Solar Panels Cost 7.6k-17k in Chanhassen, MN | October, 2024

Solar Panels Cost $7.6k-$17k in Chanhassen, MN | October, 2024

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How much do solar panels cost in Chanhassen, MN in 2024?

Going solar in Chanhassen, MN is approximately $3.63/W in October, 2024.

It will cost you $3,630, on average, for every 1000 watts (1 kW) your solar panels can produce. Typically, the cost of a 5 kW solar installation in Chanhassen, after you deduct 30% federal tax credit, comes to $12,705. To meet your energy requirements, you could need a larger system.

On the left, select your area to find the typical roof size and the maximum production capacity for solar panels on homes in your county. Displayed below is an overview 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.
Chanhassen: $12,705US Average: $12,562
Average Payback Period The number of years until you break even on the solar investment.
Chanhassen: 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.
Chanhassen: $9,551US Average: $15,784

Solar Potential in Chanhassen

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

Roof size 769sq. ft.
Capacity 10.75kW DC
Electricity 12.4kkWh AC per yr.

Electricity Costs in Chanhassen, MN & What that Means for Your Solar Panel Pricing

The average electricity cost for Chanhassen consumers is $115.42 per month, with a usage of 731 kWh. Small homes, such as micro-apartments, are also covered in the figures mentioned in the previous sentence.

For October 2024, Chanhassen, MN's average electricity rate is 15.79¢ per kWh.

To account for all of their energy consumption requirements of a typical user in Chanhassen, a solar power system of 7 kW or more is needed. The price of aa 7 kW solar setup comes to $25,410 initially, but with the 30% federal tax credit, the total cost drops to $17,787.

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Average solar panel costs by system size in Chanhassen

On the left side, you'll see a full pricing details of the various sizes of solar panel systems set up in Chanhassen. Although a bigger solar installation carries a larger expense, it also provides greater electricity savings and more substantial income tax credits.

In the solar panel cost calculator found down and to the right, you can examine a cost and benefit breakdown to match an average $115.42electric bill in Chanhassen. To obtain tailored results, adjust the $115.42 to match your usual electricity payment.

System Size 3kW
Roof Size Min. space required
215 ft²
Electricity Value Annual Production $695 a year
Est. Price
$7,623
Savings from a 3kWthis system
  • Est. yearly production 4,346 kWh
  • Est. monthly savings $58
  • Full payback in 6 years
Environmental Impacts
  • Reduces CO2 emissions by 1.97 tons a year
  • Equivalent to planting 90 trees a year
  • Equivalent to driving 4,872 mi less a year
System Size 4kW
Roof Size Min. space required
286 ft²
Electricity Value Annual Production $927 a year
Est. Price
$10,164
Savings from a 4kWthis system
  • Est. yearly production 5,795 kWh
  • Est. monthly savings $77
  • Full payback in 7 years
Environmental Impacts
  • Reduces CO2 emissions by 2.62 tons a year
  • Equivalent to planting 121 trees a year
  • Equivalent to driving 6,496 mi less a year
System Size 5kW
Roof Size Min. space required
358 ft²
Electricity Value Annual Production $1,159 a year
Est. Price
$12,705
Savings from a 5kWthis system
  • Est. yearly production 7,244 kWh
  • Est. monthly savings $97
  • Full payback in 9 years
Environmental Impacts
  • Reduces CO2 emissions by 3.28 tons a year
  • Equivalent to planting 151 trees a year
  • Equivalent to driving 8,120 mi less a year
System Size 6kW
Roof Size Min. space required
429 ft²
Electricity Value Annual Production $1,391 a year
Est. Price
$15,246
Savings from a 6kWthis system
  • Est. yearly production 8,692 kWh
  • Est. monthly savings $115
  • Full payback in 11 years
Environmental Impacts
  • Reduces CO2 emissions by 3.91 tons a year
  • Equivalent to planting 179 trees a year
  • Equivalent to driving 9,669 mi less a year
System Size 7kW
Roof Size Min. space required
501 ft²
Electricity Value Annual Production $1,623 a year
Est. Price
$17,787
Savings from a 7kWthis system
  • Est. yearly production 10,141 kWh
  • Est. monthly savings $115
  • Full payback in 13 years
Environmental Impacts
  • Reduces CO2 emissions by 3.91 tons a year
  • Equivalent to planting 179 trees a year
  • Equivalent to driving 9,669 mi less a year

Chanhassen Solar Panel Installation Incentives & Rebates | 2024

Between 80% and 100% of your solar energy or wind turbine installation costs may be covered by the REAP Grant if you own a rural small business or farm. Wondering if you fit this category? Check your eligibility with our REAP Grant eligibility tool.

When it comes to residential solar, the majority of people qualify for the 30% federal income tax credit, making solar a practical option across most regions of the nation. A range of state and local incentives are in place to promote the use of solar energy.

There are 12 solar rebate and incentive programs currently available in Minnesota by various utilities and government agencies.

Owatanna Public Utilities - Solar Rebate Program

Value:Up to $500

Commercial and residential customers of OPU, the municipal power utility for the city of Owatonna, may be entitled to rebates on solar PV systems and water heaters. Rebates add to existing federal tax incentives. New PV installations will yield a $500 rebate regardless of their rated capacity. Water heaters yield a rebate based on the area of the panels; the current rate is $15 per square foot. To qualify, systems should meet all city, state, and federal standards and be interconnected to the grid under a net metering contract. Interested customers should schedule an energy audit with an OPU participating solar contractor.

Minnesota Power - SolarSense Solar Rebate Program

Value:Up to $10,000

Minnesota Power customers may be entitled to rebates on new solar photovoltaic systems. To qualify, a system must meet all state and federal standards, be installed by a certified solar contractor, and be interconnected to the grid under a net metering contract. The incentive amount is determined through an NREL tool which considers the system's rated capacity and other design characteristics. Current rates are 56 cents/estimated kilowatt hour of production in the first year of the system's use. Minnesota Power must preapprove all incentives. Customers must therefore apply for the rebate before purchasing their system. Additional information is available from the website.

Value of Solar Tariff

Value:Varies

Net metering in Minnesota is set to be replaced by a Value of Solar (VOST) tariff program standardized by the Department of Commerce. No utility has implemented such a program as of 2021, though Xcel Energy is exploring retail-rate tariffs in a similar vein to VOST. VOST operates as an "inflow-outflow" program. Customers are technically billed for all electricity they generate, including excess generation (EG) sent to the grid. Rather than paying for all generated energy, however, they will only owe the cost of their "nettable energy" in that cycle. Nettable energy is equal to total power generated at the standard billed cost minus EG at a different "credit rate." As with net metering, should generation exceed consumption, the remaining credits will be applied to subsequent cycles. VOST contracts last for 20 years; credit rates are fixed for the length of the contract. "Virtual VOST" provisions exist to compensate microgrid subscribers in proportion.

Farm Opportunities Loan Program

Value:Varies

New sustainable farm equipment may be eligible for special financing through Minnesota's Farm Opportunity Loan Program. The program is administered by the state Rural Finance Authority in conjunction with various funding partners. Loans can cover up to 80% of purchase and installation costs. The RFA assumes responsibility for servicing 45% of the principal up to $45,000. Interest on the RFA portion is 3%; the remaining 55% will accrue interest at the current market rate. Additional information is available from the RFA website.

Community-Based Energy Development (C-BED) Tariff

Value:Varies

Utilities in Minnesota are required to participate in Community-Based Energy Development tariff programs (C-BED) to support the construction and onboarding of new renewable energy facilities, including solar and wind farms. C-BED contracts last for 20 years. During the term, the state will pay utilities at a fixed rate for the energy they produce. The underlying goal is for utilities to more easily recoup the costs for their renewable facilities. Additional information is available from the Minnesota Public Utilities Commission website.

Value-Added Stock Loan Participation Program

Value:Varies

The Minnesota Rural Finance Authority (RFA) operates a stock financing program to aid farmers in purchasing shares of nearby wind farms or biomass energy facilities. Loans are offered by private banking partners, though the RFA sets loan terms and low interest rates for up to 45% of the principal. Qualifying applicants must not be worth more than $450,000. Additional information is available from the RFA website.

Fix-Up Loan

Value:Varies

Minnesota homeowners making energy efficiency or accessibility improvements may be eligible for special loans from the state Housing Finance Agency (MHFA). "Fix-Up Loans" have a maximum of $15,000 in principal at market-rate interest. Applicants have direct access to MHFA lending partners and can negotiate loan terms. They may also use the contractors and builders of their choice. Lending partners differ between the 11-county Twin Cities area and the rest of the state. Additional information is available from the MHFA website.

Rural Minnesota Energy Board PACE Program

Value:Varies

The St. Paul Port Authority operates a PACE program in Duluth, Mankato, and certain Twin Cities suburbs and exurbs. Property owners will have access to an open market of local lenders offering competitive loans and terms for energy efficiency improvements. Effectively, funding comes from the government; repayment will therefore take the form of a tax lien senior to the property's mortgage. Residential structures are not eligible for PACE loans due to regulatory concerns from the FHFA. Fannie Mae and Freddie Mac are prohibited from acquiring a mortgage with an active PACE lien. Additional information is available from the Port Authority website.

Minnesota PACE Program (MinnPACE)

Value:Varies

The St. Paul Port Authority operates a PACE program in Duluth, Mankato, and certain Twin Cities suburbs and exurbs. Property owners will have access to an open market of local lenders offering competitive loans and terms for energy efficiency improvements. Effectively, funding comes from the government; repayment will therefore take the form of a tax lien senior to the property's mortgage. Residential structures are not eligible for PACE loans due to regulatory concerns from the FHFA. Fannie Mae and Freddie Mac are prohibited from acquiring a mortgage with an active PACE lien. Additional information is available from the Port Authority website.

Interconnection Standards

Value:Varies

Distributed generation and interconnection practices are standardized by the Minnesota Public Utilities Commission. Standards were last updated in 2019 and continue to be amended regularly. Unlike states which use tiers and levels to organize energy systems, Minnesota uses permit processes as benchmarks. Systems at a qualifying capacity level may be eligible for a "Fast Track" permit review. All systems must follow recognized standards such as those set by IEEE or UL. Customers may be required by their utility to carry liability insurance coverage or install additional safety features.

Renewable Development Fund (RDF)

Value:Varies

Xcel Energy has administered a Renewable Development Fund since 1999. The fund's annual budget amounts to $9 million, the result of a state-set rate per nuclear waste reservoir at the Prairie Island, Minnesota plant. Additional funding comes from a surcharge on Xcel customer bills in Minnesota and western Wisconsin. Funding supports incentive programs and other initiatives to adopt renewable energy. The University of Minnesota's Institute for the Environment also taps into the fund for its own research. Additional information is available from the Xcel website.

Xcel Energy - Solar*Rewards Program

Value:Varies

Solar*Rewards is the formal name for Xcel Energy's net metering and distributed generation tariff incentive programs nationwide. Under Minnesota law, renewable energy customers hold ownership of renewable energy credits (RECs) they generate. With a Solar*Rewards contract, the customer agrees to sell all RECs to the utility for a fixed amount of time and have a bidirectional meter installed on their system to track energy sent back to the grid. In exchange, the utility will provide fair compensation for both excess generation and credits accrued. To qualify for incentives, a new PV system must pass an engineering audit and not exceed 20 kW of DC capacity. Leased systems do not qualify for Solar*Rewards contracts. Additional information is available from the Xcel website.

Are solar panels worth it in Minnesota?

For those looking to stay in their home past the solar system's payback period, solar panels are a wise investment in Chanhassen. Having a 5 kW solar system in Chanhassen, MN can potentially save you roughly $14,995.8 over a span of 20 years, with an average break even point of 9 years.

The cost of not having solar panels in Chanhassen, MN

Opting not to install solar panels or a separate backup energy solution results in you missing out on the savings mentioned earlier and leaves you fully reliant on your electric utility for electricity. Recent news has demonstrated that complete dependence on your utility company is not always ideal.

In recent times, customers in Chanhassen have encountered an average of 0.84 outages per year. On average, each outage lasts for 91.37 minutes. Major events like lightning strikes, overloaded power grids, or wildlife damage can considerably extend these durations.

A solar energy system could help mitigate the effects of future outages, whether or not it has a backup battery.

Power Outages

Currently, 0 customers are being tracked in Carver County.

Learn more

Customers Out:

0

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What impacts the cost of solar panels in Chanhassen, MN?

Your Energy Needs - The cost per watt is lower with larger solar panel systems, even though the initial cost is higher. Consumers often realize that setting up a solar system to replace their electric bill is a beneficial decision, resulting in the most savings.

Make & Model - There are a variety of makes and models of solar panels and mounting equipment. The potential system preferences of your chosen contractor make it crucial to choose a reputable company. Buyers who choose high-quality materials generally enjoy a better long-term experience.

Solar Panel Type - The industry standard is now monocrystalline panels, and rightly so. They are pricier but generate more energy. Many professionals in solar installation use panels crafted from this material.

Your Property - Uneven ground, trees, or other obstructions can make the installation process more challenging. Nowadays, the many solar installers can evaluate your home with satellite images and incorporate these factors in the first cost estimate.

Labor Rates - The different wages that companies give their employees lead to costs that are ultimately borne by consumers. Reviews for work and customer service are often higher for companies that pay higher wages.

Permitting & Interconnection - Regional differences in permitting and utility interconnection fees will influence your installation cost. Good installers will factor these costs into your initial quotes to prevent unexpected expenses.

See what solar panels cost in other MN cities

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Who are the best solar installers in Chanhassen?

Academy Energy Group

Newburgh, IN(812) 518-2150

Services

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

Solar Farm

St. Paul, MN(651) 271-8410

Services

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

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.

Sundial Energy

St. Louis Park, MN(612) 439-9591

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

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

Harvest Solar

Jackson, MI(888) 907-6527

Services

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

Sunnova Energy

Houston, TX(866) 786-6682

Services

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

GRNE Solar

Palatine, IL(312) 859-3417

Services

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

Entegrity

Little Rock, AR(800) 700-1414

Services

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

Ideal Energy

Fairfield, IA(800) 634-4454

Services

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

LightEdison

Denver, CO(888) 966-6377

Services

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

Empire Solar Group

Salt Lake City, UT(800) 467-4562

Services

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

Chanhassen, MN Solar Panel Cost FAQs

  • As recorded in October, 2024, the standard cost for solar panel installations in Chanhassen, MN is $3.63/W. After federal tax credits, the installation of a 5 kW solar panel system in Chanhassen, MN is estimated to cost $12,705.

  • Right now, Minnesota has 12 rebates and incentives available through a variety of utility companies and government entities. In addition, nearly all people are eligible for the 30%federal tax credit.

  • Choosing to pay cash provides the most savings, but today there are many financing options for solar panels that are also cost-effective. Initial quotes from installers will frequently include information about available financing options.

  • Yes, solar panels systems of 5 kW in Chanhassen, MN typically have a payback period of 9years, with expected savings on electricity costs of $14,995.8 over 20 years.
King Manalo
Last Reviewed By: King Manalo
Published: 2024-10-01