Lansing, MI Solar Panels
Solar Power in Lansing
Lansing homeowners are paying more for electricity than ever — Michigan’s residential rates have risen 19% since 2020, now sitting at 19.29 cents per kWh, well above the national average.
If you’ve been curious about solar, this guide is built specifically for you. We’ll walk you through what you need to know about solar installation in Lansing — from how it works to what makes sense for your home. Start with our home solar panels guide to get grounded before diving deeper.
How Much Do Solar Panels Cost in Lansing, MI?
Using real installation data from Lansing and surrounding areas like East Lansing, Okemos, and Haslett, this calculator gives you an accurate estimate of what solar panels would cost for your home — no guesswork, just local numbers.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Michigan electricity rates have risen 19% since 2020 — now at 19.29¢/kWh, well above the national average, making solar a smart way to stabilize your energy costs.
- Lansing homeowners can save an estimated $40,000 over 25 years with a solar system sized to offset 100% of their home’s electricity usage.
- No upfront cost options are available in Lansing — Palmetto’s LightReach lease lets you go solar for as little as $73/month with no installation investment required.
Lansing Electricity Prices
Lansing homeowners pay some of the highest electricity rates in the country — and those rates have been climbing steadily.
Michigan’s residential electricity rate reached 19.3 cents per kWh in 2024, up from 17.5 cents in 2021. That’s roughly a 10% increase in just three years — and it outpaces the national average of 16.5 cents per kWh.
Solar can help reduce dependence on grid electricity. By generating power at home, Lansing residents can offset a portion of what they would otherwise purchase from their utility — at rates that continue to rise.
Over time, that offset adds up. Homeowners who install solar lock in a portion of their energy costs, providing a measure of stability against future rate increases for the life of the system.
Price of Energy: Michigan vs National Average
Lansing Area Utility Providers
In Lansing, Consumers Energy is the primary residential electricity provider. According to 2023 data — the most recent available — Consumers Energy customers pay 18.80¢ per kWh, matching Michigan’s state average exactly.
That 18.80¢ rate sits noticeably above the 2023 national average of 16.0¢ per kWh — roughly 17.5% higher. Michigan’s colder climate, aging grid infrastructure, and transmission costs all contribute to elevated rates compared to the national benchmark.
When electricity costs run above the national average, generating your own power through solar can help stabilize what you pay month to month — reducing your dependence on utility pricing you can’t control.
Lansing Utilities Electricity Rates
Michigan Solar Incentives
Lansing homeowners have several solar incentives in Michigan available to help reduce the upfront and long-term cost of going solar.
DTE Energy’s Solar Currents Program offers Lansing residents an upfront rebate of $2.40/watt plus a 20-year production incentive. The Michigan Saves loan program provides low-interest financing up to $50,000. Note: the WPPI rebate applies to the Upper Peninsula only, and PACE financing is for commercial or multifamily property owners.
The federal residential solar tax credit no longer applies for new installations. State and local programs remain available. For those considering a solar lease, Palmetto’s LightReach program handles the commercial tax credit and passes savings through as lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Michigan Saves Home Energy Loan Program | Rebate | Michigan Saves offers low-interest fixed-rate loans of $1,000–$50,000 with terms up to 15 years to help homeowners in Lansing finance residential solar installations. | |
| PACE Financing – Lean & Green Michigan (Commercial/Property Owners) | Rebate | Lean & Green Michigan’s PACE program allows commercial, industrial, agricultural, and multifamily property owners in Lansing to finance solar installations with no upfront costs, repaid through property tax assessments over up to 25 years. |
Michigan Saves is a nonprofit energy finance organization that offers low-interest, fixed-rate loans to homeowners looking to install solar panels and other renewable energy systems. Loan amounts range from $1,000 to $50,000, with current interest rates between 4.44% and 7.90% APR and repayment terms of up to 15 years.
This program turns a large upfront solar investment into manageable monthly payments, making solar accessible to homeowners in Lansing who may not have the cash on hand to purchase a system outright. Financing through Michigan Saves also allows homeowners to retain ownership of their system — which is required to claim other incentives such as the property tax exemption and MIRECS RECs.
Michigan Saves works with a network of approved lenders and contractors across the state. Visit michigansaves.org to find a participating lender, check current rates, and apply for financing for your solar project.
The Property Assessed Clean Energy (PACE) Financing Program, administered by Lean & Green Michigan, enables commercial, industrial, agricultural, and multifamily property owners to finance solar PV installations with no upfront out-of-pocket costs. Repayment is structured as an assessment on the property tax bill, spread over a term of up to 25 years.
PACE financing is particularly well-suited for businesses and property owners in Lansing who want to invest in solar energy without making large capital expenditures. Because repayment is tied to the property rather than the owner, the obligation can transfer to a new owner if the property is sold, which can be an important consideration when planning a long-term solar investment.
To participate, property owners must be located in a Michigan municipality that has adopted the PACE program. Contact Lean & Green Michigan directly to confirm your property’s eligibility, explore financing terms, and begin the application process.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Michigan incentives.
Get a Free QuoteLansing 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.
Lansing gets cold, snowy winters and warm summers. While clouds and snow can reduce output, Lansing still receives enough annual sunlight to make solar a smart, worthwhile investment.
Solar Production in Lansing 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 Lansing
We’ve mapped thousands of solar installations across the U.S. — and Lansing is well represented! Explore this interactive heatmap to see which neighborhoods in your community have already made the switch to solar. Click any hexagon to see how many of your neighbors have gone solar!
Leasing Solar Panels
Palmetto offers a Power Purchase Agreement (PPA) for eligible customers in Michigan through utilities like DTE Energy and Consumers Energy. If your home is served by one of these providers, a PPA may be an option worth understanding.
With a PPA, you don’t purchase the solar system — Palmetto does. Instead, you agree to buy the electricity the panels produce at a set rate per kilowatt-hour (kWh). Because solar panels generate more power in summer than winter, your monthly solar bill will naturally vary with the seasons. That said, your average annual cost tends to be consistent and predictable. Compared to paying cash upfront, a PPA requires no large investment, no loan to manage, and no maintenance responsibilities — Palmetto handles all of that. Learn more about the differences between buying and leasing solar.
It’s worth noting that Lansing Board of Water & Light (LBWL) customers are not currently eligible for Palmetto’s LightReach program. If you’re unsure which utility serves your home, checking your electricity bill is the easiest way to confirm eligibility before exploring your options further.
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 sense for many Lansing homeowners. Michigan’s electricity rates have risen 19% since 2020 — now at 19.29¢/kWh, well above the national average. With 4.4 average peak sun hours per day, a properly sized system can offset 100% of your home’s usage and save an estimated $40,000 over 25 years.
Upfront cost doesn’t have to be a barrier. Palmetto’s LightReach solar lease lets Lansing homeowners go solar with no money down, starting at $73/month — so you can start saving from day one without a large investment.
Lansing no longer has traditional 1:1 net metering. The Lansing Board of Water & Light (LBWL) ended net metering on November 1, 2022. New solar customers now fall under a Distributed Generation Policy (net billing), where excess energy exported to the grid is credited at roughly 6–10 cents per kWh — less than the retail rate you pay for imported power.
The good news: solar energy your home uses directly — before it reaches the grid — still offsets electricity at the full retail rate. Customers who transfer their Renewable Energy Credits (SRECs) to LBWL also receive an additional 1.3 cents/kWh for exports over 5 years. Excess credits roll over monthly and apply to future supply charges.
Yes, solar panels can increase your home’s value in Lansing. Research from Zillow found that homes with solar panels sell for approximately 4.1% more than comparable homes without them. For a median-priced home in the Lansing area, that could represent a meaningful boost at resale.
It’s worth noting that this benefit typically applies to owned systems, not leased ones. If you purchase your solar system outright, the added value transfers to the home. With Michigan’s rising electricity rates, buyers increasingly recognize the long-term savings solar provides.
With Palmetto’s LightReach lease, Lansing homeowners can go solar for as low as $73/month with no upfront cost — Palmetto owns and maintains the system. It’s the most accessible way to go solar right now.
If you prefer to own your system outright, a cash purchase runs approximately $20,340 for a medium-sized home. Note that the federal 30% residential tax credit is no longer available following the Big Beautiful Bill. Use the calculator above for a personalized estimate.
For many Lansing homeowners, solar can make strong financial sense — especially with Michigan’s electricity rates now at 19.29¢/kWh, up 19% since 2020. A properly sized system can save an estimated $40,000 over 25 years.
With Palmetto’s LightReach lease, you don’t need to wait for a payback period to see savings. Because the monthly lease payment is typically less than your current electricity bill, most Lansing homeowners start saving from day one — with no upfront investment required.
Palmetto Solar is a strong choice for Lansing homeowners. We’re a national company with deep local roots — completing 826 installations across Michigan since 2020. Our install network is vetted, reliable, and experienced in Michigan’s specific roofing and climate conditions.
We also offer some of the best financing options in the industry, including our LightReach lease starting at just $73/month with no upfront cost. Whether you prefer to lease or purchase, we make going solar straightforward and accessible for Lansing residents.
With Palmetto’s LightReach lease, Lansing homeowners can go solar with no upfront cost. One simple monthly payment covers the system, installation, monitoring, maintenance, and a 90% Production Guarantee. For a typical 6.38 kW system in Lansing, the estimated monthly payment is approximately $73/month.
Because Palmetto owns the system, it qualifies for the commercial Investment Tax Credit — and passes those savings to you through lower monthly payments. Since the lease payment is typically less than your current electricity bill, most Lansing homeowners start saving from day one.