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

Louisiana Solar Panels: Pricing and Incentives

How much do solar panels cost in South Louisiana ?

home with solar panels on the roof


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Solar power in Louisiana

Though Louisiana does have some ground to cover in making use of solar energy, solar panels in Louisiana have a fairly decent-sized presence in the state’s overall energy production. 

According to the Solar Energy Industries Association (SEIA), there are a total of 202.9 megawatts (MW) from installed solar panels in Louisiana, enough to power 21,280 homes. That’s a total of 19,060 installations, which translates to 3,175 solar jobs, bringing the “Pelican State” to 29th in our ranking of solar energy by state.    

While Louisiana is known for some high precipitation and humid weather, the state still has a majority of sunny days during the year, making solar a viable option. Read on to learn about the benefits of solar panels, the costs of installing solar panels, and ways to pay for solar panel installation in Louisiana. 

Louisiana solar panel cost

Considering the cost of solar panels is an important first step in deciding whether solar is a good option for you. The cost of solar panels in Louisiana is measured by dollars per watt. According to Berkeley Lab’s Tracking the Sun report, a residential solar system costs an average of $3.82 per watt, totaling about $25,000 for the median solar array, with the average solar panel payback period in Louisiana being six to nine years.

Thankfully, there are several incentives and rebates available to help decrease the total price for Louisiana residents. Check into federal tax credits such as the one listed below, as well as state and local incentives, which are often offered through your utility.

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Louisiana solar incentives or rebates

Solar panels in Louisiana can be quite pricey, but Louisiana solar incentives and rebates can lower your overall costs for installing solar panels.  

With the signing of the Inflation Reduction Act on August 16, 2022, the federal government began offering the Residential Clean Energy Credit. This is a 30% tax credit that can be applied to the purchase of a solar system for your home until 2032, after which it will begin to decrease. If you bought and installed your system in 2022, even before August 16, you can still retroactively apply this credit to your purchase.

Louisiana as a state does not currently offer rebate programs. However, make sure to search the DSIRE database to see what is available at any time in Louisiana, as programs can change, and there might be some Louisiana solar rebates and other incentives available in the future.  

Net Metering Louisiana offers net metering, which means that, depending on the local utility, you could sell excess electricity generated by your solar system back to the utility company.
Residential Clean Energy Credit This is a 30% federal tax credit which can be applied to the purchase of solar systems from the beginning of 2022 until 2032.
Solar Energy System Exemption Louisiana offers a tax exemption program for installing solar equipment onto a residential building or pool.
Home Energy Loan Program (HELP) Consumers who use one of the approved lending institutions can secure a five-year loan of up to $12,000 with a 2% interest rate for the specific purpose of making energy efficiency improvements to the home, including adding solar panels.
Louisiana Solar Rights This 2010 act prohibits the unreasonable restriction of the installation of solar collecting equipment unless the property is in a preserved area.

Why choose Louisiana solar power?

Solar energy in Louisiana can be a great investment for several reasons. The most appealing of these reasons for many consumers include lower electric bills, increased energy independence, and the environmental benefits of solar power.

Lower energy costs

The number one reason people usually install solar is the idea of lower energy costs, so becoming independent from the grid can be appealing. Installing solar can even increase your home’s value since anyone looking to purchase your home might consider added solar arrays a perk. Investing in solar can also help homeowners save over time. 

The panels can be expensive upfront, so many consumers consider leasing their systems, which allows you to pay monthly while enjoying energy savings and generating your own power.

Increased energy independence

The U.S. energy grid is getting older, and extreme weather has been putting more stress on it. According to the U.S. Energy Information Administration, U.S. customers had nearly six hours of interrupted power in 2018. If you were to install solar panels with a solar battery to store the excess power your panels produce, you would likely be able to keep powering your home on that power reserve, even if the grid went down.  

Go green

Many homeowners are also attracted to the environmental benefits of a solar array. Solar is a 100% renewable resource, so it’s a very direct and impactful way to reduce a home’s total carbon footprint. Many homeowners also elect to use solar power with an electric heating system, which tends to work well in Southern climates like Louisiana, freeing residents from using natural gas.

Should I buy or lease solar panels in Louisiana?

Leasing isn’t a bad choice for many homeowners, and it does allow more families to access solar. However, bear in mind that leasing might not lead to the same overall savings as buying panels and can affect how incentives and rebates work.  

According to the Office of Energy Efficiency & Renewable Energy, installing solar panels in Louisiana might be able to increase your home’s value by $15,000. Because the average solar array costs nearly $25,000, you might even see the increase in your home’s value eventually offset the cost of the solar array. Even if you need to finance your system, it can be worth the extra investment.    

Many people are not in a place to spend $25,000 on a solar system right now, and that’s OK. You can also check into a shared solar program or community solar program in Louisiana. Residents in community solar programs make use of solar arrays that give power to multiple homes. People can sign up for purchase plans or subscriptions to the community solar program. You might also look for smaller-scale uses of solar, such as putting solar panels on an RV.

Louisiana solar power companies

Louisiana has several quality solar companies that can help you achieve more energy independence. However, you will have to be sure solar works for both your home type and energy uses. SaveOnEnergy’s experts can help you explore available options, compare pricing, and determine which solar installer is best for you. Simply fill out this form or call the number on your screen to get started.

You can learn more with SaveOnEnergy’s guides on solar energy and green energy rates

Important solar installation factors to consider

Some factors to consider for how dependable and viable solar power for your Louisiana home can be include:

  • Condition of your roof: Older roofs can be weaker and might not be able to hold the full weight of a solar power system. The roof’s angling also has to capture enough sunlight. Take a look at energy.gov’s guide on what makes a roof work for solar to learn more.  
  • Exposure to sunlight: Louisiana does have quite a few sunny days throughout the year, but that sun won’t hit the panels if your roof is too shaded. If this is the case, you might have to consider cutting down or thinning out trees. 
  • Neighborhood rules: Homeowners need to check with their HOA or neighborhood rules to see if they allow solar panel installations. Some neighborhoods don’t like how they look, and homeowners might need approval before installing solar.

Louisiana solar power FAQs

How much does solar cost in Louisiana? Expand / Collapse Toggle

Solar panels usually run about $3.82 per watt, with the whole array costing around $25,000 on average. However, interest rates from financing a system can increase these costs, and the installation prices included in the total cost can change based on location and installation company. To help offset these costs, you might consider a solar power purchase agreement, which can help you avoid paying for solar panels in Louisiana upfront.

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

You can stand to save more money by installing solar sooner rather than later, as your savings can increase over time. However, how much you can save depends on where you live, how much sun you get in any given year, and how much energy you use.

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

Savings with solar panels can also depend on certain factors. A bigger array can mean more energy generated and stored, but your roof and budget will dictate how big the array can be. Also, households with more energy usage would naturally save more each month by generating their own energy. Net metering incentives can allow people to sell solar energy back to the utility, which could additionally affect savings. Also, make sure to choose from the best solar batteries and panels so the equipment will last a long time, leading to more savings. The efficiency of the panels should be rated high, as well.

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

There are several great solar installers to choose from in Louisiana. However, it’s important to shop around and gather all the necessary information before signing a solar contract. SaveOnEnergy can help you do that; call our energy experts at the number above or fill out this form to find the solar panel installer in Louisiana that best suits your needs and budget.

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

Solar power is a 100% renewable resource since it generates energy directly from sunlight while not emitting carbon dioxide and other air pollution. Installing solar is a top way to reduce your carbon footprint. Solar panels can mean independence from a power grid that tends to rely on sources of carbon emissions to power and heat homes.