Solar Panel Cost Guide in Rapid City, SD (2024 Update)

  • Rapid City Solar Installation Cost: $21,291
  • 25-Year Savings: $31,656
  • Payback Period: 11.6 Years

See cost of a solar system near you:

By EcoWatch Local Advisors

Data Analysis: James Savino

Ranking Methodology: Karsten Neumeister

Updated February 03, 2024

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We work with a panel of solar experts to create unbiased reviews that empower you to make the right choice for your home. No other site has covered renewables as long as us, which means we have more data and insider information than other sites. Our rankings are never affected by revenue or partnerships.

Average Cost of Solar Panels in Rapid City

Find out what the average cost of solar panels are in Rapid City.

Currently, the national average cost of solar panels is $2.66 per watt. However, in Rapid City, the typical cost of solar panels is 4 per watt.Using this figure, a typical 8.5-kW system would cost about $21,291 before the 0 federal solar tax credit is applied.

These figures are only estimates, and the cost of going solar for you will look different based on the amount of energy your home requires and what company you want to go with.But, after you've paid the upfront cost of installation, the payback for most homeowners is quite rewarding, with a net average savings of about $21,000 over 20 years on electricity bills.

To receive a free estimate from a vetted solar installation company in Rapid City, you can click the button below.

Solar savings over time in Rapid City

Year Return on Investment
1 years $-19,655
3 years $-16,385
5 years $-13,114
7 years $-9,843
9 years $-6,573
11 years $-3,302
13 years $-32
15 years $3,239
17 years $6,510
19 years $9,780
21 years $13,051
23 years $16,322
25 years $19,592

Top Solar Installers in Rapid City

Do-it-yourself solar panel installation is a possibility, but it's an undertaking that can use up a lot of your time and energy. Using a solar company can make your switch to solar power much easier. Solar warranties and repairs are usually included in the cost of installation when you opt for a solar contractor as well, which can save you more money after your upfront investment.

There are various licensed solar professionals that can help you install your solar system. Here are our suggestions:

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

Tesla Energy

★★★★★
3.2

  • 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 Rapid City

Factors that Affect Solar Panel Costs in Rapid City

There are many factors that can determine your total installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that performs the installation.

Solar Equipment

One of the most important factors to consider when it comes to the cost of installing solar panels is the size of the solar system, which is measured in kilowatts (kW). The more energy your household consumes, the larger your system will likely need to be. You can expect to pay about $3,580 per kilowatt in Rapid City.Some solar brands — like Maxeon from SunPower — are more expensive upfront but also tend to offer better efficiency. In a city like Rapid City, where sunlight is relatively abundant, efficiency can quickly pay off. Also, 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 Rapid City homeowners opt to finance their solar panel systems to make going solar more affordable.While solar loans make switching to solar energy more accessible for Rapid City homeowners, they can also increase the total you pay for your system, depending on your interest rate and how long you take to pay off the loan. If you put down 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 hire to install your solar system can play a role in determining the cost. Rapid City’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 of access to greater resources and bulk pricing. Smaller local companies might be more costly, but they can sometimes have better customer service and more customization options, and the occasional sale or discount can bring their pricing down 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 $3.72 $15,637 $16,757 12.1 years
8 kW $3.65 $20,449 $22,743 11.8 years
10 kW $3.58 $25,060 $28,930 11.6 years
12 kW $3.51 $29,471 $35,318 11.4 years
14 kW $3.44 $33,681 $41,906 11.1 years
16 kW $3.37 $37,690 $48,694 10.9 years
18 kW $3.29 $41,499 $55,683 10.7 years
20 kW $3.22 $45,108 $62,873 10.4 years

How to Save on Solar Panels

The company that does your solar panel installation will affect the warranties and brands available to you, 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:

  • Solar Panel Brands: Not all solar companies carry the same brands of solar panels, so the brand and type of panel you want can play a substantial role in the company you choose.
  • Warranty: If you’re worried about the durability of your solar panel system, checking if your company offers a 25-year, all-inclusive warranty can give you some peace of mind.
  • Reputation: Make sure your solar panel installer has a good reputation by confirming it has certifications and licenses, checking its work history and reading reviews by previous customers and solar experts like EcoWatch.
  • Installation Process: Get detailed information from your solar company about the installation process and what to expect, including when the site survey will be completed and how long it will take.

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

Tesla Energy

★★★★★
3.2

  • 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 Rapid City, SD Solar Cost FAQs

What is the average cost of installing solar panels in Rapid City?

The average cost of solar panels in Rapid City is about $17,900 for a 5-kW system and $35,800 for a 10-kW system before the ITC, but the real cost will depend on certain factors such as the model of solar panels you want, what size system you need and how much energy you use.

Is it better to lease or buy solar panels in Rapid City?

Leasing solar panels can be an option if you can’t afford to pay upfront or secure a solar loan, but since you don’t own the system, you don’t have access to many solar incentives. Also your home value won’t increase, so you’ll have less savings over time. If you can afford to buy a solar system upfront, then buying is the better option if you want the most savings from going solar.

Does Rapid City have a net metering program?

The majority of states offer net metering programs of some kind. Through these, you can receive compensation for the extra power your system generates or or receive credits to put toward future electricity bills. Currently there are just three states that don’t have any net metering laws: Alabama, Tennessee and South Dakota.

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 requires 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 house 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.

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