Colorado Springs, CO Solar Panels
In This Guide
- 01 Solar Energy in Colorado Springs
- 02 Solar Cost Calculator
- 03 Colorado Springs Reviews
- 04 Key Takeaways
- 05 Colorado Springs Electricity Prices
- 06 Colorado Solar Incentives
- 07 Colorado Springs Solar Production
- 08 Solar Installations in Colorado Springs
- 09 Choosing an Installer
- 10 Leasing Solar Panels
- 11 Frequently Asked Questions
Solar Power in Colorado Springs
For Colorado Springs homeowners, solar installation starts with understanding how your roof, electricity use, and local utility rules shape a system. Colorado ranks ninth nationally for residential solar installations—a statewide ranking, not a Colorado Springs-specific one.
Learn what to consider when planning a system, and explore our guide to home solar panels.
How Much Do Solar Panels Cost in Colorado Springs, CO?
Explore estimated solar installation costs using real project data from Palmetto installations in and around Colorado Springs, including Monument, Fountain, and Manitou Springs. See how local costs may vary based on your home, energy use, roof, and system size.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- A typical 6.56 kW system is estimated at $19,534 cash while the calculator lists a $77 monthly lease; actual terms vary by home.
- Colorado Springs solar output shifts with the seasons because daylight, weather, and snow affect production; estimates show higher summer than winter output.
- Check your utility rules and local incentives because utility rates affect solar value, while qualifying independently owned systems may receive Colorado’s property-tax exemption.
Colorado Springs Electricity Prices
Electricity rates have climbed in recent years, making the cost of powering a Colorado Springs home worth a closer look.
Colorado’s average residential electricity price rose from 13.1 cents per kilowatt-hour in 2021 to 15.1 cents in 2024. These statewide figures aren’t specific to Colorado Springs; the U.S. average was 16.5 cents in 2024.
A solar system can generate electricity at home and reduce how much a household buys from the grid. The impact depends on system output, energy use, and utility billing rules.
Over time, producing some electricity at home may offer a measure of protection from changing grid prices. Solar’s long-term value depends on system cost, upkeep, output, and utility rates.
Price of Energy: Colorado vs National Average
Colorado Springs Area Utility Providers
In 2023, Colorado Springs electricity rates varied by utility: CORE Electric Cooperative charged 14.5¢ per kWh, Xcel Energy 14.3¢, and Colorado Springs Utilities 13.8¢. All were below the 16.0¢ national average.
The 2023 Colorado average was 14.30¢ per kWh. CORE’s rate was slightly higher, Xcel’s matched it, and Colorado Springs Utilities’ was lower. The supplied figures show these differences but do not explain their causes.
When evaluating solar installation in Colorado Springs, consider electricity rates alongside household use, roof conditions, and utility rules. Rates help frame the potential value of solar, but they alone do not determine a home’s results.
Colorado Springs Utilities Electricity Rates
Colorado Solar Incentives
Eligible Colorado Springs homeowners may find state and utility incentives that help offset solar costs. Review the solar incentives in Colorado listed below.
Programs may include a property-tax exemption for qualifying independently owned residential solar, plus utility rebates for solar systems, batteries, or participation in grid-demand events.
Availability depends on your utility and location; several listed offers are limited to other Colorado service territories or cities, so they may not apply in Colorado Springs.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Colorado Residential Solar Property-Tax Exemption | Property Tax Exemption | Colorado law exempts qualifying independently owned residential solar-electric generation facilities from property tax when they are not used to produce income. | Learn More |
Colorado law provides a property-tax exemption for an independently owned residential solar-electric generation facility that is not used to produce income. This can prevent qualifying residential solar equipment from increasing the property-tax assessment, but it is not a cash payment or a reduction in the system’s purchase price.
The exemption depends on ownership and use of the facility. The statute also provides that qualifying rebates, offsets, credits, and reimbursements are not treated as income for this exemption. Homeowners should confirm how the local assessor applies the statute to their equipment and ownership arrangement.
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 QuoteColorado Springs 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.
Colorado Springs’ high elevation, frequent sunshine, seasonal daylight, and occasional snow or cloud cover shape monthly solar output. Even with weather swings, a well-designed system can produce reliably.
Solar Production in Colorado Springs 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 Colorado Springs
We organized solar installation data across the United States to create this map of Colorado Springs. Explore the hexagons to see how many installations are in each area and discover neighborhoods and communities where your neighbors have made the switch to solar.
How to Choose a Solar Installer in Colorado Springs
Verify the license
For covered photovoltaic and electrical work, Colorado requires the contractor to have state authorization: registration as an electrical contractor or, if eligible, registration as a photovoltaic installer. Colorado does not have a general, stand-alone state solar-contractor license. The relevant authority is the Colorado State Electrical Board / DORA Division of Professions and Occupations. Ask the installer which registration applies and how you can verify it with the state; also check with your city or county about local requirements. If the company claims the limited photovoltaic-installer route, confirm that status with the Electrical Board, since public lookup availability for that category was unknown as of October 2, 2026. For qualifying systems under 300 kW DC, module and mounting-equipment installation must be onsite-supervised by a certified photovoltaic energy practitioner working for the contractor.
Look for certified installers
Ask whether the people designing and installing your system hold NABCEP credentials, and what each credential covers. Certification can be a useful signal of solar-specific knowledge, but it does not replace required state authorization or guarantee a particular result. Ask about manufacturer certifications too: which equipment they cover, who on the crew holds them, and whether they affect the equipment warranty or the installer’s ability to service the system.
Compare quotes the same way
Request written proposals with the same information so differences are clear. Compare:
- System size in kW and total price per watt.
- Panel and inverter brands and models.
- Estimated production in kWh per year, including the assumptions behind the estimate.
- Panel product and performance warranties, inverter warranty, workmanship coverage, and roof-penetration coverage.
- Who handles permits, inspections, utility interconnection, and any follow-up paperwork.
- Total cost or monthly payment, plus any payment escalator and the terms that determine it.
For context, Palmetto reports its median installed system is 6.6 kW and that installation takes about 83 days from signing; those are Palmetto figures, not a promise or an industry-wide benchmark. Ask each installer for a project-specific schedule.
Permits, interconnection and your HOA
Building permits and inspections generally go through the local authority having jurisdiction. Electrical permits and inspections go through the applicable local electrical inspection authority, or the state process where applicable; confirm the right authority for your address before work starts. The homeowner or installer applies to the serving utility for interconnection—this is separate from a building permit. Depending on your address, the utility may be Public Service Co of Colorado, City of Colorado Springs, CORE Electric Cooperative, or United Power, Inc.; ask which one serves you and who submits the application. Colorado law bars an HOA or common-interest-community association from prohibiting rooftop solar, though reasonable restrictions may apply (C.R.S. § 38-30-168 and § 38-33.3-106.5(1.5)).
Red flags
- Pressure to sign the same day or claims that an offer will disappear immediately.
- Crews that cannot show appropriate Colorado authorization, including out-of-state crews unfamiliar with Colorado requirements.
- A vague production estimate with no annual kWh figure or explanation.
- A large upfront deposit without a clear written schedule of payments and work.
- Promises of federal homeowner tax credits for purchases in 2026; homeowner credits ended December 31, 2025.
Palmetto is one installer you can include in your comparison, and it offers a lease option through LightReach.
Leasing Solar Panels
In Colorado Springs, a solar power purchase agreement (PPA) is available through Colorado Springs Utilities, subject to address and project eligibility. With a PPA, you pay a set price per kilowatt-hour the system produces, so payments may be higher in sunnier summer months. A lease instead has a fixed monthly payment; learn more about buying or leasing solar.
With a PPA, you can use solar power without paying the full system cost upfront. By comparison, paying cash means purchasing the equipment yourself and planning for its upkeep.
The system provider handles maintenance under the agreement, helping reduce the tasks and repair costs you manage directly. Terms vary, so review the agreement details. See Palmetto LightReach for more about the program.
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. Colorado Springs Utilities offers 1:1 net metering for eligible solar customers. Electricity your panels send to the grid earns credits that can offset electricity you use from the grid.
Unused credits carry forward. Customers can choose to roll them over indefinitely or cash them out at the end of the calendar year at 2 cents per kilowatt-hour. Rules may differ if your home is served by another utility.
Yes, owned solar panels may increase a home’s value in Colorado Springs. A Zillow study found homes with solar panels sold for about 4.1% more, though this national finding is not a guaranteed premium for every local home.
This potential increase applies to systems the homeowner owns, such as a purchased system. With a leased or third-party-owned (TPO) system, resale may differ because the buyer may need to assume the agreement; review its transfer terms.
In Colorado Springs, homeowners can go solar with a LightReach lease for a low, fixed monthly payment and no upfront cost. The calculator above estimates $77 per month for a typical 6.56 kW system; payments vary by home size.
A cash purchase is another option: the calculator estimates about $19,534 for a typical system. The federal 30% tax credit is no longer available for residential cash purchases following the 2025 federal law change. See the calculator above for estimates by home size.
Solar leasing lets you use a solar system for a fixed monthly payment without buying the equipment. Palmetto LightReach has no upfront cost; one payment covers panels, installation, monitoring, maintenance, and a protection program with a 90% Production Guarantee.
For a typical 6.56 kW system in Colorado Springs, the estimated lease payment is about $77 per month, based on 1,346 kWh/kW/year production and $0.105/kWh. The payment is typically below a homeowner’s current electricity bill, so savings may begin when the system is active; actual utility charges and savings vary.
Yes. Solar panels work in Colorado Springs, where the article estimates an average of 5.7 peak sun hours per day. Panels can still generate electricity on cloudy days, though output is lower, and snow covering panels can temporarily reduce production.
Production changes with the seasons: Colorado Springs gets about 15 hours of daylight in June and 9.4 in December. A 10 kW system is estimated to produce about 52 kWh per day in June versus 33 kWh per day in December.
Colorado’s residential solar property-tax exemption covers qualifying independently owned systems not used to produce income; it prevents solar equipment from increasing assessed property tax, rather than reducing the purchase price.
Utility rebates for solar, batteries, or grid-demand events vary by provider and location, and listed programs may not serve Colorado Springs. The 30% federal residential credit ended for cash purchases after 2025. For LightReach leases, Palmetto claims the commercial ITC and says it passes savings through in payments.
Yes, solar can make sense in Colorado Springs for homes with a suitable, sunny roof and enough electricity use. The area averages about 5.7 peak sun hours daily, while solar production varies by season. A typical 6.56 kW system is estimated to save about $58,700 over 25 years, but results depend on your roof, usage, system cost, and utility billing rules.
LightReach, Palmetto’s solar lease program, removes the upfront cost barrier entirely: homeowners can go solar with no money down and start saving from day one. Compare the lease payment with your remaining utility costs to assess your home’s overall savings.