Solar Panels in Illinois | 2022 Cost and Incentives | SaveOnEnergy®

Illinois Solar Panels: Pricing and Incentives

How much do solar panels cost in Illinois?

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Solar power in Illinois

Despite getting a much later start with solar power than many other states, Illinois still ranks in the top half of states for solar energy generation. While it’s fallen in the rankings in recent years, it’s expected to have some major growth in the coming years. This is good news for Illinois homeowners since it will be easier than ever to invest in solar power.

Are you considering installing solar panels on your home? You could save money on electricity and help the environment at the same time. Keep reading to learn more about the costs and benefits of solar panels and whether they’re right for you.

Illinois solar panel cost

The cost of solar panels in Illinois depends on the size and components of your system, as well as local labor and permitting costs. On average, homeowners pay between $3 and $5 per watt for solar panels. The average 5-kW system costs between $15,000 and $25,000. Thanks to energy savings, tax credits, and rebates, you can expect to break even on your solar panels in about 6-9 years.

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Not eligible for rooftop? Check your availability with community solar.

Illinois solar incentives or rebates

To help offset the high cost of solar panels, the federal government and many state and local governments have enacted policies to help make them more affordable. These programs help incentivize more homeowners to invest in solar power, which benefits all of us.

First, the federal government offers a 26% tax credit to homeowners who invest in solar power. However, you won’t be eligible for this tax credit if you lease your panels or enter into a PPA. This tax credit can save you thousands of dollars on your solar panel purchase, but it won’t be around forever. The tax credit will be reduced to 22% in 2023, and is set to disappear in 2024 if Congress doesn’t renew it.

The state of Illinois also has several policies in place to help reduce the cost burden of solar panels. First, the state offers a property tax break, meaning you won’t pay additional property taxes for the increase to your home’s value. You can also save money with Illinois’ net metering policy, which allows you to sell excess energy back to the grid.

Why choose Illinois solar power?

There are three key benefits to choosing solar power in Illinois: reducing your energy costs, establishing energy independence, and reducing your carbon footprint.

Lower energy costs

Perhaps the most attractive benefit of installing solar panels on your home is the money you’ll save. When you power your home with solar power, you reduce your monthly energy costs. Over the lifetime of your solar panels, these savings can add up. Solar panels can also increase the value of your home, meaning additional money in your pocket if you choose to sell. Lastly, you can earn credits on your energy bill for selling your excess energy back to the grid. 

Establish energy independence

When you are energy independent, you don’t have to completely rely on the traditional electricity grid to power your home, which has a few important benefits. First, energy independence means you aren’t as vulnerable to energy price hikes when the electricity demand is high. If you have a solar battery, it also means you don’t have to worry about power outages. You can continue to power your home with your stored solar energy.

Go green

Solar power is more environmentally-friendly than traditional electricity generation. In fact, solar power is a renewable resource. Investing in solar power can reduce your home’s environmental footprint.

Want to learn more about solar energy

Here at SaveOnEnergy, we’re your guide to everything solar energy, from checking your availability and discussing your home’s needs to getting you customized options to go solar with ease. Want to talk with a human? Call our dedicated solar advisors to discuss your solar energy options. Give us a call at 800-314-9510.

Should I buy or lease my solar panels?

When you decide to install solar panels on your home, you’ll have the choice to either buy or lease your panels. Each option has different advantages and will be right for certain people.

First, buying solar panels ultimately provides the greatest savings. Buying your own solar panels allows you to take advantage of the federal tax credit, which doesn’t apply to those who lease their panels or enter into a PPA. Buying solar panels also results in the greatest energy savings over the long run. Finally, buying solar panels can increase your home’s resale value by $15,000, on average.

While buying solar panels provides the greatest savings, leasing solar panels is a great choice for some consumers, and it helps to make solar power more accessible. First, leasing solar panels is more affordable than buying, since you don’t have the large upfront cost. Leasing also makes more sense for those who rent their homes instead of owning them.

For those for whom buying and renting don’t make sense, another option is a community solar project. In this type of program, participants can sign up, and then they’ll share the solar power the project creates. Participants don’t have the large upfront cost they would with buying solar panels, nor do they have to install solar panels on their homes.

Illinois solar panel companies

Finding the best Illinois solar panel company can require a lot of research. SaveOnEnergy is here to make that process easier with a variety of solar energy resources. Once you feel ready to begin the search for a solar installer in Illinois, remember to compare your options, ask for customer testimonials, and carefully read your contract before signing.

The history of solar power in Illinois

Illinois deregulated its energy market in 1997, which opened the door for the solar-friendly policies that followed. During the late 1990s and throughout the 2000s, the state passed a number of policies to help incentivize homeowners to invest in solar power.

Thanks to Illinois’ early investment in solar power, it currently ranks in the top half of states for solar energy generation — 21st, to be exact. Unlike many states, Illinois has lost some footing in the rankings in recent years, since it was ranked 13th just two years ago in 2020. 

The state currently gets 0.63% of its electricity from solar power, which is enough to power more than 167,000 homes. Solar power has also contributed to Illinois’ economy, as there are more than 300 solar companies that provide more than 5,000 jobs.

Important solar factors to consider

There are a few things to consider before installing solar panels on your home in Illinois:

  1. According to the Department of Energy, solar panels are best suited to south-facing roofs with slopes between 15 and 40 degrees. They’re also best for newer roofs that are in good condition, meaning they won’t need to be replaced soon.
  2. The weather patterns in your area will impact how effective your solar panels are. If you get lots of sunlight, solar panels can save you more money. 
  3. If you have a homeowners association, you may be subject to certain restrictions around your solar panels. You may be limited in the size of system you can install, or may need approval before you install your solar panels.

Solar power FAQs

How much would solar cost in Illinois? Expand / Collapse Toggle

The average cost of a 5-kW solar panel system costs between $15,000 and $25,000, on average. The cost of your system will depend on the size of your system and local labor and permitting costs.

Is solar power a good investment in Illinois? Expand / Collapse Toggle

Solar panels can be an excellent investment, and can help you save money on energy. But to determine if they’re right for your home, you should consider the weather patterns in your area and your energy usage habits.

How much could I save by investing in solar? Expand / Collapse Toggle

The amount you can save on energy by installing solar panels depends on the amount of sunlight your solar panels get and how much energy you use. Illinois have the potential to save roughly $869 per year.

Where can I find a good solar panel installer in Illinois? Expand / Collapse Toggle

If you’re in the market for solar panels in Illinois, SaveOnEnergy can help. To get started, enter your information in the form on the screen and we’ll connect you with a solar installer in your area.

How does solar power help the environment? Expand / Collapse Toggle

Traditional electricity generation emits harmful greenhouse gasses that pollute the air and water and contribute to climate change. But solar power is a renewable resource and doesn’t emit harmful greenhouse gasses.