Buffalo, NY Solar Panels
Solar Power in Buffalo
If you’re a Buffalo homeowner thinking about solar, you’re in the right place. New York electricity prices have risen 33% since 2020 — and many families are looking for smarter ways to manage their energy bills.
This guide walks you through everything you need to know about solar panels for your home in Buffalo — from how the technology works to what the installation process looks like right here in Western New York.
How Much Do Solar Panels Cost in Buffalo, NY?
Using real installation data from Buffalo and surrounding areas — Amherst, Cheektowaga, Tonawanda, and beyond — this calculator gives 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
- Buffalo electricity rates have risen 25% since 2021 — solar panels let you generate your own power and protect yourself from future rate increases.
- New York’s state solar tax credit can save you up to $5,000 on the cost of a solar installation, making solar more affordable for Buffalo homeowners.
- Buffalo homeowners can save an average of ~$91,000 over 25 years with solar — and leasing options let you get started with no money down.
Buffalo Electricity Prices
Electricity in Buffalo isn’t getting cheaper. Here’s what the numbers show — and what some homeowners are doing about it.
New York electricity rates have climbed from 19.5 cents per kWh in 2021 to 24.4 cents in 2024 — a roughly 25% increase in just three years. That’s well above the national average of 16.5 cents per kWh in 2024.
Solar panels allow Buffalo homeowners to generate their own electricity, reducing how much they draw from the grid. As utility rates continue to rise, producing your own power becomes an increasingly practical way to manage monthly energy costs.
Because solar systems typically last 25 years or more, homeowners who go solar today are better insulated from future rate increases — giving them more predictability over their energy costs for decades to come.
Price of Energy: New York vs National Average
Buffalo Area Utility Providers
Buffalo homeowners are served by National Grid, the area’s primary electric utility. Based on the most recent data available (2023), National Grid’s residential rate was 17.0¢ per kWh — above the national average of 16.0¢ per kWh.
National Grid’s rate sits higher than the national average largely due to aging Northeast grid infrastructure, high transmission costs, New York’s regulatory environment, and Buffalo’s cold winters driving seasonal demand spikes. Notably, it still falls well below New York State’s 2023 average of 22.20¢ per kWh.
When electricity costs more per kWh, every unit of solar energy your panels produce offsets a higher expense. For Buffalo homeowners, understanding your local rate is a meaningful first step in evaluating whether solar installation makes long-term sense for your household.
Buffalo Utilities Electricity Rates
New York Solar Incentives
Buffalo homeowners can still access meaningful solar incentives in New York to help reduce the upfront cost of going solar, even as the federal landscape has shifted.
New York State offers the Solar Energy System Equipment Credit (SESEC), a personal income tax credit worth 25% of your system cost — up to $5,000. That’s real money back in your pocket come tax season.
Note: the federal 30% residential tax credit was eliminated by the Big Beautiful Bill. Homeowners who lease through Palmetto’s LightReach program benefit indirectly — Palmetto manages the commercial tax credit and reflects those savings in monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| New York State Solar Energy System Equipment Credit (SESEC) | Tax Credit | New York State offers a personal income tax credit equal to 25% of qualified solar energy system equipment costs, up to a maximum of $5,000. | Learn More |
The New York State Solar Energy System Equipment Credit (SESEC) allows homeowners to claim a state income tax credit equal to 25% of the cost of their solar energy system, up to a maximum credit of $5,000. This credit directly reduces the amount of state income tax you owe — dollar for dollar — making it one of the most valuable solar incentives available to residents of Buffalo in 2026.
One of the standout features of this credit is its broad eligibility: it applies whether you purchase your solar system outright or enter into a qualifying solar lease or power purchase agreement (PPA) lasting at least 10 years. If you lease, the credit equals 25% of the lease payments made during the year. The credit applies to systems installed at your primary New York State residence.
If your state tax liability is less than the full credit amount in the year of installation, you can carry forward any unused portion for up to five additional tax years. To claim the credit, file Form IT-255 with your New York State tax return. Be sure to work with a NYSERDA-approved installer and keep all documentation of your system costs.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with New York incentives.
Get a Free QuoteBuffalo 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.
Buffalo gets cold, snowy winters, but its summer sun is strong. Like Boston or Seattle, the right solar system can still generate meaningful energy year-round — the data may surprise you.
Solar Production in Buffalo 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 Buffalo
We’ve mapped every solar installation across the U.S. — right down to the address. Explore the heatmap below to see how many of your Buffalo neighbors have already made the switch to solar. Click any hexagon to see the number of installations in that area!
Leasing Solar Panels
If you’re not ready to purchase solar panels outright, Palmetto offers an alternative through its LightReach lease program. In New York — including Buffalo, where National Grid serves as the primary utility — a solar lease is available through select Palmetto partners. This means you can go solar with no large upfront cost.
With a solar lease, you pay a fixed monthly amount (for example, around $92/month for a medium-sized home) rather than buying the system. Palmetto owns the panels and handles all maintenance, repairs, and monitoring — so you never have to worry about a service call or a malfunctioning inverter. You simply enjoy lower energy bills from day one. This is quite different from a cash purchase, where you’re responsible for the system’s upkeep over its 25+ year lifespan.
Curious how a lease compares to buying outright? This guide breaks down the key differences between leasing and purchasing solar — including how each option affects your monthly costs, long-term savings, and home ownership flexibility. For many Buffalo homeowners, leasing is a practical, low-risk way to start saving on electricity without a major investment.
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!
Learn MoreFrequently Asked Questions
Yes, solar makes sense for many Buffalo homeowners. New York electricity rates have risen 25% since 2021, and Buffalo residents pay above the national average. With 4.2 peak sun hours per day and New York’s state solar tax credit worth up to $5,000, the financial case is real — with average 25-year savings around $91,000.
If upfront cost is a concern, Palmetto’s LightReach solar lease removes that barrier entirely — no money down, and you start saving from day one. It’s a practical way for Buffalo homeowners to go solar without a large initial investment.
Yes, Buffalo has net metering. Buffalo is served by National Grid, which offers 1:1 net metering. Each month, the solar energy you export to the grid is netted against your total electricity consumption. Any unused credits roll over month to month — and year to year — for up to 20 years.
Note that National Grid charges a monthly Contribution Benefits Charge (CBC) of $1.45/kW-DC. Credits accumulate indefinitely but are not paid out as a check when they expire.
Yes, solar panels can increase your home value in Buffalo. According to a Zillow study, homes with solar panels sell for about 4.1% more than comparable homes without them. For a $250,000 Buffalo home, that’s roughly $10,000 in added value.
Buyers in Western New York increasingly recognize the long-term savings solar provides — especially as electricity rates continue to rise. Owned solar systems (not leased) are generally what contribute most to resale value, making a cash purchase worth considering if building home equity is a priority.
With Palmetto’s LightReach lease, Buffalo homeowners can go solar for a low fixed monthly payment — starting around $92/month for a medium-sized home — with no upfront cost. Palmetto owns and maintains the system, so there’s nothing out of pocket to get started.
For those who prefer a cash purchase, system costs typically range from $15,800–$28,500 after New York’s state tax credit (up to $5,000). Note that the federal 30% residential tax credit is no longer available following the Big Beautiful Bill. Use the calculator above for a personalized Buffalo estimate.
For many Buffalo homeowners, solar is financially worthwhile — especially with a lease. With Palmetto’s LightReach program, your monthly payment is typically less than your current electricity bill, meaning you can start saving from day one with no upfront investment required.
Buffalo residents also benefit from New York’s state solar tax credit (up to $5,000) on purchased systems, and average 25-year savings of ~$91,000. As local electricity rates continue to rise, generating your own power becomes an increasingly practical financial decision.
Palmetto Solar is a top choice for Buffalo homeowners. We’re a national company with a strong local install network, serving 20,000+ customers across 31 states with an approval rating over 85%. Our team handles everything — from design and permits to installation and monitoring.
We also offer some of the most flexible financing in the industry. Our LightReach lease program lets Buffalo residents go solar with no upfront cost, starting around $92/month. We own and maintain the system, so you simply enjoy lower energy bills from day one.
With Palmetto’s LightReach lease, Buffalo homeowners can go solar with no upfront cost. One simple monthly payment — approximately $92/month for a typical 8.50 kW system — covers the panels, installation, monitoring, maintenance, and a 90% Production Guarantee.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments. Since the lease payment is typically less than your current electricity bill, most Buffalo homeowners start saving from day one.