Solar Panels Cost 11k-22k in Indiana | September, 2024

Solar Panels Cost $11k-$22k in Indiana | September, 2024

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How much do solar panels cost in Indiana in 2024?

In September, 2024, the typical price per watt of solar panels in Indiana is $4.05/W.

Stemming from this cost, expect costs to be $4,050, on average, for every 1 kW (or 1000 watts) of solar energy your solar panels can generate. After deducting the 30% federal tax credit, the cost of a 5 kW solar panel system in Indiana typically totals up to $14,175. Your energy needs could need a bigger system.

To the left, you can select your county to view the typical roof size and average maximum capacity for residential solar on homes in your area. Find below a complete overview of the {price|costs, payback period, and 20-year typical 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.
Indiana: $14,175US Average: $12,598
Average Payback Period The number of years until you break even on the solar investment.
Indiana: 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.
Indiana: $11,831US Average: $15,732

Solar Potential in Indiana

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

Roof size 733sq. ft.
Capacity 10.25kW DC
Electricity 11.9kkWh AC per yr.

Electricity Costs in Indiana & What that Means for Your Solar Panel Pricing

In Indiana, the standard electric bill is $133.67 per month, and residents use 920 kWh. Flats and smaller homes with typically reduced energy consumption are considered in this statistic.

In September 2024, the electricity rate in Indiana is 14.53¢ per kWh.

If you’re an average electricity consumer in Indiana you need 8 kW or higher sized system to meet all of your energy needs. You'll spend $22,680 on 8 kW solar installation after taking the 30% federal income tax credit into consideration.

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Average solar panel costs by system size in Indiana

On the left side below, you can see the cost breakdown for various sizes of solar panel systems set up in Indiana. The initial cost for bigger solar systems is greater, but they also yield higher electricity savings and higher income tax credits.

The solar panel cost and benefit breakdown, visible in the calculator to the right and below, is based on an average electric bill of $133.67 in Indiana. If you seek more tailored results, just adjust the $133.67 to whichever your usual electricity bill is.

System Size 4kW
Roof Size Min. space required
286 ft²
Electricity Value Annual Production $831 a year
Est. Price
$11,340
Savings from a 4kWthis system
  • Est. yearly production 5,720 kWh
  • Est. monthly savings $69
  • Full payback in 7 years
Environmental Impacts
  • Reduces CO2 emissions by 4.61 tons a year
  • Equivalent to planting 212 trees a year
  • Equivalent to driving 11,408 mi less a year
System Size 5kW
Roof Size Min. space required
358 ft²
Electricity Value Annual Production $1,039 a year
Est. Price
$14,175
Savings from a 5kWthis system
  • Est. yearly production 7,150 kWh
  • Est. monthly savings $87
  • Full payback in 9 years
Environmental Impacts
  • Reduces CO2 emissions by 5.76 tons a year
  • Equivalent to planting 265 trees a year
  • Equivalent to driving 14,259 mi less a year
System Size 6kW
Roof Size Min. space required
429 ft²
Electricity Value Annual Production $1,246 a year
Est. Price
$17,010
Savings from a 6kWthis system
  • Est. yearly production 8,580 kWh
  • Est. monthly savings $104
  • Full payback in 11 years
Environmental Impacts
  • Reduces CO2 emissions by 6.91 tons a year
  • Equivalent to planting 318 trees a year
  • Equivalent to driving 17,111 mi less a year
System Size 7kW
Roof Size Min. space required
501 ft²
Electricity Value Annual Production $1,454 a year
Est. Price
$19,845
Savings from a 7kWthis system
  • Est. yearly production 10,010 kWh
  • Est. monthly savings $121
  • Full payback in 12 years
Environmental Impacts
  • Reduces CO2 emissions by 8.07 tons a year
  • Equivalent to planting 370 trees a year
  • Equivalent to driving 19,963 mi less a year
System Size 8kW
Roof Size Min. space required
572 ft²
Electricity Value Annual Production $1,662 a year
Est. Price
$22,680
Savings from a 8kWthis system
  • Est. yearly production 11,440 kWh
  • Est. monthly savings $134
  • Full payback in 14 years
Environmental Impacts
  • Reduces CO2 emissions by 8.92 tons a year
  • Equivalent to planting 410 trees a year
  • Equivalent to driving 22,076 mi less a year

Indiana Solar Panel Installation Incentives & Rebates | 2024

Rural entrepreneurs and farmers might find that the REAP Grant pays for 80% to 100% of their costs when installing solar or wind energy systems. If you think you might be in this category, we suggest checking your qualification with our REAP Grant eligibility tool.

A 30% federal tax credit is available to most homeowners for residential solar installations, which helps make solar energy a feasible choice in numerous regions across the United States. Furthermore, several state and local programs are in place to further drive the adoption of solar energy.

In Indiana, 6 solar rebates and incentives are currently offered from different utilities and government agencies.

Renewable Energy Property Tax Exemption

Value:Varies

Property tax exemptions apply in Indiana for solar, wind, geothermal, and hydroelectric power and thermal devices. (Solar devices installed before January 1, 2012 do not qualify for an exemption.) For most generation systems, exemptions will amount to the currently assessed value of the system (adjusted for depreciation.) Solar thermal, HVAC, or pool heating systems will be exempted at a fixed amount equal to parts and labor costs. Unique to Indiana, should the owner sell their property, exemptions will not apply to the new owner. Qualifying taxpayers may claim the exemption by filing Form 18865 with their county. Additional information is available from the Indiana Department of Local Government Finance website.

Community Conservation Challenge

Value:Varies

NOTE: This program is closed to new applicants. Indiana's Community Conservation Challenge is a grant program managed by the Office of Energy Development. Commercial, industrial, or agricultural property owners may be eligible for $20,000 - $80,000 to install new renewable energy systems or make energy efficiency improvements. Projects that may qualify for funding include green vehicles, HVAC, lighting, solar PV/thermal systems, and wind turbines. At least one community must partner with the property owner, and the completed project should be visible to the public eye. Additional information is available from the OED website.

NIPSCO - Feed-In Tariff

Value:Varies

NIPSCO pays feed-in tariffs to distributed renewable energy customers with systems rated for 3 kilowatts to one megawatt of capacity. Monthly compensation will take the form of a bill credit based on the amount of excess energy sent back to the grid. Unlike net metering, NIPSCO has greater control over how much of a customer's generated energy can be considered "excess." This control is to keep the grid stable. Customers must "opt in" to receive tariffs by filling out an application on the NIPSCO website and paying an administration fee based on system capacity; the current fee is $1 per kilowatt plus $25.

Clean Energy Portfolio Standard

Value:Varies

Indiana has adopted a non-binding renewable portfolio standard called the CHOICE. There have been three clean energy targets set with the final goal of sourcing 10% of the state's energy from renewable sources by 2025. Unique to the CHOICE standard, up to 30% of investments can be in cleaner conventional energy (natural gas, CHP, and clean coal). Participation in the CHOICE is completely voluntary. Interested utilities can register with the state's Utility Regulatory Commission to submit business and project plans. As a utility makes CHOICE investments, they will earn Clean Energy Credits pegging energy capacity to a fixed dollar value. Additional information is available from the CHOICE website.

City of Bloomington - Sustainable Development Incentives

Value:Varies

Special administrative incentives may apply to new construction in Bloomington, IN if it meets certain green building standards. The city has established standards across four areas, including energy efficiency, landscape/water efficiency, public policy (specifically promoting alternative vehicles), and public transportation. Buildings meeting certain minimum quotas for projects in the goal areas may qualify for permit fee waivers and less strict setback requirements. Additional information is available from the Bloomington city website.

City of Indianapolis - Green Building Incentive Program

Value:Varies

Special permitting privileges may apply to new projects in Indianapolis or greater Marion County if designers adhere to certain energy efficiency standards. Qualifying structures should either use on-site solar panels/small wind equipment or be ASHRAE 90.1 certified. Appliances, lighting, and HVAC systems used should be ENERGY STAR certified. Once the builder applies for permits, the structure will be ranked across six sustainability criteria. If it passes minimum standards on at least half of the criteria, 30% of the total permit fees will be refunded. For each additional criterion, another 10% will be added to the total rebate. Additional information is available from the Indianapolis city website.

Are solar panels worth it in Indiana?

For those expecting to remain in their homes after the solar system's payback period, installing solar panels is a obvious choice in Indiana. With a 5 kW solar system in Indiana, the average savings over a 20 period is $17,906.49, with break even typically occurring at 9 years.

The cost of not having solar panels in Indiana

The absence of solar panels or an alternative energy backup means that you forgo the savings mentioned earlier and depend on your electric utility for electricity. Complete dependence on your utility company isn't always the best condition, as recent media examples have demonstrated.

In recent years, the average number of utility outages per customer in Indiana has been 1.35 annually. Each outage lasts an average of 146.2 minutes. In the case of major events such as winter storms, overloaded power grids, or construction accidents, this period can increase substantially.

View the graphic below to see the number of current electricity customers without power in Indiana.

A solar energy system, with or without a backup battery, could reduce the effects of any future power interruptions you might experience.

Power Outages

Currently, 0 customers are being tracked in Indiana.

Learn more

Customers Out:

0

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What impacts the cost of solar panels in Indiana?

Your Energy Needs -The cost per watt is decreased with larger solar panel systems, even though the initial cost is higher. Many consumers realize it's a smart idea to install a solar system that can generate enough power to replace their electric bill, because it helps them save more money.

Make & Model - There are numerous brands and models of solar panels. Your installer’s potential brand preferences make it crucial to pick a reputable contractor. Consumers who prioritize better models typically enjoy a more favorable long-term experience.

Solar Panel Type - There are valid reasons why monocrystalline panels are now considered the industry standard. They are costlier but produce more energy. The majority of professionals in solar installation work with panels made from this material.

Your Property - Irregular terrain, trees, or other challenges can increase the complexity of the installation. These days, the many solar installers can evaluate your home with satellite images and include these elements in the preliminary cost estimate.

Labor Rates - Employees get varied wages from different companies, and these costs are handed down to the consumers. It is typical for companies that provide higher wages to receive better reviews for their work and customer service.

Permitting & Interconnection - Your installation cost will be affected by area-specific permitting and utility interconnection fees. Quality local installers will include these figures in your first estimates to ensure transparency.

See what solar panels cost in other IN cities

See what solar panels cost in other IN counties

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Who are the best solar installers in Indiana?

YellowLite

Cleveland, OH(877) 743-8757

Services

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

Unrivaled Electric

Spencer, IN(812) 361-3604

Services

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

Academy Energy Group

Newburgh, IN(812) 518-2150

Services

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

Power Home Solar

Mooresville, NC(704) 870-3670

Services

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

Silver Sun Solar

Deltona, FL(340) 227-7785

Services

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

Morton Solar

Evansville, IN(812) 402-0900

Services

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

Harvest Solar

Jackson, MI(888) 907-6527

Services

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

GRNE Solar

Palatine, IL(312) 859-3417

Services

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

Sigora Solar

Charlottesville, VA(434) 465-6192

Services

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

Entegrity

Little Rock, AR(800) 700-1414

Services

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

Ideal Energy

Fairfield, IA(800) 634-4454

Services

  • Installation of solar arrays.
  • Reparation of solar arrays.
  • Installation of batteries for energy storage.
  • 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.

PowerHome Solar

Mooresville, NC(704) 870-3670

Services

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

Icon Solar

Milford, OH(513) 396-7777

Services

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

Indiana Solar Panel Cost FAQs

  • The cost per watt for solar panels in Indiana during September of 2024 averages $4.05/W. Post federal tax credit, a 5 kW solar panel system installation in Indiana will roughly cost $14,175.

  • If you live in Indiana, you can find 6 rebates and incentives through different utilities and government agencies. Moreover, nearly everyone is eligible for the 30% federal income tax credit.

  • Paying cash yields the most savings, but 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, in Indiana, 5 kW solar panel systems typically pay off in 9 years, and users save around $17,906.49 in electricity costs over 20 years.

  • Indiana residents don't have access to a state-specific solar installation payment program, but the 30% federal tax credit is available nationwide.

  • Indiana has no free solar panel programs at the moment, but the 30% federal income tax credit, which almost all US citizens are eligible for, can greatly reduce the cost of installing solar panels.
Ginalyn Gelera
Last Reviewed By: Ginalyn Gelera
Published: 2024-09-01