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 Wilmington

Wilmington sees over 210 sunny days a year — and with North Carolina electricity prices up 24% since 2020, it’s no surprise that more local homeowners are looking closely at solar panels for their home. Wilmington’s coastal climate makes it one of the stronger candidates for solar in the Southeast.

This guide breaks down everything you need to know about solar installation in Wilmington, NC — how it works, what it costs, and what to expect. Clear information, no pressure.

NORTH CAROLINA by the Numbers

18th Most residential solar in the United States
51 Households have installed solar panels
5.1 Avg peak sun hours per day
~$59k Wilmington average savings over 25 years
02

How Much Do Solar Panels Cost in Wilmington, NC?

Using real installation data from Wilmington and surrounding areas like Leland, Hampstead, and Wrightsville Beach, this calculator gives you an accurate estimate of what solar panels would cost for your home — no guesswork, just local numbers.

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 North Carolina.
Recommended
System
8.19 kW
Your Monthly Payment
Estimated monthly cost with LightReach
$95/mo
As low as
$95/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

  • Wilmington gets over 210 sunny days a year, making it one of the strongest solar markets in the Southeast — with average homeowner savings of ~$59,000 over 25 years.
  • North Carolina electricity rates have jumped 25% since 2021, and solar panels can help protect Wilmington homeowners from future rate increases for 25+ years.
  • Wilmington homeowners have access to valuable solar incentives, including a 100% property tax exemption, a sales tax exemption, and up to $9,000 from Duke Energy’s PowerPair rebate.
05

Wilmington Electricity Prices

Electricity costs in Wilmington are rising. Here’s what the data shows — and why more homeowners are paying attention.

In North Carolina, the average electricity rate climbed from 11.3 cents per kWh in 2021 to 14.1 cents in 2024 — a jump of nearly 25% in just three years.

When you generate your own electricity with solar panels, you rely less on the grid — which means rising utility rates have less impact on your monthly energy costs.

Most residential solar systems are designed to produce power for 25 years or more. Locking in a lower cost of energy today can make a meaningful difference — especially if utility rates continue to climb.

Price of Energy: North Carolina vs National Average

10¢
20¢
30¢
13.7¢
11.3¢
15.0¢
11.6¢
16.0¢
12.9¢
16.5¢
14.1¢
2021
2022
2023
2024
US Average
North Carolina

Wilmington Area Utility Providers

Most Wilmington homeowners get electricity from Duke Energy Progress. In 2023, their rate was 14.2¢ per kWh — above NC’s state average of 12.90¢, but below the national average of 16.0¢. (2023 data; 2024 not yet available.)

Coastal areas like Wilmington often carry higher grid maintenance and infrastructure costs. These regional factors help explain why Duke Energy Progress rates run above the NC state average, even while remaining below the national average.

Homeowners who generate their own solar energy rely less on utility rates — and less on how those rates may shift over time. For many considering solar installation in Wilmington, NC, that kind of predictability matters.

Wilmington Utilities Electricity Rates

Duke Energy Progress
14.20¢
-11%
NC Average
12.90¢
-19%
US Average
16.0¢
06

North Carolina Solar Incentives

Wilmington homeowners have access to several solar incentives in North Carolina that can meaningfully reduce the upfront and long-term cost of going solar.

These include statewide programs like a 100% property tax exemption, a sales tax exemption on solar equipment, net metering credits, and the Duke Energy PowerPair rebate of up to $9,000 for solar-plus-battery systems.

Note that the federal residential solar tax credit was eliminated by recent legislation. Homeowners who lease through Palmetto’s LightReach program benefit from Palmetto handling the commercial credit, with savings passed through via lower monthly payments.

Incentive Type Description Source
Duke Energy PowerPair Program Rebate Duke Energy offers up to $9,000 in one-time installation rebates for North Carolina homeowners who install a qualifying solar + battery system together through a Duke Energy Trade Ally. Learn More
North Carolina Residential Solar Property Tax Exemption Property Tax Exemption North Carolina provides a 100% property tax exemption on the added home value from a residential solar installation, meaning homeowners pay no additional property taxes due to their solar system. Learn More
North Carolina Solar Sales Tax Exemption Sales Tax Exemption Solar energy equipment purchased for installation in North Carolina is exempt from the state’s 4.75% general sales tax and applicable local sales taxes under NC law. Learn More
North Carolina Net Metering & Net Billing Programs Net Metering North Carolina offers net metering and net billing programs through its major utilities, with Dominion Energy providing full 1:1 retail-rate credits and Duke Energy offering a transitional Bridge Rate through 2026 before moving to time-of-use export credits. Learn More
Direct Pay for Nonprofits & Government Organizations Tax Credit Tax-exempt nonprofits and government entities in North Carolina can receive a direct cash payment worth at least 30% of solar system costs through the federal Direct Pay (Elective Pay) provision. Learn More
North Carolina Solar Access Law (HOA Protections) Net Metering North Carolina law protects homeowners’ right to install solar panels, preventing HOAs from prohibiting solar installations while allowing only reasonable restrictions that do not significantly increase costs or reduce system efficiency. Learn More

The Duke Energy PowerPair Program provides one-time installation incentives of up to $9,000 for eligible North Carolina homeowners who install a solar and battery storage system at the same time. Solar systems are incentivized at $0.36 per watt-AC (up to 10 kW, for a maximum of $3,600), while battery storage is incentivized at $400 per kWh (up to 13.5 kWh, for a maximum of $5,400). The rebate is applied as a credit directly to your Duke Energy bill, typically within 10 business days of passing Duke’s inspection.

To qualify, residents of Wilmington must be a Duke Energy Carolinas or Duke Energy Progress residential customer in North Carolina, and the system must be installed by a Duke Energy Trade Ally. Solar and battery must be installed simultaneously — existing solar systems without battery storage are not eligible. Note that Duke Energy Progress has reached capacity and closed its waitlist, while Duke Energy Carolinas has limited slots remaining. Availability changes frequently, so check the official program page before signing any contracts.

This is one of the most valuable solar incentives currently available in North Carolina. Given that program capacity is nearly exhausted, homeowners in Wilmington interested in this rebate should act quickly. Visit the official Duke Energy PowerPair page to verify current availability and find a certified Trade Ally installer in your area.

Under NC General Statute § 105-275(45), North Carolina offers a 100% property tax exemption for residential solar energy systems. Although solar panels typically increase a home’s market value, that added value is completely excluded from property tax assessments for homeowners. This exemption has been in effect since 2008 and is considered permanent with no expiration date, applying for the full life of your solar system.

For residential homeowners in Wilmington, the exemption is automatic — no separate application is required. The NC Department of Revenue classifies residential solar systems not used for business purposes as non-business personal property, which is exempt from taxation in North Carolina. This means that as long as you own your system outright (not through a third-party lease), you are protected from any increase in your annual property tax bill due to solar.

Important note: Legislative proposals in 2025 could alter property tax abatement rules beginning July 1, 2026, potentially reducing the exempt percentage in future years. Homeowners should verify the current law with their county tax assessor or the NC Department of Revenue before installation. Commercial solar installations receive an 80% property tax exemption on the appraised value of the system.

Under N.C. Gen. Stat. § 105-164.13(57a), solar energy equipment purchased for installation in North Carolina is exempt from the state’s 4.75% general sales tax as well as applicable local sales taxes. This exemption covers solar panels, inverters, racking hardware, and other associated equipment that make up a solar energy system. The savings can be meaningful — on a $20,000 system, the sales tax exemption alone could save a homeowner over $900.

This exemption applies at the point of purchase, meaning the tax savings are built into the cost of your installation rather than being a rebate you claim later. Your solar installer should automatically apply this exemption when purchasing equipment for your project. If you are purchasing equipment directly, be sure to reference the applicable statute to ensure the exemption is applied correctly.

This is a straightforward, permanent incentive that reduces the upfront cost of going solar in North Carolina. Combined with other available incentives like the Duke Energy PowerPair rebate and the property tax exemption, the sales tax exemption helps make solar an even more financially attractive investment for homeowners in Wilmington.

Net metering in North Carolina varies by utility. Duke Energy customers in Wilmington face a more complex structure. A Net Metering Bridge (NMB) Rate is available for new customers through January 1, 2027, offering better compensation than the standard export rate, subject to capacity limits. After that deadline — or once capacity is reached — new solar customers are placed on the Residential Solar Choice (RSC) Rider, which credits excess generation at Duke’s avoided cost rate of approximately $0.034/kWh, roughly 75–80% below the retail rate. Duke customers also face a monthly minimum bill ($22 for Duke Energy Carolinas; $28 for Duke Energy Progress) and non-bypassable charges for storm recovery and cybersecurity costs.

Legacy Duke Energy customers with interconnections approved before October 1, 2023 may remain on legacy net metering with 1:1 credits for up to 15 years from their interconnection date. Given the significant difference in compensation rates, prospective solar customers in Wilmington should carefully evaluate their expected export volumes and consider battery storage to maximize self-consumption. For the most current program details, visit the NC Public Staff’s net metering page or contact your utility directly.

Under the federal Direct Pay (Elective Pay) provision, tax-exempt organizations — including nonprofits, municipalities, counties, school districts, tribal governments, and other government entities — can receive a direct cash reimbursement of at least 30% of the cost of a solar energy system. Because these organizations do not pay federal income taxes, they previously could not benefit from the Investment Tax Credit. Direct Pay solves this by converting the credit into a direct payment from the IRS.

This is a transformative incentive for nonprofits and public institutions in Wilmington. A nonprofit that installs a $150,000 solar system, for example, could receive a $45,000 direct payment from the federal government — with no tax liability required. The payment is made after the system is placed in service and the organization files the appropriate IRS forms (Form 3800 and related schedules) with its annual return.

Eligible entities should work with a solar developer or tax advisor experienced in Direct Pay to ensure proper documentation and compliance. Additional bonus credits may be available for systems installed in energy communities or low-income areas, potentially increasing the total benefit above 30%. Visit the IRS Elective Pay page for official guidance and eligibility requirements.

Under NC General Statute § 22B-20, North Carolina’s Solar Access Law guarantees homeowners the legal right to install solar energy systems on their property. Homeowners’ associations (HOAs) and deed restrictions cannot prohibit solar installations outright. This protection ensures that even in communities with strict HOA rules, residents of Wilmington retain the ability to go solar.

While HOAs cannot ban solar panels, they are permitted to impose reasonable restrictions on the placement or appearance of solar systems — for example, requiring panels to be installed on rear-facing roof sections. However, any such restrictions are legally unenforceable if they would increase the cost of the solar system by more than 10% or reduce its energy output or efficiency in a meaningful way.

This law is an important protection for North Carolina homeowners who may face pushback from their HOA when going solar. If your HOA attempts to block or unreasonably restrict your solar installation, you have legal recourse under state law. Consult the full text of the statute at the NC Legislature’s official website or speak with a real estate attorney if you encounter HOA resistance to your solar project.

Ready to start saving with solar?

Speak with a Palmetto solar expert to find out exactly how much you can save with North Carolina incentives.

Get a Free Quote
07

Wilmington 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.

Wilmington enjoys over 213 sunny days annually, warm coastal temperatures, and mild winters — all factors that make it a strong candidate for reliable year-round solar energy production.

Solar Production in Wilmington 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 Wilmington

We mapped every solar installation in Wilmington, NC so you can see just how many of your neighbors have already made the switch. Explore the map below to discover which neighborhoods and communities are leading the way on solar energy.

09

Leasing Solar Panels

If you’re a Wilmington homeowner served by Duke Energy Progress or Duke Energy Carolinas, you have access to Palmetto’s LightReach solar lease — a straightforward way to go solar without a large upfront investment. Most Wilmington residents fall under Duke Energy Progress, and a solar lease is available to you.

With a solar lease, Palmetto owns and maintains the system. You pay a fixed monthly amount — for example, around $95/month for a medium-sized home — and Palmetto handles all maintenance, monitoring, and repairs. That’s a meaningful difference from a cash purchase, where you’re responsible for long-term upkeep on your own. You also avoid the large upfront cost, which can run $20,000 or more for a typical system.

Curious how leasing compares to buying outright? Palmetto’s buy vs. lease guide breaks down both options clearly. For many Wilmington homeowners, leasing is simply the easier path to solar — lower barrier to entry, no maintenance headaches, and savings that start right away.

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. Wilmington receives over 210 sunny days a year, and with North Carolina electricity rates up nearly 25% since 2021, solar makes strong financial sense for local homeowners. A typical Wilmington home can save an estimated ~$59,000 over 25 years.

If upfront cost is a concern, Palmetto’s LightReach lease removes that barrier entirely — homeowners can go solar with no money down and start saving from day one, with Palmetto handling all maintenance and monitoring.

Most Wilmington homeowners are served by Duke Energy Progress, which currently offers the Net Metering Bridge Rider (NMB) — a monthly net metering program where excess solar production is credited at $0.034/kWh. New interconnections after October 1, 2023 are enrolled in NMB until capacity is filled, after which customers move to the Residential Solar Choice (RSC) time-of-use rate. A $28/month minimum charge also applies.

Homeowners with interconnections approved before October 1, 2023 may remain on legacy 1-to-1 net metering through January 1, 2027. Given the lower export credit rate under current programs, pairing solar with battery storage can help Wilmington homeowners maximize self-consumption and overall savings.

Yes. Research from Zillow shows that solar panels increase home value by an average of 4.1%. For a Wilmington home valued at $350,000, that’s roughly $14,000 in added value.

North Carolina also offers a 100% property tax exemption on the added home value from a solar installation — meaning Wilmington homeowners benefit from increased resale value without paying higher property taxes. Note that this exemption applies to owned systems, not leased panels.

With Palmetto’s LightReach lease, Wilmington homeowners can go solar for a low fixed monthly payment starting around $70–$130/month — with no upfront cost. Palmetto owns and maintains the system, so there’s nothing out of pocket to get started.

For homeowners who prefer to own their system outright, a cash purchase typically runs $17,000–$31,000 depending on home size. Note that the federal 30% residential tax credit is no longer available following the Big Beautiful Bill. Use the solar cost calculator above for a personalized estimate.

For many Wilmington homeowners, solar can make strong financial sense — especially with leasing. With Palmetto’s LightReach lease, your monthly payment is typically less than your current electricity bill, so savings begin on day one with no upfront investment required.

With North Carolina electricity rates up nearly 25% since 2021, locking in a predictable monthly solar payment helps protect against future rate increases. A typical Wilmington homeowner could save an estimated ~$59,000 over 25 years.

We believe Palmetto Solar is the best choice for Wilmington homeowners. As a national company with a local focus, we’ve completed 2,076 installations across North Carolina since 2020 and have served 20,000+ customers across 31 states with an approval rating over 85%.

We offer some of the industry’s best financing options, including our LightReach lease — no upfront cost, and we handle all maintenance. Our trusted install network means Wilmington homeowners get a high-quality experience from start to finish.

With Palmetto’s LightReach lease, Wilmington homeowners can go solar for no upfront cost. One simple monthly payment — approximately $95/month for a typical 8.19 kW system — covers the panels, installation, monitoring, maintenance, and a 90% Production Guarantee.

Because Palmetto owns the system, the commercial Investment Tax Credit (ITC) still applies, and those savings are passed on to you through lower monthly payments. Since the lease payment is typically less than your current electricity bill, most Wilmington homeowners start saving from day one.