Going solar in Kentucky

In Kentucky, an average home needs a 10kW solar system in order cover most of their electricity needs. Given the average residential price-per-watt of $3.38 in Kentucky, a 10kW system can cost around $33,800 depending on applicable rebates and other factors.

Select your county by clicking on the map and see the potential generated solar power and panel pricing. See how it compares with the US state average.

Average out-of-pocket cost for a 5 kW system The upfront amount spent to buy and install solar.
Kentucky: $16,900US Average: $19,594
Average Payback Period The number of years until you break even on the solar investment.
Kentucky: 11 yearsUS Average: 13 years
Average Net 20-year savings The total amount of money saved over 20 years minus the out-of-pocket cost.
Kentucky: $14,620US Average: $10,133

Solar Potential in Kentucky

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

Roof size 804sq. ft.
Capacity 11.25kW DC
Electricity 13.3kkWh AC per yr.

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Compare solar panels by system size in Kentucky

Get the most value out of your roof by comparing the different benefits a given system size has.

System Size 6kW
Roof Size Min. space required
429 ft²
Electricity Value Annual Production $1,001 a year
Est. Price
$20,280
Savings from a 6kWthis system
  • Est. yearly production 8,440 kWh
  • Est. monthly savings $83
  • Full payback in 20 years
Environmental Impacts
  • Reduces CO2 emissions by 8.18 tons a year
  • Equivalent to planting 376 trees a year
  • Equivalent to driving 20,257 mi less a year
System Size 7kW
Roof Size Min. space required
501 ft²
Electricity Value Annual Production $1,168 a year
Est. Price
$23,660
Savings from a 7kWthis system
  • Est. yearly production 9,847 kWh
  • Est. monthly savings $97
  • Full payback in 20 years
Environmental Impacts
  • Reduces CO2 emissions by 9.55 tons a year
  • Equivalent to planting 439 trees a year
  • Equivalent to driving 23,633 mi less a year
System Size 8kW
Roof Size Min. space required
572 ft²
Electricity Value Annual Production $1,335 a year
Est. Price
$27,040
Savings from a 8kWthis system
  • Est. yearly production 11,253 kWh
  • Est. monthly savings $111
  • Full payback in 20 years
Environmental Impacts
  • Reduces CO2 emissions by 10.91 tons a year
  • Equivalent to planting 501 trees a year
  • Equivalent to driving 27,009 mi less a year
System Size 9kW
Roof Size Min. space required
644 ft²
Electricity Value Annual Production $1,502 a year
Est. Price
$30,420
Savings from a 9kWthis system
  • Est. yearly production 12,660 kWh
  • Est. monthly savings $125
  • Full payback in 20 years
Environmental Impacts
  • Reduces CO2 emissions by 12.28 tons a year
  • Equivalent to planting 564 trees a year
  • Equivalent to driving 30,385 mi less a year
System Size 10kW
Roof Size Min. space required
715 ft²
Electricity Value Annual Production $1,668 a year
Est. Price
$33,800
Savings from a 10kWthis system
  • Est. yearly production 14,066 kWh
  • Est. monthly savings $131
  • Full payback in 22 years
Environmental Impacts
  • Reduces CO2 emissions by 12.85 tons a year
  • Equivalent to planting 590 trees a year
  • Equivalent to driving 31,811 mi less a year

Kentucky solar incentives, tax credit, and rebates

Kentucky has 6 rebates and tax credits that you may be eligable for. Visit the official links for more details to see if you apply.

Solar incentives in KY

Tax Exemption for Large-Scale Renewable Energy Projects

Value:Varies

Beginning in 2007, companies operating in Kentucky may be entitled to corporate sales or income tax exemptions on new energy efficiency or renewable energy investments. A complete sales tax exemption may apply to any materials or equipment a company uses to make improvements. Certain employees whose jobs were created as part of the improvements may write off a 4% wage assessment on their own income taxes. A minimum investment of $1 million is required. New solar facilities should be rated for at least 50 KW, while systems using other renewable technology should be rated for at least 1 MW. Additional information is available from the Think Kentucky website.

On-Farm Energy Efficiency Grant Program

Value:Varies

The Office of Agricultural Policy, a unit of the office of the Kentucky governor, oversees the County Agricultural Investment Program (CAIP). Farmers may be eligible for program grants to fund energy efficiency improvements. Eligible projects for grant funding include new implements, insulation/weatherization, lighting, HVAC, windows, roofing, and smart thermostats. New solar thermal/PV systems and wind turbines may also be eligible. Equipment and building materials must meet certain state efficiency standards. Interested farmers may apply at any time and will be considered for the upcoming program year. Additional information is available from the OAP website.

Net Metering

Value:Varies

Kentucky requires private electrical utilities in the Commonwealth to collect renewable energy credits through net metering arrangements with their customers. Any solar, wind, biomass, or other renewable energy system rated for under 45 kW should have a bidirectional meter equipped to measure net excess generation (NEG) sent back to the grid. Customers will be compensated at a rate set by the state utility regulator. As of 2021, the rate per kilowatt hour is 9.746 cents. Systems entering a net metering contract must comply with certain IEEE and UL standards. Utilities reserve the right to restrict NEG exports to keep the grid stable. Additional information is available from the Kentucky Public Service Commission website.

Incentives for Energy Independence

Value:Varies

Various tax incentives are available in Kentucky to encourage renewable adoption research and adoption in the Commonwealth. New renewable generation farms, such as those using solar, wind, or biomass technology, may be totally exempt from state income tax, entity tax, and sales/use tax. Employees maintaining the systems may be entitled to tax credits equal to a 4% wage assessment on employers. Exemptions or special assessments are determined on a case-by-case basis and will last for up to 25 years. Certain administrative fees payable to the Kentucky Economic Development Finance Authority may apply. Additional information is available from the Think Kentucky website.

Energy Efficiency Loans for State Government Agencies

Value:Varies

The Green Bank of Kentucky (GBKY) received seed funding from the 2009 federal stimulus package. Currently, the Bank offers revolving loans to commonwealth government agencies for sustainability projects. Agencies may select from three different loan options. In each case, repaid principal will immediately "revolve" to support subsequent borrowers. SELF loans may fund any energy efficiency improvements or renewable energy investments that will reduce consumption by 20%. Available principal ranges from $50K to a maximum of $225K. Hybrid loans offer principal from $50K to $600K. These loans require energy audits before project work begins, the cost of which may be covered by loan funds. Agencies have the burden of procuring contractors and new equipment/materials. ESPC loans are designed for comprehensive or large-scale industrial improvements. Loan principal starts at $600K with no maximum. The applicant must use a recognized Energy Service Company or Energy Savings Performance Company for the work. Additional information is available from the GBKY website.

Interconnection Standards

Value:Varies

Distributed generation and interconnection have been standardized by the Kentucky Public Service Commission since 2009. Each energy system connected to the commonwealth grid will be assigned to a numerical "level" based on rated capacity. Systems at each level must follow recognized standards such as those set by IEEE or UL. Interconnection fees and application review turnaround will depend on the system's level. Customers must carry at least minimum liability insurance coverage on their energy system, and they may be required to install disconnect switches or other safety features by their utility. However, they will own any renewable energy credits they generate and may sell them to the utility at their discretion.

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Frequently Asked Questions

  • As a general rule, unless there are local limitations, the main limitations to the amount of solar panels you can put on your roof are the available space on your roof, your electricity usage, your providers net metering rules, and the limitations of your house hold electrical system.
  • Based on our research the average price per installed watt is $3.38 in Kentucky. This means for a 10kW system you can expect to pay $33,800 though pricing can vary significantly between installers based on the projects requirements.
  • Based on a Zillow research study from 2019, home with solar panels sell for roughly 4.1% more.
  • To generate the most power, solar panels in the United States should face true south as this generally results in the solar panels receiving the most light each day throughout the course of the year. That said, given that energy prices are often variable throughout the day, your installer may recommend you rotate your panels slightly so that the panels will receive more light at the end of the day when energy prices can be more expensive. That said, for most consumers the positioning of solar panels is highly dependent on your home's roof.
  • Based on our continuously updated database of solar installers, we have found 25 verified solar install companies in Kentucky

Solar installers in Kentucky (25)

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.

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.

SunWind Power Systems

(502) 276-5954

Services

  • Installation of solar arrays.
  • Reparation of solar arrays.
  • Installation of batteries for energy storage.
  • Auditing of energy requirements for independent energy generation.

Solgen Power

Pasco, WA(855) 220-0778

Services

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

Appalachian Renewable Power Systems

Stewart CDP, OH(740) 277-8498

Services

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

Craftsman Electric

Cincinnati, OH(513) 891-4426

Services

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

Dividend Finance

San Francisco, CA(415) 805-7000

Services

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

Pure Power Solar

Louisville/Jefferson County metro government, KY(502) 650-0353

Services

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

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.

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.

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.

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.

Empire Solar Group

Salt Lake City, UT(800) 467-4562

Services

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

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.
Last Reviewed By: Fernando García
Published: 2022-09-18