Nathan Healy
Certified by Nathan Healy
Updated: April 2026
Quality Solar Panels Since 2011
Palmetto has served 20,000+ customers across 31 states with an approval rating over 85%.
01

Solar Power in Buffalo

If you’re a Buffalo homeowner thinking about solar, you’re not alone. New York ranks 4th in the nation for residential solar installations — and with electricity rates at 24.37 cents per kWh, well above the national average of 16.6 cents per kWh, it’s easy to see why more Buffalo homeowners are exploring solar.

Whether you’re just starting your research or ready to move forward, this guide covers everything you need to know about home solar panels — from how the technology works to what installation looks like on a Buffalo roof.

NEW YORK by the Numbers

4th Most residential solar in the United States
204 Households have installed solar panels
4.2 Avg peak sun hours per day
~$91k Buffalo average savings over 25 years
02

How Much Do Solar Panels Cost in Buffalo, NY?

Based on real installation data from homes across Buffalo and surrounding areas — including Amherst, Cheektowaga, Tonawanda, and Orchard Park — this calculator gives you an honest, localized estimate of what solar installation could cost for your home.

Small Home Up to 2,000 sq ft
Medium Home 2,000-3,000 sq ft
Large Home Over 3,000 sq ft
System Size
This system size is designed to offset approximately 100% of the average electricity usage for a home of this size in New York.
Recommended
System
8.50 kW
Your Monthly Payment
Estimated monthly cost with LightReach
$92/mo
As low as
$92/mo
Why Lease Solar?
Following the 2025 Big Beautiful Bill, the federal 30% solar tax credit is no longer available for cash purchases. With a LightReach lease, Palmetto owns the system and still qualifies for the commercial ITC — passing those savings through to you via lower monthly payments.
  • No upfront investment
  • Palmetto handles all maintenance
  • 90% Production Guarantee
  • Comprehensive protection program included
03

Palmetto Reviews

04

Key Takeaways

  • Buffalo’s electricity rates are 47% above the national average — making solar one of the most effective ways to reduce your monthly energy bill.
  • Buffalo homeowners can save an average of $91,000 over 25 years with solar, with a payback period of around 7 years on a cash purchase.
  • New York offers a 15-year property tax exemption for solar — meaning your home’s value can increase without raising your tax bill.
05

Buffalo Electricity Prices

Buffalo homeowners are paying some of the highest electricity rates in the country. Here’s what the numbers show.

New York’s electricity rate has climbed from 19.5 cents per kWh in 2021 to 24.4 cents per kWh in 2024. That’s nearly 25% higher than the national average of 16.5 cents per kWh — and significantly above what most U.S. households pay.

For Buffalo homeowners exploring solar installation, that gap matters. Generating your own electricity means relying less on the grid. When rates rise, the value of what your solar panels produce rises with them.

Over a 25-year system lifespan, that protection adds up. Buffalo solar panels can help insulate homeowners from future rate increases — turning a predictable monthly expense into a long-term energy asset.

Price of Energy: New York vs National Average

10¢
20¢
30¢
13.7¢
19.5¢
15.0¢
22.1¢
16.0¢
22.2¢
16.5¢
24.4¢
2021
2022
2023
2024
US Average
New York

Buffalo Area Utility Providers

Buffalo homeowners are served primarily by two utilities — National Grid and NYSEG. Based on 2023 data, New York’s state average electricity rate was 22.20¢ per kWh, compared to the national average of 16.0¢ per kWh.

National Grid customers in Buffalo paid around 17.0¢ per kWh in 2023, while NYSEG customers paid approximately 15.5¢ per kWh — both below the state average, though New York’s grid costs, aging infrastructure, and transmission expenses keep statewide rates elevated.

When electricity rates are higher than the national average, the value of generating your own power at home grows. Solar can help Buffalo homeowners reduce their dependence on utility pricing that has historically trended upward over time.

Buffalo Utilities Electricity Rates

National Grid
17.00¢
+6%
NYSEG
15.50¢
-3%
NY Average
22.20¢
+39%
US Average
16.0¢
06

New York Solar Incentives

Going solar in Buffalo can come with real savings beyond the panels themselves. Here’s a look at the solar incentives in New York that may apply to you.

New York State offers a 15-year property tax exemption that keeps your tax bill from rising after a solar install. There’s also a NYC-specific abatement — but that program applies to New York City property owners only, not Buffalo residents.

With the federal residential tax credit now eliminated, state programs matter more. If you lease through LightReach, Palmetto handles the commercial tax credit and passes the savings through lower monthly payments.

Incentive Type Description Source
New York State Property Tax Exemption for Solar (RPTL Section 487) Property Tax Exemption New York’s Real Property Tax Law Section 487 exempts the added assessed value from a solar installation from property taxes for 15 years, preventing your tax bill from rising after going solar. Learn More

Under Real Property Tax Law (RPTL) Section 487, any increase in your home’s assessed value resulting from the installation of a solar energy system is fully exempt from property taxes for 15 years. This means that even if your solar installation adds $20,000–$30,000 in value to your home, your property tax bill will not increase during that 15-year period. The exemption also covers battery storage systems approved by NYSERDA. New York City has additionally confirmed it will not require a Payment in Lieu of Taxes (PILOT) for energy storage systems seeking benefits under RPTL 487.

The exemption is available statewide, but with an important caveat: outside of the five largest cities (New York City, Buffalo, Rochester, Syracuse, and Yonkers), each county, city, town, village, and school district has the authority to opt in or out of offering the exemption. As one of the five largest cities, Buffalo homeowners benefit from guaranteed eligibility under this exemption.

To claim the exemption, you must complete Form RP-487 (Application for Tax Exemption of Solar, Wind, or Certain Other Energy Systems) and submit it to your local assessor on or before the taxable status date (typically January 5 for most municipalities). One copy goes to NYSERDA and one to your local Department of Finance. An application filed by January 1, 2025, for example, would result in an exemption effective July 1, 2025. There is no cost to apply, and the savings over 15 years can be substantial.

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 Quote
07

Buffalo 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 snowy winters and cloudy days, but its bright summers and cold, clear skies can actually boost solar output. Like Boston or Seattle, Buffalo can be a surprisingly strong solar city.

Solar Production in Buffalo by Month

Daylight Hours
Energy Production (kWh/day)

What Can Your Solar System Power?

Summer Production (July)

[SummerProduction] kWh/day

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)

[WinterProduction] kWh/day

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

[AnnualProduction] kWh/year

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 Estimate
08

Solar Panel Systems in Buffalo

We’ve mapped thousands of solar installations across the U.S. — and Buffalo is no exception. Explore the heatmap below to see where your neighbors in communities across Buffalo have already made the switch to solar. Click any hexagon to see the number of installations in that area!

09

Leasing Solar Panels

Buffalo homeowners served by National Grid or NYSEG have access to a solar lease through Palmetto’s LightReach program (available for select partners). With a lease, you pay a fixed monthly amount — for example, as low as $92/month for a medium-sized home — rather than a large upfront cash investment. Palmetto owns and maintains the system, so you never have to worry about repairs or performance issues.

Compared to paying cash, leasing removes the burden of a significant upfront cost and ongoing maintenance responsibilities. When you own a system outright, you’re also responsible for repairs, monitoring, and any equipment issues over the system’s lifetime. With LightReach, Palmetto handles all of that — and backs your system with a 90% production guarantee. Learn more about buying vs. leasing solar to see which option fits your situation.

It’s worth noting the difference between a lease and a Power Purchase Agreement (PPA). A lease means you pay a fixed monthly amount regardless of how much your panels produce. A PPA means you pay per kilowatt-hour generated, so your bill may vary by season. In New York, the LightReach lease option is what’s available — giving Buffalo homeowners a predictable, stable monthly payment 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 Leasing
10

Frequently Asked Questions

Yes, solar makes strong sense for Buffalo homeowners. With electricity rates at 24.4¢/kWh — nearly 47% above the national average — and average 25-year savings around $91,000, the financial case is clear. New York also offers a 15-year property tax exemption for solar installations.

If upfront cost is a concern, Palmetto’s LightReach lease removes that barrier entirely — Buffalo homeowners can go solar with no money down and start saving from day one, with payments as low as $92/month.

Yes, Buffalo has net metering. Buffalo homeowners are served primarily by National Grid and NYSEG, both of which offer 1:1 net metering. Each month, the energy your solar panels export to the grid is netted against your total consumption. Any excess credits roll over month to month and year to year for up to 20 years.

Note that both utilities charge a monthly Contribution Benefits Charge (CBC)$1.45/kW-DC for National Grid customers and $1.16/kW-DC for NYSEG customers. Unused credits expire after 20 years and no check is issued.

Yes, solar panels can increase your home’s value in Buffalo. According to a Zillow study, homes with solar panels sell for about 4.1% more than comparable homes without them. On a $250,000 Buffalo home, that’s roughly $10,250 in added value.

New York also offers a 15-year property tax exemption under RPTL Section 487, meaning your tax bill won’t increase even as your home’s value rises after installation — a meaningful benefit for Buffalo homeowners.

With Palmetto’s LightReach lease, Buffalo homeowners can go solar for as low as $92/month with no upfront cost. Palmetto owns and maintains the system, so there’s nothing out of pocket to get started.

For those preferring a cash purchase, a typical 8.5 kW system in Buffalo runs around $20,448 after New York’s $5,000 state incentive. Note that the federal 30% tax credit is no longer available for residential cash purchases. Use the calculator above for a personalized estimate.

For Buffalo homeowners, solar can make strong financial sense — especially with electricity rates at 24.4¢/kWh, nearly 47% above the national average. A typical system can save around $91,000 over 25 years.

With Palmetto’s LightReach lease, there’s no upfront investment required. Your monthly lease payment — as low as $92/month — is typically less than your current electricity bill, meaning most Buffalo homeowners start saving from day one.

Palmetto is a top choice for solar installation in Buffalo, NY. As a national company with a local focus, we bring a vetted install network, transparent pricing, and some of the best financing options available — including our LightReach lease starting at just $92/month with no upfront cost.

We’ve served 20,000+ customers across 31 states with an approval rating over 85%. Buffalo homeowners benefit from our 90% production guarantee, full maintenance coverage, and a dedicated team to guide you from design through activation.

With Palmetto’s LightReach lease, Buffalo homeowners can go solar for approximately $92/month — with no upfront cost. That single payment covers the system, installation, monitoring, maintenance, and a 90% Production Guarantee. Palmetto owns the system, so you’re never responsible for repairs.

Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments — a key advantage today. For a typical 8.50 kW system in Buffalo, the $92/month payment is generally less than your current electric bill, so most homeowners start saving from day one.