Solar Panel Cost Guide in Salt Lake City, UT (Aug 2022)

  • Salt Lake City Solar Installation Cost: $10,392
  • 25-Year Savings: $15,785
  • Payback Period: 9.9 Years

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EcoWatch Local Advisors

By EcoWatch Local Advisors

Updated 7/19/2022

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Average Cost of Solar Panels in Salt Lake City

See how much it might cost to make the switch to solar in Salt Lake City.

In Salt Lake City, solar panels cost about $3 per watt on average. Using this figure, a typical 5.2 would cost about $10,392 before the federal solar tax credit is applied.

How much you pay can go above or below the average in Salt Lake City depending on a few factors, such as the type of solar panels you choose and the solar installer you hire. Despite the significant initial cost, the average Salt Lake City homeowner can save about $19,000 on their power bills over 20 years, which is one of the positives of solar.

To calculate your potential savings and connect with a local solar expert, click the button below.

Solar savings over time in Salt Lake City

Year Return on Investment
1 years $-9,345
3 years $-7,251
5 years $-5,157
7 years $-3,063
9 years $-968
11 years $1,126
13 years $3,220
15 years $5,314
17 years $7,408
19 years $9,502
21 years $11,596
23 years $13,690
25 years $15,785

Top Solar Installers in Salt Lake City

Installing solar panels on your own can be a challenging task, which is why getting a solar installation company is a good option for many homeowners. Solar companies provide key benefits that can help you get the most out of your investment, like warranties, monitoring and free repairs.

If you'd like to make the switch to solar but still aren't sure which solar panel company to go with, here are our recommendations for providers nearby:

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 Solar Financing

Blue Raven Solar

★★★★★
4.5

  • Industry-leading in-house financing
  • Competitive pricing
  • Excellent reputation
  • Doesn't offer solar batteries (coming 2022)

Outstanding Local Installer

ES Solar

★★★★★
4.5

  • Representatives are experts on local policies
  • Lifetime workmanship warranty
  • Outstanding customer service
  • No leases or PPAs
  • Energy audits only available 12 months after installation

See all of the solar companies in Salt Lake City

Factors that Affect Solar Panel Costs in Salt Lake City

Even though the average cost of solar panels in Salt Lake City is $10,392, your actual cost may be higher or lower than that. There are several factors that can have a major impact on the cost of a solar system installation. Below are some of the more important things to keep in mind.

Solar Equipment Size

The cost of solar panels varies by thousands of dollars due to a few different factors. One of the major factors is the system size. Solar power systems with higher efficiency or power generation need better technology and/or more equipment, both of which can increase costs. For each additional kilowatt you need, your cost can go up by about $2,680. The brand of solar panels and equipment you want is another factor that will substantially affect costs. Solar panels that have higher efficiency, like monocrystalline panels, tend to come at a higher price. Plus, solar equipment is more than just the solar panels themselves. You'll also need to make decisions about the kind of racks used to mount the panels, inverters, solar batteries, etc. It's important to take all of this into consideration when searching for a solar system that's in your budget.

Solar Financing Terms

If paying for a solar system out of pocket is out of reach, solar loans are a popular route because they decrease your upfront costs and allow you to pay for your system over five to seven years on average. When estimating your overall cost, you should also calculate the interest you'll pay if you go with a solar loan. Also, paying more on your down payment can lower the total interest paid over time.

Solar Panel Installation Company

The last significant cost factor you should keep in mind is the installer you choose. Given the massive popularity of renewable energy solutions in Salt Lake City, you'll have plenty of options to choose from, but each comes at various price points for labor and equipment. Additionally, some companies in Salt Lake City know more about local solar incentives and can help you learn about additional rebates or tax exemptions. However, they may charge more for that service. Even if they cost more upfront, they could help you save more money in the long run.

Solar Panel Cost Data by System Size

System size Cost per system watt Solar system cost 25-Year savings Payback period
6 kW $2.79 $12,375 $17,591 10.3 years
8 kW $2.73 $16,183 $23,773 10.1 years
10 kW $2.68 $19,832 $30,112 9.9 years
12 kW $2.63 $23,322 $36,611 9.7 years
14 kW $2.57 $26,654 $43,268 9.5 years
16 kW $2.52 $29,827 $50,084 9.3 years
18 kW $2.47 $32,842 $57,058 9.1 years
20 kW $2.41 $35,698 $64,191 8.9 years

Solar Incentives in Salt Lake City

Name Renewable Energy Systems Tax Credit (Corporate)
Incentive Amount Commercial wind, geothermal electric, and biomass systems 660 kW or greater, and solar PV systems 2 MW or greater: 0.35¢/kWh ($0.0035/kWh) for 4 years
Other commercial technologies and commercial wind, geothermal electric, solar PV, and biomass systems smaller than 600 kW: 10% of installed cost
Photovoltaic systems between 660 kW and 2 MW: May choose either 0.35¢/kWh ($0.0035/kWh) for 4 years or 10% of installed cost
Incentive Max Residential: $2,000
Commercial Production Tax Credit: No limit
Commercial Investment Tax Credit: $50,000
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Name ITC
Type Tax Incentive
Incentive Amount 26% of installation cost
Website Visit here

Name Renewable Energy Systems Tax Credit (Personal)
Incentive Amount Residential: 25%
Commercial wind, geothermal electric, and biomass systems 660 kW or greater 0.35¢/kWh ($0.0035/kWh) for 4 years
Other commercial technologies and commercial wind, geothermal electric, and biomass systems smaller than 660 kW: 10% of installed cost
Solar photovoltaic systems 2 MW or greater: 0.35¢/kWh ($0.0035/kWh) for 4 years
Solar photovoltaic systems smaller than 660 kW: 10% of installed costSolar photovoltaic systems between 660 kW and 2 MW: May choose either 0.35¢/kWh ($0.0035/kWh) for 4 years or 10% of installed cost
Incentive Max Residential: $2,000 (phases down for PV systems beginning in 2018)
Commercial Production Tax Credit: No limit
Commercial Investment Tax Credit: $50,000
Website Visit here
More Info Click here

How to Save on Solar Panels

The company that does your system 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 a challenge, we have some tips to help you, such as:

  • Warranty: If youcare about the endurance of your solar panel system, verifying your installer offers a 25-year, all-inclusive warranty can help put you at ease.
  • Installation Process: One of the most important things to understand when adopting solar energy is the installation process itself. Be sure to clarify any details you need to know with your solar installer, such as what permits you should acquire and what the project timeline is.
  • Solar Panel Brands: The model of solar panel you want to get plays a role in which company you should choose, since different companies offer different panels.
  • Reputation: Long-running companies likely have a good reputation. This is important because it ensures that it will not only see your solar project through, but will also provide quality aftercare and customer service, such as part repairs and replacements.

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 Solar Financing

Blue Raven Solar

★★★★★
4.5

  • Industry-leading in-house financing
  • Competitive pricing
  • Excellent reputation
  • Doesn't offer solar batteries (coming 2022)

Outstanding Local Installer

ES Solar

★★★★★
4.5

  • Representatives are experts on local policies
  • Lifetime workmanship warranty
  • Outstanding customer service
  • No leases or PPAs
  • Energy audits only available 12 months after installation

EcoWatch's Salt Lake City, UT Solar Cost FAQs

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

The average cost of solar panels in Salt Lake City is about $13,400 for a 5-kW system and $26,800 for a 10-kW system before the ITC, but the actual cost will depend on stuff like the model of solar panels you want, what size system you need and how much energy you consume.

Are solar panels free in Salt Lake City?

You can't get solar panels for free in Salt Lake City. However, you may still be able to install them on a lower budget. You can lease solar panels for a low upfront cost or, if you'd prefer to own your solar panels, you can finance them with a solar loan.

Can solar panels significantly reduce my electricity bills?

It is possible to eradicate your electricity bills with solar panels, but for most homeowners throughout Salt Lake City, that will require at least a 10-kW system. Not all homes will have the roof space for that size system, so you'll want to contact a local solar installer to see how many panels can fit on your roof.

How often do you have to replace solar panels?

Though the average lifespan of solar panels is 25 to 30 years, that doesn't mean they stop working completely 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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