Goodyear, AZ Solar Panels
Solar Power in Goodyear
Goodyear, AZ gets more than 300 days of sunshine a year — making it one of the best places in the country to go solar. Arizona already ranks 3rd in the US for residential solar installations, and with electricity prices up 22% from 2020 to 2024, it’s easy to see why more homeowners are paying attention.
If you’re thinking about solar installation in Goodyear, this guide covers everything you need to know — from how the process works to what you can realistically expect. Start with our overview of solar panels for your home to get grounded in the basics.
How Much Do Solar Panels Cost in Goodyear, AZ?
See what solar actually costs in Goodyear. Using real installation data from homes across Goodyear, Litchfield Park, Avondale, and Buckeye, this calculator gives you a local, accurate estimate based on what your neighbors are actually paying.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Goodyear gets 300+ sunny days a year, making it one of the best places in the country to generate solar energy and reduce your electricity bill.
- Arizona electricity rates have risen 19% since 2021 — solar can help Goodyear homeowners lock in more predictable energy costs over the long term.
- Arizona offers several solar incentives, including a 25% state tax credit (up to $1,000), a sales tax exemption, and a property tax exemption on added home value.
Goodyear Electricity Prices
Electricity rates in Arizona have been rising steadily — and the data tells a clear story for Goodyear homeowners.
As shown in the chart, Arizona’s electricity rate climbed from 12.5 cents per kWh in 2021 to 14.9 cents per kWh in 2024 — a 19.2% increase in just four years. While Arizona still runs below the national average, the upward trend is consistent.
For homeowners exploring solar installation in Goodyear, that rising trend matters. Solar can help offset grid electricity consumption, giving households a way to manage energy costs that are less tied to utility rate changes over time.
Solar panels are a long-term addition to a home. Over time, generating your own electricity can reduce dependence on the grid and provide more predictable energy costs — a meaningful consideration as Arizona rates continue their upward climb.
Price of Energy: Arizona vs National Average
Goodyear Area Utility Providers
In Goodyear, AZ, the primary utility provider is APS (Arizona Public Service). Based on 2023 data, APS customers paid an average of 15.3¢ per kWh — below the national average of 16.0¢, but above Arizona’s state average of 14.0¢.
APS rates sit in a middle range partly due to Arizona’s heavy reliance on a diverse energy mix, including natural gas and nuclear. While rates are below the national average, they remain higher than many other Arizona utilities, reflecting regional infrastructure and demand costs.
Even at 15.3¢ per kWh, Goodyear homeowners exploring solar panel installation can offset a meaningful portion of their monthly electricity bill — especially given the area’s exceptional sun exposure, which maximizes the energy output of a rooftop solar system year-round.
Goodyear Utilities Electricity Rates
Arizona Solar Incentives
Goodyear homeowners have access to several solar incentives in Arizona that can meaningfully reduce the cost of going solar.
Arizona offers a 25% state income tax credit (up to $1,000), a sales tax exemption on solar equipment, a property tax exemption on added home value, a battery storage federal tax credit, APS storage rewards, and net billing credits for excess energy.
Note that recent federal legislation eliminated the residential solar tax credit. Homeowners who lease through LightReach may still benefit indirectly — Palmetto applies the commercial tax credit and passes savings through via lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Arizona Residential Solar Energy Tax Credit | Tax Credit | Arizona homeowners can claim a state income tax credit equal to 25% of the cost of a solar or wind energy device installed at their residence, up to a maximum of $1,000. | Learn More |
| Arizona Solar Equipment Sales Tax Exemption | Sales Tax Exemption | Arizona exempts qualifying solar energy equipment from state sales tax, saving homeowners approximately 5.6% on the purchase price of eligible solar components. | Learn More |
| Arizona Solar Energy Property Tax Exemption | Property Tax Exemption | Arizona law exempts the added home value attributable to a solar energy system from property tax assessments, so installing solar will not increase your annual property tax bill. | Learn More |
| Federal Battery Storage Investment Tax Credit (ITC) — 30% | Tax Credit | Homeowners who install a qualifying battery storage system with at least 3 kWh of capacity can claim a 30% federal tax credit on the total installed cost of the battery through 2032. | Learn More |
| APS Storage Rewards Pilot Program | Rebate | APS battery owners can earn approximately $110 per average kilowatt of battery output per season by enrolling in APS’s Storage Rewards Pilot, which pays homeowners for discharging stored energy during peak demand events. | Learn More |
| Arizona Net Billing (Excess Solar Export Credits) | Net Metering | Arizona’s major utilities compensate solar customers for excess electricity exported to the grid through net billing programs, crediting homeowners at a utility-specific rate that is lower than the retail electricity rate. | Learn More |
Arizona’s Residential Solar Energy Tax Credit allows homeowners to claim 25% of the total cost of a qualifying solar or wind energy device installed at their primary or secondary residence, up to a maximum credit of $1,000. Qualifying systems include photovoltaic (solar panel) systems, solar domestic water heating systems, solar pool and spa heating systems, passive solar building systems, solar daylighting systems, and wind turbines. This credit is applied directly against your Arizona state income tax liability.
If the credit exceeds your tax liability in the year it is claimed, the unused portion can be carried forward for up to five consecutive tax years — so you won’t lose the benefit if you don’t owe enough taxes in a single year. There is no expiration date on this program, and it is currently active for 2026 installations.
To claim the credit, complete Arizona Form 310 and attach it to your state income tax return for the year the system was installed. The official form and instructions are available through the Arizona Department of Revenue at azdor.gov. Note that the $1,000 cap applies regardless of how many solar devices are installed, so the maximum benefit per household is $1,000 total.
Arizona provides a full sales tax exemption on the purchase of qualifying solar energy devices and equipment, including solar panels, inverters, mounting hardware, and installation labor. This exemption is applied automatically at the point of sale by the seller — homeowners do not need to file any paperwork to receive this benefit. The state sales tax rate is approximately 5.6%, though local jurisdictions may add additional taxes, so actual savings will vary by location.
Eligible equipment includes photovoltaic systems, solar water heating systems, solar space heating systems, solar thermal electric systems, passive solar systems, wind energy devices, solar pool heating systems, and daylighting systems. The exemption applies to both residential and commercial installations with no maximum dollar cap, making it a valuable savings tool for larger systems.
It is important to note that the sales tax exemption does not automatically extend to standalone battery storage systems, controls, or accessories that are not considered an integral part of the solar energy system. If you are pairing a battery with a new solar installation, confirm with your installer which components qualify. This exemption is authorized under Arizona Revised Statutes and has been in effect since 1997.
Under Arizona Revised Statutes §42-11054, the increase in a residential property’s assessed value resulting from the installation of a solar energy system is fully excluded from property tax calculations. This means that even though solar panels can significantly increase your home’s market value, your annual property tax bill will not go up as a result of the installation. This exemption is permanent and applies statewide to residential, commercial, and industrial properties.
For Goodyear homeowners in Maricopa County, this translates to an estimated savings of $100–$300 per year in property taxes, depending on the size of the system and the local tax rate (millage rate). In counties with higher millage rates, the annual savings can be even greater. Over the life of a solar system (25+ years), this exemption can represent thousands of dollars in cumulative tax savings.
The exemption is generally applied automatically, but homeowners may be required to submit documentation of system costs and equipment to their county assessor. It is recommended to contact your local county assessor’s office to confirm the process in your jurisdiction and ensure the exemption is properly recorded. No annual renewal is required once the exemption is in place.
The federal Battery Storage Investment Tax Credit allows homeowners to claim 30% of the total installed cost of a qualifying battery storage system directly against their federal income tax liability. To qualify, the battery must have a minimum capacity of 3 kWh. Critically, the battery does not need to be paired with solar panels — standalone battery installations also qualify for the full 30% credit. The credit covers the cost of the battery unit, inverter, installation labor, and any necessary electrical panel upgrades.
As a practical example, a Tesla Powerwall 3 with a fully installed cost of approximately $16,000 would generate a federal tax credit of $4,800. For a typical home battery system costing between $12,000 and $16,000, homeowners can expect a credit of $3,600 to $4,800. This credit is currently set at 30% through 2032, making 2026 an excellent time to take advantage of it. If the credit exceeds your tax liability in the year of installation, the unused portion can be carried forward to future tax years.
To claim the credit, file IRS Form 5695 (Residential Energy Credits) with your federal tax return for the year the battery system is placed in service. Note that this credit applies to the battery storage component specifically — the federal residential solar panel tax credit (Section 25D) has expired as of December 31, 2025, and is no longer available for new solar panel installations. Always consult a qualified tax professional to confirm your eligibility and maximize your benefit.
Arizona Public Service (APS) offers the Storage Rewards Pilot program, which pays residential battery storage owners for contributing stored energy back to the grid during high-demand periods. Enrolled homeowners in Goodyear earn approximately $110 per average kilowatt of battery output released during the event season, which runs from May 1 through October 31. APS may call up to 60 discharge events per season, each lasting one to four hours. A typical 13.5 kWh battery with 6 kW of output capacity can earn approximately $660 per season.
This program replaces the original APS Residential Battery Pilot, which offered an upfront rebate of up to $3,750 and is now closed to new applicants. The Storage Rewards Pilot is an ongoing, performance-based program open for enrollment. The pilot is designed to run for five years with up to 5,000 participants, so enrollment capacity may be limited. Participants must have a qualifying battery storage system installed at their APS-served home.
To enroll, contact APS directly through their website or customer service line. This program is separate from the APS Cool Rewards smart thermostat program and is specifically designed for battery storage owners. Because APS operates under a net billing structure (not net metering), pairing a battery with solar and enrolling in Storage Rewards is one of the most effective ways to maximize the financial return on a solar-plus-storage investment in the APS service territory.
Arizona has transitioned from traditional net metering to net billing across its major utilities. Under net billing, when your solar panels produce more electricity than your home uses, the excess is exported to the grid and you receive a bill credit — but at a rate below the retail electricity rate. Goodyear residents are primarily served by APS, which credits approximately $0.0617/kWh (locked in for 10 years at the time of interconnection).
A key benefit for APS customers is the 10-year rate lock: the export rate in effect when your system interconnects is guaranteed for 10 years, even if rates decrease for future customers. The Arizona Corporation Commission has established a schedule where export rates may decrease by up to 10% each year for new customers, meaning the sooner you go solar, the higher your locked-in export rate will be. APS also charges a Grid Access Fee of approximately $0.93 per kW of solar array capacity per month.
Because net billing export rates are significantly below retail electricity rates, the financial strategy for Goodyear solar owners has shifted toward self-consumption — using as much of your solar production directly in your home as possible — and pairing solar with battery storage to store excess energy for use during evening peak hours rather than exporting it at low rates. Always verify the current export rate with your specific utility before making installation decisions, as rates are updated periodically.
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 QuoteGoodyear 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.
Goodyear, AZ enjoys over 300 sunny days annually and minimal cloud cover, making it one of the strongest solar markets in the country for consistent, year-round energy production.
Solar Production in Goodyear 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 Panel Systems in Goodyear
We’ve mapped solar installations across the U.S. down to the address level. Explore the heatmap below to see how many of your Goodyear neighbors have already made the switch to solar — your community might surprise you!
Leasing Solar Panels
In Goodyear, AZ, Palmetto offers a solar lease through its LightReach program. With a lease, you pay a fixed monthly amount — starting as low as $82/month for smaller homes — rather than a large upfront cost. Palmetto owns and maintains the system, so you never have to worry about repairs or performance issues.
Compared to buying a system outright, leasing removes the need to manage maintenance, monitor equipment, or handle unexpected repair costs. When you own your system, those responsibilities fall to you. With LightReach, Palmetto handles all of that — and backs your system with a 90% production guarantee.
All major utility providers serving Goodyear — including APS, SRP, and others across Arizona — are eligible for a Palmetto lease. To learn more about how leasing compares to buying, visit our solar buy or lease guide.
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!
Explore LightReach LeasingFrequently Asked Questions
Yes, solar makes strong sense in Goodyear. With over 300 sunny days per year and 6.5 peak sun hours daily, Goodyear is one of the best places in the country to generate solar energy. Arizona electricity rates have risen nearly 20% since 2021, and homeowners can access state incentives including a 25% tax credit (up to $1,000), a sales tax exemption, and a property tax exemption.
For homeowners concerned about upfront costs, Palmetto’s LightReach solar lease removes that barrier entirely — go solar with no money down and start saving from day one.
Goodyear is primarily served by APS (Arizona Public Service), which uses a net billing program — not traditional net metering. When your solar panels produce more electricity than your home uses, the excess is exported to the grid and credited at approximately $0.06857/kWh, which is below the retail rate. New APS solar customers are also required to move to a Time-of-Use rate and are subject to a Grid Access Charge.
The good news: APS locks in your export credit rate for 10 years at the time of interconnection. Because export rates can decrease annually for new customers, going solar sooner generally means a higher locked-in rate for your system’s first decade.
Yes, solar panels can increase home value in Goodyear, AZ. According to Zillow research, homes with solar panels sell for approximately 4.1% more than comparable homes without them. In a growing market like Goodyear, that can represent a meaningful increase in resale value.
Arizona also offers a property tax exemption on the added home value from solar — meaning your property taxes won’t increase as a result of the installation. This makes solar a financially smart upgrade for Goodyear homeowners looking to build long-term equity.
The most affordable way to go solar in Goodyear is through Palmetto’s LightReach lease — starting as low as $82/month for smaller homes, with no upfront cost. Palmetto owns and maintains the system, so there’s nothing out of pocket to get started.
If you prefer to purchase outright, a typical 8.5 kW system runs approximately $23,173 after Arizona’s $1,000 state tax credit. Note that the federal 30% residential solar tax credit is no longer available following the Big Beautiful Bill. Use the calculator above for a personalized Goodyear estimate.
For Goodyear homeowners, solar can be worth it financially — especially with a lease. With Palmetto’s LightReach program, there’s no upfront cost. Your fixed monthly lease payment is typically lower than your current APS electricity bill, meaning most homeowners start saving on day one.
With Arizona electricity rates up nearly 20% since 2021, locking in a predictable monthly payment makes financial sense. A typical Goodyear home can save an estimated $65,000 over 25 years — and leasing removes the barrier of a large upfront investment.
Palmetto Solar is a top choice for Goodyear homeowners. As a national company with a strong local presence, we’ve completed 4,982 installs across Arizona since 2020. We offer some of the best financing options in the industry, including our LightReach lease with no upfront cost.
Our trusted install network ensures quality workmanship, and every system is backed by a 90% production guarantee. With Goodyear’s 300+ sunny days a year, Palmetto helps local homeowners make the most of Arizona’s exceptional solar potential.
With Palmetto’s LightReach lease, Goodyear homeowners pay one simple monthly payment that covers the solar panel system, installation, monitoring, maintenance, and a 90% Production Guarantee — with no upfront cost. For a typical 8.50 kW system, the estimated monthly lease payment is approximately $109/month.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments. Most Goodyear homeowners find their lease payment is less than their current APS electricity bill, meaning savings can begin from day one.