A worked example: 8 kW in Pennsylvania
An 8 kW system — about 19 × 425-watt panels — at Pennsylvania's assumed installed cost of $2.50–$3.30 per watt runs roughly $20,000–$26,400 before incentives. At about 1,220 kWh of production per installed kW, it would generate around 9,760 kWh per year. Valuing self-consumed electricity at the assumed $0.18/kWh retail rate and exports conservatively, first-year savings land near $1,448 — a simple payback of roughly 14–18 years.
There is no federal tax credit in that math: the Section 25D residential credit ended for systems installed after December 31, 2025. State or utility incentives, where they exist, would shorten payback from here.
Net metering in Pennsylvania
Pennsylvania requires full retail net metering with annual compensation for excess at the price-to-compare rate.
Pennsylvania solar incentives
Pennsylvania has an SREC market (modest prices, roughly $20–40/MWh historically) and no state tax credit. Philadelphia has run a city solar rebate.
What changes a Pennsylvania solar quote?
Equipment, roof condition, electrical upgrades, permitting, labor, system size, batteries and financing can all change the installed price. Savings also depend on the specific utility rate, how much solar electricity the home uses directly, and what the utility pays for exports.
Frequently asked questions
How much do solar panels cost in Pennsylvania?
Using an assumed installed cost of $2.50–$3.30 per watt, a typical 8 kW home system in Pennsylvania costs roughly $20,000–$26,400 before incentives. Smaller and larger systems scale roughly with size, though small systems cost more per watt.
Is solar worth it in Pennsylvania?
With Pennsylvania electricity around $0.18/kWh and production around 1,220 kWh per installed kW per year, an 8 kW system could save roughly $1,448 in year one, for a simple payback of about 14–18 years with no federal credit. Whether that is "worth it" depends on your rate plan, export compensation, roof, and how long you plan to stay in the home.
Does Pennsylvania have net metering?
Pennsylvania requires full retail net metering with annual compensation for excess at the price-to-compare rate.
What solar incentives does Pennsylvania offer in 2026?
Pennsylvania has an SREC market (modest prices, roughly $20–40/MWh historically) and no state tax credit. Philadelphia has run a city solar rebate. Note that the federal Section 25D residential credit ended for systems installed after December 31, 2025, so state, local and utility programs are now the main incentives for purchased systems.
Is there still a federal solar tax credit in Pennsylvania?
No — the 30% federal residential clean energy credit (Section 25D) ended for systems installed after December 31, 2025 under the One Big Beautiful Bill Act. Leased or PPA systems may still benefit indirectly because the system owner can claim the commercial 48E credit through 2027.
Use this as a starting point
This page provides broad state assumptions, not a current market survey or binding quote. Before purchasing, verify applicable incentives, utility rules, installer licensing, warranties and financing terms.
Where these numbers come from
State assumptions are informed by public data and reviewed periodically (September 2026):