Illinois Solar Panels
In This Guide
Solar in Illinois
Considering solar panel installation in Illinois? Illinois ranks 12th in the nation for residential solar installations, and electricity prices in the state rose 22% from 2020 to 2024. These trends make it useful to understand what solar can—and can’t—do for your home.
Roof conditions, utility rules, system design, and payment options all shape the installation process. Start with our guide to home solar panels, then explore what Illinois homeowners should know before going solar.
Illinois Solar Panel Cost
Explore solar costs in Illinois using Palmetto’s real installation data from communities including Chicago, Springfield, and Peoria. Compare a no-upfront-cost LightReach lease, shown first with a monthly payment, and cash purchase. With LightReach, Palmetto owns and maintains your system, backed by a 90% Production Guarantee and comprehensive protection program.
System
- No upfront investment
- Palmetto handles all maintenance
- 90% Production Guarantee
- Comprehensive protection program included
Key Takeaways
- Illinois solar can work year-round, though shorter winter days, clouds, and snow affect production; roof, system design, and usage shape results.
- Illinois incentives vary by utility and eligibility, with programs for solar, batteries, exported power, and property-tax valuation; check current rules before installing.
- A LightReach lease has no upfront cost, with a fixed monthly payment; Palmetto owns and maintains it, with a 90% Production Guarantee and comprehensive protection.
Looking for More Detailed Illinois City Guides?
Explore our comprehensive solar guides for major cities across Illinois to find location-specific information on incentives, installers, and solar potential.
Aurora Solar Panels
Bloomington Solar Panels
Chicago Solar Installation
Elgin, IL
Solar in Evanston
Joliet, IL
Naperville Solar Installation
Peoria Solar Panels
Rockford
Springfield
Solar in Waukegan
Looking for information on our new Heat Pump offering?
Explore Illinois Heat PumpsIllinois Electricity Prices
Illinois electricity prices have risen since 2021. See how state rates compare with the national average—and how rooftop solar may help reduce grid purchases.
The average Illinois electricity price increased from 13.2 cents per kilowatt-hour in 2021 to 15.9 cents in 2024, about 20%. The 2024 national average was 16.5 cents per kilowatt-hour.
Solar panels can generate electricity at home, reducing how much power a household needs to buy from its utility. The amount offset varies with system size, household use, weather, and utility rules.
A LightReach lease offers no upfront investment and a low, fixed monthly rate, helping limit exposure to rising utility costs. Palmetto owns and maintains the system, with a 90% Production Guarantee and comprehensive protection program; utility bills may still apply.
Price of Energy: Illinois vs National Average
Illinois Area Utility Providers
Illinois electricity rates differed by utility in 2023, the latest data available: Ameren Illinois averaged 17.0¢ per kWh and ComEd 14.8¢. The state average was 15.70¢ per kWh, versus 16.0¢ nationally.
Ameren’s 2023 average was above both the Illinois and U.S. averages; ComEd’s was below both. The figures show a rate difference, but the information available here does not explain what caused it.
For Illinois households weighing solar, these rates offer useful context: panels generate electricity at home, while utility rates and rules affect how that power fits into household energy use. Individual results vary.
Illinois Utilities Electricity Rates
Illinois Solar Incentives
Illinois offers state and utility incentives that may help offset solar costs. Compare solar incentives in Illinois; eligibility and benefits vary by program, utility, and system.
Options include REC-contract value, income-qualified solar support, solar and battery rebates, exported-power credits, and alternate property-tax valuation. LightReach leases have no upfront cost; Palmetto owns and maintains the system, with a 90% production guarantee and comprehensive protection.
The Big Beautiful Bill ended the federal 30% residential credit, but state and utility incentives remain. With LightReach, Palmetto handles the commercial ITC, passing savings through as lower monthly payments.
| Incentive | Type | Description | Source |
|---|---|---|---|
| Illinois Shines (Adjustable Block Program) | Solar renewable energy credit (REC) incentive | Qualifying Illinois rooftop-solar and community-solar projects can earn REC-contract value, which may reduce a customer’s project cost or be passed through according to the customer’s contract. | Learn More |
| Illinois Solar for All (ILSFA) | Income-qualified solar incentive | Eligible households and certain nonprofits and public facilities can access qualifying solar or community solar with reduced or no upfront costs and required bill-savings protections. | Learn More |
| ComEd Distributed Generation Rebate | Utility solar rebate | Eligible ComEd residential and small-load customers may receive a rebate of $300 per kW for qualifying customer-owned renewable generation equipment. | Learn More |
| ComEd Residential Battery Storage Rebate | Utility battery storage rebate | Eligible ComEd residential customers may receive $300 per kWh of qualifying battery storage capacity, subject to utility program and tariff requirements. | Learn More |
| Ameren Illinois Distributed Generation Rebate (DS-1 and DS-2) | Utility solar rebate | Eligible Ameren residential DS-1 and small-commercial DS-2 customers may receive $300 per kW-DC for qualifying customer-owned solar generation. | Learn More |
| Ameren Illinois Battery Storage Rebate (DS-1 and DS-2) | Utility battery storage rebate | Eligible Ameren residential DS-1 and small-commercial DS-2 customers may receive $300 per kWh for qualifying battery storage charged by an on-site renewable generator. | Learn More |
| Illinois Net Metering and Net Billing | Net metering / net billing policy | Illinois utility billing rules credit eligible exported solar generation, with legacy full-retail service preserved for qualifying systems and supply-based credits generally applying to newer systems. | Learn More |
| Illinois Solar Energy System Property-Tax Valuation | Property-tax valuation provision | Eligible Illinois solar-energy-system improvements may use an alternate property-tax valuation process, which can limit how the system’s value is reflected in an assessment but is not an automatic tax exemption. | Learn More |
Illinois Shines supports qualifying on-site solar and community-solar projects by contracting for the renewable energy credits (RECs) the systems are expected to produce. For 2026–27, the published REC prices for small distributed-generation projects up to 10 kW AC are $70.37 per REC in Group A and $80.77 per REC in Group B; eligible customer-owned small systems that do not receive a federal clean-energy credit may qualify for an additional $20 per REC. A REC represents 1 MWh of generation, so the total value depends on estimated production, location, project category, and program rules—not simply system size.
The REC payment is made to the Approved Vendor, not automatically as a household rebate. The customer’s purchase, lease, or power-purchase agreement determines whether and how much value reaches the customer; review the Illinois Shines disclosure and contract before signing. Capacity and waitlist status can change, and qualifying small-system contracts approved on or after June 1, 2026 pay 50% at energization with the remainder paid over the following six years.
Illinois Solar for All uses REC contracts with approved project vendors to make solar more affordable for eligible participants. For qualifying residential rooftop projects, the program is structured to offer no upfront cost for many 1–4-unit homes, while other eligible properties may receive low- or no-upfront-cost offers; community-solar subscriptions are also available. The customer benefit is the project pricing and required savings protections, not a standard cash payment to every household.
Residential and community-solar household eligibility is generally based on gross income at or below 80% of Area Median Income, adjusted for household size and location. Program requirements, including savings, maintenance, and warranty protections, apply, and funding and application windows are limited. Confirm current eligibility and availability through the program before relying on an offer.
ComEd’s published rebate materials list a $300-per-kW rebate for qualifying residential and small-load customer-owned renewable generation. The rebate can lower the net upfront cost of an eligible solar installation, but the amount is based on qualifying system capacity and program rules; it is not a universal payment for every solar system.
Equipment, smart-inverter, interconnection, customer-class, and tariff requirements apply. If you are on legacy full-retail net metering, taking a generation rebate may affect your delivery-service credits or legacy billing status under the applicable utility rules. Confirm the current rebate terms and the effect on your specific net-metering arrangement with ComEd in writing before applying.
ComEd’s published program materials list a storage rebate of $300 per kWh for eligible residential and small-load customers. The rebate can reduce the cost of a qualifying battery, with the payment determined by eligible storage capacity and the program’s terms. ComEd’s materials specify hourly supply service (BESH) for the residential storage rebate.
Eligible equipment, smart-inverter, customer-class, and tariff requirements apply; verify whether the battery must be paired with or charged by an on-site renewable generator under the current terms. Storage receiving a rebate on or after June 1, 2026 may also be subject to scheduled-dispatch requirements, with ComEd’s filed rider indicating service may begin no later than March 1, 2027. Confirm the obligation and any compensation with ComEd before applying.
Ameren Illinois lists a $300-per-kW-DC rebate for qualifying distributed-generation systems for residential DS-1 and small-commercial DS-2 customers. The rebate can lower the upfront cost of eligible solar equipment; the amount is calculated using qualifying system capacity and is subject to the utility’s current program requirements.
Smart-inverter, equipment, interconnection, customer-class, and tariff rules apply. Ameren states that taking a generation rebate can affect delivery-service credits for customers with legacy net metering. Check your rate, interconnection date, and current tariff with Ameren before accepting the rebate, particularly if you have legacy full-retail net-metering service.
Ameren Illinois lists a $300-per-kWh rebate for eligible storage systems for residential DS-1 and small-commercial DS-2 customers. The rebate can offset part of the installed cost of a qualifying battery, based on its eligible capacity and the current utility program requirements.
Ameren requires storage included in a rebate application to be charged by an on-site renewable generator, and smart-inverter, equipment, interconnection, customer-class, and tariff requirements apply. Ameren indicates that a storage-only rebate does not trigger the specific legacy-net-metering consequence associated with a generation rebate, but customers should confirm their own tariff and billing treatment before applying.
Eligible systems that were receiving the former full-retail net-metering service before January 1, 2025 generally retain that service for the system’s lifetime, subject to statutory and tariff terms. New solar customers generally receive credits for excess generation in the supply portion of the bill rather than full retail credits for both supply and delivery. The value of exports therefore depends on the applicable utility tariff, and using more solar electricity at home can be more valuable than exporting it.
Illinois law also addresses net metering for qualifying energy-storage systems energized after the law’s effective date, subject to capacity and tariff requirements. Net metering is a billing credit, not a cash rebate. Utility generation rebates can affect billing arrangements for some legacy customers, so check the utility’s current tariff and obtain confirmation about the impact of any rebate before committing.
Illinois law provides an alternate valuation process for eligible solar-energy-system improvements. A property owner may file a claim with the county chief assessment officer; depending on the system, property, and applicable assessment rules, the process can affect the assessed value used to calculate property taxes and may reduce the tax impact compared with ordinary valuation.
This is not a blanket exemption from property taxes and does not guarantee a particular dollar savings. Eligibility and the valuation calculation depend on the property and system, and the owner must follow the applicable filing process. Contact the county assessor and review the Illinois Department of Revenue guidance to determine whether your installation qualifies.
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Get a Free QuoteIllinois Solar Irradiance
Solar panel production varies throughout the year based on daylight hours, weather patterns, and sun intensity. Illinois solar production varies with shorter winter days, lower sun angles, cloud cover, and snow, but properly sized systems can still generate useful power year-round across the state.
What Can the Average Illinois Solar System Power?
Summer Production (July)
In July, your 10 kW system could power:
- 3.6 average Illinois 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 Illinois 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
See how affordable solar leasing can be for your home
Get a personalized LightReach quote based on your home, energy usage, and roof — no upfront cost required.
Get My Custom EstimateSolar Installations in Illinois
We’ve organized solar installation data across the United States and are excited to share this interactive map of Illinois. Explore the hexagons to see installation counts in different areas and discover the neighborhoods and communities where your neighbors have made the switch to solar.
How to Choose a Solar Installer in Illinois
Verify the license
Illinois does not have a general state contractor license. Instead, Illinois Commerce Commission (ICC) certification is required before covered distributed-generation installation work—generally, the electrical wiring and connections needed to interconnect a system with the utility distribution system. Planning or project management alone is not covered, so ask who will do each part of the work. Look up ICC-certified distributed-generation installers and check that the certification matches the crew’s scope. Roofing work may separately require an IDFPR roofing-contractor license, depending on scope; ask who is doing that work and what credential applies.
Look for certified installers
Ask which people on your project hold NABCEP certifications and which manufacturer certifications the installer has. Confirm what each credential covers, whose name it is in, and whether it applies to the equipment in your proposal. Learn about NABCEP certification. These credentials can help you compare qualifications, but they do not replace required ICC certification for covered work or guarantee a particular system’s performance.
Compare quotes the same way
Request written proposals with matching assumptions, then compare these details side by side:
- System size: quoted capacity in kilowatts (kW), not just the number of panels.
- Price: total cost and price per watt, calculated consistently across quotes.
- Equipment: panel and inverter brands and models.
- Production: estimated electricity generation in kilowatt-hours per year (kWh/year), plus the assumptions behind the estimate.
- Warranties: panel product and performance, inverter, workmanship, and roof penetrations; ask who handles a claim.
- Project responsibilities: who handles local permits, inspections, and the utility interconnection application.
- Payment: total price or monthly payment, financing or lease terms, and any payment escalator.
Permits, interconnection and your HOA
For privately funded residential work, the local unit of government handles any required plan review, permits, and inspections; requirements vary by location. The homeowner or installer applies to the electric distribution company (EDC) serving the property. Depending on location, that may be Commonwealth Edison Co, Ameren Illinois Company, MidAmerican Energy Co, or City of Springfield – (IL). Ask who submits the interconnection request and get that responsibility in writing. Illinois law limits HOA restrictions: an association may not prohibit or effectively prohibit a solar energy system. Design and configuration rules are allowed within limits, including that they cannot reduce estimated annual production by more than 10% (765 ILCS 165/15 and 165/20).
Red flags
- Pressure to sign the same day or before you can review the full proposal and contract.
- Unlicensed crews, or out-of-state crews whose company, work scope, or applicable Illinois credentials the installer will not identify. Out-of-state status alone does not establish whether the required credentials are in place.
- A vague production estimate with no annual kWh figure or explanation of assumptions.
- A large upfront deposit without a clear written schedule of payments and work.
- Promises that a homeowner purchase made in 2026 qualifies for federal homeowner tax credits; those credits ended December 31, 2025.
Go Solar with LightReach — No Upfront Cost
In Illinois, a solar Power Purchase Agreement (PPA) is available to eligible homeowners served by ComEd or Ameren. Availability depends on your utility and location. Options are marked future for the City of Naperville, City of Springfield (City Water, Light & Power), and MidAmerican Energy.
A lease has a fixed monthly payment; a PPA charges for the electricity your panels produce at an agreed price per kilowatt-hour, so payments can vary with seasonal production. Compare buying or leasing solar to understand the differences.
With LightReach, there’s no upfront system purchase, and Palmetto owns, installs, maintains, and services the system, unlike a cash purchase where you own the equipment and arrange maintenance. The plan includes a 90% Production Guarantee and comprehensive protection program. Learn more about LightReach.
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. Illinois has net metering, but the credit depends on when your solar system became eligible and your utility’s tariff. Systems receiving the former full-retail net-metering service before January 1, 2025 generally keep it for the system’s lifetime, subject to applicable rules.
For newer solar installations, excess electricity is generally credited toward the supply portion of the bill, not both supply and delivery charges. Credits are billing adjustments, not cash rebates; using more solar power at home may be more valuable than exporting it. Check your utility’s current tariff, especially before accepting a generation rebate.
Yes, a home in Illinois may be worth more with solar panels that the homeowner owns. A Zillow study found homes with solar sold for approximately 4.1% more on average. That figure is not a guaranteed increase for every Illinois home; local market conditions, system condition, and expected energy savings matter.
This potential value increase applies to purchased or otherwise homeowner-owned systems, not leased or third-party-owned (TPO) systems. A leased system may affect resale differently because the buyer may need to assume the lease agreement.
In Illinois, a LightReach solar lease can start at about $79 per month with no upfront cost, based on the typical 9.84 kW system shown in the calculator above. Palmetto owns and maintains the system, and the lease includes a 90% Production Guarantee and comprehensive protection program.
As an alternative, the calculator estimates a cash purchase at about $28,095 for that system. The federal 30% solar tax credit is no longer available for residential cash purchases following the 2025 federal law change. Actual costs depend on your home and system; see the calculator above for estimates.
With a solar lease, the provider owns the panels; you pay a monthly amount, with no upfront cost. An Illinois 9.84 kW system is estimated at $79/month, using 1,134 kWh/kW/year production and $0.085/kWh.
Palmetto’s LightReach includes installation, monitoring, maintenance, comprehensive protection, and a 90% Production Guarantee. Palmetto owns the system, claims the commercial 30% ITC, and passes savings through lower payments. Payments are typically below current electricity bills, so savings can start day one; utility charges may remain.
Yes, solar panels work in Illinois’s climate. The state averages about 4.5 peak sun hours daily, and panels can still produce electricity on cloudy days, though output is lower than in direct sunlight.
Production changes by season: shorter winter days, lower sun angles, cloud cover, and snow reduce output. As an example, a 10 kW system is estimated to produce about 51.2 kWh per day in July and 18.4 kWh in December; actual results depend on the home and weather.
Illinois incentives include Illinois Shines renewable-energy-credit (REC) value (customer benefit depends on the contract), Illinois Solar for All reduced- or no-upfront-cost options for income-qualified households, and ComEd/Ameren rebates ($300/kW for solar; $300/kWh for qualifying batteries). Terms vary.
Utility export credits and alternate property-tax valuation (not an exemption) may apply. The federal 30% residential credit ended for cash purchases after 2025. Palmetto claims the commercial ITC for LightReach and passes savings through; Palmetto owns and maintains leased systems, with a 90% Production Guarantee and comprehensive protection.
Solar panels are low maintenance in Illinois. Rain usually rinses away dust, and snow often melts or slides off; check your system’s output and contact a qualified professional if you notice damage or a drop in production.
With LightReach, Palmetto owns the system and handles monitoring, maintenance, and repairs at no extra cost. The plan also includes a 90% Production Guarantee.