Oklahoma
Solar in Oklahoma
Oklahoma electricity prices jumped 21% from 2020 to 2024, prompting homeowners to explore solar panel installation options. This significant increase makes solar energy an increasingly attractive alternative for Oklahoma families.
Ready to explore your options? Our complete guide to home solar panels covers everything you need to know about solar installation in Oklahoma.
Key Takeaways
- Oklahoma electricity rates increased 21% from 2020 to 2024, making solar panels an increasingly attractive option for homeowners.
- Federal tax credits provide 30% savings on solar installation costs, reducing the average system price significantly for Oklahoma families.
- Solar systems can save Oklahoma homeowners around $39,000 over 25 years while providing protection against rising electricity rates.
Solar Cost in Oklahoma
Our solar cost calculator uses real installation data from Oklahoma homeowners in Tulsa, Oklahoma City, Norman, and beyond. Get personalized estimates based on actual local solar projects, not generic national averages.
System
Cost
Savings
Oklahoma Electricity Prices
Oklahoma electricity rates rose from 11.0¢ per kWh in 2021 to 12.2¢ in 2024, impacting household budgets statewide.
While Oklahoma’s rates remain below the national average of 16.5¢ per kWh, the steady increase reflects ongoing utility cost pressures affecting Oklahoma families.
Solar panels generate electricity at a fixed cost, helping homeowners avoid future rate increases while reducing their dependence on traditional utility power.
Over 25 years, solar systems can provide predictable energy costs, offering Oklahoma homeowners protection against continuing electricity rate increases and long-term savings.
Price of Energy: Oklahoma vs National Average
Oklahoma Area Utility Providers
Oklahoma’s major utility companies, OG&E and PSO, charge different electricity rates based on 2023 data. Understanding these costs helps homeowners make informed energy decisions.
OG&E charges 10.8¢ per kWh while PSO charges 13.8¢ per kWh. Both rates fall below the 2023 national average of 16.0¢ per kWh.
Despite relatively lower rates, rising electricity costs make solar panels worth considering. Solar installation can provide predictable energy costs and long-term savings.
Oklahoma Utilities Electricity Rates
Oklahoma Solar Incentives
Oklahoma homeowners can reduce solar installation costs through federal tax credits and local utility programs. Explore available solar incentives in Oklahoma below.
The federal solar Investment Tax Credit allows you to deduct 30% of your solar system cost from federal taxes. Local utilities like OG&E and PSO offer net metering programs with varying benefits.
These incentives change frequently and have specific deadlines. Research current programs thoroughly and consult tax professionals to maximize your solar savings potential.
$7,144
Average savings in Oklahoma solar rebates
| Incentive | Type | Description | Source |
|---|---|---|---|
| Residential Clean Energy Credit | Federal tax credit | A federal tax credit worth 30% the cost of a solar panel system in the year it’s installed | Learn More |
The Residential Clean Energy Credit lets people claim a tax credit worth 30% the cost of a solar panel system in the year it’s installed. The credit can only be used against taxes you owe or have already paid that year, but any excess credit can be rolled over to future years.
The credit is broadly available, though there are a few restrictions — you must own the panels and they must be on a house you live in — so be sure to consult a tax professional about your situation.
OG&E’s Net Energy Billing Option (NEBO) is a monthly net metering program that allows homeowners with solar panels to receive credit for excess electricity they generate and send back to the grid. Under this program, your solar production is netted against your electricity consumption on a 1:1 basis within each time-of-use period during your monthly billing cycle. This means that for every kilowatt-hour (kWh) of solar energy you export to the grid, you receive a full retail credit that offsets your electricity usage during the same time period.
If your solar system produces more electricity than you use in a month, you’ll receive a dollar credit on future bills based on OG&E’s avoided energy cost rates. These rates vary by season and time of day – summer peak hours (2-7pm) receive higher credit rates, while winter months and off-peak periods receive lower rates. Any accumulated credits that exceed $100 or remain unused for 24 consecutive months can be paid out as a one-time cash payment at either your request or OG&E’s discretion. Homeowners participating in NEBO must be on a time-of-use rate schedule, which means your electricity costs and solar credits will vary based on when energy is used or generated throughout the day.
PSO’s Net Energy Metering Service (NEMS) is a billing arrangement that allows homeowners with solar panels to receive credit for the excess electricity they generate and send back to the grid. Under this program, your solar production and electricity usage are netted against each other on a 1:1 basis each month, meaning every kilowatt-hour (kWh) of solar energy you export offsets one kWh of electricity you consume from the grid.
If your solar system produces more electricity than you use in a given month, the excess energy is credited to your account at PSO’s avoided cost rate, which is approximately 4 cents per kWh (ranging from 2-6 cents). These credits can accumulate and roll over to future months. However, if your accumulated credits exceed $100 or carry forward for longer than 24 consecutive months, either you or PSO may choose to process a one-time payment for that amount. It’s important to note that participating customers must switch to a time-of-use (TOU) rate structure as part of this program.
Ready to start saving with solar?
Speak with a Palmetto solar expert to find out exactly how much you can save with Oklahoma incentives.
Get a Free QuoteOklahoma Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Oklahoma’s variable weather and seasonal sun angles create unique solar conditions. Despite occasional storms and cloudy periods, proper system design maximizes year-round energy production effectively.
What Can the Average Oklahoma Solar System Power?
Summer Production (July)
In July, your 10 kW system could power:
- 3.6 average Oklahoma 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 Oklahoma 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 Installations in Oklahoma
We’ve mapped every solar installation across America to show you something exciting: your Oklahoma neighbors are embracing clean energy! Explore this interactive map to discover which communities near you have made the switch to solar.
Leasing Solar Panels
For Oklahoma homeowners, Palmetto offers solar leasing options through our LightReach energy plan. Unlike traditional solar purchases, leasing allows you to enjoy solar benefits with predictable monthly payments instead of large upfront costs.
With a solar lease, you pay a fixed monthly amount while Palmetto handles all system maintenance, monitoring, and repairs at no additional cost. This eliminates the financial risk and technical responsibilities of ownership while still providing immediate electricity savings for Oklahoma families.
Our LightReach program is available for customers served by Oklahoma Electric Coop, OG&E, and PSO. The comprehensive plan includes premium solar panels, professional installation, and our 90% production guarantee, making solar accessible without the typical buy versus lease concerns.
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 Oklahoma despite lower electricity rates compared to other states. Oklahoma electricity prices increased 21% from 2020 to 2024, making solar panels increasingly attractive for homeowners.
The federal 30% tax credit significantly reduces installation costs, while solar systems provide protection against future rate increases. Oklahoma homeowners can save approximately $39,000 over 25 years with solar installation.
Yes, Oklahoma has net metering programs through major utilities including OG&E, PSO, and Oklahoma Electric Coop. Each utility offers monthly net metering where solar production offsets consumption on a 1:1 basis.
Excess monthly production receives credits at avoided cost rates of 2-6 cents per kWh rather than full retail rates. Credits can accumulate but may be paid out once they exceed $100 or carry forward for 24 months.
Yes, solar panels increase home value in Oklahoma. A Zillow study shows solar panels increase home value by 4.1% on average across the United States.
For Oklahoma homeowners, this translates to thousands of dollars in added property value. Solar panels are viewed as permanent home improvements that reduce ongoing electricity costs, making properties more attractive to potential buyers in Oklahoma’s growing renewable energy market.
Solar installation costs in Oklahoma average around $16,671 after federal tax credits for a typical 8.20 kW system. Before incentives, systems cost approximately $23,815.
The federal 30% tax credit reduces costs by about $7,144 for Oklahoma homeowners. Monthly savings average $89, with systems paying for themselves in approximately 12.9 years.
Yes, solar is worth it financially in Oklahoma. Despite lower electricity rates than other states, Oklahoma homeowners save approximately $39,000 over 25 years with solar panels.
The federal 30% tax credit reduces installation costs by $7,144 on average. With electricity rates rising 21% from 2020-2024, solar provides protection against future rate increases while delivering predictable energy savings.
We’re a national solar company with a strong local focus in Oklahoma. Our comprehensive approach combines competitive financing options with our extensive installation network to serve homeowners throughout the state.
As Oklahoma’s trusted solar partner, we handle everything from initial consultation through system activation, backed by our 90% production guarantee and comprehensive customer support for Oklahoma families.