North Carolina solar panels: The complete guide in 2025
Data updated Jul 8, 2025
Interested in going solar? You'll need to install a 13.65 kW solar panel system to cover the average electric bill in North Carolina, which will cost you about $22,210 after the federal tax credit.
Cost for an average system in North Carolina
| Out of pocket cost, cash | $31,729 |
| Federal tax credit (30%) | - $9,519 |
| Price post tax credit | $22,210 |
| 25-year savings | Payback period | Electricity offset |
|---|---|---|
| $37,432 | 10 Years | 94% |
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 North Carolina
Looking to power your home with clean, sustainable energy that’ll boost your energy independence? You can save money while reducing your carbon footprint and your reliance on the utility electric grid when you go solar in North Carolina.
Factor in the federal solar tax credit, and Tar Heels can cut the cost of solar by thousands of dollars, speeding up your payback period and increasing the value of your investment.
Here's our guide to going solar in North Carolina.
Cost
How much do solar panels cost in North Carolina?
Solar panels will save you a lot of money over time, but the upfront costs aren't cheap. The average North Carolina homeowner needs a 13.65 kW solar panel system to cover their electricity needs, which comes out to $31,729 before incentives. Prices range from $26,970 to $36,488, but after the federal tax credit, that drops by 30%.
While this may sound high, it will pay off in North Carolina. That's why over 37,000 North Carolina 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 10.4 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 North Carolina?
Incentives help bring solar's price tag down considerably in North Carolina. Here are the major ones to know about:
| Incentive | Average savings in North Carolina | Description |
|---|---|---|
Residential Clean Energy Tax Credit, formerly the federal investment tax credit (ITC) | $9,519 | Lowers your solar panel system's cost by 30% |
PowerPair rebates | $9,000 | For Duke Energy customers: if your solar panel system's inverter rating is below 10 kW and you pair it with a battery up to 13.5 kWh in size, you could receive a one-time rebate of up to $0.36/W for solar and up to $400/kWh for storage. |
PowerPair + EnergyWise Home program | Up to $92/mo | For Duke Energy customers: Earn up to $92 per month in energy credits by allowing the utility to access your stored battery power between 30 and 36 times per year. |
North Carolina solar property tax exemption | 0.77% of your system’s cost, annually on average | If you use solar energy as a source of power, you won't ever need to pay a tax on the value your solar panels add to your property |
Is net metering available in North Carolina?
Some states grant you bill credits that you earn from your utility company whenever your solar panel system generates excess electricity and sends it to the grid. This incentive is known as net metering, and it can significantly reduce—or even eliminate—your electric bill.
North Carolina has some solid net metering programs, but your eligibility depends on your utility. Dominion Energy offers net metering, but Duke Energy no longer accepts new customers. Blue Ridge EMC customers can choose between net metering or net billing.
Get the details on net metering in North Carolina or see program specifics below:
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 North Carolina?
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 North Carolina:
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 North Carolina
- North Carolina Solar Loan Providers
Search through our list of top loan providers to finance your solar panel system.
- North Carolina Energy Office
Learn about NC solar programs from the state government.
- NC Utilities Commission
Read more about how utility companies work in NC.
- North Carolina Electricity Profile (EIA)
Learn about NC energy production and prices.
- NC State Solar Factsheet (SEIA)
See quick stats about how much solar energy has grown in NC.
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