The cost of solar panels in Arkansas (2025)

Updated Oct 28, 2025

  • You'll pay an average of $12,355 to install a 5 kilowatt (kW) solar panel system in Arkansas before any available incentives.

  • Solar panels typically last 25-30 years, generating free electricity and protecting you from rising utility rates for decades.

Don't overpay for solar in Arkansas

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Written by:Emily Walker

Your electric bill doesn't care about your budget. It just keeps climbing. That's the bad news. The good news? Solar panels can lock in decades of predictable energy costs in Arkansas while your neighbors watch their utility bills rise.

As of October 2025, the average solar panel system costs $2.47/W including installation in Arkansas. For a 5 kW installation, this comes out to about $12,355 before any available incentives, though prices range from $10,502 to $14,208. That may sound like a lot, but most homeowners see solid returns on their solar investment over the system's 25-30 year lifetime.

Average price of a 5 kW solar panel installation in Arkansas

Good Price
$10,502 or less
Market Average
$12,355
High Price
$14,208 or more

You may pay even less than what we show here. It doesn't include any potentially available Arkansas or local incentives, which can help lower costs.

Your solar panel cost depends on your system's size

It may seem obvious but larger solar panel systems cost more money. We use cost per watt ($/W) so you can easily compare quotes, controlling for slight variations in system size.

While a 5 kW system will only cost you $12,355 in Arkansas, doubling the system size effectively doubles the price, so you'll pay about twice that for a 10 kW system.

Average solar cost by system size in Arkansas

System size
System cost
3 kW$7,413
4 kW$9,884
5 kW$12,355
6 kW$14,826
7 kW$17,297
8 kW$19,768
9 kW$22,238
10 kW$24,709

Are solar panels worth it in Arkansas?

Solar panels are worth it in most areas, including Arkansas. Certain factors, including the cost of electricity, incentives, climate, and the angle at which the sun hits your roof impact how quickly you break even on your investment relative to other areas around the U.S. 

Homeowners in Arkansas are expected to save an average of $25,025 over 25 years (the warranty term of most solar panels) on electricity costs with an average-sized solar panel system. We generate this estimate based on recent, real solar quote data from our Marketplace, factoring in system costs, electricity prices, available incentives, and inflation rates.

The savings estimate also includes the federal tax credit, which ends for systems installed after December 31, 2025, and is no longer available for most homeowners due to limited installer capacity through the end of the year. That means your savings will likely be a few thousand dollars less—but solar still delivers strong returns through long-term electric bill reductions.

Payback Period
13.66 Years
25-Year Savings
$25,025
Cost-per-Watt
$2.47

If you can't shell out $12,355 in cash to pay for solar, don't sweat it. You can choose to finance your system with a loan instead. Some companies even offer $0-down loans so you can start saving on day one if your loan payments are less than your current electric bills. Just keep in mind that your long-term savings will be lower with a loan due to interest rates.

For homeowners who prefer not to own their system or want to keep capital flexible, solar leases and power purchase agreements (PPAs) often provide immediate savings with no money upfront. They're not offered everywhere, though, so it's worth double checking that providers offer these types of agreements systems in your area.

Find out what solar panels cost in your area in 2025
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The numbers we're showing are averages. The price you'll pay for solar depends on many factors unique to you and your home:

If you're looking for solar companies in AR, here are some popular suggestions:

  • Good Faith Solar
    Bentonville, AR
    Established 2023
    Elite Installer
    Good Faith Solar is Arkansas' premier solar installation contractor. We combine expertise, transparency, and unwa... 
    Elite Installer
    Screened & Verified
    5.0 /5.0
    17 Reviews

    Good Faith Solar is Arkansas' premier solar installation contractor. We combine expertise, transparency, and unwa... 
  • Solar Alternatives Inc.
    Multi-state
    Established 2007
    Advanced Installer
    Solar Alternatives has been the Gulf Coast's leading provider for 16-years and is an established energy firm, fou... 
    Advanced Installer
    Screened & Verified
    4.6 /5.0
    10 Reviews

    Solar Alternatives has been the Gulf Coast's leading provider for 16-years and is an established energy firm, fou... 
  • Arkansas Energy Ventures, LLC
    Little Rock, AR
    Established 2017
    Approved Installer
    The reason that makes us different from most installers are the 5 fundamental pillars of this company : 1. Produ... 
    Approved Installer
    Screened & Verified
    5.0 /5.0
    6 Reviews

    The reason that makes us different from most installers are the 5 fundamental pillars of this company : 1. Produ... 
  • Omega Solar Energy
    Little Rock, AR
    Approved Installer
    We started Omega to give our community the option of solar along with the customer service that they deserve! 
    Approved Installer
    Screened & Verified

    We started Omega to give our community the option of solar along with the customer service that they deserve! 

Solar is a major purchase, but you can often get the price tag to come down by being an educated shopper. Taking advantage of incentives and shopping around for quotes can help lower your cost of solar in Arkansas.

Search for incentives

While the federal tax credit is no longer available for most purchased systems, many states offer great local incentives and rebates that can further reduce your costs—so it's worth seeing what's available to you.

Get quotes from multiple installers

Comparing multiple solar quotes can save you money through competition and transparency. Each additional quote you receive for solar will help you find the right solar panel system at the right price.

This is where EnergySage can help. With funding from the Department of Energy’s SunShot Prize, EnergySage opened the country’s first (and now the largest) marketplace for home solar panel installations. We gather custom solar quotes from local installers on your behalf and put them in an easy-to-compare format. When you compare quotes for solar panels on the EnergySage Marketplace, you can expect to see prices up to 20% lower than if you work with a single solar company.

See what solar costs in AR cities and towns

Choose a city below to see the solar costs in that area.

Solar panels aren't cheap. But neither is paying your utility company every month for the next 30 years. The difference? One of those bills eventually stops. The other one keeps climbing.

Getting solar quotes in doesn't cost you anything, but skipping this step could cost you thousands over your system's lifetime. Start comparing offers from Arkansas installers today—your future self (and your wallet) will thank you.

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