Los Angeles, CA Solar Panels
In This Guide
- 01 Solar Energy in Los Angeles
- 02 Solar Cost Calculator
- 03 Los Angeles Reviews
- 04 Key Takeaways
- 05 Los Angeles Electricity Prices
- 06 California Solar Incentives
- 07 Los Angeles Solar Production
- 08 Solar Installations in Los Angeles
- 09 Choosing an Installer
- 10 Leasing Solar Panels
- 11 Frequently Asked Questions
Solar Power in Los Angeles
Los Angeles gets abundant sunshine, but a successful solar installation in Los Angeles depends on more than the weather. Roof condition, household energy use, utility requirements, and local permits all shape the process.
This guide explains what to expect, from planning and equipment choices to approvals. For a clear introduction to system basics, explore our guide to home solar panels.
CALIFORNIA by the Numbers
How Much Do Solar Panels Cost in Los Angeles, CA?
Explore estimated solar installation costs in Los Angeles using Palmetto’s real installation data from across California. Local projects in areas such as Pasadena, Long Beach, Glendale, and Burbank help make this calculator a useful starting point for understanding what solar may cost near you.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Los Angeles sunshine is a strong starting point, but roof condition, energy use, utility rules, and permits all affect a solar installation.
- A 6.67 kW system is estimated at $19,288, with projected 25-year savings around $104,500; actual costs and savings vary.
- Solar incentives and export credits depend on your location, utility, and eligibility, so check the rules that apply to your home.
Los Angeles Electricity Prices
Electricity prices have climbed in California; understanding the trend can help Los Angeles households weigh their energy options.
The chart compares statewide California prices—not Los Angeles-specific rates—with the U.S. average. California rose from 22.8 cents per kWh in 2021 to 31.9 cents in 2024, while the national average increased from 13.7 to 16.5 cents.
A home solar system generates electricity on-site, which can reduce how much power a household needs to buy from the utility. The effect on bills depends on system size, energy use, utility rates, and applicable billing rules.
Over time, producing some electricity at home may help limit exposure to rising utility prices. Solar’s overall value depends on installation costs, system performance, and future rates, so savings are not guaranteed.
Price of Energy: California vs National Average
Los Angeles Area Utility Providers
Los Angeles-area electricity customers may receive service from Anaheim Public Utilities, LADWP, or Southern California Edison (SCE). In 2023, their reported rates were 17.5¢, 23.0¢, and 32.3¢ per kWh, respectively.
For context, the 2023 national average was 16.0¢/kWh, and California’s was 29.50¢/kWh. Anaheim and LADWP were above the national average but below the state average; SCE was above both.
These figures show how electricity costs differ by provider and can help households assess the potential value of generating some power at home with solar. Actual savings depend on a household’s circumstances.
Los Angeles Utilities Electricity Rates
California Solar Incentives
California and utility programs may help eligible Los Angeles residents manage solar costs. Explore the solar incentives in California below; rules and funding vary.
Options include rebates for qualifying solar and batteries, affordable multifamily solar incentives, utility bill discounts, financing, property- or sales-tax exclusions, and credits for exported electricity. Eligibility varies by household, property, utility, and program funding.
Although the Big Beautiful Bill eliminated the 30% federal residential tax credit, state and local incentives remain. With LightReach, Palmetto handles the commercial ITC and passes savings through lower payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| SGIP — Residential Solar and Storage Equity (RSSE) | Solar and Battery Rebate | Income-qualified California households may receive up to $1,100 per kWh of eligible battery capacity and $3,100 per kW of paired solar, subject to program rules and available funding. Los Angeles availability depends on the property’s utility territory. | Learn More |
| Disadvantaged Communities — Single-Family Solar Homes (DAC-SASH) | Solar Rebate / No-Cost Solar Program | Eligible income-qualified homeowners in qualifying disadvantaged communities may receive rooftop solar supported by a $3 per CEC-AC watt program incentive; Los Angeles address and utility-territory eligibility must be confirmed. | Learn More |
| Solar on Multifamily Affordable Housing (SOMAH) | Solar and Battery Incentive | Eligible affordable multifamily properties can receive incentives for tenant-serving and common-area solar, with additional incentives for qualifying integrated solar-and-storage projects where funding remains available. Los Angeles properties must be in a participating utility territory. | Learn More |
| Disadvantaged Communities Green Tariff (DAC-GT) | Electricity Bill Discount / Community Solar | Eligible customers in participating disadvantaged communities can receive a 20% discount on their applicable electricity rate through a utility clean-energy tariff, rather than a payment for rooftop equipment. Los Angeles availability depends on the participating provider and address. | Learn More |
| GoGreen Home Energy Financing — Solar Plus Battery | Financing | Eligible homeowners and renters may access participating-lender financing for solar bundled with battery storage, with program materials describing loan principal up to $75,000 for solar-plus-battery projects. Los Angeles customers should confirm their utility or community choice aggregator participates. | Learn More |
| Active Solar Energy System New Construction Exclusion | Property Tax Exclusion | Qualifying active solar energy systems generally are excluded from adding assessed value to a California property, with the state exclusion scheduled to sunset January 1, 2027. | Learn More |
| CAEATFA Sales and Use Tax Exclusion (STE) for Approved Projects | Sales and Use Tax Exclusion | Approved participating parties may receive a sales/use-tax exclusion for qualifying alternative-energy, distributed-generation, or storage property purchased for an approved project; it is not a general household solar exemption. | Learn More |
| California Solar Billing Plan / Net Billing Tariff | Net Billing / Solar Export Credits | New eligible rooftop solar customers in PG&E, SCE, and SDG&E territories receive bill credits for electricity exported to the grid under the Net Billing Tariff, with credit values varying by export timing rather than matching retail rates one-for-one. Los Angeles customers should confirm SCE service at their address. | Learn More |
SGIP’s Residential Solar and Storage Equity (RSSE) offering provides incentives for eligible residential solar-and-battery projects. Published maximum rates are up to $1,100 per kWh of battery storage and $3,100 per kW of paired solar; the actual incentive is limited by eligible project costs, system-sizing rules, and program requirements.
Eligibility is generally for income-qualified California households, including households at or below 80% of area median income or customers who qualify through specified programs such as CARE, FERA, ESA, SASH, or DAC-SASH. Funding, applications, waitlists, and reservation availability vary by utility and program administrator, so confirm current availability with the SGIP administrator before signing a contract. For Los Angeles addresses, check whether the electric utility serving the property participates; availability may differ for LADWP and SCE customers.
DAC-SASH supports rooftop solar for qualifying single-family homeowners with an incentive of $3 per CEC-AC watt. The program is designed to make solar available at no cost to eligible households, although project costs, program rules, and funding availability determine whether a particular installation can proceed. The incentive is administered through the program and is not necessarily paid as cash directly to the homeowner.
Applicants generally must own and occupy their primary residence, meet applicable CARE or FERA income criteria, and live in an eligible disadvantaged community or other qualifying area identified by the program. Los Angeles homeowners should confirm that their address is in a participating utility territory and eligible area. DAC-SASH is a solar program; do not assume that a battery is included. Check current program eligibility and enrollment status with the CPUC or its administrator.
SOMAH provides solar incentives for qualifying affordable multifamily rental housing. Published solar rates can reach $3.50 per AC watt for tenant-serving capacity and $1.19 per AC watt for common-area capacity, with lower rates applying in some circumstances when projects use specified tax credits. Eligible integrated solar-and-storage projects may receive a storage incentive of $1.10 per Wh, subject to program rules and adjustments for other incentives.
Properties generally need at least five rental units and must meet SOMAH’s affordable-housing and tenant-benefit requirements in a participating utility territory. Storage funding is not available everywhere: as of the supplied 2026 status information, storage incentives were paused in PG&E and SDG&E territories, while funds were reported available in SCE, Liberty Utilities, and Pacific Power territories. Los Angeles property owners should confirm their utility territory, current funding status, and project eligibility with SOMAH before relying on an incentive.
DAC-GT provides qualifying residential customers a 20% discount on their otherwise applicable electric rate through a clean-energy tariff associated with a shared renewable-energy project. It is a bill discount—not a rooftop-solar or battery installation rebate—and can be relevant to renters or households that cannot install their own system.
Eligibility generally depends on meeting CARE or FERA income requirements and living in a designated disadvantaged community within a participating service area. Enrollment arrangements and availability vary by utility or community choice aggregator, so Los Angeles residents should contact the electricity provider to check whether the program is offered at their address.
GoGreen Home uses credit enhancements to help participating lenders offer financing for eligible home energy improvements, including solar paired with battery storage. Program materials describe a loan-principal ceiling of up to $75,000 for solar-plus-battery projects; this is financing, not a rebate or grant, and borrowers must repay the loan.
Homeowners and renters may qualify for eligible properties and measures when served by a participating utility or community choice aggregator and using an enrolled contractor. Los Angeles residents should verify that their utility or community choice aggregator and contractor participate. Interest rates, fees, approval criteria, and loan terms are set by participating lenders. Confirm that the proposed solar-and-storage project and contractor qualify before applying.
California’s Active Solar Energy System New Construction Exclusion generally prevents the value attributable to a qualifying active solar energy system from increasing the property’s assessed value. This can reduce the property-tax impact of adding qualifying solar equipment, but it is an assessment exclusion rather than an upfront rebate.
The exclusion is scheduled to sunset on January 1, 2027, so it is relevant to qualifying projects in 2026. Treatment can depend on the equipment and how it is installed; the exclusion should not be assumed to cover a standalone battery. Los Angeles property owners should contact the county assessor to confirm how the rules apply to a specific property and project.
California’s Sales and Use Tax Exclusion can reduce or eliminate sales/use tax on qualifying property purchased by an approved participating party or its construction contractor for an approved project. Eligible project categories can include specified alternative-energy, distributed-generation, and energy-storage technologies.
This is a project-approval program, not a blanket sales-tax exemption for a homeowner buying rooftop panels or a battery. Applicants must satisfy the program’s project, party, and approval requirements, so homeowners should not assume a residential purchase qualifies. Consult CAEATFA’s current program materials before including a tax exclusion in project economics.
The Net Billing Tariff, also called the Solar Billing Plan, governs export compensation for most new rooftop solar customers in PG&E, SCE, and SDG&E territories. Customers receive bill credits for electricity sent to the grid, but the credit value varies by when the power is exported and generally is not the old one-for-one retail-rate net-metering credit.
This tariff is a billing policy, not an installation rebate. A battery may allow a household to store solar generation and use it later instead of exporting it, but the financial result depends on the customer’s usage, rate plan, equipment, and export timing. Existing customers may remain on a legacy tariff subject to its rules; other utility territories may have different arrangements. Los Angeles customers should check whether their address is served by SCE and covered by this tariff; LADWP customers may have different billing arrangements.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with California incentives.
Get a Free QuoteLos Angeles 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.
Los Angeles gets abundant sunshine, though coastal marine layers, seasonal daylight, and heat can shape monthly solar output. With a well-designed system, solar can work well in many climates.
Solar Production in Los Angeles 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 Los Angeles
We’ve organized solar installation data from across the United States to create this interactive map of Los Angeles. Explore the hexagons to see how many solar installations are in each area and discover the neighborhoods and communities where your neighbors have made the switch to solar.
How to Choose a Solar Installer in Los Angeles
Verify the license
In California, the contractor or contracting business doing the work must hold an active license from the California Contractors State License Board (CSLB) in a classification authorized for the project. Authorized photovoltaic classifications include C-46 Solar and C-10 Electrical, as well as certain other classifications, including A and, within its scope, B. Check the business and license status using the CSLB license lookup, and confirm the classification covers the work. A permit-required project is not eligible for the small-work licensing exemption.
Look for certified installers
Ask which people on the proposed project hold NABCEP certification, and what certification they have. Ask about manufacturer certifications too: these are product-specific credentials, so confirm which equipment and team members they apply to. Certifications can help you compare training and product familiarity, but they are not a substitute for the required CSLB license. Ask for credentials in writing and check that they are current.
Compare quotes the same way
Request itemized proposals and compare the same details across each one. A larger system or different equipment can make headline prices misleading. Check:
- System size in kW and price per watt, with the pricing basis clearly stated.
- Panel and inverter brands and models, plus the estimated production in kWh per year and the assumptions behind it.
- Warranty terms for panel product and performance, inverter, workmanship, and roof penetrations; note who backs each warranty.
- Who handles building permits, inspections, and utility interconnection approval.
- Total cost or monthly payment, what it includes, and any payment escalator.
Compare contract terms as well as the estimated savings; ask the installer to explain anything that is unclear.
Permits, interconnection and your HOA
Your city or county enforcing agency—usually its building department—handles the project permit and local structural, electrical, and fire-code review. The installer must also obtain separate utility interconnection approval. Depending on your service area, the utility may be Southern California Edison Co, Pacific Gas & Electric Co., Los Angeles Department of Water & Power, or Sacramento Municipal Util Dist. For CPUC-jurisdictional utilities, Electric Rule 21 describes interconnection requirements, but not every utility uses that tariff. Ask your installer which process applies and who will manage it.
California Civil Code sections 714 and 714.1 limit HOA restrictions that effectively prohibit or restrict rooftop solar, while allowing reasonable restrictions that do not significantly increase cost or reduce efficiency. Section 714.1 also bars a general policy prohibiting household rooftop solar on an owner’s residence or assigned garage or carport. Ask the association about its review process and have the installer coordinate plans.
Red flags
- Pressure to sign the same day, or a quote that leaves little time to review the contract.
- An unlicensed contractor or crew whose licensing and business relationship cannot be verified. An out-of-state crew alone does not establish a problem; verify the responsible licensed contractor.
- Vague production estimates, a large upfront deposit without clear terms, or unclear responsibility for permits and interconnection.
- Promises of federal homeowner tax credits for purchases in 2026; homeowner credits ended December 31, 2025.
Palmetto is one installer homeowners can compare, with a lease option through LightReach.
Leasing Solar Panels
In Los Angeles, Palmetto offers a solar lease to eligible homes served by LADWP. Availability depends on your utility; nearby SCE customers may have a power purchase agreement (PPA) option instead. Check your bill to confirm your provider.
A lease generally has a fixed monthly payment. A PPA charges for each kilowatt-hour the system produces, so payments can vary by season. Learn more about buying versus leasing solar.
Leasing can let you install solar without paying the full system cost upfront. The provider owns the panels and handles covered maintenance; with a cash purchase, you own the equipment and arrange maintenance yourself. Review the agreement for details, and explore Palmetto LightReach.
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. Los Angeles Department of Water & Power (LADWP) customers can use net metering. Solar electricity sent to the grid earns bill credits, which first offset the current month’s bill.
Unused credits carry forward indefinitely as dollar credits and can offset future electric charges, but they are not paid out or reset. LADWP is a municipal utility, so California’s Net Billing Tariff (NEM 3) does not apply. Check your bill to confirm your utility; nearby areas may be served by SCE or another provider.
Yes, owned solar panels may increase a home’s value in Los Angeles, CA. Zillow’s study found homes with solar sold for about 4.1% more on average, though this is not a guaranteed increase and local results vary.
That finding applies to systems the homeowner owns, not leased or other third-party-owned (TPO) systems. With a lease, a buyer may need to assume the agreement, which can affect resale differently. Read the Zillow study.
Los Angeles homeowners may be able to go solar with a LightReach lease for a low fixed monthly payment and no upfront cost. The calculator above estimates $65 per month for a small home, $88 for a medium home, and $119 for a large home; availability depends on utility service.
Cash purchase estimates range from $14,860 to $25,233, with a typical 6.67-kW system estimated at $19,288. The federal 30% tax credit is no longer available for residential cash purchases following the 2025 federal law change. Actual costs vary by home and system.
With Palmetto’s LightReach lease, Palmetto owns the solar system, and you pay a fixed monthly amount with no upfront cost. One payment includes panels, installation, monitoring, maintenance, and a protection program with a 90% production guarantee.
For a typical 6.67 kW system in Los Angeles, the estimated payment is about $88 per month, based on California’s 1,440 kWh/kW annual production ratio and $0.11/kWh. The lease payment may be less than your current electricity bill, but actual savings depend on your usage, utility, and agreement.
Palmetto Solar is one option for solar panel installation in Los Angeles. We combine a national service network with local experience, including 13,826 installations in California since 2020, and offer financing options for eligible homeowners.
The right installer depends on your roof, energy use, utility, permits, equipment, warranty, and total project cost. Compare these details in written proposals to see what fits your Los Angeles home.
Yes. Solar panels work well in Los Angeles, which averages about 6 peak sun hours per day. They can still generate electricity in cloudy conditions, though clouds and coastal marine layers reduce output compared with direct sunshine.
Production changes by season: longer, sunnier summer days generally produce more than shorter winter days. For example, the article’s estimate for a 10 kW system is about 55.6 kWh per day in July and 32.4 kWh in December. Actual output depends on weather, roof orientation, and shading.
Solar can be worth it financially in Los Angeles, especially when a lease payment is lower than the electricity bill it helps offset. With LightReach, eligible homeowners need no upfront investment and may start saving as soon as the system is active.
Actual savings depend on your home’s energy use, utility, solar production, and any remaining utility charges. Compare the lease payment and expected bill credits with your current costs before deciding.