Gilbert, AZ
Solar in Gilbert
Gilbert homeowners are embracing solar as Arizona ranks 3rd nationally for residential installations. With electricity prices rising 22% since 2020, many explore home solar panels as a smart solution.
This guide covers everything about solar installation in Gilbert, from local incentives to choosing the right system.
Key Takeaways
- Gilbert receives excellent solar irradiance year-round with over 300 sunny days annually, making it ideal for solar energy production.
- Arizona offers multiple solar incentives including a 30% federal tax credit and state tax exemptions that reduce installation costs.
- Electricity rates in Gilbert have risen 19% since 2021 making solar panels a smart way to lock in predictable energy costs.
Solar Cost Calculator
Our solar cost calculator uses real installation data from Gilbert neighborhoods including Val Vista Lakes, Agritopia, and Power Ranch. Get accurate pricing estimates based on actual local projects, not generic estimates.
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Estimated Investment and Savings
Based on Palmetto Solar installations in Arizona. Current electricity rate: 14.9¢/kWh. Assumes 80% credit of retail rate.
Gilbert Electricity Prices
Understanding electricity costs in Gilbert helps homeowners make informed energy decisions for their families and budgets.
Arizona electricity rates have climbed from 12.5 cents per kWh in 2021 to 14.9 cents in 2024, representing a 19% increase over three years.
Solar panels allow Gilbert homeowners to generate their own electricity, reducing dependence on the grid and protecting against future rate increases from utility companies.
Over 25 years, solar systems can provide predictable energy costs while traditional electricity rates continue rising, offering long-term financial stability for families.
Price of Energy: Arizona vs National Average
Gilbert Area Utility Providers
Gilbert residents receive electricity from two main utilities: Arizona Public Service (APS) at 15.3¢ per kWh and Salt River Project (SRP) at 12.5¢ per kWh in 2023.
SRP’s rates fall below both the Arizona average (14.0¢) and national average (16.0¢), while APS exceeds state rates due to different infrastructure costs and service territories.
Understanding your utility rates helps evaluate solar’s potential savings. Higher electricity costs can mean greater long-term value from solar panels, especially as utility rates continue rising.
Gilbert Utilities Electricity Rates
Arizona Solar Incentives
Gilbert homeowners can reduce solar costs through multiple solar incentives in Arizona at federal and state levels.
Arizona offers three main state incentives: a tax credit up to $1,000, property tax exemption on solar equipment, and sales tax exemption on installation costs.
These incentives change over time, so research current programs thoroughly and consider acting promptly to maximize savings.
Save an average of
$7,252
in solar rebates in Arizona
| INCENTIVE | TYPE | DESCRIPTION | SOURCE |
|---|---|---|---|
| Residential Clean Energy Credit | Federal tax credit | A federal tax credit worth 30% the cost of a solar panel system in the year it’s installed | Learn More |
| Credit for Solar Energy Devices | State tax credit | Arizona Homeowners receive the lesser of $1,000 or 25% off their solar panel installation. | Learn More |
| Property Tax Exemption | State tax exemption | No property tax increase from added solar value. Prevents higher assessment on solar equipment. | Learn More |
| Sales Tax Exemption | State tax exemption | No state or local sales tax on solar equipment and installation. Reduces upfront cost immediately. | Learn More |
The Residential Clean Energy Credit lets people claim a tax credit worth 30% the cost of a solar panel system in the year it’s installed. The credit can only be used against taxes you owe or have already paid that year, but any excess credit can be rolled over to future years.
The credit is broadly available, though there are a few restrictions — you must own the panels and they must be on a house you live in — so be sure to consult a tax professional about your situation.
Arizona’s Credit for Solar Energy Devices is a state tax credit that helps homeowners save money when they install solar panels on their Arizona residence. This nonrefundable tax credit reduces the amount of state income tax you owe, dollar-for-dollar, making solar energy more affordable for Arizona families.
To qualify for this credit, you must be an individual taxpayer who installs a solar energy device at your primary or secondary residence located in Arizona. The credit is nonrefundable, which means it can reduce your Arizona state tax liability to zero, but any unused credit amount cannot be refunded to you as cash. You’ll need to file Form 310 with your Arizona state tax return to claim this benefit.
While the official source doesn’t specify the exact credit amount or percentage, this incentive has been available for many years and continues to be offered for recent tax years through 2024. The credit applies to solar energy devices installed at your Arizona home, helping offset the upfront costs of going solar while supporting the state’s clean energy goals.
Arizona’s Property Tax Exemption for renewable energy equipment allows homeowners to exclude the added value of their solar panel system from their property tax assessment. This means that while your solar installation may increase your home’s overall value, you won’t pay additional property taxes on that increased value. The exemption applies to the full value of qualifying renewable energy equipment, including solar panels, inverters, and related components.
To qualify for this exemption, your renewable energy system must be installed on residential property in Arizona and meet state requirements for renewable energy equipment. Property owners must file the appropriate forms with the Arizona Department of Revenue to claim this exemption. The exemption continues for as long as you own the qualifying renewable energy equipment, providing ongoing tax savings throughout the life of your solar system. This incentive helps make solar more affordable by ensuring homeowners don’t face higher property tax bills simply for investing in clean energy technology.
Arizona’s Solar and Wind Sales Tax Exemption removes state sales tax from the purchase and installation of solar and wind energy systems for your home. This means you won’t pay the standard Arizona sales tax (which varies by location but is typically around 5-10%) on your solar panels, inverters, batteries, and other system components, as well as the contractor’s installation services.
This exemption applies automatically at the point of sale when you purchase qualifying solar or wind equipment and installation services from contractors in Arizona. There are no income limits, application deadlines, or special forms to complete – the tax exemption is built into Arizona’s tax code and available to all homeowners who install these renewable energy systems. The savings can add up to hundreds or even thousands of dollars depending on your system size, making solar installations more affordable from day one.
Net Billing in Arizona is a solar compensation program that credits homeowners for excess electricity their solar panels send back to the grid. Unlike traditional net metering where you receive full retail credit, net billing pays you a lower wholesale rate for the solar energy you export. The credit rates vary by utility company, ranging from about 3.5 cents to 6.9 cents per kilowatt-hour (kWh), which is significantly less than what you pay for electricity from the grid.
Most Arizona utilities lock you into your export credit rate for 10 years once you connect your solar system, providing rate stability during that period. However, solar customers are typically required to switch to time-of-use (TOU) billing rates, and some utilities charge additional monthly fees for solar customers. At the end of each year, most utilities will either pay out excess credits above a certain threshold (usually $10-$25) or reset your account to zero, though some allow credits to roll over indefinitely. The specific terms depend on your utility provider, so it’s important to understand your local utility’s net billing rules before installing solar.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Arizona incentives.
Get a Free QuoteGilbert Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Understanding how seasons affect your solar system helps set realistic expectations for your investment.
Gilbert’s abundant sunshine and clear skies create excellent solar conditions year-round. Even cities with challenging weather can achieve great solar performance with proper system design.
Solar Production in Gilbert by Month
What Can Your Solar System Power?
Summer Production (July)
In July, your 10 kW system could power:
- 3.6 average homes (15 kWh/day per home)
- or Run central AC for 18 hours AND power all other appliances
- or Fully charge 5.4 Tesla Model 3 electric vehicles
Winter Production (December)
In December, your 10 kW system could power:
- 2 average homes (15 kWh/day per home)
- or Keep your home heating system running for 15 hours
- or Fully charge 3 Tesla Model 3 electric vehicles
Annual Production
Over a year, your 10 kW system could:
- Offset 10 tons of carbon dioxide emissions
- or Equal the environmental benefit of planting 175 trees
- or Save approximately $4,234 in electricity costs
Want to know exactly how much solar can power your home?
Get a personalized solar analysis based on your actual home, energy usage, and roof characteristics.
Get My Custom EstimateSolar Installations in Gilbert
We’ve mapped every solar installation across the United States to show you how Gilbert neighborhoods are embracing clean energy. Explore this interactive map to discover which communities near you have already made the switch to solar power!
Leasing Solar Panels
Gilbert homeowners have access to solar leasing options through Palmetto’s LightReach program. Since all major utilities in Arizona – including Arizona Public Service (APS) and Salt River Project (SRP) which serve Gilbert – offer lease programs, residents can go solar without the upfront investment costs.
With solar leasing, you pay a fixed monthly amount while Palmetto handles all system maintenance, monitoring, and repairs. This eliminates the need to manage loan payments or worry about equipment issues. Unlike purchasing, leasing provides immediate savings without the responsibility of system ownership.
The key advantage is simplicity – as soon as your panels are installed and active, your solar savings begin. There’s no waiting to recoup an investment or dealing with maintenance costs. LightReach makes solar accessible to more Gilbert families by removing financial barriers while still delivering clean energy benefits.
Go solar without the investment
With LightReach, there are no investment costs to recoup, loan payments to manage, or maintenance needs to take on. As soon as your panels are active, your solar savings are too!
Learn MoreFrequently Asked Questions
Yes, solar makes excellent sense in Gilbert, AZ. Gilbert receives over 300 sunny days annually with exceptional solar irradiance, making it ideal for solar energy production year-round.
With electricity rates rising 19% since 2021 and averaging 14.9¢ per kWh, solar helps lock in predictable energy costs. Arizona’s solar incentives, including the 30% federal tax credit and state tax exemptions, significantly reduce installation costs for Gilbert homeowners.
Gilbert does not have traditional net metering. Instead, Arizona utilities serving Gilbert use net billing (export credit) programs that pay less than retail rates for excess solar energy.
Arizona Public Service (APS) credits exports at $0.0686/kWh, while Salt River Project (SRP) offers $0.02-$0.06/kWh depending on your rate plan. Both utilities lock customers into export rates for 10 years upon interconnection.
Yes, solar panels typically increase home value in Gilbert, AZ. Research from Zillow shows solar panels increase home value by 4.1% on average nationwide.
In Gilbert’s competitive real estate market, solar panels make homes more attractive to buyers seeking energy savings and environmental benefits. Arizona’s property tax exemption means you won’t pay additional property taxes on the added solar value, maximizing your return on investment.
Solar costs in Gilbert range from $13,121 to $21,759 after federal tax credits. Small homes (up to 2,000 sq ft) typically need 6.38 kW systems costing $13,121 final price, while large homes (over 3,000 sq ft) require 11.20 kW systems at $21,759.
These prices include Arizona’s sales tax exemption and the 30% federal tax credit. Most Gilbert homeowners install medium-sized 8.50 kW systems for $16,921, providing excellent value with 25-year savings averaging $65,285.
Yes, solar is financially worth it in Gilbert. Most homeowners save $65,285 over 25 years with payback periods around 8.3 years, making solar a smart long-term investment.
With electricity rates rising 19% since 2021 and Arizona’s excellent solar incentives, including the 30% federal tax credit, Gilbert residents can lock in predictable energy costs while protecting against future utility rate increases.
Palmetto Solar is the leading solar company serving Gilbert residents. We’ve completed 4,982 installations across Arizona since 2020, bringing clean energy expertise to communities throughout the state.
We offer competitive financing options and work with trusted local installation partners to deliver quality solar systems. Our national reach combined with local focus ensures Gilbert homeowners receive reliable service and ongoing support for their solar investment.