Connecticut Solar Power: 2026 Costs, Incentives & Savings

Solar in Connecticut

Connecticut has the 4th highest electricity rates in the nation — and costs have only climbed in recent years. It’s no wonder the state ranks 11th in the US for residential solar installations. Homeowners across Connecticut are taking control of their energy bills, and solar is how they’re doing it.

If you’re curious about solar panels for your home, this guide is a great place to start. We’ll walk you through how solar installation works in Connecticut — from the process to what it costs — in clear, straightforward terms.

CONNECTICUT by the Numbers

11th Most residential solar in the United States

91k Households have installed solar panels

4.6 Average daily peak sun hours

~$127k Connecticut average savings over 25 years

Connecticut Solar Panel Cost

Wondering what solar actually costs in Connecticut? We’ve built this calculator using real installation data from homes across the state — from Hartford and New Haven to Stamford and Bridgeport. See your estimated monthly lease payment through Palmetto’s LightReach program (no upfront cost) or explore a cash purchase option — side by side.

Lease Cash Purchase

System Size
This system size is designed to offset approximately 100% of the average electricity usage for a home in Connecticut.

Recommended System
9.46 kW

Your Monthly Payment
Estimated monthly cost with LightReach
$135/mo
As low as
$135/mo

Why Lease Solar?
Following the 2025 Big Beautiful Bill, the federal 30% solar tax credit is no longer available for cash purchases. With a LightReach lease, Palmetto owns the system and still qualifies for the commercial ITC — passing those savings through to you via lower monthly payments.

Cost Breakdown
Your estimated investment

System Cost
$28,049
Cost Per Watt
$2.97/W
Final Cost
$28,049

Savings Your total financial benefit

Monthly Savings
Average utility bill reduction
$289

Payback Period
Break-even point
7.3 years

25-Year Savings
$126,542

Get Your Personalized Quote

Palmetto Reviews

Craig Hanson — Naugatuck, Connecticut: Right from the time we had our solar installed to downloading the Palmetto Solar app. Palmetto have been an excellent company upfront with their billing and everything is clearly understandable on the app. Would recommend them to anyone that wants to listen.

Michael Fleming — Windham, Connecticut: Best solar — From beginning to end the entire process was somewhat seamless. Other than few small glitches the personnel were polite and timely during the solar installation. Would recommend them to anyone interested in getting solar installed.

Jopapyle — Pennsylvania: My wife and I previously had a third party owned solar energy system in Connecticut. We have been waiting for a similar experience in Pennsylvania and along came Palmetto. Their sales and installation are serviced by SpartanX. Everything from initial visit and sales pitch to installation was smooth and professional. We are now waiting for the local inspection and meter change out, all arranged by Palmetto. With Palmetto we feel we are helping boost solar as a workable energy alternative.

Key Takeaways

Connecticut Electricity Prices

Connecticut homeowners pay some of the highest electricity rates in the country — and the trend isn’t moving in their favor.

In 2021, Connecticut residents paid 21.9 cents per kWh. By 2023, that figure had jumped to 29.9 cents — nearly double the national average of 16.0 cents. That’s a 37% increase in just two years.

Solar panels generate electricity from sunlight, which means the power you produce at home isn’t subject to utility rate increases. The more your panels produce, the less you rely on the grid.

Through Palmetto’s LightReach program, homeowners can go solar with no upfront cost and lock in a predictable monthly rate — so rising utility prices don’t catch you off guard. Palmetto owns and maintains the system, and every LightReach plan includes a 90% Production Guarantee.

Price of Energy: Connecticut vs National Average

Year Connecticut US Average
2021 21.9¢ 16.0¢
2023 29.9¢ 16.0¢

Connecticut Area Utility Providers

Connecticut homeowners are served by two main electric utilities: Eversource and United Illuminating. Based on 2023 data — the most recent available — both charge significantly more than the national average.

In 2023, Eversource customers paid 31.6¢ per kWh and United Illuminating customers paid 33.2¢ per kWh. The state average was 29.9¢ — nearly double the national average of 16.0¢ per kWh.

Connecticut Solar Incentives

Connecticut offers a strong set of solar incentives in Connecticut — including statewide programs, tax exemptions, and financing options — that can significantly reduce the cost of going solar.

Incentive Type Description Source
Residential Renewable Energy Solutions (RRES) Program Net Metering / Solar Tariff Choice between Buy-All tariff or Netting tariff for solar energy produced. Learn More
Energy Storage Solutions (ESS) Program Rebate Incentive for residential battery storage installations. Learn More
Connecticut Sales Tax Exemption for Solar Sales Tax Exemption 100% exemption from the state’s sales and use tax on solar and battery systems. Learn More
Connecticut Property Tax Exemption for Solar Property Tax Exemption Excludes added home value from tax assessments due to solar installation. Learn More
Smart-E Loan Program (CT Green Bank) Loan / Financing Program Offers low-interest loans for solar and battery installations. Learn More
Shared Clean Energy Facility (SCEF) – Community Solar Program Community Solar Allows renters and homeowners to benefit from off-site solar facilities. Learn More
Project SunBridge – Solar for All Program Grant Provides assistance for low-income households to access solar. Learn More
HB 5340 – Plug-In Solar Provisions Solar Policy Allows small solar devices without landlord permission effective October 2026. Learn More

Connecticut Solar Irradiance

Solar panel production varies based on factors like daylight hours, weather patterns, and sun intensity. Connecticut's varied climate can impact solar efficiency, but cold, sunny winters can often yield strong production.

About the Data

This map shows average daily solar energy across Connecticut based on historical data with values shown as daily averages.

Key Facts:

Summary

With a typical 9–10 kW solar system in Connecticut producing approximately 12,000–13,000 kWh per year, homeowners can generate substantial savings while contributing to a cleaner environment.