Cincinnati, OH Solar Panels
Solar Power in Cincinnati
Thinking about solar energy for your Cincinnati home? You’re in the right place. With Ohio electricity prices jumping 31% from 2020 to 2024, more homeowners are exploring how solar panels for home use can help control rising energy costs.
This guide breaks down everything you need to know about solar installation in Cincinnati—from local incentives to what makes solar energy a smart choice for your home.
How Much Do Solar Panels Cost in Cincinnati, OH?
Our calculator uses real installation data from Cincinnati homes—including Mason, West Chester, Blue Ash, and Loveland—to show you personalized solar costs. Get accurate estimates based on what your neighbors actually paid, not national averages.
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You can still access the solar tax credit through Palmetto. Talk to us today to find out how.
Key Takeaways
- Cincinnati receives 4.6 peak sun hours daily providing solid solar production year-round despite Ohio’s cloudy reputation and seasonal weather variations.
- A typical 8 kW system costs $23,379 and can save Cincinnati homeowners approximately $60,000 over 25 years with an 11.8-year payback period.
- Ohio offers property tax exemptions and net metering allowing you to avoid taxes on added home value and receive credits for excess solar energy production.
Cincinnati Electricity Prices
Understanding your electricity costs is the first step to making smart energy decisions for your Cincinnati home.
Ohio electricity rates have climbed from 12.8 cents per kWh in 2021 to 16.1 cents in 2024—a 25% increase in just three years that directly impacts your monthly budget.
Solar panels generate electricity at a fixed cost, helping shield Cincinnati homeowners from these rising utility rates. Once installed, your system produces power at the same predictable rate for decades.
Over 25 years, this price stability adds up. While utility rates continue climbing, solar owners lock in their energy costs, creating long-term savings and budget predictability for their households.
Price of Energy: Ohio vs National Average
Cincinnati Area Utility Providers
Understanding your electricity costs starts with knowing your utility provider. Duke Energy serves the Cincinnati area, with residential rates at 14.7¢ per kWh in 2023—below both Ohio’s 15.40¢ average and the national average of 16.0¢.
Cincinnati’s relatively competitive rates reflect Duke Energy’s diverse energy mix and Ohio’s access to affordable natural gas. However, utility rates typically increase over time, and homeowners have limited control over these changes.
Solar panels allow you to generate your own electricity at a predictable cost. When you produce power from your rooftop, you reduce dependence on utility rates and gain more control over your long-term energy expenses.
Cincinnati Utilities Electricity Rates
Ohio Solar Incentives
Cincinnati homeowners have access to valuable solar incentives in Ohio that help make the switch to clean energy more affordable.
Ohio offers property tax exemptions on added home value from solar systems, net metering that credits you for excess energy production, and Solar Renewable Energy Certificates that provide additional income opportunities.
These programs can significantly reduce your overall investment. Review the details below and act promptly, as incentive programs can change over time.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Property Tax Exemption | State tax exemption | No property tax on added home value from systems =250kW. Saves ~$300-500 annually on $15k system value at 2-3% tax rate. | Learn More |
| Solar Renewable Energy Certificates (SRECs) | State program | Small additional income from selling certificates. 7kW system earns ~$20-40/year at current prices. Requires PUCO certification. | Learn More |
Ohio’s Property Tax Exemption removes the added property value of your solar energy system from your property tax assessment. This means that while installing solar panels typically increases your home’s value, you won’t pay higher property taxes on that increase. The exemption applies to solar energy systems with a nameplate capacity of 250 kilowatts or less, which covers virtually all residential installations.
To qualify for this exemption, your solar system must have been installed on or after January 1, 2010. The financial benefit varies based on your home’s location and local tax rates, but it can save you hundreds of dollars annually. For example, if your solar system adds $20,000 to your home’s value and your local property tax rate is 2%, you would save approximately $400 per year in property taxes. This exemption continues for as long as you own the system, providing ongoing savings throughout the life of your solar installation.
There is no application deadline or expiration date for this exemption—it remains available for eligible systems installed after January 1, 2010. The exemption applies automatically once your system is installed and operational, though you should verify with your county auditor that the exemption has been properly applied to your property assessment. This benefit works alongside other solar incentives to improve the overall return on your solar investment.
Solar Renewable Energy Certificates (SRECs) are tradable credits that solar system owners in Ohio can earn for the clean electricity their panels produce. For every 1,000 kilowatt-hours (kWh) of solar energy your system generates, you earn one SREC that can be sold on the open market. This creates an ongoing income stream beyond the savings you see on your electric bill.
The value of SRECs fluctuates based on market demand, and Ohio’s SREC market has historically been less active than some other states. Prices can range significantly depending on current market conditions and utility compliance requirements. You’ll need to register your solar system with the appropriate tracking system to begin earning and selling SRECs. Keep in mind that this is a performance-based incentive—you only earn credits based on actual energy production, and the market value can change over time. It’s worth discussing SREC potential with your solar installer to understand realistic expectations for your specific situation.
Net metering in Ohio allows homeowners with solar panels to receive credit for the excess electricity their system produces and sends back to the grid. When your solar panels generate more power than your home uses during the day, that surplus energy flows to the grid, and you receive a credit on your electric bill. This credit offsets the electricity you draw from the grid when your panels aren’t producing enough power, such as at night or on cloudy days.
In Ohio, net metering works on a monthly basis across all major utilities, including AEP Ohio, Duke Energy, FirstEnergy companies (Ohio Edison, Cleveland Electric, Toledo Edison), and AES Ohio. Each month, the electricity you export to the grid is credited against your total consumption on a 1-to-1 basis at the full retail rate. If you produce more than you consume in a given month, the excess credits carry forward to your next bill, though these carried credits are valued at the lower generation rate (typically ranging from 5 to 12 cents per kilowatt-hour, depending on your utility). This means you’ll receive the most value when you use your solar energy as it’s produced, rather than exporting it to the grid.
Net metering is generally available to residential solar customers throughout Ohio, though you’ll need to work with your utility company to set up the proper metering equipment and interconnection agreement. There are no specific deadlines for enrolling in net metering—it’s an ongoing program available when you install your solar system. Keep in mind that excess credits typically settle monthly at the generation rate, so maximizing your immediate use of solar energy will provide the greatest financial benefit.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Ohio incentives.
Get a Free QuoteCincinnati 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.
Cincinnati’s four distinct seasons create varying solar production throughout the year. While cloudy winters reduce output, summer’s long days deliver strong performance—making solar a smart investment year-round.
Solar Production in Cincinnati 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 Cincinnati
We’ve mapped every solar installation across Cincinnati to help you explore the clean energy movement in your community. Click any hexagon to see how many neighbors in that area have made the switch to solar power.
Leasing Solar Panels
In Cincinnati, Palmetto offers Power Purchase Agreements (PPAs) through our LightReach program. With a PPA, you pay only for the solar electricity your system generates at a set rate per kilowatt-hour—typically lower than what you’d pay Duke Energy or other local utilities.
Unlike purchasing a system outright, a PPA means no upfront costs, no maintenance responsibilities, and no equipment ownership concerns. Palmetto handles installation, monitoring, and repairs while you enjoy immediate savings on your electric bill. Your payments fluctuate seasonally based on production—higher in sunny summer months, lower in winter—but your annual costs remain predictable and typically lower than traditional utility rates.
This approach works well for Cincinnati homeowners who want solar savings without the capital investment. Compare your financing options to see if a PPA or traditional purchase makes more sense for your situation.
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 in Cincinnati. With 4.6 peak sun hours daily and electricity rates at 16.1¢ per kWh, a typical 8 kW system costs around $23,379 and can save approximately $60,000 over 25 years with an 11.8-year payback period.
Ohio’s property tax exemption and net metering programs further improve the financial case. While winter production is lower than summer, annual output remains strong enough to offset most or all of your electric bill.
Yes, Cincinnati has net metering through Duke Energy and other Ohio utilities. Each month, your solar production is credited against consumption at full retail rate (1:1). Any excess energy you produce beyond what you use gets carried forward to the next month at the lower generation rate, typically 5-10 cents per kWh.
This monthly settlement structure means you receive maximum value when you use your solar energy as it’s produced, rather than exporting it to the grid. Net metering helps reduce your electricity bills throughout the year.
Yes, solar panels increase home value in Cincinnati. Research shows that homes with solar systems sell for approximately 4.1% more than comparable homes without solar, which translates to roughly $10,000-$15,000 for a typical Cincinnati home.
Additionally, Ohio’s property tax exemption means you won’t pay higher property taxes on the added value from your solar installation, allowing you to benefit from the increased home value without the ongoing tax burden.
In Cincinnati, a typical solar installation costs around $23,379 for an 8 kW system at $2.85 per watt. System size varies based on your home—small homes (up to 2,000 sq ft) average 5.74 kW at $17,107, while larger homes (over 3,000 sq ft) need about 10.80 kW at $30,061.
These prices reflect actual Palmetto installations in the Cincinnati area. Your final cost depends on your home’s energy usage, roof characteristics, and available incentives like Ohio’s property tax exemption and net metering programs.
Yes, solar is financially worth it for most Cincinnati homeowners. A typical 8 kW system costs $23,379 and saves approximately $60,000 over 25 years, with an 11.8-year payback period based on current electricity rates of 16.1¢ per kWh.
Ohio’s property tax exemption and net metering programs add value by eliminating taxes on increased home value and crediting excess energy production. With electricity rates rising 25% since 2021, solar provides long-term protection against future utility rate increases.
At Palmetto, we’ve completed over 1,335 installations across Ohio since 2020, bringing our national expertise to Cincinnati homeowners. We offer competitive financing options and work with a trusted local installation network to deliver quality solar systems.
Our approach combines personalized system design, transparent pricing, and ongoing support to help you make an informed decision about solar energy. Get a free quote to see how we can help power your Cincinnati home with clean energy.