Solar Panel Savings in Alaska
Alaska gets 3 peak sun hours per day with electricity at 24¢/kWh. See how much you can save with solar panels.
Solar Panel Cost & Savings by System Size in Alaska
| System Size | Gross Cost | After Credits | Payback | 25-Year Savings | Annual kWh |
|---|---|---|---|---|---|
| 6 kW | $19,200 | $13,440 | 11.2 yrs | $22,397 | 6,570 |
| 8 kW | $25,600 | $17,920 | 11.2 yrs | $29,863 | 8,760 |
| 10 kW | $32,000 | $22,400 | 12.1 yrs | $34,463 | 10,950 |
| 12 kW | $38,400 | $26,880 | 14.1 yrs | $29,996 | 13,140 |
Includes 30% federal ITC + 0% Alaska state credit. Assumes 3% annual electricity rate increase and 0.5% panel degradation.
Alaska Solar Incentives
Alaska Energy Profile
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Is Solar Worth It in Alaska?
Alaska averages 3 peak sun hours per day, which means an 8 kW solar system would produce approximately 8,760 kWh per year. At the state's average electricity rate of 24¢/kWh, that translates to significant annual savings on your electric bill.
With the federal 30% Investment Tax Credit and Alaska's 0% state incentive, an 8 kW system costing $25,600 drops to just $17,920 after credits — with a payback period of approximately 11.2 years.
Over 25 years, homeowners in Alaska can expect to save $29,863 with an 8 kW system, factoring in panel degradation and rising electricity costs. The combination of moderate sun exposure and federal incentives makes solar a solid investment in Alaska.