Solar Panels Cost 18k-30k in Madison, AL | October, 2024

Solar Panels Cost $18k-$30k in Madison, AL | October, 2024

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How much do solar panels cost in Madison, AL in 2024?

To go solar averages out to $4.3 per watt in October, 2024 in Madison, AL.

It will cost you $4,300, on average, per 1K (or 1000 watts) your solar system is able to generate. After receiving the 30% federal tax credit, you will pay around $15,050 for a 5 kW panel install in Madison. Please consider, a 5kW system might not be sufficient to adequately cover your energy consumption.

To your left, you have the option to select your county and view the typical roof size along with the average maximum capacity for solar panel installations on homes in your area. Below, you can see a summary of the price, payback period and 20 year average savings for a 5 kW system in your county.

Average out-of-pocket cost for a 5 kW system The upfront amount spent to buy and install solar.
Madison: $15,050US Average: $12,562
Average Payback Period The number of years until you break even on the solar investment.
Madison: 9 yearsUS Average: 7 years
Average Net 20-year savings The total amount of money saved over 20 years minus the out-of-pocket cost.
Madison: $11,918US Average: $15,784

Solar Potential in Madison

Estimated system size and solar electricity production per median viable roof in
Madison.

Roof size 1,073sq. ft.
Capacity 15kW DC
Electricity 18.1kkWh AC per yr.

Electricity Costs in Madison, AL & What that Means for Your Solar Panel Pricing

Energy consumers in Madison typically pay $139.24 per month for electricity, with a typical monthly usage of1,217 kWh. This number also reflects data from apartments and smaller homes with reduced energy needs.

Madison, AL's electricity rate is 11.44¢ per kWh in October 2024.

To meet their full power consumption needs of an average user in Madison, a solar power system of 10 kW or higher is a must. After incentives, a 10 kW setup costs around $30,100.

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Average solar panel costs by system size in Madison

On the left side, you'll see a detailed cost breakdown of the various sizes of solar panel systems implemented in Madison. Even though a more extensive solar installation carries a larger expense, it also provides higher electricity savings and higher income tax credits.

Check a cost benefit analysis in the solar panel cost calculator to the right and below, for an average electric bill of $139.24 in Madison. Adjust the $139.24 to your typical electricity bill payment for results that fit your situation.

System Size 6kW
Roof Size Min. space required
429 ft²
Electricity Value Annual Production $997 a year
Est. Price
$18,060
Savings from a 6kWthis system
  • Est. yearly production 9,065 kWh
  • Est. monthly savings $83
  • Full payback in 11 years
Environmental Impacts
  • Reduces CO2 emissions by 3.41 tons a year
  • Equivalent to planting 156 trees a year
  • Equivalent to driving 8,429 mi less a year
System Size 7kW
Roof Size Min. space required
501 ft²
Electricity Value Annual Production $1,163 a year
Est. Price
$21,070
Savings from a 7kWthis system
  • Est. yearly production 10,576 kWh
  • Est. monthly savings $97
  • Full payback in 13 years
Environmental Impacts
  • Reduces CO2 emissions by 3.97 tons a year
  • Equivalent to planting 182 trees a year
  • Equivalent to driving 9,834 mi less a year
System Size 8kW
Roof Size Min. space required
572 ft²
Electricity Value Annual Production $1,330 a year
Est. Price
$24,080
Savings from a 8kWthis system
  • Est. yearly production 12,087 kWh
  • Est. monthly savings $111
  • Full payback in 14 years
Environmental Impacts
  • Reduces CO2 emissions by 4.54 tons a year
  • Equivalent to planting 209 trees a year
  • Equivalent to driving 11,239 mi less a year
System Size 9kW
Roof Size Min. space required
644 ft²
Electricity Value Annual Production $1,496 a year
Est. Price
$27,090
Savings from a 9kWthis system
  • Est. yearly production 13,598 kWh
  • Est. monthly savings $125
  • Full payback in 16 years
Environmental Impacts
  • Reduces CO2 emissions by 5.11 tons a year
  • Equivalent to planting 235 trees a year
  • Equivalent to driving 12,644 mi less a year
System Size 10kW
Roof Size Min. space required
715 ft²
Electricity Value Annual Production $1,662 a year
Est. Price
$30,100
Savings from a 10kWthis system
  • Est. yearly production 15,109 kWh
  • Est. monthly savings $138
  • Full payback in 18 years
Environmental Impacts
  • Reduces CO2 emissions by 5.68 tons a year
  • Equivalent to planting 261 trees a year
  • Equivalent to driving 14,049 mi less a year

Madison Solar Panel Installation Incentives & Rebates | 2024

For rural small businesses and agricultural properties, the REAP Grant could provide funding that covers between 80% and 100% of the necessary expenses for installing renewable energy systems. If you think you might qualify, we suggest trying our REAP Grant eligibility tool to check.

For those looking into residential solar, the 30% federal income tax credit is available to most people, which makes solar a feasible option in many states. State and local governments have various programs to promote the switch to solar energy.

Alabama has 4 solar rebate and incentive initiatives offered by various utilities and government agencies.

Local Government Energy Loan Program

Value:Varies

Through its public-private partnership with PowerSouth, Alabama's Local Government Energy Loan Program offers zero-interest loans to governments and educational institutes for improvements involving renewable energy sources. The loans are repayable through savings on utility bills. They may borrow up to $350,000 for eligible projects, while schools may ask for $350,000 pr campus or $500,000 per system. There is a minimum loan of $50,000. An energy audit must be completed to identify improvements and the recipient must be benchmarked using the Energy Star Portfolio Manager program following installation. Details and application are available on the program website.

Local Option- Sales Tax Abatement for Renewable Energy Facilities

Value:Varies

In order to encourage renewable energy sources, Alabama allows local governments to provide exemptions and abatement for qualifying renewable energy facilities; the precise governmental body depends on the size of the facility. Facilities may also qualify for a reduced tax rate of 1.5%, although it was only available until 2019. Hydroelectric power is exempted from the definition of renewable energy resource, but most other renewable resources do meet the definition. Note that the local government can impose an additional sales or use tax. The exemption and abatement only apply to the noneducational portion of the sales tax.

Local Option- Property Tax Exemption for Renewable Energy Faclities

Value:Varies

Alabama provides abatement of property tax for qualifying renewable energy facilities for the noneducational part of the property tax. While most renewable resources are included in the program, hydroelectric power is exempted. The property tax abatement is based on the annual value of the assessed value. The abatement may be given for ten years and extended for another ten years, for a total of twenty years, depending on the permission of the local authority. Interested facilities can apply with the local governmental body. The local authority will perform a cost/benefit analysis to determine the maximum exemption period for the abatement.

AlabamaSAVES Revolving Loan Program

Value:Varies

Alabama SAVES funds subordinated participating interests in qualified third-party loans for financing energy projects of existing Alabama businesses. The participating interest can be 25% of the loan or 100% of the cost of the project, whichever is lower. Before funding can be awarded, the project must undergo an energy assessment and an estimated energy savings impact must be submitted to ensure the loan will be paid back within 10 years. This program was initially capitalized through the American Recovery and Reinvestment Program and is offered through the Alabama Department of Economic and Community Affairs. Please see the program website for information and program materials.

Are solar panels worth it in Alabama?

If you're planning to live in your home past the solar system's payback period, solar panels are a wise decision in Madison. By installing a 5 kW solar system in Madison, AL, you can expect to save roughly $18,367.6 over 20 years, with the break even point usually being 9 years.

The cost of not having solar panels in Madison, AL

Failing to have solar panels or an alternative backup energy means missing the savings mentioned earlier and being entirely reliant on your electric utility for electricity. Recent media coverage has demonstrated that complete reliance on your utility is not always ideal.

There are about 1.69 outages per customer annually in Alabama. Usually, outages have an average duration of 168.86 minutes. However, during critical events like wildlife damage, equipment failure or winter storms, these times can extend dramatically.

A solar energy system could help mitigate the effects of future outages, with or without a backup battery.

Power Outages

Currently, 0 customers are being tracked in Madison County.

Learn more

Customers Out:

0

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What impacts the cost of solar panels in Madison, AL?

Your Energy Needs - Larger solar panel systems have a higher upfront cost, but the cost per watt diminishes. Setting up a solar system that makes sufficient electricity to offset their electric bill is useful to most individuals, resulting in savings.

Make & Model - Solar panels and mounting equipment are offered in a variety of makes and models. Considering the brand preferences that your installer may have, it's crucial to choose a highly rated contractor. To ensure a more favorable long-term experience, buyers should consider higher quality materials.

Solar Panel Type - Monocrystalline panels have emerged as the standard in the industry, and it's not hard to see why. These panels have a higher cost but offer a higher energy efficiency. Many installers in the industry use panels constructed of this material.

Your Property - No two properties or homes are the same. Trees, sloped land, or additional considerations can make the installation process more challenging. These days, satellite images allow the majority of solar installers to assess your home and factor in these considerations into the preliminary cost estimate.

Labor Rates - The wages that companies pay their employees are different, and these costs are inevitably shown in consumer prices. Businesses paying more to their employees often get higher reviews for their work and customer service.

Permitting & Interconnection - Your installation cost will be influenced by area-specific permitting and utility interconnection fees. Quality installers will factor these costs into your preliminary quotes to prevent unexpected expenses.

See what solar panels cost in other AL cities

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Who are the best solar installers in Madison?

Eagle Solar and Light

Birmingham, AL(205) 202-2208

Services

  • Solar systems for selling electricity back to the grid.
  • Installation of solar arrays.
  • Installation of batteries for energy storage.

Academy Energy Group

Newburgh, IN(812) 518-2150

Services

  • Monitoring of independent energy generation.
  • Auditing of energy requirements for independent energy generation.
  • Reparation of solar arrays.
  • Installation of solar arrays.
  • Solar systems for selling electricity back to the grid.

Go Solar Power

Boca Raton, FL(800) 530-9597

Services

  • Solar systems for selling electricity back to the grid.
  • Installation of batteries for energy storage.
  • Installation of solar arrays.

SunPower Corporation

San Jose, CA(800) 786-7693

Services

  • Consulting on all things solar related.
  • Installation of solar arrays.
  • Monitoring of independent energy generation.
  • Solar systems for selling electricity back to the grid.
  • Expertise in consulting on advantageous financing for solar.
  • Reparation of solar arrays.
  • Installation of batteries for energy storage.

Silver Sun Solar

Deltona, FL(340) 227-7785

Services

  • Installation of batteries for energy storage.
  • Solar systems for selling electricity back to the grid.
  • Expertise in consulting on advantageous financing for solar.
  • Installation of solar arrays.

Tungsten Electric

Nashville-Davidson metropolitan government, TN(615) 491-0206

Services

  • Solar systems for selling electricity back to the grid.
  • Installation of solar arrays.

Entegrity

Little Rock, AR(800) 700-1414

Services

  • Installation of solar arrays.
  • Expertise in consulting on advantageous financing for solar.

City Electric Supply

Dallas, TX(866) 634-9853

Services

  • Installation of solar arrays.
  • Expertise in consulting on advantageous financing for solar.
  • Consulting on all things solar related.

LightEdison

Denver, CO(888) 966-6377

Services

  • Installation of solar arrays.
  • Reparation of solar arrays.
  • Installation of batteries for energy storage.
  • Expertise in consulting on advantageous financing for solar.

Solar Plus

Atlanta, GA(470) 378-1182

Services

  • Expertise in consulting on advantageous financing for solar.
  • Installation of solar arrays.
  • Consulting on all things solar related.
  • Reparation of solar arrays.
  • Installation of batteries for energy storage.

Madison, AL Solar Panel Cost FAQs

  • In October, 2024, the typical price per watt for solar panels in Madison, AL is $4.3/W. With the federal tax credit, the cost of a 5 kW solar panel system in Madison, AL drops to roughly $15,050.

  • If you live in Alabama, you can find 4 rebates and incentives through different utilities and government agencies. On top of that, nearly everyone can qualify for the 30% federal tax credit.

  • Even though paying cash yields the best savings, there are now numerous financing options for solar panels that are also advantageous. Financing options are frequently available through installers and will be included in your initial quotes.

  • Yes, on average, 5 kW solar panels in Madison, AL pay for themselves in 9 years, with homeowners saving approximately $18,367.6 on electricity over 20 years.
Alex Zdanov
Last Reviewed By: Alex Zdanov
Published: 2024-10-01