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Alabama Solar Incentives: Tax Credits & Rebates Guide 2024

Written by Jordan Smith /

Edited by Jamie Cesanek

Last updated 07/14/2023

Get an estimate of solar cost and savings at your home.

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Key Points

  • Alabama residents can save thousands over the life of their panels by installing a solar system.
  • Prices for solar panels have dropped by 54% over the past decade.
  • Federal and state incentives can help homeowners recover part of their solar installation cost.

Ready to go solar? Call 877-307-7668 to be connected with a solar expert today!

Solar panel FAQs

  • The national average cost for a residential solar panel installation is $31,558. You may pay a similar figure in Alabama. However, the exact cost will vary depending on several factors, including your energy usage, the size of your home, and its location. Reputable solar installers conduct an inspection of your home before providing you with a quote.

  • Yes, absolutely. The cost of solar in Alabama has been declining for more than a decade, and the state enjoys plenty of sunshine. The Residential Clean Energy Credit allows you to recover 30% of the installation cost, making an Alabama solar investment even more attractive. Switching to solar can lead to long-term energy bill savings while reducing your household’s carbon footprint.

  • Your exact savings will depend on how much energy your panels generate and what your energy needs are. Over the typical 25–30-year lifespan of solar panels, you could save thousands on energy costs in Alabama. Your biggest savings will come during the day when the sun shines. If you install a battery, you can also store solar power to use when the sun goes down.

  • Many solar panel installers operate across Alabama. You should check their reviews before making a choice. SaveOnEnergy can help you locate a vetted solar panel installer. Contact our experts today by filling out our solar estimator or calling the number on this page.

  • Solar panels help the environment because they don’t produce carbon emissions when generating energy. Reducing carbon dioxide levels in the atmosphere is an important way to combat climate change. Solar is also a renewable energy source because the panels can generate power whenever the sun shines. On the other hand, fossil fuels like gas and coal release carbon dioxide into the air when burned to produce power. They are not renewable because the source is not replenishable, unlike sunlight.

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