Virginia Solar Power: 2026 Costs, Incentives & Savings

Solar in Virginia

Virginia electricity prices rose 21% between 2020 and 2024, and many homeowners are looking for a more stable way to power their homes. Solar installation is one of the most practical solutions — and with Virginia ranking 15th in the nation for residential solar adoption, it’s clear that more homeowners here are exploring the benefits firsthand.

Whether you’re just starting to research or ready to move forward, this guide covers everything you need to know about solar panels for your home in Virginia — from how the installation process works to what it costs and what to expect.

VIRGINIA by the Numbers

15th Most residential solar in the United States
59k Households have installed solar panels
4.9 Average daily peak sun hours
~$71k Virginia average savings over 25 years

Virginia Solar Panel Cost

Curious what solar actually costs in Virginia? This calculator uses real Palmetto installation data from across the state — from Richmond and Virginia Beach to Roanoke and Charlottesville — to give you a localized estimate. We show both leasing and cash purchase options, with our no-upfront-cost LightReach lease as the default view, so you can find the path that fits your home and budget.

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

Recommended System 9.84 kW
Typical for your home size in VA

Your Monthly Payment
Estimated monthly cost with LightReach
$115/mo
As low as
$115/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
$27,111
Cost Per Watt
$2.76/W
Final Cost
$27,111

Savings
Your total financial benefit
Monthly Savings
Average utility bill reduction
$162
Payback Period
Break-even point
11.8 years
25-Year Savings
$70,978

Get Your Personalized Quote
Based on Palmetto Solar installations in Virginia. Current electricity rate: 14.5¢/kWh. Assumes 100% credit of retail rate.

Palmetto Reviews

I had an excellent experience with Palmetto. The sales person was very knowledgeable and answered all of the questions I had, designing a system that was a great fit for my house and energy usage. I got text messages throughout the process keeping me informed and I could track the status of the project in the app. Palmetto took care of all of the permitting and paperwork, which was really nice. I could not have been happier with the installers who put the system on my roof. I have a 90 year old brick house and had a preference for where the external conduit should be run and they were able to accommodate no problem. They explained everything that needed to be done and left no trace when they were gone. Highly recommend!

Jason Deitz
Richmond, Virginia

Excellent work! This company met all the criteria for my install. I had a neighbor who had gone with another unauthorized company, he warned of repeat inspections and poor workmanship. Palmetto’s team was respectful of my property. The lead explained all the steps at the beginning of the work and checked in with me during the process and at the end, the field team lead did the same. The field team left my property neat. I highly recommend Palmetto Solar!

Nicole Kirby
Richmond, Virginia

Great service. I’m in love with our solar panels. The customer service is amazing too. And the app keeps you on track about everything that’s going on from the start all the way through installing your panels and keeping track of your solar consumption.

Solangeli Centeno
Timberville, Virginia

Read More Reviews
Calculate Your Savings

Key Takeaways

• Virginia electricity prices rose 21% since 2020, making solar a smart way to bring more predictability to your monthly energy bill.
• You can go solar in Virginia with no upfront cost through Palmetto’s LightReach lease — a fixed monthly payment with maintenance included.
• Virginia offers strong solar incentives including a property tax exemption, sales tax exemption, and net metering at the full retail rate.

Virginia Electricity Prices

Electricity in Virginia has gotten more expensive — and that trend shows no signs of slowing down.

Virginia’s average electricity rate climbed from 12.0¢ per kWh in 2021 to 14.5¢ in 2024 — a rise of about 21%. That adds real dollars to your monthly bill, year after year.

Solar panels generate electricity from the sun, which means less reliance on the grid. The more your system produces, the less you pay your utility company each month.

With Palmetto’s LightReach program, you can go solar with no upfront cost. You pay a fixed monthly rate — and Palmetto owns, monitors, and maintains the system, backed by a 90% Production Guarantee.

Virginia Area Utility Providers

Virginia homeowners are served by four main utilities. Based on 2023 data, rates range from 13.9¢ to 15.9¢ per kWh — all below the national average of 16.0¢, but near the state average of 14.3¢.
Appalachian Power customers pay the most at 15.9¢/kWh, just under the national average.
Dominion Energy and NOVEC customers pay 13.9¢/kWh, while Rappahannock Electric Cooperative falls in between at 14.8¢/kWh.

Even modest rates add up over time — especially as prices continue to rise. Homeowners who generate their own solar energy can reduce grid dependence, bringing more predictability to their monthly energy costs.

Virginia Utilities Electricity Rates

Virginia Solar Incentives

Virginia homeowners have access to several solar incentives in Virginia — including property and sales tax exemptions, net metering, and SRECs — that can meaningfully reduce the cost of going solar.

Virginia Solar Irradiance

Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Virginia’s mix of sunny summers, mild winters, and varied coastal and mountain climates creates solid year-round solar potential. Despite occasional cloudy stretches, a well-designed system reliably generates meaningful energy savings across the state.

What Can the Average Virginia Solar System Power?

Summer Production (July)

• 44.3 kWh/day
  In July, your 10 kW system could power:
  • 3.6 average Virginia homes (15 kWh/day per home)
  • or Run central AC for 18 hours AND power all other appliances
  • or Fully charge 5.4 Tesla Model 3 electric vehicles

Winter Production (December)

• 25.2 kWh/day
  In December, your 10 kW system could power:
  • 2 average Virginia homes (15 kWh/day per home)
  • or Keep your home heating system running for 15 hours
  • or Fully charge 3 Tesla Model 3 electric vehicles

Annual Production

• 13607 kWh/year
  Over a year, your 10 kW system could:
  • Offset 10 tons of carbon dioxide emissions
  • or Equal the environmental benefit of planting 175 trees
  • or Save approximately $4,234 in electricity costs

Virginia Solar Panel Installation Statistics

We’ve analyzed solar installation data across the U.S. to bring you this interactive map of Virginia. Explore your neighborhood and see how many of your neighbors have already made the switch to clean energy. From Northern Virginia suburbs to the Shenandoah Valley, communities across the state are going solar.

Go Solar with LightReach — No Upfront Cost

For Virginia homeowners served by Dominion Energy or Appalachian Power Company (APCo), Palmetto’s LightReach program offers a solar lease — meaning you pay a simple, fixed monthly amount with no upfront cost. Palmetto owns the system, so you never have to worry about maintenance, repairs, or performance monitoring. That’s all handled for you.