Aurora, CO Solar Panels
Solar Power in Aurora
Colorado electricity prices have risen 22% since 2020 — and Aurora homeowners are increasingly turning to solar panel installation to take back control of their energy costs. With Colorado ranking 9th in the nation for residential solar installations, the local momentum is hard to ignore.
Whether you’re just starting to explore or ready to move forward, this guide covers everything you need to know about solar panels for your home in Aurora — from how the technology works to what you can expect to pay.
How Much Do Solar Panels Cost in Aurora, CO?
Based on real installations across Aurora and nearby areas like Centennial, Parker, and Highlands Ranch, this calculator uses Palmetto’s firsthand Colorado data to give you an honest, localized estimate of what solar installation could cost for your home.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Aurora gets 300+ sunny days a year, making it one of the best places in Colorado to generate solar energy and reduce your monthly electricity bill.
- Colorado electricity rates have risen 22% since 2020. Aurora homeowners can use solar to lock in more predictable energy costs over time.
- A typical Aurora home can save around $57,000 over 25 years with solar — and leasing options are available with no upfront cost starting at $75/month.
Aurora Electricity Prices
Electricity prices in Aurora have climbed steadily — and understanding what you’re paying is the first step toward managing those costs.
Colorado’s residential electricity rate rose from 13.1 cents per kWh in 2021 to 15.1 cents in 2024 — an increase of more than 15%. While still below the national average, the upward trend is consistent and shows no signs of reversing.
For Aurora homeowners exploring solar panels for their home, rising utility rates are a key consideration. Generating your own electricity can help reduce how much you rely on the grid, making your monthly energy costs more predictable.
Solar panels typically have a lifespan of 25 years or more. Over that time, locking in a portion of your energy supply at a fixed cost can provide meaningful protection against continued rate increases from your utility provider.
Price of Energy: Colorado vs National Average
Aurora Area Utility Providers
In Aurora, CO, Xcel Energy is the primary residential electricity provider. Based on the most recent available data from 2023, Xcel Energy’s rate was 14.30¢ per kWh — matching Colorado’s 2023 state average exactly.
Xcel Energy’s 2023 rate of 14.30¢ per kWh sits notably below the 2023 national average of 16.0¢ per kWh. Colorado’s diverse energy mix, including wind and hydropower, helps keep rates relatively competitive compared to much of the country.
Even so, utility rates have historically trended upward over time. For Aurora homeowners, solar can offer a way to generate your own electricity and reduce your dependence on grid pricing — making energy costs more predictable year over year.
Aurora Utilities Electricity Rates
Colorado Solar Incentives
Aurora homeowners still have access to meaningful solar incentives in Colorado — ranging from utility rebates to low-interest financing — that can help reduce the upfront cost of solar installation.
Depending on your utility provider — whether that’s Xcel Energy, Black Hills Energy, or another local utility — available rebates and programs will vary. The table below outlines what may be available based on your specific situation in Aurora.
Note that the federal 30% residential solar tax credit has been eliminated by the Big Beautiful Bill. However, if you lease solar through Palmetto’s LightReach program, Palmetto claims the commercial tax credit and passes those savings to you through lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Xcel Energy Solar*Rewards Program | Rebate | Xcel Energy offers residential solar customers an upfront rebate of $1 per watt of installed solar capacity, up to $7,000 for a 7 kW system, with pre-approval required before installation. | |
| Xcel Energy Solar*Rewards – Income-Qualified & Disproportionately Impacted Communities (IQDIC) | Rebate | Income-qualified Xcel Energy customers and those in Disproportionately Impacted communities can receive an enhanced solar rebate of $1,000 per kW, up to $10,000 for a 10 kW system. | |
| Xcel Energy Renewable Battery Connect Program | Rebate | Xcel Energy offers residential battery storage rebates of $350 per kW (up to $5,000) for standard customers, or $800 per kW for income-qualified customers, plus $100 annually for up to 5 years for grid participation. | |
| Xcel Energy Public Safety Power Shutoff (PSPS) Battery Rebate | Rebate | Xcel Energy offers up to $10,000 for battery storage installations for medical-dependent customers living in high wildfire risk areas subject to Public Safety Power Shutoffs. | |
| Tesla Powerwall 3 Manufacturer Rebate | Rebate | Tesla offers a $500 per unit rebate on Powerwall 3 installations, up to $1,000 per address (two units), for systems registered by June 30, 2026 and installed by December 31, 2026. | |
| Colorado Residential Energy Upgrade (RENU) Loan Program | Rebate | The Colorado Clean Energy Fund’s RENU Loan Program offers affordable, low-interest financing for homeowners installing solar panels or other clean energy improvements through partnering state credit unions. |
Xcel Energy’s Solar*Rewards Program provides eligible residential customers with an upfront cash rebate of $1 per watt of installed solar capacity, up to a maximum of $7,000 for a 7 kW system. For a typical 5 kW residential solar installation, this translates to a $5,000 rebate that directly offsets the cost of going solar. Pre-approval from Xcel Energy is required before installation begins, and a $100 filing fee applies for Level 1 systems.
In addition to the upfront rebate, Solar*Rewards participants can receive ongoing monthly payments in exchange for Renewable Energy Credits (RECs) generated by their system. For systems under 25 kW, the performance-based incentive is $0.005 per kWh produced. While modest, this provides a small ongoing income stream over the life of the system.
This program is available exclusively to Xcel Energy residential customers in Colorado. Because funding is limited and awarded on a first-come, first-served basis, early application is strongly recommended. Residents of Aurora should contact Xcel Energy or visit their website to check current funding availability and begin the pre-approval process before contracting with an installer.
Xcel Energy’s Solar*Rewards Income-Qualified and Disproportionately Impacted Communities (IQDIC) program offers a significantly enhanced rebate for eligible customers. Qualifying homeowners can receive $1,000 per kilowatt (kW) of installed solar capacity, up to a maximum of $10,000 for a 10 kW system. This is ten times the standard Solar*Rewards rebate rate, making solar dramatically more affordable for lower-income households and those in designated disproportionately impacted communities.
To qualify, customers must be served by Xcel Energy and meet income qualification thresholds or reside in a Colorado-designated Disproportionately Impacted (DI) community. Income qualification is generally based on household income relative to the Area Median Income (AMI) for your county. Xcel Energy can help determine eligibility during the application process.
As with the standard Solar*Rewards program, pre-approval is required before installation, and funding is limited and awarded on a first-come, first-served basis. This program historically fills quickly, so eligible customers in Aurora should apply as early as possible. Visit Xcel Energy’s website or call their renewable energy team to check current funding availability and begin your application.
Xcel Energy’s Renewable Battery Connect Program provides upfront cash rebates to residential customers who install qualifying battery storage systems. Standard customers receive $350 per kW of battery capacity, up to a maximum of $5,000 per application. Income-qualified customers and those residing in Disproportionately Impacted (DI) communities receive an enhanced rebate of $800 per kW, up to 75% of the equipment-only cost. Eligible battery models include the Tesla Powerwall 2, Tesla Powerwall+, Tesla Powerwall 3, and SolarEdge Home Battery.
In addition to the upfront rebate, enrolled customers receive $100 annually for up to five years in exchange for allowing Xcel Energy to dispatch stored energy back to the grid during peak demand events. This brings the total potential benefit to $5,500 for standard customers over the full enrollment period.
Program Status (2026): The 2025 program budget was fully exhausted and the current funding cycle closed in February 2026. Xcel Energy has indicated the program may reopen with new funding mid-year 2026. Interested customers in Aurora should monitor Xcel’s website for updates on funding availability before proceeding with installation.
Xcel Energy’s Public Safety Power Shutoff (PSPS) Battery Rebate provides up to $10,000 for qualifying customers who install a home battery storage system. This program is specifically designed to protect vulnerable customers who depend on electricity for life-sustaining medical equipment and who live in areas prone to Public Safety Power Shutoffs due to high wildfire risk.
To qualify, homeowners must be enrolled in Xcel Energy’s Medical Certification Program or the Colorado Medical Exception Program, and must reside in a Tier 2 or Tier 3 wildfire risk zone within Xcel’s Colorado service territory. The battery storage system must meet Xcel’s technical requirements for the program.
This rebate can be combined with other Xcel battery incentives where applicable, and may significantly offset the cost of a battery system for eligible customers. Contact Xcel Energy directly to confirm your eligibility, verify your wildfire risk tier, and begin the application process before purchasing or installing a battery system.
Tesla’s Powerwall 3 Rebate Program (also referred to as the “Next Million Powerwall 3 Rebate Program”) offers homeowners $500 back per Powerwall 3 unit installed, covering both the Powerwall 3 and Powerwall 3 Expansion units. The maximum rebate is $1,000 per address (two units). This is a manufacturer-direct rebate offered by Tesla, not a government or utility program.
To qualify, the sale must be finalized and the rebate registered by June 30, 2026, and the installation must be completed by December 31, 2026. Missing either deadline will disqualify the system from receiving the rebate, so it is important to plan your purchase and installation timeline carefully.
This rebate can be combined with Colorado’s 10% Residential Energy Storage Tax Credit, and — where applicable — with utility battery rebates such as Xcel Energy’s Renewable Battery Connect Program (when funding is available). Stacking multiple incentives can significantly reduce the net cost of a Powerwall 3 installation in Aurora.
The Colorado Residential Energy Upgrade (RENU) Loan Program, offered through the Colorado Clean Energy Fund in partnership with state credit unions, provides affordable financing for homeowners who want to install solar panels or make other clean energy improvements. The program is designed to make the upfront cost of solar more manageable by offering competitive interest rates and flexible repayment terms that are often more favorable than traditional home improvement loans.
The RENU Loan is available to Colorado homeowners and can be used to finance solar panel systems, battery storage, and other qualifying clean energy upgrades. Because the loan is administered through local credit unions, borrowers benefit from working with community-based lenders who are familiar with Colorado’s clean energy landscape.
To apply, homeowners in Aurora should visit the Colorado Clean Energy Fund’s website to find a participating credit union and begin the application process. Using a RENU Loan in combination with available rebates and tax credits can help homeowners go solar with little to no money out of pocket, with loan payments often offset by monthly electricity bill savings.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Colorado incentives.
Get a Free QuoteAurora 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.
Aurora enjoys 300+ sunny days yearly, but elevation and seasonal snow also play a role. Despite weather myths, most climates — including Colorado’s — are well-suited for solar production.
Solar Production in Aurora 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 Aurora
We’ve mapped solar installations across Aurora, CO so you can see just how many of your neighbors have already made the switch. Explore the heatmap below to discover which neighborhoods and communities are leading the way in clean energy adoption!
Leasing Solar Panels
In Colorado, Palmetto offers a Power Purchase Agreement (PPA) through its LightReach program — available to Aurora homeowners served by Xcel Energy, United Power, Black Hills Energy, and several other Colorado utilities. With a PPA, you pay only for the electricity your panels produce, at a fixed rate per kilowatt-hour (kWh). Because Colorado summers are long and sunny, you’ll typically generate — and save — more during those months, with lower production (and lower bills) in winter.
Compared to paying cash upfront, a PPA removes the need for a large investment and eliminates the responsibility of maintenance. Palmetto owns the system, handles all upkeep, and backs production with a 90% guarantee. You simply pay for the clean energy your panels generate — often at a rate lower than what you’d pay your utility. To understand how a PPA compares to other financing options, this guide breaks down the key differences.
For Aurora homeowners who want the benefits of solar without the upfront cost or long-term maintenance burden, a PPA through LightReach is a straightforward way to get started. There’s no system to manage, no repair bills, and no guesswork — just predictable, lower-cost energy from day one.
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 for Aurora homeowners. With 300+ sunny days per year and 5.7 peak sun hours daily, Aurora is one of Colorado’s best locations for solar production. Electricity rates have risen 22% since 2020, and a typical Aurora home can save around $57,000 over 25 years.
If upfront cost is a concern, Palmetto’s LightReach solar lease removes that barrier entirely — Aurora homeowners can go solar with no money down and start saving from day one, with plans starting as low as $75/month.
Yes, Aurora residents have access to 1:1 net metering through Xcel Energy, the primary utility provider in the area. When your solar panels produce more electricity than you use, the excess is credited to your account at the full retail rate. Those credits roll over month to month.
At the end of the year, Xcel Energy customers can choose to roll over remaining credits indefinitely or cash out at the Average Incremental Cost Rate (~1.5¢/kWh). Rolling over credits is generally the more valuable option for most homeowners.
Yes, solar panels can increase your home’s value in Aurora. According to a Zillow study, homes with solar panels sell for approximately 4.1% more than comparable homes without them. For a $500,000 Aurora home, that’s roughly $20,500 in added value.
It’s worth noting that this applies to owned systems, not leased panels. If you purchase your system outright, the added equity becomes a tangible asset when it’s time to sell.
The most accessible way to go solar in Aurora is through Palmetto’s LightReach lease — with no upfront cost and a low fixed monthly payment starting around $75/month for a typical home. Palmetto owns and maintains the system, so there’s nothing to manage.
If you prefer to purchase outright, a standard 6.40 kW system runs approximately $19,117 before any incentives. Note that the federal 30% residential tax credit is no longer available for cash purchases following the Big Beautiful Bill. Use the calculator above for a personalized estimate.
For Aurora homeowners, solar can be financially worthwhile — especially with a lease option. With Palmetto’s LightReach program, there’s no upfront investment required. Your monthly lease payment is typically lower than your current Xcel Energy bill, meaning most homeowners start saving on day one.
Aurora’s rising electricity rates (up 22% since 2020) and 300+ sunny days per year make the financial case even stronger. A typical Aurora home can save an estimated $57,000 over 25 years with solar.
Palmetto is a strong choice for solar installation in Aurora, CO. As a national company with a local focus, we’ve completed 1,534 installs across Colorado since 2020. Our vetted install network, combined with some of the best financing options in the industry, makes going solar straightforward for Aurora homeowners.
We offer flexible options — including our LightReach lease with no upfront cost starting at $75/month — backed by a 90% production guarantee and full system maintenance. Aurora’s 300+ sunny days make it an ideal fit for what we do.
With Palmetto’s LightReach program, leasing solar in Aurora means one simple monthly payment covers everything — panels, installation, monitoring, maintenance, and a 90% Production Guarantee. There is no upfront cost. For a typical 6.40 kW system, the estimated monthly payment is approximately $75/month.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments — an advantage not available with cash purchases. Most Aurora homeowners start saving from day one, since the lease payment is typically less than their current electricity bill.