Arkansas solar rebates and incentives: 2026 guide

Arkansas doesn't offer the strongest solar incentive programs out there. But that doesn't mean solar isn't worth it—especially if your electric bills are eating up a big chunk of your monthly budget.

Solar's real value isn't about rebates. It's about taking control of your electricity costs for the next 25-30 years. As utility rates continue their steady climb, locking in lower energy costs now can deliver substantial savings over time. Even without robust state programs, many Arkansas homeowners with decent sun exposure and moderate to high electric bills find that solar still pays for itself. Here's how you may be able to lower your solar costs in Arkansas—and whether it makes sense for your home.

Unfortunately, Arkansas doesn't offer many incentives for solar. But if your electric bills are high, going solar can still make sense.

Unfortunately, Arkansas doesn't offer any sales or property tax exemptions for solar.

At the end of 2024, Arkansas transitioned from net metering to net billing, which means the credits you earn will unfortunately now be worth a lot less than before. This is similar to what happened in California. 

With net billing, you earn credits when you send excess electricity from your solar panels to the grid. When the sun isn't shining and you need to pull electricity from the grid, your utility will apply the credits to your bill. However, the credits are worth a lot less with net billing compared to net metering. In Arkansas, your excess energy is now credited at the avoided cost rate, which is a little less than half the retail rate, so you won’t save as much on your electric bills as you used to.

But if you installed solar panels by September 30, 2024, you’re grandfathered into net metering for the next 20 years.

Arkansas doesn't offer any state-specific battery incentives. Batteries are great for increasing your energy independence and providing protection from blackouts in Arkansas. 

Since Arkansas no longer offers net metering, installing a battery with your solar panels is the best way to increase your savings. This way, you can store excess solar energy in your battery for use later on instead of sending it to the grid.