Solar Panel Cost Guide in Madison, IL (2023 Update)
- Madison Solar Installation Cost: $11,657
- 25-Year Savings: $8,173
- Payback Period: 14.7 Years
See cost of a solar system near you:
Please enter a valid 5-digit zip code!
Updated May 04, 2023
Why you can trust EcoWatch
Average Cost of Solar Panels in Madison
Find out what the average cost of installing solar panels is in Madison.
The national average cost of solar panels is $2.66 per watt, but in Madison it's 2.73 per watt. Using this figure, a typical 6.1-kW system would cost about $11,657 before the 30% federal solar tax credit is applied.
The true cost of your system can go above or below the average in Madison depending on several factors, such as the type of solar panels you choose and the solar company you hire. Many homeowners find adopting solar power is a fruitful investment. The average homeowner in Madison can save about $12,000 on their power bills over 20 years.
Click the button below to get connected to a vetted solar installer in Madison for a customized quote.
Solar savings over time in Madison
| Year | Return on Investment |
|---|---|
| 1 years | $-10,864 |
| 3 years | $-9,277 |
| 5 years | $-7,691 |
| 7 years | $-6,105 |
| 9 years | $-4,518 |
| 11 years | $-2,932 |
| 13 years | $-1,345 |
| 15 years | $241 |
| 17 years | $1,827 |
| 19 years | $3,414 |
| 21 years | $5,000 |
| 23 years | $6,587 |
| 25 years | $8,173 |
Top Solar Installers in Madison
Putting up solar panels yourself can be a time-consuming project, which is why getting a solar installation company is a good option for many homeowners. Plus, if you're not certain what type of solar panels and equipment you may need, a solar company can help you find the right equipment for you after a site survey and consultation.
There are various licensed solar professionals that can install solar panels for you. Here are our suggestions:
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best Warranty Coverage
Sunpro Solar
- Industry-leading warranty coverage
- Expansive service area
- Some reported communication issues
- No leases or PPAs
See all of the solar companies in Madison
Factors that Affect Solar Panel Costs in Madison
There are many criteria that can influence your total installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that installs your solar system.
Solar Equipment
The cost of solar panels varies by thousands of dollars due to some different factors. One of the notable factors is the system size, which is measured in kilowatts (kW). Solar power systems that have higher efficiency or power generation require better technology and/or more equipment, both of which can raise costs. For each additional kilowatt you need, your cost can go up by about $2,730. Some solar brands — like Maxeon from SunPower — cost more upfront but also tend to offer higher efficiency. In a city like Madison, where sunlight is relatively abundant, efficiency can quickly pay off. In addition, if you have a small roof or limited space for your panels, higher efficiency options will be more impactful. Additional equipment like electric vehicle chargers and solar batteries will also increase the cost.
Solar Financing Terms
Solar panels can save you money on energy bills over many years, but they can also be a big investment. That's why many Madison homeowners choose to finance their solar panel systems to make paying for solar more affordable. Even though solar loans make switching to solar energy more accessible for Madison homeowners, they can also raise 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
Finally, the company you choose to install your solar panel system can affect how much you pay. Madison's solar companies all have different labor costs and add varying upcharges to equipment. The company's size can sometimes play the most significant role in the cost of installation. Larger national companies, like SunPro and Sunrun, often have lower prices because they have greater resources and better pricing. Smaller local companies might be more costly, but they generally have better customer service and more customization options, and the occasional sale or discount can bring their pricing lower to compete with bigger names.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $2.84 | $11,925 | $7,586 | 15.3 years |
| 8 kW | $2.78 | $15,594 | $10,421 | 15.0 years |
| 10 kW | $2.73 | $19,110 | $13,409 | 14.7 years |
| 12 kW | $2.68 | $22,473 | $16,549 | 14.4 years |
| 14 kW | $2.62 | $25,684 | $19,842 | 14.1 years |
| 16 kW | $2.57 | $28,741 | $23,288 | 13.8 years |
| 18 kW | $2.51 | $31,646 | $26,887 | 13.5 years |
| 20 kW | $2.46 | $34,398 | $30,639 | 13.2 years |
How to Save on Solar Panels
The company that does your solar system installation will affect the warranties and brands you have access to, and it will also have an impact on your total cost. Because choosing a company can be difficult, we have some tips to help you, such as:
- Installation Process: When making the switch to solar, it's necessary to maintain an open line of communication with your solar panel company. Confirm that you understand how the installation process will go and the completion timeline.
- Contract: It's important to look over your solar installer's contract carefully to understand what services they will provide, what the warranty covers and what you can expect about the installation process.
- Reputation: The North American Board of Certified Energy Practitioners (NABCEP) is a well-established certification organization for sustainable energy professionals. If your solar panel installer is NABCEP-certified, it likely has a solid reputation and is qualified to do the job well. Another way you can look into your installer's reputation is by reading reviews.
- 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 significant role in the company you opt for.
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best Warranty Coverage
Sunpro Solar
- Industry-leading warranty coverage
- Expansive service area
- Some reported communication issues
- No leases or PPAs
EcoWatch's Madison, IL Solar Cost FAQs
What is the average cost of installing solar panels in Madison?
This is a tough question to answer precisely, because the cost depends on a few different factors. Generally speaking, it costs about $13,650 for a 5-kW system and $27,300 for a 10-kW system after the ITC is applied. You can expect to pay more if you want additional solar equipment or more efficient panels, or if you have above-average energy usage. On the other hand, you can spend less if you opt for a smaller solar panel system or less efficient solar panels.
Should I lease or buy solar panels in Madison?
Leasing solar panels can be an appealing choice, because it typically comes with low or $0 upfront payments. The downside is that you won't be able to save as much. If you lease, you don't own the system, so you can't claim any tax rebates and credits and your home value won't increase. Buying solar panels is a better option if you want to get the most savings.
How much can I save on energy bills after installing solar panels?
Solar panels can potentially eliminate your electricity bills depending on your location and the efficiency of your system. Even if it doesn't get rid of them completely, you can save a lot of money on your bills, about $650.37 per year.
What solar power system size is right for my home?
To figure out what solar panel system size you need, you need to know how much energy your home uses and how much sunlight your home gets. For a general estimate, however, since each panel can usually produce about 250 to 400 watt-hours per hour, the average home will need 20 to 35 panels.
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.