Utah solar rebates and tax credits calculator

Solar incentive

Federal ITC 30% (tax credit)

State tax credit: Yes ($1,600)

Net metering (by utility)

Calculate for your home's location

There can be solar tax credits and incentives available at the federal, state and local levels. The calculator above will show you the value of all incentives your home is eligible for.

Summary of Utah solar incentives 2024

Utah is a truly sunny place, making it a naturally strong place to install home solar panels. However, there are a few issues on the legislative side we’d like to see improved to make the economics work even better.

The state has a voluntary Renewable Portfolio Standard, meaning utility companies here are not required to derive their energy from clean sources, like the solar panels on your rooftop. That means they don’t have much incentive to create solar incentives for you. 

So, while there is a state solar tax credit in Utah, there are no solar energy rebates or solar sales tax exemptions here. Lawmakers also just allowed Rocky Mountain Power to kill net metering (more on why that's important below). 

If it weren't for all the abundant sunshine, Utah may not be such a great place to install home solar. As it is though, home solar power makes a lot of sense here regardless. Use the solar calculator above to compute your savings! 

On this page, you can:

  1. Learn what solar incentives are available to Utah homeowners

  2. See what Utah solar incentives you qualify for based on your utility company and city

  3. Find out how much these incentives and/or Utah solar tax credits will reduce your cost to go solar and add batteries

Federal solar investment tax credit

The federal solar investment tax credit will have the biggest impact on the cost you will face to go solar in Utah

If you install your photovoltaic system before the end of 2032, the federal tax credit is 30% of the cost of your solar panel system. This is 30% off the entire cost of the system including equipment, labor, and permitting.

Example: If your solar energy system costs $20,000, your federal solar tax credit would be $20,000 x 30% = $6,000.

The federal tax credit falls to 26% starting in 2033.

Net energy metering in Utah

With net metering in some states, you get full retail rate credit for the amount of electricity you send back into the grid with your solar panels.

With net metering, you can sell the excess solar energy you produce with your solar panels back to the utility, a huge win for you as a solar homeowner. Unfortunately, Utah no longer requires its utility companies to offer net metering. 

Instead, RMP now offers what they call "net billing," which they define using schedule 137. Under the net billing arrangement, solar owners can generate and use electricity from solar panels to reduce the amount of energy they buy from the utility. When the sun is shining bright and solar panels are generating more than a home can use, the excess energy is sent to the grid, and RMP pays a price of 5.969¢ per kWh (5.639¢ from October - May). Those payments are applied to the homeowner's account as a bill credit, and used to reduce their final monthly bill for energy they buy when the solar panels aren't producing.

Other net metering programs in Utah vary depending on specific utility or co-op rules.

Utah solar rebates

While Utah does not have a dedicated state rebate for solar panel installation, some manufacturers like LG offer their own solar rebates. These programs are usually time sensitive. For example, LG offers a $600 solar rebate on their equipment, which your installer can help you redeem over the next year.

Solar tax credit

Everyone in Utah is eligible to take a personal tax credit when installing solar panels. The tax credit for a residential system is 25% of the purchase and installation costs up to a maximum of $1,600. Dolla dolla bill y’all.

And of course, Utahns also benefit from the Federal Solar Tax Credit. There's no cap on the federal tax credit and you'll deduct that after you subtract your rebate. For sample calculations, use our Utah solar calculator on this page. 

Cost of solar panels in your part of Utah after all applicable solar incentives

Solar prices near you

Cost range of local prices

$13,824-$16,896

Payback period

8.5-10.3 years

Net profit (savings less system cost)

$30,566-$37,358

Average size system installed in UT in 2024

10.0kW

Solar panel cost calculator

Best 10 solar companies in Utah

76 solar companies in Utah provide pricing on SolarReviews. Here are the best rated companies near you.

Solar guides for your Utah city

For more information about going solar near where you live, check out the following resources:

Find local city information

 

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