Solar Panel Cost Guide in Pelham, AL (Sep 2022)

  • Pelham Solar Installation Cost: $15,486
  • 25-Year Savings: $34,578
  • Payback Period: 7.7 Years

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EcoWatch Local Advisors

By EcoWatch Local Advisors

Updated 9/16/2022

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Average Cost of Solar Panels in Pelham

Find out what the average cost of solar panel installation is in Pelham.

The average cost of a solar system in Pelham is $2 per watt. The average solar panel system size in Pelham is around 9.0 kilowatts, meaning a cost of about $15,486 for a solar installation, or $11,460 after the 30% federal solar tax credit is applied.

Bear in mind that the figures above are only estimates based on the average energy use of Pelham homeowners. The price of a solar system for your home may look different depending on factors unique to your situation, like your household energy use and solar contractor. Many homeowners find installing solar panels is a solid investment. The average homeowner in Pelham can save around $21,000 on their energy bills over 20 years.

Click the button below to get connected to a reputable solar installer in your area for a personalized quote.

Solar savings over time in Pelham

Year Return on Investment
1 years $-13,484
3 years $-9,479
5 years $-5,474
7 years $-1,468
9 years $2,537
11 years $6,542
13 years $10,547
15 years $14,552
17 years $18,558
19 years $22,563
21 years $26,568
23 years $30,573
25 years $34,578

Top Solar Installers in Pelham

When switching to solar energy, many homeowners decide to go with a solar installation company since overseeing your solar installation yourself can be a difficult project. Solar warranties and repairs are typically included in the cost of installation when you sign a contract with a solar company too, which can save you more money over time.

Working with a vetted solar company can make going solar easier. Here are our recommendations:

Best National Provider

SunPower

★★★★★
5.0

  • Most efficient panels on the market
  • National coverage
  • Cradle to Cradle sustainability certification
  • Great warranty coverage
  • Expensive
  • Customer service varies by local dealer

Best Technology

The Green Panel

★★★★★
4.5

  • Price-match guarantee
  • Sleek, efficient, and durable solar panels
  • Best solar battery on the market
  • Some reported issues with customer service
  • Customer service varies by local dealer

See all of the solar companies in Pelham

Factors that Affect Solar Panel Costs in Pelham

Cost is usually one of the most important factors for homeowners considering investing in solar. There are a few key factors that will push your cost above or below the average in Pelham: solar equipment and system size, financing options and the solar installation company you choose. We'll cover each of these briefly below.

Solar Equipment Size

The size of the solar energy system you need to offset your energy usage is the most significant cost factor to consider. For every additional kilowatt you need, you can expect your total to increase by around $2,450. Some solar brands — like Maxeon from SunPower — are more costly upfront but also tend to offer better efficiency. In a city like Pelham, where sunlight is abundant, efficiency can quickly pay off. Also, if you have a small roof or limited space for your panels, higher efficiency options will be a better option. Additional equipment like electric vehicle chargers and solar batteries will also increase the cost.

Solar Financing Terms

Most solar companies in Pelham provide solar loans, which reduce your upfront costs of installing a solar system. Though solar loans make adopting solar energy more accessible for Pelham homeowners, they can also increase the total you pay for your system, depending on your interest rate. If you make a larger down payment, though, you can cut back on how much interest you have to pay.

Solar Panel Installation Company

Lastly, the company you hire to install your solar panel system can play a role in determining how much it costs. Pelham's solar companies all have different labor costs and add varying upcharges to equipment. Larger national companies usually have lower costs, but some local companies undercut them by promoting sales and discounts. While the smaller companies might not have specific equipment options like Tesla Powerwall batteries or extra services like electric vehicle charger installation, they might be cheaper overall.

Solar Panel Cost Data by System Size

System size Cost per system watt Solar system cost 25-Year savings Payback period
6 kW $2.55 $10,702 $22,549 8.0 years
8 kW $2.50 $13,994 $30,340 7.9 years
10 kW $2.45 $17,150 $38,268 7.7 years
12 kW $2.40 $20,168 $46,333 7.6 years
14 kW $2.35 $23,050 $54,535 7.4 years
16 kW $2.30 $25,794 $62,875 7.3 years
18 kW $2.25 $28,400 $71,351 7.1 years
20 kW $2.21 $30,870 $79,965 7.0 years

Solar Incentives in Pelham

Name ITC
Type Tax Incentive
Incentive Amount 26% of installation cost
Website Visit here

Name Local Option- Property Tax Exemption for Renewable Energy Faclities
Website Visit here
More Info Click here

How to Save on Solar Panels

There are many solar installers to choose from, all of which offer different warranties, solar panel brands and price points. To help you find the right company for you, here are some tips to keep in mind:

  • Solar Panel Brands: Not all solar installers offer the same brands of solar panels, so the brand and type of panel you want can play a considerable role in the company you opt for.
  • Reputation: Your solar installer should have a sound reputation as a company and have verifiable expertise in the field. A couple of ways to check this are to look for whether a company has technicians certified by the North American Board of Certified Energy Practitioners (NABCEP) and if it has positive reviews from previous customers.
  • Installation Process: When making the switch to solar energy, it's necessary to maintain an open line of communication with your solar company. Make sure you understand how the installation process works and the project timeline.
  • Contract: When looking over your solar installer's contract, ask for clarification about any terms you're not sure of and make sure you understand what happens in scenarios like a system component breaking or if the company goes out of business.

Best National Provider

SunPower

★★★★★
5.0

  • Most efficient panels on the market
  • National coverage
  • Cradle to Cradle sustainability certification
  • Great warranty coverage
  • Expensive
  • Customer service varies by local dealer

Best Technology

The Green Panel

★★★★★
4.5

  • Price-match guarantee
  • Sleek, efficient, and durable solar panels
  • Best solar battery on the market
  • Some reported issues with customer service
  • Customer service varies by local dealer

EcoWatch's Pelham, AL Solar Cost FAQs

How much does it cost to install solar panels in Pelham?

The average cost of solar panels in Pelham is about $12,250 for a 5-kW system and $24,500 for a 10-kW system before the ITC, but the real cost will depend on things like the kind of solar panels you want, what size system you need and how much energy you use.

Is cost the most important consideration when buying solar panels?

Cost is certainly one of the most important things to keep in mind when buying solar panels, but other important factors include efficiency, durability, and quality.

Does Pelham have a net metering program?

Each state has some form of net metering programs except Tennessee, South Dakota and Alabama currently. Some states let you sell power back to the grid, but others just offer you credit toward your future power bills.

How long do solar panels last in Pelham?

Even though the average lifespan of solar panels is 25 to 30 years, that doesn't mean they are completely unusable at that time. What this means is their energy production will have decreased significantly after that point. You can decide to replace them after having them for that long or you can keep using them at a lower efficiency.

Our goal is to reach as many people as we can with sensible solutions like solar energy. Our team of full-time local researchers collects solar price and installation data for every city in America then compiles it to create these digestible city guides. If you want to read our solar expert’s opinion on the top solar companies featured here, follow this link.

Company research was conducted by Melissa Smith and Karsten Neumeister. Local data analysis was conducted by James Savino. See something we missed or could do better? Email the editor.

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