solar energy

Is Solar Worth In Arizona? The Answer Is Yes!

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Are solar panels worthwhile in Arizona? Or is solar worthwhile in Arizona, you might be asking yourself?”. The answer is “yes”Solar is worth it in Arizona but that simple answer is not enough to sway most skeptics.

Solar systems have generally dropped in price by about 40% in the last few years. However, their output and quality are not sacrificed in the process. As a result of these systems’ increased effectiveness, you can reduce your electricity usage significantly. In Arizona, solar panels are undoubtedly a good investment. Solar panels will be one of the major players in terms of energy sources in the future due to their long-term savings and lower carbon emissions. 

Related Reading: Solar Panel Cleaning Cost

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Is Solar Worth In Arizona?

Yes, solar panels are absolutely worth it Solar panels can increase the value of your home by 2–3 percent in Arizona, save you up to 100% on electricity costs, and do much more! The federal government will cover 30% of the cost and Arizona has more sunny days than any other state.

Let’s look at the following 12 arguments in favor of solar energy in Arizona:

1. Arizona Will Be Responsible For 25% Of The Cost

For those who install solar panel systems in their homes, the state of Arizona offers tax incentives. This reward also referred to as a “solar energy credit,” may be worth up to 25% of the solar panel device’s price up to $1,000.

Various solar panel systems, including those used for cooling, lighting, and general electricity, are also eligible for this government credit.

This is a great way for people who want to cut expenses to save money from the government and from using electricity more effectively.

Use our solar panel cost calculator to determine the size of your solar system, the number of solar panels you need, the cost of the entire system, and the estimated monthly payment.

2. The Federal Government Will Give You Another 30%

Yes, reports that the government continues to offer homeowners who install solar panels a 30% tax credit. It is best to take action now to still receive your 30% credit because after this year the credit will drop to 26%. Over the course of 25 years, homeowners can save over $25,000.

3. Solar Panels Can Increase Home Value In Arizona

Installing solar panels can increase your home value in Arizona by 2%-3%. According to Berkeley Lab (in collaboration with appraisers, universities, and Sandia National Laboratories), homebuyers are willing to pay more for homes that have solar panels installed on them. This indicates that Arizona homebuyers are willing to pay an extra $15,000 on average for a house with solar panels installed.

4. Water Heating Costs Are Less

Especially in the winter, heating water can account for a sizable portion of your energy bill. You can use solar energy to warm the water in your home by installing solar panels.

Thus, taking longer, hotter showers in the winter won’t have as much of an effect on your energy usage.

You’ll notice a reduction in energy use for water heating that is even more pronounced during the warmer months. Sunlight and air conditioning aren’t the only uses for solar energy.

Are solar panels worthwhile in Arizona, you might still be asking yourself?” One of their most recognizable benefits is…

5. Arizona Has More Sunny Days Than Any Other State

(At least not in our lifetimes) The sun will never run out of energy. Solar panels will therefore always have access to an endless supply of power.

According to BestPlaces.Net, Arizona has more sunny days than any other state, averaging more than 299 per year.

Given that oil and gas are both limited resources, solar energy has a significant advantage over other energy sources. Utilizing solar energy now will enable you to save a ton of money later on as fossil fuels become more difficult to come by.

6. Arizona Has The Sunniest Cities In The Us

Yuma, Arizona, Phoenix, Arizona, and Tuscon, Arizona are among the top five “sunniest cities in the US,” according to NerdWallet, with rankings of #1, #4, and #5, respectively. It makes sense that Arizona can benefit greatly from solar energy given the state’s abundance of sunny days.

7. Walmart Saved $4.8 Million With Solar

Walmart U.S. installed 240 solar projects through 2013, saving approximately $4.8 million,” says One of the largest retailers in the world,, is planning to install solar in every one of their locations, so it is safe to assume that solar power has some potential for cost savings. Commercial solar energy is very cost-effective in Arizona and can save your company a ton of money.

8. The Cost To Install Solar Panels Is Cheap In Az

You will start saving money the moment you finance solar energy because it is less expensive than the utility bill you are currently paying. The average cost of solar panels in Arizona is $16,020 or $2.95 per watt. Before taking into account the 26% Federal tax credit, 10% State tax credit, and other incentives, this estimated cost is based on installing an average-sized 6 kW (6000 watts) solar system. The percentage will drop once more in 2021, so you had better move quickly. 

Unless you are paying for your solar system in cash, there are no out-of-pocket expenses associated with getting it installed.

With an average annual electric bill of $375 (utility fee for solar), you will have paid off your solar system in 8 years on average.

9. Lock In Your Utility Cost For The Next 25 Years

Unstable utility costs are constantly rising and never decreasing. To avoid paying even more for electricity than you already do, it is crucial now more than ever to switch to solar power.

10. Lowers Your Carbon Footprint

On local environments as well as the planet as a whole, pollution has long-term detrimental effects. Fortunately, a lot of businesses and people are now making the decision to minimize their carbon footprint.

Solar panel systems won’t use fossil fuels, so the energy they produce is much cleaner than that from other sources. Visit EnergySage to learn more about solar energy’s positive effects on the environment.

11. Maximize Federal Tax Credits When You Pay Cash

When you pay with cash, your tax credits are more valuable. When you finance or lease your solar panels, the financing or leasing company receives a larger portion of the tax credits. Paying cash is the best way to monetize your tax incentives

Example: If you pay $30,000 in cash, you will receive a federal tax credit for 30% of that ($9,000 tax credit). If your tax liability is greater than or equal to 30% of your gross system cost, you will receive that money back in your tax refund the following year.

12. The Higher Your Electricity Bill The Higher Amount You Will Save

An estimated 16,000 can be saved in the first 12 years by homeowners with a 250 per month power bill.

What Is The Amount You Can Save?

Aside from the taxes you avoid, some estimates indicate you could cut your electricity costs by up to 99%.

The savings might seem implausible, which is understandable. The average monthly bill for homes with solar systems is about $35, despite the fact that there are nearly 300 sunny days per year and a strong solar system.

Arizona homeowners who install solar panels will also save $25,000 over the course of 20 years. In addition, using renewable energy may result in a rise in the overall value of their property.

Things To Consider When Installing Solar In Arizona

A significant first step in switching to clean energy is determining whether solar panels are worthwhile for your home. However, there are still some factors to take into account as you go through the actual conversion process. As you consider solar conversion in Arizona, there are a few things you should be aware of.

Upfront Fees

Particularly in an area like Arizona where high energy usage necessitates large and pricey solar arrays, the upfront costs of a solar panel system will always be something to take into account. Reduce the amount of equipment you install, typically by avoiding solar batteries and other add-on products, selecting more affordable solar panel brands, and obtaining a no-money-down solar loan to reduce upfront costs. We’d be remiss if we didn’t reiterate that, despite the fact that solar leases have no up-front costs, they are almost never more advantageous than financing or purchasing your equipment.

Weather & Climate In Arizona

Most Arizonans don’t give weather much thought when installing solar panels because the vast majority of days will be abundantly sunny, which is best for panel efficiency. Choosing a solar panel installation company that offers a strong physical protection warranty is typically enough to allay residents’ concerns about their panels during monsoon season.

Despite the fact that your panels’ efficiency can fall as low as 10% on those infrequent rainy and cloudy days, the rain will naturally wash dirt and debris off of them, enhancing their performance during the much more common sunny weather.

Payback Period

Every homeowner should estimate the length of time it will take their solar panels to pay for themselves or hire a local solar company to do so. A reliable indication of how valuable solar will be for your home and how significant your return on investment (ROI) will be is the payback period for solar panels. In Arizona, the typical payback period is between 9 and 15 years. It will take longer to realize true savings if yours is longer and your ROI will be lower.

Net Metering Policies In Arizona

In many states, net metering is required, which ultimately benefits solar customers by lowering their energy costs, hastening the payback of their panels, and maximizing long-term savings. Arizona State, regrettably, no longer requires net metering. Many homeowners install a solar battery in addition to their panels for the greatest savings. A solar battery will increase the initial costs of going solar, but will typically help save on electricity costs and quickly pay for itself.

Pending Policies & Changes To Incentives

Even though Arizona is already a state that encourages the use of solar energy, this trend is only gaining momentum. The incentives, rebates, and solar policies, including net metering, are subject to change as the still-evolving industry develops and changes. The likelihood that things will get better over time is high in a solar-forward state like Arizona. Even though you probably won’t benefit from waiting for better incentives, you should check for any changes to policies before going solar.

Companies Pushing Solar Leases Or PPAS

The quality and consistency of the solar installer you select can differ considerably from business to business, so you should take this into consideration. If a company is promoting solar leases or power purchase agreements (PPAs) or advertising “free panels,” you should be on the lookout for them. The low upfront cost of leasing solar panels may make it seem appealing, but the long-term savings are much lower, you won’t be eligible for the federal tax credit, and it won’t raise the value of your house.

Sadly, there have been reports of solar scams and dishonest businesses in places like Arizona, where solar demand is rapidly rising. The Phoenix New Times has written about similar scams taking place all over Arizona.6 When choosing a solar installer to handle your home solar project, make sure the company is reputable, vetted, and has a history of providing good customer service. Fox 10 reported on Arizona solar companies that took tens of thousands of dollars from customers without installing equipment.

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