally lose over the years, and they’ll also take local weather conditions into account.

Most areas of Connecticut see below the national average number of sunny days per year, and an oversized system can quickly pay for itself.

Take Advantage of Connecticut Solar Incentives

Finally, it’s crucial that you take all of the local and federal solar incentives you can. These can save you hundreds and often thousands of dollars on your equipment, both upfront and over time.

The federal solar investment tax credit provides an average potential return of $7,853 in Connecticut. Residents can also take advantage of a property tax exemption and sales tax exemption offered by the state. Connecticut also offers a Residential Renewable Energy Solutions Program, which offers energy credits for all of your solar production that can add up to massive savings.

What Are the Typical Costs of Connecticut’s Solar Installers?

Different solar providers can quote you significantly different prices, depending on their labor costs and how much they mark up the equipment they sell. Most companies in the state will charge between $12,215 and $26,873 for a standard-sized solar power system, but, of course, your numbers can fall outside of this range.

The table below includes some relative pricing and additional information for what we believe are the best solar providers in Connecticut. This should help get you started in the right direction and with providers you can afford.

How Are Solar Costs and Regulations Trending In Connecticut?

The cost of PV equipment in Connecticut has fallen by over 50% in the last decade, according to the Solar Energy Industries Association (SEIA). We expect that downward trend to continue in the coming years, although the dip probably won’t be as dramatic moving forward. Production costs should continue to decrease a bit, which should help make PV panels more affordable.

We don’t expect existing incentives and rebates to go away anytime soon. Connecticut has an aggressive renewable energy goal, which mandates that 48% of the state’s electricity comes from clean energy sources by 2030. In order to reach that goal, the current incentives will likely need to remain available.

Put together, this means there has never been a better time to adopt solar in the state of Connecticut. Prices are as low as they have been, and incentives are here to stay for the foreseeable future. You can use the tool below to get the best price on customized solar systems to start the conversion process for your home.

The cost information presented in this article is derived from a comprehensive analysis, incorporating data from multiple industry sources. The average cost per watt per state was calculated based on figures from Consumer Affairs, Energy Sage, and Berkeley Lab’s Electricity Markets & Policy Department. Additionally, monthly energy consumption and the average monthly cost of electricity were sourced from the U.S. Energy Information Administration, ensuring a well-rounded and accurate representation of the information presented.