Connecticut solar panels: The complete guide in 2024

Data updated Jun 11, 2024

Written by: Emily Walker

Interested in going solar? You'll need to install a 10.69 kW solar panel system to cover the average electric bill in Connecticut, which will cost you about $23,299 after the federal tax credit.

Cost for an average system in Connecticut


Out of pocket cost, cash
$33,284
Federal tax credit (30%)
- $9,985
Price post tax credit
$23,299

20-year savings $76,948
Payback period 7 Years
Electricity offset 98%
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As long as your federal tax bill is high enough, you can take advantage of the federal investment tax credit (ITC).

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Going solar in Connecticut

Connecticut is better known for its historic homes and white sandy beaches than for its ample sunshine. But with affordable state financing options and some of the highest electricity rates, it's still a great place to install solar panels. 

In fact, as long as you have the right roof, solar makes sense for most Connecticut homeowners. 

Here's what you need to know about going solar in the Constitution State.

Cost

How much do solar panels cost in Connecticut?

Solar panels will save you a lot of money over time, but the upfront costs aren't cheap. The average Connecticut homeowner needs a 10.69 kW solar panel system to cover their electricity needs, which comes out to $33,284 before incentives. Prices range from $28,291 to $38,277, but after the federal tax credit, that drops by 30%. Connecticut even has some local incentives that will help out, too.

While this may sound high, it will pay off in Connecticut. That's why over 20,000 Connecticut homeowners have used EnergySage to receive and compare quotes for solar installations. You can expect to earn back your initial solar investment through electricity savings in about 6.68 years, while most systems last at least 25 years. You'll often see this number referenced as your solar payback period.

There are a few ways to finance your solar panel system so you don't have to provide all that money upfront. 

  • Cash purchase: You'll own the system and pay for it upfront. This provides the best long-term savings. 

  • Solar loan: This allows you to retain ownership of your system while owing little to no money upfront. Solar loans aren't all created equal. If you have access to subsidized clean energy loans through local incentive programs, that's usually your best bet. A home equity loan or a personal loan are often your next best options—private solar loans typically come with higher interest rates or upfront fees.

  • Solar lease or power purchase agreement (PPA): A third-party company owns your system and either leases you the solar panels (solar lease) or allows you to purchase the electricity they generate (PPA). These generally provide the lowest savings and generate the most negative press about solar. If you choose this financing option, read the fine print: You can get trapped in them for longer than you'd like.

Solar panels on a house

Incentives

What are the best solar rebates and incentives in Connecticut?

Incentives help bring solar's price tag down considerably in Connecticut. Here are the major ones to know about:

Incentive
Average savings in Connecticut
Description

Residential Clean Energy Tax Credit, formerly the federal investment tax credit (ITC)

$9,985

Lowers your solar panel system's cost by 30%

Smart-E Loans

Varies depending on how you finance your system

Connecticut Green Bank provides long-term, low-interest financing for home energy upgrades, including solar panels

Connecticut solar sales tax exemption

6.35% of your system costs

You don't need to pay any sales tax on new solar panel systems in Connecticut, saving at least 6.35% of your system costs

Connecticut solar property tax exemption

1.63% of your system's value annually on average

If you use solar energy as a source of power, you won't need to pay a tax on the value your solar panels add to your property

Is net metering available in Connecticut?

In some states, you'll earn bill credits from your utility company when your solar panel system generates excess electricity and sends it to the grid. This incentive is known as net metering—basically a solar buyback program—and makes it so you will owe very little, or even nothing, on your electric bills with solar panels.

Connecticut no longer offers net metering, but if your solar panel system is less than or equal to 25 kW and connected to the grid, you can benefit from its Residential Renewable Energy Solutions (RRES) program. You can sign up for two different tariffs in the RRES program: the Netting Tariff and the Buy All Tariff

We get into all the details about the different tariffs here, but the biggest thing to know is that the Netting Tariff is actually better than Connecticut's former net metering program.

A house with rooftop solar panels connected to the grid

Equipment

Equipment quality

Each year, solar panels get more and more efficient—that is, they produce more power per square foot. As of 2024, the most popular solar panels can produce about 400 watts of electricity when they’re in full sunlight. If you want to make the most of your roof’s solar potential, get panels with at least that much power output.  

You should also make sure to select a solar inverter setup that makes sense for your roof’s layout. 

And if you want or need a solar battery, be sure to pick one that can integrate cleanly with that inverter. 

Premium equipment can come with a high price tag, but it will often save you more money in the long run. The best equipment tends to have the best warranty terms, often guaranteed to 25 years (sometimes even 40!), so you’re covered in case you need repairs or replacements. The highest-quality panels also degrade more slowly, so they’ll maintain more of their power output further into the future. 

See our list of the best solar panels

resources

Top solar resources for Connecticut

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