• Elevation Logo
    Elevation Logo

    Elevation Solar

    2425 S Stearman Dr #220, Chandler, AZ 85286

    Experience: Since 2014

    Areas Covered: Arizona

    SolarReviews: 3.85

    Best Choice, Local Expert, Experienced Installer

    Elevation Solar is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and service delays. Overall, Elevation Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
    Elevation Solar is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and service delays. Overall, Elevation Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
  • Saguaro Solar Roofing Electric logo
    Saguaro Solar Roofing Electric logo

    Saguaro Solar, Roofing, & Electric

    2626 N Campbell Ave, Tucson, AZ 85719

    Experience: Since 2019

    Areas Covered: Arizona

    SolarReviews: No information

    Local Expert, Experienced Installer, Trusted Solar Provider

    Saguaro Solar, Roofing, & Electric is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and high upfront costs. Overall, Saguaro Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
    Saguaro Solar, Roofing, & Electric is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and high upfront costs. Overall, Saguaro Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
  • Rooftop Solar

    515 N Beaver St. Flagstaff, AZ 86001

    Experience: Since 2008

    Areas Covered: Arizona and California

    SolarReviews: 4.68 based on 74 reviews

    Local Expert, Experienced Installer, NABCEP Certified, Trusted Solar Provider

    Rooftop Solar is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and high upfront costs. Overall, Rooftop Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
    Rooftop Solar is a well-established and highly rated solar company with a strong track record of customer satisfaction, quality products, and comprehensive services. Their extensive experience and regional expertise make them a reliable choice for solar installations in Arizona. However, potential customers should be aware of the reported communication issues and high upfront costs. Overall, Rooftop Solar is recommended for those looking to invest in solar energy in Arizona, provided they conduct their own research and consider their specific needs and circumstances.
  • logo renova energy
    logo renova energy

    Renova Energy

    3951 E Michigan St #175, Tucson, AZ 85714

    Experience: Since 2006

    Areas Covered: California and Arizona

    SolarReviews: 4.92

    Local Expert, Experienced Installer, Trusted Solar Provider

    Renova Energy stands out as a reputable and experienced solar company in Arizona, offering a wide range of services, high-quality products, and strong customer support. However, potential customers should be aware of the limited geographic availability and some reported communication issues.
    Renova Energy stands out as a reputable and experienced solar company in Arizona, offering a wide range of services, high-quality products, and strong customer support. However, potential customers should be aware of the limited geographic availability and some reported communication issues.
Ryan Fox - NC Go Solar Expert & Author

REVIEWED BY

Solar Installation Expert

We rate solar installers from 1 to 5 stars to help you pick the best one. High stars mean they’re really good at what they do and treat their customers right. Low stars? Not so much. We give credit to companies that have been around for a while, know what they are doing, have a high standard of workmanship and equipment, don’t hire subcontractors to keep the bar of solar installation quality high and have good local reviews from real customers (yes, we check if the reviews are actually real or fake). Companies we choose as top-rated know and can help with federal and local solar incentives to help you save, have good financing plans, and guarantee their work. We’re here to point you to the solar companies that truly rock, making going solar easy and worthwhile for you.

Read how we rate installers

Is It Worth Going Solar in Tucson, Arizona?

Based on the provided sources, going solar in Tucson, Arizona, appears to be a highly beneficial investment for homeowners. Here are the key points that support this conclusion:

Cost Savings

  • Electricity Bill Reduction: Homeowners in Tucson can significantly reduce their electricity bills by installing solar panels. The average monthly electricity bill in Arizona is around $120, and solar panels can offset a substantial portion of this cost.
  • Long-Term Savings: The average homeowner in Tucson can save about $25,000 on their power bills over 20 years. This translates to significant long-term financial benefits.

Payback Period

  • Payback Period: The payback period for solar installations in Tucson is approximately 8.2 years. After this period, homeowners can enjoy free electricity for the remaining lifespan of the solar panels, which typically last 25-30 years.

Incentives and Rebates

  • Federal Solar Tax Credit: Homeowners can take advantage of the 30% federal solar tax credit, which significantly reduces the upfront cost of solar installations.
  • State Incentives: Arizona offers a state solar tax credit of up to $1,000, as well as exemptions from state sales tax and property taxes on solar installations.
  • Local Utility Rebates: Various local utility companies, such as Mohave Electric Cooperative and Trico Electric Cooperative, offer rebate programs that further reduce the cost of solar installations.
  • Clean Energy Source: Solar energy is a clean, renewable source of power that reduces reliance on fossil fuels and lowers greenhouse gas emissions.
  • Sustainability: By investing in solar energy, homeowners contribute to a more sustainable and environmentally friendly energy system.
  • Improved Efficiency: Advances in solar technology have made solar panels more efficient and affordable. The cost of solar panels has decreased significantly, making it a more viable option for many homeowners.
  • Battery Storage: The integration of battery storage with solar systems is becoming more common, allowing homeowners to store excess energy and use it during peak times or outages.

Solar Ready Initiatives

  • Solar Ready Homes Ordinance: Tucson has adopted the Solar Ready Homes Ordinance, which promotes the installation of solar hot water and photovoltaic (PV) systems in new homes.
  • Community Programs: Tucson’s participation in the Solar America Cities program has led to increased investments in solar energy and the development of large-scale solar installations on city buildings.

Utility Partnerships

  • Utility Cooperation: Local utilities in Tucson, such as Tucson Electric Power (TEP), are supportive of solar energy initiatives and have partnered with the city to promote solar energy adoption.

How Much Does Solar Save Homeowners in Tucson, Arizona?

Homeowners in Tucson, Arizona, can achieve significant savings by installing solar panels. Here are the key points regarding potential savings:

Annual and Lifetime Savings

  1. Annual Savings: Homeowners in Tucson can save approximately $1,000 to $1,500 annually on their electricity bills by installing solar panels
  2. Lifetime Savings: Over the 25-year lifespan of a solar system, the average homeowner in Tucson can save about $25,000 on their power bills

Payback Period

  • Payback Period: The payback period for solar installations in Tucson is approximately 8.2 years

Cost of Solar Installation

  1. System Costs: The typical cost for a 5 kW solar panel system in Tucson ranges from $10,708 to $14,488, with an average gross price of $12,596

Net Metering and Billing

  • Net Billing: While Arizona’s net billing program is less favorable than net metering policies in other states, it still allows homeowners to earn credits for excess energy produced by their solar systems. These credits can offset future electricity costs, contributing to overall savings

What is the average cost of going solar in Tucson, Arizona?

The cost of installing solar panels in Tucson, Arizona, can vary based on several factors, including the size of the system, the type of equipment used, and the specific installation conditions. Here are the key points regarding the average cost of going solar in Tucson:

System Costs

  1. Cost per Watt: The average cost of solar panels in Arizona is approximately $2.64 per watt after applying the 30% federal tax credit
  2. System Size and Total Cost: For a typical 5 kW solar panel system, the cost ranges from $10,708 to $14,488, with an average gross price of $12,596

Factors Influencing Cost

  1. Equipment Quality: Higher quality panels and inverters may cost more but can offer better efficiency and longer warranties.
  2. Installation Complexity: The complexity of the installation, including roof type and angle, can affect labor costs.
  3. Local Incentives and Rebates: Various local utility companies, such as Mohave Electric Cooperative and Trico Electric Cooperative, offer rebate programs that can further reduce the cost of solar installations

Frequently Asked Questions

Tucson, Arizona offers a variety of incentives, tax credits, and rebates for solar installations at the state, local, and utility levels. Here are the details:

State-Level Incentives

Federal Solar Tax Credit (ITC)

  • The federal solar tax credit allows homeowners to claim 30% of the cost of their solar energy system as a credit against their federal tax bill.
  • Eligibility: Available to anyone who purchases their system outright (with personal payment or a solar loan) and completes the installation within the tax year.
  • Savings: For a $10,000 system, the credit would be $3,000.

Arizona State Residential Solar Tax Credit

  • This state-level incentive allows residents to claim 25% of their system’s total cost, up to a maximum of $1,000, against their state tax burden.
  • Eligibility: The credit can be claimed for up to five tax years, but the total amount cannot exceed $1,000.
  • Savings: Up to $1,000

Solar Equipment Sales Tax Exemption

Energy Equipment Property Tax Exemption

  • Solar installations are exempt from property tax increases due to the added value of the solar system.
  • Savings: This exemption can save about $2,500 total for the average Tucson, Arizona resident.

Local Incentives

Green Building Incentive: The City of Tucson offers financial incentives for green building practices, which include solar installations. These incentives can vary and are designed to promote energy efficiency and renewable energy adoption in residential and commercial buildings.

Utility-Specific Incentives

Tucson Electric Power (TEP)

  • Residential Solar Program: TEP offers various programs to support residential solar installations. While specific rebate amounts and program details can change, TEP has historically provided incentives for solar customers, including rebates for solar water heating and other energy efficiency measures.
  • Net Billing: TEP operates under a net billing system, where customers receive credits for excess solar energy sent back to the grid. These credits are applied to future energy bills but are typically at a rate lower than the retail price of electricity.

Mohave Electric Cooperative (MEC)

Sulphur Springs Valley Electric Cooperative (SSVEC)

Salt River Project (SRP)

  • Demand Management System Rebate: SRP provides a $250 rebate for the purchase and installation of a demand management system, which can help optimize energy use and reduce overall electricity costs.

APS Residential Battery Pilot Program

Net Billing Programs

  • Allows homeowners to earn credits toward their electricity bill for any excess solar energy generation.
  • Compensation Rates:
    • Tucson, Arizona Public Service (APS): Approximately 9.4 cents/kWh
    • Tucson Electric Power (TEP): Approximately 7.8 cents/kWh
    • Salt River Project (SRP): Approximately 2.8 cents/kW
  • Savings: Varies based on system size, energy needs, and credit rate.

To apply for the Federal Solar Tax Credit in Tucson, Arizona, follow these step-by-step instructions:

  • Complete the Installation

Ensure your solar system is fully installed and operational by December 31 of the tax year for which you are claiming the credit.

  • Gather Documentation

Collect all receipts and documentation related to your solar installation, including costs for solar PV panels, inverters, batteries (if applicable), racking, mounting equipment, electrical wiring, installation costs, and permitting fees.

  • Download IRS Form 5695

Visit the IRS website and download Form 5695, titled “Residential Energy Credits”.

  • Fill Out Part I of Form 5695
  • Line 1: Enter the total cost of your solar installation under “Qualified solar electric property costs.”
  • Lines 6a and 6b: Calculate the total credit value by multiplying the total qualified costs by 30%.
  • Complete the Calculations

If solar is your only renewable energy addition and you don’t have any rollover credit from the previous year, skip down to line 13.

  • Line 14: Calculate any tax liability limitations using the Residential Energy Efficient Property Credit Limit Worksheet.
  • Lines 15 and 16: Complete the calculations to determine your total available credit.
  • Transfer the Credit Amount

Enter the figure from line 15 of Form 5695 on Schedule 3 (Form 1040), line 5, or Form 1040NR, line 50.

  • File Your Tax Return

Attach Form 5695 to your federal tax return (Form 1040 or 1040NR) and submit it to the IRS.

Additional Tips

  1. Maintain all documentation and receipts related to your solar installation for your records and in case of an audit.
  2. If you find the process daunting, consider consulting a tax professional to ensure accuracy and maximize your credit.

By following these steps, you can successfully apply for the Federal Solar Tax Credit and reduce your tax liability by 30% of your solar installation costs.

When comparing solar quotes, it’s essential to consider several key factors to ensure you are getting the best value and the right system for your needs. Here are the critical elements to look for in solar quotes:

Estimated Costs

  • Total Cost: Ensure the quote clearly states the total cost of the solar installation, including all equipment, labor, and additional fees. This should be transparent and not buried in paperwork.
  • Price per Watt: Compare the cost per watt ($/W) to evaluate the pricing across different quotes. This metric helps standardize comparisons regardless of system size.

System Size and Design

  • System Size: The quote should specify the size of the system in kilowatts (kW). This helps you understand the scale of the installation and its potential energy production.
  • System Design: Look for a detailed diagram showing how the solar array will fit on your roof or property. This should include the layout and orientation of the panels.

Equipment Quality

  • Brand and Model Numbers: The quote should list the specific brands and models of solar panels, inverters, and other equipment. Higher quality equipment may have better efficiency and longer warranties.
  • Warranties: Ensure the quote includes information on warranties for both the equipment and the installation labor. Typical warranties range from 10 to 25 years for equipment.

Solar Production Estimate

  • Energy Production: The quote should provide an estimate of the system’s annual energy production in kilowatt-hours (kWh). This estimate should consider factors like local weather, shading, and panel orientation.
  • Realistic Estimates: Be wary of quotes with overly optimistic production estimates. A conservative and realistic estimate is more reliable.

Financing Options

  • Payment Plans: The quote should outline available financing options, such as loans, leases, or power purchase agreements (PPAs). Compare the terms, interest rates, and payment plans.
  • Incentives and Rebates: Ensure the quote includes information on applicable federal, state, and local incentives, tax credits, and rebates. This can significantly reduce the overall cost.

Installer Reputation

  • Licensing and Insurance: Verify that the installer is licensed, insured, and bonded. This protects you in case of any issues during or after installation.
  • Reviews and References: Look for reviews and ask for references from previous customers. A reputable installer should have positive feedback and be willing to provide references.

Additional Details

  • Net Metering and Billing: The quote should explain how net metering or net billing will work with your utility company. This affects how you are credited for excess energy produced by your system.
  • Contact Information: Ensure the quote includes contact information for the solar consultant and the company. This is crucial for addressing any questions or concerns during the process.

Transparency and Communication

  • Clear Communication: The installer should be able to explain the project in detail and answer any questions you may have. Good communication is a sign of a reliable and professional company.

By carefully reviewing these elements in your solar quotes, you can make an informed decision and choose the best solar installation for your needs.

Studies and statistics indicate that solar installations can significantly impact property values in Tucson, Arizona, with a clear distinction between owned and leased solar systems.

Arizona State University Analysis

  • Owned Solar Systems: An analysis by Mike Orr, an analyst with Arizona State University’s W.P. Carey School, found that homes with owned solar systems can see an increase in value. Specifically, owned solar systems can add 4% to 6% to the value of a house.
  • Leased Solar Systems: Conversely, leased solar systems can detract from a home’s value, reducing it by 3% to 8% in metro Phoenix.

Zillow Study

According to Zillow, the median home value in Tucson, Arizona is $252,900. Solar panels can increase a home’s value by approximately 3%, translating to an increase of about $7,587.

Local Housing Market Views

Owned vs. Leased: The local housing market in Tucson, Arizona shows a clear preference for owned solar systems over leased ones. Homes with owned solar panels tend to sell for a premium, while those with leased panels often sell for less and may stay on the market longer.

Buyer Perception: Buyers are generally more interested in homes with owned solar systems because they do not have to assume lease payments and can benefit directly from the energy savings.

Real Estate Agent Insights:

Sales Challenges: Real estate agents report that homes with leased solar panels can be harder to sell. Buyers may be deterred by the need to qualify for and take over the lease payments, which can be a significant financial commitment.

Value Impact: Agents and appraisers in Tucson, Arizona have noted that leased solar systems are not included in the appraisal value of a home, further complicating sales and reducing perceived value.

When considering solar panel installations in Tucson, Arizona, homeowners have several financing options to choose from. Each option has its own set of advantages and disadvantages, and the best choice depends on individual financial situations and preferences. Here are the primary solar financing options available:

Cash Purchase

Paying for the solar system upfront with cash.

Advantages:

  • No interest or loan fees.
  • Full ownership of the system, making you eligible for all available tax credits and incentives.
  • Maximum return on investment over the system’s lifespan.

Disadvantages:

  • High upfront cost, which may not be feasible for all homeowners.

Solar Loans

Borrowing money to pay for the solar system, which can be secured (home equity loans) or unsecured (personal loans).

Types:

  • Personal Loans: Typically unsecured, meaning your house isn’t at risk. However, they tend to have shorter terms and higher interest rates than home equity products.
  • Home Equity Loans/Lines of Credit (HELOCs): These loans are secured by your home and often have lower interest rates and longer terms compared to personal loans. They are commonly used for home improvement projects, including solar installations.

Advantages:

  • Lower upfront cost compared to cash purchase.
  • Ownership of the system, making you eligible for tax credits and incentives.

Disadvantages:

  • Interest fees, which can add to the overall cost of the system.
  • Potential risk to your home if using a home equity loan.

Power Purchase Agreements (PPAs)

Description: The solar company owns and maintains the solar panels, and you pay for the energy produced at a set rate.

Advantages:

  • No upfront cost.
  • Maintenance and repairs are handled by the solar company.

Disadvantages:

  • Ineligible for solar tax credits and incentives.
  • You do not own the system, which can affect property value and long-term savings.

Solar Leases

Similar to PPAs, but you pay a fixed monthly fee to lease the solar panels from the solar company.

Advantages:

  • No upfront cost.
  • Fixed monthly payments can make budgeting easier.
  • Maintenance and repairs are handled by the solar company.

Disadvantages:

  • Ineligible for solar tax credits and incentives.
  • You do not own the system, which can affect property value and long-term savings.

Solar-Specific Loans

Loans specifically designed for solar installations, offered by certain financial institutions.

Examples:

  1. Marisol Federal Credit Union offers Smart-E Solar Loans.
  2. Credit Union West provides solar financing options.

Advantages:

  • Tailored to solar projects, potentially offering better terms and rates.
  • Ownership of the system, making you eligible for tax credits and incentives.

Disadvantages:

  • Interest fees, which can add to the overall cost of the system.

Choosing the right financing option depends on your financial situation, creditworthiness, and long-term goals. Cash purchases and solar loans generally provide the best return on investment due to eligibility for tax credits and incentives. PPAs and solar leases offer no upfront costs but do not provide the same financial benefits as owning the system. Solar-specific loans can be a good middle ground, offering tailored financing solutions for solar projects.

Looking to Save on Utility Bills?

Start saving big on your electricity bills today by requesting a free solar quote. Going solar is an investment that keeps paying you back year after year.

Find Installers In Your City

Find the best solar installers in Arizona in one click. Start your journey to savings today!

Solar Companies by City

  • Yuma

    21 installers

  • Tucson

    34 installers

  • Tempe

    23 installers

  • Surprise

    18 installers

  • Scottsdale

    27 installers

  • San Tan Valley

    13 installers

  • Phoenix

    41 installers

  • Peoria

    20 installers

  • Mesa

    30 installers

  • Goodyear

    18 installers

  • Glendale

    21 installers

  • Gilbert

    24 installers

  • Chandler

    28 installers

  • Arizona

    31 installers

Solar 101 for Arizona

Access a comprehensive guide to understanding solar power options, benefits, and regulations specific to Arizona.

North Carolina net billing guide

Learn how Arizona's net billing program compensates solar owners for excess energy sent to the grid, although at a lower rate than retail electricity prices.

Are solar panels worth it in North Carolina?

Despite net billing providing lower savings than net metering, solar panels can still pay for themselves quickly due to Arizona's abundant sunshine.

Can you get free solar panels in NC?

Discover options for no-cost or low-upfront-cost solar panel installations through various programs and agreements in Arizona.

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