Solar Panels in California

#1 Solar State in the United States

$2,100/yr

Avg. Annual Savings

5.8 peak hrs/day

Peak Sun Hours

5–8 years

Payback Period

$16,000–$26,000

Avg. System Cost

Get Free California Solar Quotes

Overview

Is Solar Worth It in California?

California has committed to going solar in a big way — the state leads the nation in installed solar capacity and was the first to require solar panels on all new residential construction. With high electricity rates, abundant sunshine, and a robust incentive ecosystem, California homeowners have more reasons than ever to go solar.

The state recently transitioned to NEM 3.0 net metering, which changes the economics slightly but still makes solar a strong investment, especially when paired with a battery storage system.

Benefits

Why Go Solar in California

Reduce Your Electric Bill

California homeowners save an average of $2,100/yr after going solar.

Federal 30% Tax Credit

Deduct 30% of your total system cost from your federal income taxes.

Increase Home Value

Solar panels increase your home's resale value — and are excluded from property tax in most states.

Energy Independence

Lock in your electricity rate and protect against rising utility costs for 25+ years.

Available Incentives

California Solar Incentives & Tax Credits

NEM 3.0 Net Metering

Net Metering

California's updated net metering program credits excess solar energy at a "avoided cost" rate. While lower than the old NEM 2.0, pairing solar with battery storage maximizes your savings under NEM 3.0.

Credits for excess generation

SGIP Battery Rebate

Rebate

The Self-Generation Incentive Program (SGIP) offers rebates for battery storage systems, making solar + battery combinations more affordable.

Up to $1,000/kWh rebate

Property Tax Exclusion

Tax Exemption

California excludes the added value of solar installations from property tax assessments until the property is sold.

100% exclusion until sale

Federal Investment Tax Credit (ITC)

Tax Credit

The federal 30% ITC applies to all California homeowners who purchase their solar system.

30% of system cost

Common Questions

California Solar FAQ

Yes — especially when paired with battery storage. NEM 3.0 pays less for excess daytime generation, but a battery lets you store that energy and use it at night when rates are highest, maintaining strong savings.

Ready to go solar in California?

Get matched with top-rated local installers — free quotes, no obligation.

Get Free California Quotes