Delaware solar panels: The complete guide in 2025
Data updated May 20, 2025
Interested in going solar? You'll need to install a 13.44 kW solar panel system to cover the average electric bill in Delaware, which will cost you about $21,593 after the federal tax credit.
Cost for an average system in Delaware
| Out of pocket cost, cash | $30,847 |
| Federal tax credit (30%) | - $9,254 |
| Price post tax credit | $21,593 |
| 25-year savings | Payback period | Electricity offset |
|---|---|---|
| $48,372 | 8 Years | 95% |
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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- Overview
- Solar cost
- Incentives
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Going solar in Delaware
For such a small state, Delaware has some pretty big solar incentives. As a homeowner, you'll save with the federal tax credit and net metering––and you can even earn cash every year by selling the environmental benefits associated with your solar panel system.
The First State may have relatively low electricity costs, but solar is still worth it for most Delawareans.
Here's what you need to know about installing solar panels in Delaware.
Cost
How much do solar panels cost in Delaware?
Solar panels will save you a lot of money over time, but the upfront costs aren't cheap. The average Delaware homeowner needs a 13.44 kW solar panel system to cover their electricity needs, which comes out to $30,847 before incentives. Prices range from $26,220 to $35,474, but after the federal tax credit, that drops by 30%. Delaware has some of the best local incentives too, including a robust net metering program, solar renewable energy certificates (SRECs), and rebate and grant programs.
With cost savings like these, it’s no wonder why over 3,900 Delaware 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 8.44 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 pay for your solar panel system, each with its pros and cons.
Cash purchase: You pay for your system upfront. While it’s the most expensive option initially, it provides the best long-term savings.
Solar loan: You owe little to nothing upfront and make monthly payments on your system. With a solar loan, you get to maintain ownership of your panels. Still, they aren't all created equal: If you have access to subsidized clean energy loans through local incentive programs, that's usually your best bet. If not, go with a home equity loan or a personal loan. Private solar loans typically come with higher interest rates or upfront fees.
Solar lease or power purchase agreement (PPA): You have little to no upfront costs, but a third-party company owns your system. Depending on your contract, you’ll either lease your solar panels (solar lease) or purchase the electricity they generate (PPA). While more affordable upfront, third-party ownership models generally provide the lowest savings and have the worst reputation for reliability. They can be beneficial, but remember to read the fine print.
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Incentives
What are the best solar rebates and incentives in Delaware?
Incentives help bring solar's price tag down considerably in Delaware. Here are the major ones to know about:
| Incentive | Average savings in Delaware | Description |
|---|---|---|
Residential Clean Energy Tax Credit, formerly the federal investment tax credit (ITC) | $9,254 | Lowers your solar panel system's cost by 30% |
Green Energy Program Rebate | $3,500 | A rebate based on the capacity of your solar array for LMI households |
Solar Renewable Energy Certificates (SRECs) | $180 | Clean-energy credits that you can sell for cash |
Is net metering available in Delaware?
In certain states, net metering policies allow you to earn credits for the extra energy your home solar system produces. This incentive is known as net metering—basically a solar buyback program—and it can make it so you owe little to nothing on your electric bills.
In Delaware, the net metering rules work the same way across all electric utilities, including Delmarva, Delaware Electric Coop, and the municipal electric companies. But to qualify for net metering, your total system capacity can only be predicted to generate 110% of your previous 12 months' electricity use.
So, if you just purchased other clean energy solutions like heat pumps, it’s a good idea to wait to see your annual usage before you think about installing solar—otherwise, you may not be allowed to install a net-metered system large enough to cover all your electricity needs.
Equipment
Equipment quality
Solar panel efficiency continues to improve every year—that is, they produce more power per square foot. As of 2025, many top-selling solar panels produce around 450 watts in full sunlight. To maximize your roof’s production potential, look for panels with at least that level of output.
It’s also important to choose an inverter setup that fits the design of your roof.
And if you plan to add a solar battery, make sure it’s compatible with your inverter setup for smooth integration.
While higher-end equipment can be more expensive upfront, it often leads to greater savings over time. Premium products usually come with longer warranties—up to 25 years or more—and are built to last. They also degrade more slowly, meaning you’ll get more consistent energy production further into the future.
Companies
Who are the best solar installers in Delaware?
We pre-screen all of the solar companies on EnergySage to ensure they'll provide you with a high-quality installation. We then rate them based on their results, reputation, and responsiveness. Here are the highest-rated EnergySage installers in Delaware:
Ready to start looking for a solar installer?
Here are some of the most popular ones near you:
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resources
Top solar resources for Delaware
- Delaware Solar Loan Providers
Search through our list of top loan providers to finance your solar panel system.
- Delaware Electricity Profile (EIA)
Learn about DE energy production and prices.
- DE State Solar Policy (SEIA)
Get more information about solar energy in DE.
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