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California Solar Panel Cost & Incentives 2024
  • Written by Caitlin Ritchie
  • |
  • Edited by Jamie Cesanek
  • |
  • Last updated 09/21/2023

Estimate your home’s solar cost and savings

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Key Points

  • Solar panels in California cost about $17,350 for a 5 kilowatt solar panel system.
  • California has higher electric rates than most states, and residents could save more than $1,700 each year on energy bills with California solar panels.
  • NEM 3.0 is California’s revised net metering program that lowers the amount residents receive for sending excess solar to the grid.

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California solar power FAQs

  • Solar panels can be an excellent investment, especially if you live somewhere with plenty of sunshine, such as California. Not only will you lower your monthly electricity bill, but you can also increase the resale value of your home. In California, you will be exempt from increases on your property tax if you install solar panels on your home, which has incentivized many homeowners.

  • Yes, California’s solar mandate requires that new construction single-family and multi-family homes up to three stories high have a solar system installed. The mandate went into effect at the beginning of 2020. Some homes may be exempt, including those with a roof too small for solar panels or in a heavily shaded area.

  • California has enough solar capacity installed to power more than 11 million homes, according to the SEIA. The Golden State currently has over 40,000 MW of solar capacity, and the SEIA expects the state will continue to add more than 22,000 mW of capacity in the next five years.

  • The right solar installer for you will depend on several factors, including the installer’s service areas, warranty terms, and financing options. Of course, the price will also play a role in narrowing down your choices because you will need to find an installer that works for your budget. If you are searching for a solar installer in your area, SaveOnEnergy can help match you with a top-tier installation company. Fill out the form on this page or call the number on your screen to speak with one of our solar energy experts.

  • The major change to solar panel laws in California this year is the update to the state’s net metering terms. NEM 3.0 rates went into effect in April and lowered the amount residents receive for sending solar energy to the power grid.

  • No, there are no legitimate programs offering free solar panels in California. Free solar panel scams are becoming more common in California, so beware of scammers trying to steal money or personal information. The Department of Energy recommends reporting solar panel scams to the Federal Trade Commission and contacting your state consumer state consumer protection office.

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