Home Solar in South Carolina: 2026 Costs, Incentives & Savings

Solar in South Carolina

South Carolina electricity prices have risen 11% since 2020 — and many homeowners are exploring solar panel installation as a way to take more control over their energy costs. At an average rate of 14.13 cents per kWh, understanding your options has never been more important. If you’re curious about solar, you’re in the right place.

At Palmetto, we’ve helped thousands of homeowners across the Palmetto State make the switch to clean energy. This guide shares clear, honest information about solar panels for your home — so you can learn and decide with confidence.

SOUTH CAROLINA by the Numbers

20th Most residential solar in the United States
38k Households have installed solar panels
5.2 Average daily peak sun hours
~$44k South Carolina average savings over 25 years

South Carolina Solar Panel Cost

Wondering what solar actually costs in South Carolina? We built this calculator using real installation data from homes across the state — from Charleston and Columbia to Greenville and Myrtle Beach. See your estimated monthly lease payment through Palmetto’s LightReach program (no upfront cost) or explore a cash purchase — 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 South Carolina.
Recommended System: 7.38 kW
Typical for your home size in SC

Your Monthly Payment
Estimated monthly cost with LightReach: $93/mo As low as: $93/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.

• No upfront investment
• Palmetto handles all maintenance
• 90% Production Guarantee
• Comprehensive protection program included

Cost Breakdown

Your estimated investment

System Cost: $20,936
Cost Per Watt: $2.84/W
State Incentives: $-3,500
Final Cost: $17,436

Savings

Your total financial benefit

Monthly Savings: Average utility bill reduction: $101
Payback Period: Break-even point: 12.1 years
25-Year Savings: $44,209

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Key Takeaways

• South Carolina’s sunny climate and 5.2 daily peak sun hours make it one of the Southeast’s strongest states for solar energy production.
• Leasing solar through Palmetto’s LightReach program means no upfront cost, no maintenance, and a 90% Production Guarantee — starting at just $93/month.
• South Carolina offers valuable solar incentives including a 25% state tax credit, a property tax exemption, and utility rebates from Duke Energy and Santee Cooper.

South Carolina Electricity Prices

Electricity costs in South Carolina have been climbing. South Carolina’s average electricity rate rose from 12.9¢ per kWh in 2021 to 14.1¢ in 2024 — a nearly 10% increase in just three years. While still below the national average, that upward trend adds up on your monthly bill.

Solar panels generate electricity from sunlight, letting homeowners offset what they’d otherwise buy from the grid. The more you produce at home, the less you rely on utility rates that are outside your control.

With Palmetto’s LightReach program, you can go solar with no upfront cost, pay a predictable fixed monthly rate, and avoid rising utility bills. Palmetto owns and maintains the system, includes a 90% Production Guarantee, and covers comprehensive protection.

Price of Energy: South Carolina vs National Average

(Source: US Bureau of Labor Statistics, Energy Information Administration, Form 861)

South Carolina Area Utility Providers

South Carolina homeowners are served by several utility providers — including Duke Energy Carolinas, Duke Energy Progress, Dominion Energy, Berkeley Electric Cooperative, and Santee Cooper. Rates vary by provider. (2023 data)

In 2023, SC utility rates ranged from 11.4¢ (Santee Cooper) to 14.7¢ per kWh (Duke Energy Carolinas) — all below the national average of 16.0¢, though most providers sit at or above the state average of 13.70¢.

South Carolina Utilities Electricity Rates

(Source: US Energy Information Administration, 2023, Form 861, Table 6)

South Carolina Solar Incentives

South Carolina homeowners have access to several solar incentives in South Carolina — at the state level and through local utilities.

South Carolina Solar Energy Tax Credit (TC-38)

This credit allows homeowners to claim 25% of their total solar installation cost against their state income tax liability. There is no expiration date on this credit, making it fully available for 2026 installations and beyond. If you cannot use the full credit in a single tax year, any unused portion carries forward to the next tax year for up to 10 years.

South Carolina Solar Property Tax Exemption

This exemption applies to solar PV systems with a capacity of 20 kilowatts (kW) or less, and covers advanced inverters and battery storage systems. In most cases, the exemption is applied automatically, so no separate application is required.

South Carolina Solar Sales Tax Exemption

This savings is applied at the point of purchase, mean you do not need to file any additional paperwork. For a typical residential installation, the sales tax exemption translates to approximately $800–$1,500 in direct, upfront savings.

South Carolina Net Metering Policy

This policy requires investor-owned utilities with more than 100,000 customers to offer net metering for residential solar systems up to 20 kW. Under net metering, excess energy is sent to the grid and you receive a credit on your electric bill.

Santee Cooper EmpowerSolar Rooftop Solar Rebate

Residential customers receive $950 per kW of installed solar capacity, up to a maximum rebate of $5,700 for a 6 kW system. To qualify, your solar PV system must be between 1 kW and 20 kW in size and must be installed by a Santee Cooper-approved Trade Ally contractor.

Santee Cooper Smart Energy Loan Program

This program provides on-bill financing to help residential customers cover the upfront cost of a solar energy system without requiring a large initial investment or a separate bank loan.

Santee Cooper Solar Share Community Solar Program

This program is for homeowners who prefer not to install panels on their property. Customers subscribe to a certain number of blocks of a community solar farm and receive a pro-rated share of the energy produced as monthly bill credits.

Duke Energy PowerPair Solar + Battery Incentive Program

This program offers $0.36 per watt-AC for solar installations up to 10 kW AC, and $400 per kWh for battery storage installations up to 13.5 kWh.

Duke Energy Power Manager / EnergyWise Home Battery Bill Credit Program

Residential customers can earn $6.50 per kW of battery capacity per month.

South Carolina Solar Irradiance

Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. South Carolina’s abundant sunshine makes it an excellent state for solar.

Key Facts:

• Values shown are daily averages
• Based on 18 years of satellite data
• Click any area for detailed estimates

What Can the Average South Carolina Solar System Power?

Summer Production (July)

• 43.7 kWh/day
• or Run central AC for 18 hours

Winter Production (December)

• 29.7 kWh/day
• or Keep your home heating system running for 15 hours

Annual Production

• 14535 kWh/year
• Over a year, your 10 kW system could save approximately $4,234 in electricity costs

Go Solar with LightReach — No Upfront Cost

If you’re a South Carolina homeowner served by Duke Energy Progress (DEP), Duke Energy Carolinas (DEC), or Dominion Energy South Carolina (DESC), Palmetto’s LightReach Power Purchase Agreement (PPA) is available to you.

Customers served by Santee Cooper, Laurens Electric, Berkeley Electric, York Electric, or Abbeville Public Utilities are not currently eligible for LightReach.

Frequently Asked Questions

Does South Carolina have net metering?

Yes, South Carolina requires investor-owned utilities with more than 100,000 customers to offer net metering for residential solar systems.

Do solar panels increase your home value in South Carolina?

Yes — but only if you own the system outright. Research shows that homes with solar panels sell for approximately 4.1% more than comparable homes without them.

How much does it cost to go solar in South Carolina?

With Palmetto’s LightReach lease, South Carolina homeowners can go solar for as low as $93/month — with no upfront cost.

Do solar panels work in South Carolina’s climate?

Yes, solar panels work well in South Carolina’s climate. The state averages 5.2 peak sun hours per day — one of the strongest solar resources in the Southeast.