How Much Do Solar Panels Cost in Nebraska? (2024 Savings Guide)

In this guide on the cost of solar panels in Nebraska, you’ll learn:

  • What the average cost of going solar in The Cornhusker State is
  • How Nebraskans can save money when going solar
  • Which local installation companies have the best prices
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Nebraska’s abundant sunshine and above-average utility bills make it a great place to go solar. Installing solar panels saves the average Nebraska household $18,399 over the course of their system’s life, making it an excellent long-term investment. However, before you dive into clean energy, it’s important to understand the factors that go into determining the cost of solar panels to ensure you’re not paying more than you have to.

This guide covers the average cost of solar panels in Nebraska. We’ll also explain what determines the overall cost of a solar system and give you some ideas for how you can save money on your system.

What Will Your Solar Panel System Cost in Nebraska?

The average price per watt for solar panels in Nebraska is $3.55. The average system size required in Nebraska to offset electricity consumption is 10.5 kilowatts (kW), which makes the total cost of a solar system $37,275 before the federal investment tax credit (ITC) and $26,093 after.

Averages are useful for rough estimates, but keep in mind that prices vary depending on the installer you use and the brands of equipment you choose. Your costs also depend on how much energy you consume on a monthly basis, which differs from household to household. The vast majority of solar systems in Nebraska cost between $19,880 and $34,790 after the federal tax credit.

The table below provides a quick look at how system size relates to your monthly energy usage and overall installation cost.

Solar Power System Size Energy Use (per month) House Size (sq ft) Total Cost Cost After the Federal ITC  Energy Savings (over 25 years, after system is paid off)
8 kW 800 kWh 1,200 $28,400 $19,880 $9,952
9 kW 900 kWh 1,400 $31,950 $22,365 $11,196
10 kW 1,000 kWh 1,600 $35,500 $24,850 $12,440
11 kW 1,100 kWh 1,800 $39,050 $27,335 $13,684
12 kW 1,200 kWh 2,000 $42,600 $29,820 $14,928
13 kW 1,300 kWh 2,200 $46,150 $32,305 $16,172
14 kW 1,400 kWh 2,400 $49,700 $34,790 $17,416
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GRNE Solar

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  • Representatives are experts on local policies
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  • Excellent reputation

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  • Limited brands of solar equipment available
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GenPro Energy Solutions

Outstanding Regional Installer

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  • NABCEP-certified technicians
  • Competitive pricing
  • Multitude of products and services

Cons

  • No leases or PPAs
  • Limited warranty coverage

How Do Nebraska’s Solar Prices Compare to the National Average?

Prices for solar systems in Nebraska are more expensive than they are in other states. The average cost per watt of solar panels in Nebraska is $3.55, which is $0.22 higher than the U.S. average of $3.33. That means your money won’t go quite as far in Nebraska as it would in most other states in terms of watts-per-dollar.

Cost per watt is only part of the picture. The total price of your system also depends on its size, which is determined, in large part, by how much energy you consume per month. The average total price of a solar system in Nebraska is around $5,000 higher than the U.S. average after the ITC or $7,500 higher before the ITC.

Part of the reason for the elevated cost is that Nebraskans tend to use more energy each month than residents of other states. This means that the average Nebraska home requires a 10.5 kW system, which is above the U.S. average size of 9 kW despite Nebraska’s above-average sunshine availability.

Unfortunately, the combination of higher costs per watt and greater energy consumption means that the upfront costs of going solar in Nebraska are significantly higher than they are in most states.

What Are the Main Factors of Solar System Costs in Nebraska?

There are three main factors that cause solar systems in Nebraska to cost more than they do elsewhere. Understanding the following factors is crucial so you know what to expect when you start meeting with solar contractors:

  • The above-average energy demands in Nebraska
  • The above-average sunlight availability in Nebraska
  • The sub-par net metering policy in Nebraska

The Above-Average Energy Demands in Nebraska

Nebraska residents tend to use more energy per month than residents of other states, which means they need larger solar systems to offset their energy consumption. Nebraska has the unfortunate combination of hot summers and frigid winters, which means Nebraskans are running their HVAC systems year-round to keep their homes comfortable. On average, Nebraskans consume 1,013 kilowatt-hours (kWh) each month, 130 kWh more than the nationwide average usage of 881 kWh.

The math is simple: the more energy you consume, the larger the system you need to offset your usage. You can get away with a slightly smaller system if you choose high-efficiency panels, but these are often significantly more expensive than mid-tier options on a per-watt basis.

Keep in mind that your solar installer will perform an initial inspection that includes a review of your energy bills over the last several months. If your energy usage is below the Nebraska state average, you might be able to save some money by opting for a smaller system.

The Above-Average Sunlight in Nebraska

solar panels installed on the outer walls of a house

Nebraska gets an average of 223 days of sun per year, which is more than two weeks more than the national average. That means that Nebraskans can get away with less efficient systems since they don’t have to worry about making the most of limited sunshine.

Less efficient panels are more affordable, so you can save quite a bit of cash by going for a mid-tier option instead of top-of-the-line panels like the ones Maxeon makes. Nebraska’s latitude also makes its sunshine more direct than northern states’ sunshine, which is another point in favor of saving some money by choosing a mid-range system.

However, we don’t recommend choosing the lowest efficiency panels you can find. Even though less efficient panels are more affordable, going too far toward the budget end of the spectrum will require a larger system to meet your energy needs, which may wind up costing you more money. We recommend choosing an installer that offers several panel brands. Good manufacturers to look for include Canadian Solar, REC, QCells, and Silfab.

The Net Metering Policy in Nebraska

Nebraska uses an avoided-cost rate for its net energy metering policy, which means that your utility company pays you the amount it would have cost to produce any excess energy you supply back to the grid. The avoided cost rate is usually significantly lower than the retail electricity rate, which means that Nebraska residents should consider adding a battery backup to their solar system to maximize long-term savings.

Solar batteries are expensive, adding approximately $10,000 to the total cost of the system. This is a 50% increase over the average price of solar in Nebraska after the federal ITC. While it might seem like forgoing a battery is the best way to keep costs down, it could wind up hurting you in the long run, since you’ll miss out on some savings by having to pay for energy at the full retail rate.

Having a battery backup lets you use the power you generate when your panels aren’t generating power. That means you can keep your house running during power outages, nighttime and cloudy days. It also means that the money you save is equivalent to the power you store at retail prices, which is higher than the credit you receive for selling the energy back to the electric company at the avoided cost rate.
Watch Below: Learn How You Can Profit Off Of the Extra Energy Your Solar Panels Produce

Additional Costs of Going Solar in Nebraska

Even after you purchase your equipment and pay for installation costs, there are several additional costs you may have to cover, depending on where you live and what additional solar equipment you want to have installed. Here’s a quick look at the five biggest additional costs to be aware of:

  • Building permits: Nebraska requires building permits for all home solar installations. The cost of these permits varies by location, but you should budget an additional $25 to $350, on average, to cover them. The good news is that many locations, like Lincoln, have a streamlined permitting process for small systems less than 25 kW.
  • Interconnection application fees: Your solar system will usually be connected to the grid, and your utility company will charge you between $50 and $150 to make the connection, in most cases. Having a grid connection means that your home will still have electricity even when your panels aren’t producing energy, so the application fee is well worth the investment.
  • Product markups and administration fees: Most solar installers mark up the equipment it installs to generate profit. These markups can be just a few hundred dollars all the way up to several thousand dollars, so it’s essential that you obtain several quotes from different installers if you want to get the best deal. Some companies also charge you to handle your permits and grid connection, which will add a few hundred dollars to the overall cost but save you the headache of having to do it yourself.
  • Additional solar equipment: Optional add-ons like electric vehicle (EV) chargers and solar batteries will increase the cost of your system, but so will incidental components like inverters, wiring, racking systems and conduits to protect the wiring. Some companies include these costs in the quote you receive, but others tack them on at the end. These additional costs don’t amount to much but can push up your installation costs by a few hundred dollars in some cases.

What Maintenance Costs Can Solar Owners Expect in Nebraska?

The biggest worry Nebraska homeowners should have about maintaining their solar panels is wind. Strong winds wreak havoc on poorly installed panels, so we encourage you to go with one of our recommended Nebraska solar companies to ensure a high-quality installation. These companies typically have solid warranties that will protect your system from damage, including wind-related damage.

Robust warranty coverage should help you avoid any need for maintenance, repairs or panel replacement.

Otherwise, the only ongoing maintenance fees some homeowners opt to pay are for annual cleaning services. These typically cost between $100 and $150 per service, depending on where you live and your system’s size. Since Nebraska sees plenty of rainfall each year, your panels should naturally stay clean, so we don’t recommend spending money on any cleaning or other ongoing maintenance services.

Which Solar Financing Options Will Help You Save the Most in Nebraska?

Nebraskans can pay for solar in four main ways: cash purchase, loan, lease or power purchase agreement (PPA). Choosing the right financing option is important since how you pay for your system will affect your upfront costs, long-term savings and your monthly payment.

We recommend paying cash if you can. Purchasing your panels outright is the cheapest option in the long run and will lead to the greatest lifetime savings. Even though paying cash requires the largest upfront payment, the long-term benefits are worth it for anyone who can afford the initial lump sum layout.

Nebraskans who buy their panels outright enjoy the most savings over the course of their system’s life — about $18,399 over 25 years after the panels pay for themselves.

The second best option is to finance your solar energy system with a solar loan. Paying via a loan requires less capital upfront and eventually leads to panel ownership. That means that you get all the benefits of owning your panels, like increased home value and low or no monthly utility bills. The downside is that you wind up paying more for your panels than you would if you paid cash due to interest.

All told, you should expect to save about $5,000 less if you pay by loan than you would if you paid cash. That still amounts to $13,000 worth of lifetime savings, which is still more than worth it. Plus, cash payments and loans give you access to the federal tax credit, an average potential value of $11,183 in Nebraska.

If a loan is not in the cards, you could consider leasing panels. Solar leases let you rent panels and pay the solar company a monthly fee for the right to use the energy they generate.

We try to steer people away from leases because they don’t lead to panel ownership and offer significantly lower savings of around $5,000 total. Owning your panels is important because installing them increases your property value. That means you can recoup your investment when you sell your home as long as you eventually own the panels.

PPAs are another low-cost option that we don’t recommend to most people. They are similar to leases, but instead of leasing the panels, you pay no monthly fee and instead pay the solar company for the electricity your panels generate. Electricity rates from PPAs are usually lower than the retail rate in your area, but your savings are greatly reduced.

The worst part about leases and PPAs — and why we recommend against using them if you can afford cash or a loan — is that you never own your panels. A close second is that you can’t take advantage of tax credits like the federal ITC, which means you’re leaving close to $11,200 on the table if you choose to lease or enter a PPA.

If you’re having trouble figuring out whether you can afford to pay for solar in cash, check out our handy calculator to estimate how much your system will cost. You can then choose the option from the table below that provides the most long-term benefits.

If you still aren’t sure which option is best, you can get a quote from SunPower or Tesla, both of which serve Nebraska and offer all four payment options to compare.

Financing Method Total 25 Year Savings (estimated) Initial Costs (estimated, after the federal tax credit) Monthly Payments (estimated) Payback Period (estimated)
Cash $18,399 $26,093 $0 16 years
Loan $13,000 $0 $86 – $250 20 years
Lease $5,000 $0 $115 N/A
PPA $4,000 $0 $115 N/A

What Are Other Ways You Can Save When Going Solar in Nebraska?

Transitioning your home to solar energy is a big commitment that requires between $19,880 and $34,790 in Nebraska, in most cases. Below, we’ll discuss some ways Nebraskans can save money to lessen the financial burden of going solar:

  • Take advantage of incentives
  • Install solar batteries
  • Consider less efficient solar brands

Take Advantage of Solar Incentives

The federal ITC will save you approximately $11,200 in Nebraska, but it’s not the only incentive available to Nebraska residents.

The state also has a low-interest loan program called the Nebraska Dollar and Energy Savings Loans that offers low rates in the 3% to 5% range. How much you can save through this program depends on the rate you qualify for, the size of the system you’re having installed, and the specific brand of equipment you choose.

There are several other local solar incentive programs available throughout the state, including affordable finance programs and one-time payments that reimburse you for installing panels. Check out our full guide to Nebraska solar incentives to learn more.

Install Solar Batteries

close-up of solar panel tiles

Installing a $10,000 battery might seem like an odd way to save money, but it actually can due to Nebraska’s lackluster net metering program. Nebraska residents who install solar panels can sell any excess energy their systems generate back to the grid, but they only get reimbursed at the avoided-cost rate. The avoided-cost rate is the amount of money it costs the utility company to produce energy, and it’s always lower than the retail electricity price.

Adding a solar battery to your system raises the upfront cost but lets you save more money in the long run by pulling from storage when your panels aren’t producing enough energy to run your home. This effectively means saving money at the full retail electricity price rather than the avoided-cost rate.

Popular options that work well in Nebraska are Tesla’s Powerwall batteries, SunPower’s SunVault batteries and Enphase energy storage systems.

Consider Less Efficient Solar Brands

Nebraska gets more sunshine than most other states, which means you can get away with purchasing less efficient panels and still produce enough energy to offset your electricity bills.

We recommend choosing a mid-tier monocrystalline option from a manufacturer like REC, QCells or Silfab. These companies produce a range of mid-tier panels that offer a good balance between efficiency and cost. We don’t recommend polycrystalline panels due to their generally lower quality, even though they’re more affordable.

High-efficiency panels like the ones Maxeon makes are great at getting the most out of whatever sunshine is available, but they are unnecessary in sunny areas, especially those in moderate latitude ranges like Nebraska. Choosing a lower-efficiency panel from a company like QCells will save you between $5,000 and $6,000, on average, compared to choosing high-efficiency Maxeon panels.

What Are the Typical Costs of Nebraska’s Solar Installers?

Not all solar companies charge the same prices for solar systems, even if they carry the same brands. The following table summarizes the best solar companies in Nebraska and provides a quick look at the companies that work best for most Nebraska homeowners.

Solar Company  Superlative EcoWatch Rating BBB Rating Average Cost
SunPower Best National Provider 5 A+ $$$$
ADT Solar Best Warranty Coverage 4 A+ $$$
GenPro Energy Solutions Best Regional Installer 4 A+ $
GRNE Solar Best Customer Service 4 A+ $$$
Solar Omaha Best Local Installer 3.5 A+ $$$

How Are Solar Costs and Regulations Trending In Nebraska?

According to the Solar Energy Industries Association (SEIA), the cost of solar panels in Nebraska has fallen 54% over the last ten years. That means that an average-priced system that costs $26,093 today after the federal credit would have run you more than $50,000 ten years ago.

Residential solar panel installations in Nebraska have increased each year for the last four years, and we see no reason why this trend wouldn’t continue for the foreseeable future. This is especially true because the price drops are typically due to an increase in demand and improvements in the manufacturing process, both of which are continuing currently.

One of the biggest driving forces behind solar adoption is whether or not a state has a renewable portfolio standard (RPS). These standards set target goals for solar adoption and often spark new tax exemptions and programs that encourage residents and businesses to convert to clean energy. Nebraska doesn’t have an RPS goal, so we don’t see the legal landscape changing much in the next few years.

Nebraska’s net metering policy isn’t the best, but as the cost of going solar continues to fall, more people will be able to afford to add a battery backup to their system, mitigating the need for a competitive energy buyback program.

With the current costs and state of the incentives in Nebraska, there has never been a better time to go solar in the area. As competition between solar companies continues to ramp up, customers like you reap the benefits. Use the tool below to see what solar installation companies in your area are charging for solar panel installations.

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The cost information presented in this article is derived from a comprehensive analysis, incorporating data from multiple industry sources. The average cost per watt per state was calculated based on figures from Consumer Affairs, Energy Sage, and Berkeley Lab’s Electricity Markets & Policy Department. Additionally, monthly energy consumption and the average monthly cost of electricity were sourced from the U.S. Energy Information Administration, ensuring a well-rounded and accurate representation of the information presented.

FAQs: Nebraska Solar Panel Costs

Nebraska is a popular state for solar, so we get a lot of questions from interested Nebraskans about how much it costs to transition to solar. Below, we’ll answer some of the most common questions we see.

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Karsten is an editor and energy specialist focused on environmental, social and cultural development. His work has been shared by sources including NPR, the World Economic Forum, Marketwatch and the SEIA, and he is certified in ESG with the CFA Institute. Before joining EcoWatch, Karsten worked in the solar energy sector, studying energy policy, climate tech and environmental education. A lover of music and the outdoors, Karsten might be found rock climbing, canoeing or writing songs when away from the workplace.
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Melissa is an avid writer, scuba diver, backpacker and all-around outdoor enthusiast. She graduated from the University of Florida with degrees in journalism and sustainability studies. Before joining EcoWatch, Melissa worked as the managing editor of Scuba Diving magazine and the communications manager of The Ocean Agency, a nonprofit that’s featured in the Emmy award-winning documentary Chasing Coral.

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