Solar Power in North Carolina: 2026 Costs, Incentives & Savings

Solar in North Carolina

North Carolina electricity prices have risen 24% from 2020 to 2024 — and more homeowners across the state are turning to solar to reduce their energy costs. If you’re exploring solar panels for your home, you’re in the right place.

Palmetto has helped thousands of North Carolina homeowners go solar. In this guide, we cover how the installation process works, what it costs, and what to expect from start to finish.

NORTH CAROLINA by the Numbers

18th Most residential solar in the United States
51k Households have installed solar panels
5.2 Average daily peak sun hours
~$66k North Carolina average savings over 25 years

North Carolina Solar Panel Cost

Wondering what solar actually costs in North Carolina? This calculator uses real installation data from Palmetto customers across the state — from Charlotte and Raleigh to Asheville and Wilmington — to give you a local, honest estimate. We show both leasing and cash purchase options. Most homeowners start with our LightReach lease: no upfront cost, a fixed monthly payment, and Palmetto handles all maintenance and includes a 90% Production Guarantee.

Lease
Cash Purchase

System Size

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

Recommended System
8.92 kW
Typical for your home size in NC

Your Monthly Payment

Estimated monthly cost with LightReach
$103/mo
As low as
$103/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

$24,802

Cost Per Watt

$2.78/W

Final Cost

$24,802

Savings

Your total financial benefit

Monthly Savings

Average utility bill reduction
$149

Payback Period

Break-even point
11.7 years

25-Year Savings

$65,556

Get Your Personalized Quote

Palmetto Reviews

The process from beginning to the end of having our system installed was nothing but great! They answered all questions and were willing to update on everything that was going on during the process. It’s been a couple of months now since we’ve had the system installed and can tell a huge difference in our energy bill already.

Zachery Umphrey, Lillington, North Carolina

The whole experience, from the salesperson to the installation team, was outstanding. Usually, in my experience, once the sale is done, there’s not much communication. With Palmetto, that was not the case. The communication continued throughout making sure all my needs and questions were addressed. Everyone we encountered was professional, friendly, honest, and went out of their way to keep us informed and provide us with very helpful information that one does not normally get. I would recommend Palmetto to anyone and everyone!!

Guy Santiago, Clayton, North Carolina

From beginning to end has been a smooth process. The price we were quoted is the price we got at the end of our installation process. The installation was done within one day by a local solar panel company that knows the state and local regulations for proper installation of solar panels. So far our system has passed all inspections, so we recommend Palmetto for your next solar panel system.

Jeremy Brown, Greensboro, North Carolina

Key Takeaways

North Carolina Electricity Prices

Electricity in North Carolina keeps getting more expensive — and the trend isn’t slowing down. Here’s what the data shows.

North Carolina’s average electricity rate climbed from 11.3¢ per kWh in 2021 to 14.1¢ in 2024 — a roughly 25% increase in just three years. That’s a meaningful hit to household budgets, and utility rates show no signs of stabilizing.

Solar panels generate electricity from sunlight, reducing how much power you pull from the grid. For many North Carolina homeowners, going solar is one of the most practical ways to reduce exposure to unpredictable utility rate increases.

Through Palmetto’s LightReach program, homeowners can go solar with no upfront cost and a fixed monthly rate — so rising utility prices don’t catch you off guard.

Price of Energy: North Carolina vs National Average

0¢
10¢
20¢
30¢

2021: 13.7¢
2022: 11.3¢
2023: 15.0¢
2024: 11.6¢
Average: 16.0¢

North Carolina Area Utility Providers

North Carolina homeowners are served by four major utilities — Duke Energy Carolinas, Duke Energy Progress, EnergyUnited, and Dominion Energy. Their 2023 electricity rates range from 11.7¢ to 14.2¢ per kWh.

North Carolina Solar Incentives

North Carolina homeowners have access to a range of solar incentives in North Carolina — from utility rebates to property tax exemptions — that can meaningfully reduce the cost of going solar.

Key programs include the Duke Energy PowerPair rebate (up to $9,000 for solar + battery systems), a 100% residential solar property tax exemption, net metering credits, and Solar Renewable Energy Credits (SRECs) through NC-RETS.

Incentive Type Description Source
Duke Energy PowerPair Rebate Program Rebate Duke Energy offers up to $9,000 in one-time rebates for qualifying residential solar + battery storage systems installed simultaneously by a Duke Energy Trade Ally. Learn More
Duke Energy Battery Control Programs (Power Manager / EnergyWise Home) Rebate Duke Energy offers ongoing monthly bill credits of up to $92/month ($1,100/year) to residential battery storage customers who allow Duke to remotely dispatch their battery during peak grid events. Learn More
North Carolina Net Metering & Solar Export Programs Net Metering North Carolina offers net metering and solar export credit programs through its major utilities, with terms varying significantly by utility and rate rider. Learn More
North Carolina Residential Solar Property Tax Exemption Property Tax Exemption North Carolina provides a 100% property tax exemption on the added home value created by a residential solar installation, so homeowners pay no additional property taxes due to solar. Learn More
Federal Business Solar Investment Tax Credit (Commercial ITC) Tax Credit Businesses installing solar energy systems can claim a 30% federal Investment Tax Credit on the full cost of the system, with no cap on system size, for systems installed through the end of 2027. Learn More
Federal Residential Battery Storage Tax Credit Tax Credit Homeowners can claim a 30% federal tax credit on the cost of a standalone battery storage system (minimum 3 kWh capacity) through 2032, provided it is charged exclusively by co-located solar. Learn More
USDA Rural Energy for America Program (REAP) Rebate The USDA REAP program provides competitive grants covering up to 50% of solar project costs for agricultural producers and rural small businesses in North Carolina. Learn More
Tesla Powerwall Rebate Rebate Tesla is offering a $500 direct rebate for Powerwall battery storage systems contracted before June 30, 2026.
City of Asheville Solar Building Permit Fee Rebate Rebate The City of Asheville offers a rebate on building permit application fees for homeowners and businesses that install solar panels.
NC-RETS Solar Renewable Energy Credits (SRECs) SREC North Carolina solar system owners can register with the NC Renewable Energy Tracking System (NC-RETS) to generate and sell Solar Renewable Energy Credits (SRECs) for each MWh of electricity produced. Learn More

North Carolina Solar Irradiance

Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. North Carolina’s mild climate, abundant sunshine, and long summer days make it a strong state for solar. Even cloudy seasons produce meaningful energy with the right system in place.

About the Data

This map shows average daily solar energy across North Carolina based on historical data.