Oklahoma Solar Panels
Solar in Oklahoma
Oklahoma electricity prices have jumped 21% between 2020 and 2024 — and that trend shows no signs of slowing down. For many homeowners across the state, home solar panels are becoming a practical way to take control of rising energy costs.
Whether you’re just starting to explore your options or ready to take the next step, this guide covers everything you need to know about solar installation in Oklahoma — from how it works to what it costs.
Oklahoma Solar Panel Cost
Curious what solar actually costs in Oklahoma? This calculator uses real installation data from Palmetto customers across the state — from Tulsa and Oklahoma City to Norman and Broken Arrow — to give you a localized estimate. See both your monthly LightReach lease payment (no upfront cost) and a full cash purchase comparison, so you can choose the path that fits your budget.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Oklahoma electricity prices have risen 21% since 2020, making solar a smart way to take control of your monthly energy costs.
- Leasing solar through Palmetto’s LightReach program means no upfront cost, a fixed monthly payment, and Palmetto handles all maintenance.
- Oklahoma offers valuable solar incentives — including a full property tax exemption and sales tax exemption — that help reduce the cost of going solar.
Looking for More Detailed Oklahoma City Guides?
Explore our comprehensive solar guides for major cities across Oklahoma to find location-specific information on incentives, installers, and solar potential.
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Explore Oklahoma Heat PumpsOklahoma Electricity Prices
Oklahoma electricity rates have been climbing — and your monthly bill is likely feeling the impact.
The average Oklahoma residential rate rose from 11.0 cents per kWh in 2021 to 12.2 cents in 2024 — about an 11% increase. Meanwhile, the national average hit 16.5 cents in 2024, meaning Oklahomans still pay below average — but the gap is narrowing.
Solar panels let you generate your own electricity at home, reducing how much you buy from the grid. The more your system produces, the less exposure you have to future rate increases — giving you more predictability over your energy costs.
With Palmetto’s LightReach program, you can go solar with no upfront cost. You pay a fixed monthly rate while Palmetto owns, monitors, and maintains the system — including a 90% Production Guarantee — so you’re protected from rising utility costs from day one.
Price of Energy: Oklahoma vs National Average
Oklahoma Area Utility Providers
Oklahoma homeowners are served by two major utilities — Oklahoma Gas & Electric (OG&E) and Public Service Company of Oklahoma (PSO). Based on 2023 data, both sit below the national average, but their rates tell two different stories.
OG&E customers paid 10.8¢ per kWh in 2023 — well below Oklahoma’s state average of 12.1¢ and the national average of 16.0¢. PSO customers paid 13.8¢ per kWh, above the state average but still under the national figure.
Even at these rates, monthly bills add up. And as electricity costs continue to climb, many Oklahoma homeowners are turning to solar — locking in a predictable monthly payment through a fixed solar lease instead of riding rising utility rates.
Oklahoma Utilities Electricity Rates
Oklahoma Solar Incentives
Oklahoma homeowners have access to several solar incentives in Oklahoma — including state tax exemptions, net metering, and a federal battery storage credit — that can meaningfully reduce the cost of going solar.
At the state level, Oklahoma exempts solar equipment from sales tax and shields added home value from property tax increases. Utilities must offer net metering, crediting surplus energy back to your bill. Local programs like Solarize Oklahoma City can unlock additional group-purchasing discounts.
Note: the federal 30% residential solar tax credit was eliminated in 2025. State and local incentives still apply. Homeowners who lease through Palmetto’s LightReach program benefit from Palmetto’s commercial tax savings, passed through as lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Oklahoma Property Tax Exemption for Solar Energy Systems | Property Tax Exemption | Oklahoma law provides a 100% property tax exemption on the added home value resulting from a solar energy system installation, so your property tax bill won’t increase due to solar. | Learn More |
| Oklahoma Sales Tax Exemption for Solar Equipment | Sales Tax Exemption | Oklahoma exempts solar panels, systems, and related equipment from the state’s sales tax, reducing the upfront cost of going solar. | Learn More |
| Federal Battery Storage Tax Credit (Section 25D) | Tax Credit | Homeowners can claim a 30% federal income tax credit on the full installed cost of a new battery storage system of 3 kWh or larger, whether paired with solar or added to an existing system. | Learn More |
| Oklahoma Net Metering / Net Billing Policy | Net Metering | Oklahoma’s investor-owned utilities are required by the Oklahoma Corporation Commission to offer net metering for solar systems up to 300 kW, crediting excess generation against your electric bill. | Learn More |
| Solarize Oklahoma City — Community Group-Purchasing Program | Rebate | Solarize Oklahoma City is a community group-purchasing program that negotiates volume discounts on solar and battery storage installations for homeowners, businesses, and nonprofits in the Oklahoma City area. | |
| Renewable Energy Certificates (RECs) — Voluntary Market via North American Renewables Registry | SREC | Oklahoma solar owners can register their systems with the North American Renewables Registry (NAR) to track and sell Renewable Energy Certificates (RECs) on the voluntary market for supplemental income. |
Oklahoma law grants homeowners a 100% property tax exemption on any increase in assessed home value attributable to a solar energy system. This means that even though solar panels can add significant value to your property, your annual property tax bill will not go up as a result of installing them.
This exemption applies to residential homeowners statewide and is a permanent benefit under Oklahoma statute (17 O.S. § 156). There is no application deadline, and the exemption remains in effect for as long as the solar system is installed on the property.
To confirm eligibility and ensure the exemption is properly applied, contact your county assessor’s office after your solar system is installed. This is one of Oklahoma’s most straightforward and valuable solar benefits, effectively making the added home value from solar completely tax-free.
Oklahoma provides a sales tax exemption on the purchase of solar panels, solar energy systems, and related equipment. This exemption eliminates the state’s standard 4.5% sales tax on qualifying solar equipment purchases, directly reducing the upfront cost of your solar installation.
This benefit applies at the point of sale when purchasing solar equipment in Oklahoma. Because solar systems can cost tens of thousands of dollars, the savings from avoiding sales tax can be meaningful — for example, a $20,000 system would save approximately $900 in sales tax.
Note that some sources conflict on the current status of this exemption. Before purchasing, confirm eligibility with your solar installer and the Oklahoma Tax Commission to ensure the exemption is properly applied to your transaction.
The federal Section 25D Residential Clean Energy Tax Credit provides a 30% tax credit on the full installed cost of a new battery storage system with a capacity of 3 kWh or larger. This credit is currently active in 2026 and applies whether the battery is installed alongside a new solar system or added to an existing solar installation — no new solar panels are required to qualify.
There is no dollar cap on this credit, meaning larger battery systems receive proportionally larger credits. For example, a $10,000 battery installation would generate a $3,000 federal tax credit. To claim it, file IRS Form 5695 with your federal tax return for the year the system is placed in service. You must own the system outright — leased systems do not qualify.
This is currently one of the most significant financial incentives available to Oklahoma homeowners for energy storage. Given that Oklahoma’s net metering compensation is paid at below-retail avoided-cost rates, a battery storage system can help maximize the value of your solar energy by storing excess generation for use during peak-rate hours or outages.
The Oklahoma Corporation Commission (OCC) mandates that investor-owned utilities (IOUs) — including Oklahoma Gas & Electric (OG&E) and Public Service Company of Oklahoma (PSO) — offer net energy metering to customers with solar systems up to 300 kW in qualified rated capacity. Under net metering, your solar generation is netted against your consumption during each billing period, effectively crediting you at the full retail energy rate for every kilowatt-hour your system produces up to your usage level.
If your solar system produces more electricity than you consume in a billing period, the surplus is compensated at the utility’s avoided cost rate, which typically ranges from approximately $0.02 to $0.08 per kWh — below the retail rate you pay for incoming electricity. Bill credits roll forward indefinitely and can be applied to future electric bills, including fixed charges. The system size is capped at 125% of your expected on-site consumption to prevent oversizing.
Important limitations apply: many rural electric cooperatives and municipal utilities in Oklahoma are not required to offer net metering, so if you are served by a co-op, check directly with your provider. Additionally, OG&E has previously petitioned the OCC to reduce net metering compensation, so policy terms may evolve — monitoring OCC dockets is advisable for homeowners considering solar in Oklahoma.
Solarize Oklahoma City is a community-based group-purchasing program that aggregates demand for solar energy, battery storage, and other clean energy technologies across homeowners, businesses, and nonprofits in the Oklahoma City metropolitan area. By pooling participants together, the program negotiates volume discounts on both equipment and installation services from pre-vetted solar contractors.
Current group discount rates have reached 32%, with potential savings up to 40% as community participation grows throughout a campaign period. These discounts are applied directly to the cost of your solar or battery storage system, reducing the amount you need to finance or pay out of pocket — making this one of the most practical ways to lower installation costs in Oklahoma given the limited state-level incentives.
The program is open to residential homeowners as well as commercial and nonprofit entities in the Oklahoma City area. A similar program, Solarize Green Country, serves the Tulsa region and operates on the same platform. Contact the program organizers directly to learn about current campaign timelines and how to enroll.
Oklahoma solar system owners can generate and sell Renewable Energy Certificates (RECs) through the North American Renewables Registry (NAR). Each REC represents one megawatt-hour (MWh) of clean electricity generated by your solar system. RECs can be sold to businesses, utilities, or other buyers seeking to voluntarily offset their carbon footprint or meet sustainability goals.
A 10 kW residential solar system could potentially generate approximately $300 to $1,000 in annual REC revenue, depending on market conditions and buyer demand. To participate, contact the Oklahoma Corporation Commission for guidance on registering your system, then create an account with the NAR to begin tracking and listing your credits for sale.
It is important to note that Oklahoma does not have a mandatory Renewable Portfolio Standard (RPS) or an active Solar Renewable Energy Certificate (SREC) market. This means local demand for RECs is limited compared to states with strong RPS requirements, and REC values in Oklahoma may be lower and less predictable. REC sales should be considered supplemental income rather than a primary financial driver for going solar.
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Get a Free QuoteOklahoma Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Oklahoma’s wide-open skies and 230+ sunny days a year make it a strong candidate for solar. Seasonal storms and cloud cover exist, but they rarely diminish overall annual solar production significantly.
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
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Get My Custom EstimateSolar Installations in Oklahoma
Curious how many of your Oklahoma neighbors have already made the switch to solar? We’ve mapped solar installations across the country — all the way down to the neighborhood level. Explore the map below to see where communities across Oklahoma are going solar. Your street might be closer to the movement than you think!
Go Solar with LightReach — No Upfront Cost
If you’re looking to go solar in Oklahoma without a large upfront investment, Palmetto’s LightReach program offers a solar lease — available to customers of Oklahoma Electric Cooperative (OEC), Oklahoma Gas & Electric (OG&E), and Public Service of Oklahoma (PSO). With a solar lease, you pay a simple, fixed monthly amount rather than purchasing the system outright. That means no large cash outlay, no loan to manage, and no surprise maintenance bills.
Compared to buying a system in cash, leasing through LightReach removes the financial risk and the responsibility of ownership. Palmetto designs, installs, and maintains every system — including premium black solar panels, a high-efficiency inverter, permitting, and full project management. Since Palmetto owns the system, all maintenance and service is handled at no cost to you. And if your panels don’t meet Palmetto’s 90% Production Guarantee, you’ll receive a credit for the difference.
Unlike typical solar leases, LightReach centralizes everything into one inclusive price managed solely by Palmetto Finance — no hidden fees, no juggling multiple vendors. It’s a straightforward, low-risk way for Oklahoma homeowners to start saving on electricity from day one. Learn more about buying vs. leasing solar to decide which path makes the most sense for your home.
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 LeasingFrequently Asked Questions
Yes. The Oklahoma Corporation Commission (OCC) requires investor-owned utilities — including Oklahoma Gas & Electric (OG&E) and Public Service Company of Oklahoma (PSO) — to offer net metering for solar systems up to 300 kW. Your solar generation is credited against your consumption at the full retail rate each billing period.
If your system produces more than you use, surplus energy is compensated at the utility’s avoided cost rate (roughly $0.02–$0.08/kWh). Credits roll forward indefinitely. Note: rural electric cooperatives are not required to offer net metering, so co-op customers should check directly with their provider.
Yes — but only if you own the system outright. According to a Zillow study, homes with solar panels sell for approximately 4.1% more than comparable homes without them. For an Oklahoma home valued at $250,000, that could mean roughly $10,000 in added resale value.
This benefit applies to purchased or financed systems only — not leased systems. If you lease through a program like Palmetto’s LightReach, Palmetto owns the panels. When selling, the buyer would need to assume the lease agreement, which can complicate the transaction and does not typically add the same home value premium.
For Oklahoma homeowners, the most accessible way to go solar is through Palmetto’s LightReach lease — starting at $94/month with no upfront cost. Palmetto owns and maintains the system, includes a 90% Production Guarantee, and passes through commercial tax savings via lower monthly payments.
If you prefer a cash purchase, an 8.30 kW system in Oklahoma averages around $24,076. Note that the federal 30% residential solar tax credit was eliminated following the 2025 federal law change. Use the calculator above for a personalized estimate.
With Palmetto’s LightReach solar lease, Oklahoma homeowners pay one simple monthly payment that covers everything — the solar panel system, installation, monitoring, maintenance, and a 90% Production Guarantee. There is no upfront cost. For a typical 8.30 kW system in Oklahoma, the estimated monthly lease payment is approximately $94/month.
Because Palmetto owns the system, it claims the commercial Investment Tax Credit (ITC) and passes those savings to you through lower monthly payments — a meaningful advantage over cash purchases. Most Oklahoma homeowners start saving from day one, since the lease payment is typically less than their current electricity bill.
Oklahoma’s 5.4 average daily peak sun hours and 230+ sunny days per year support strong solar production. A typical 8.3 kW home system in Oklahoma can produce roughly 14,000–15,300 kWh annually — enough to offset most or all of an average household’s electricity use.
Actual output varies based on your roof’s pitch, orientation, shading from trees or structures, and seasonal weather. Production peaks in summer (around 49 kWh/day) and dips in winter (around 32 kWh/day). A site-specific assessment will give you the most accurate estimate for your home.
Oklahoma offers several solar incentives that can reduce the cost of going solar. These include a 100% property tax exemption on any added home value from solar, a sales tax exemption on solar equipment, net metering (required for investor-owned utilities like OG&E and PSO), and community group-purchasing discounts through Solarize Oklahoma City.
Note: the federal 30% residential solar tax credit was eliminated in 2025 for cash purchases. However, homeowners who lease through Palmetto’s LightReach program still benefit — Palmetto claims the commercial Investment Tax Credit and passes those savings through as lower monthly payments. A 30% federal battery storage credit (Section 25D) remains available for qualifying battery systems.
Yes, solar makes sense for many Oklahoma homeowners. With 5.4 average daily peak sun hours, 230+ sunny days per year, and electricity prices that have risen 21% since 2020, solar can meaningfully reduce your monthly energy costs. Oklahoma also offers a full property tax exemption and sales tax exemption on solar equipment, making the economics even more favorable.
The upfront cost barrier is no longer an obstacle. Palmetto’s LightReach solar lease lets Oklahoma homeowners go solar with no money down, a fixed monthly payment, and savings starting from day one — while Palmetto owns, monitors, and maintains the system with a 90% Production Guarantee included.