Nathan Healy
Certified by Nathan Healy
Updated: July 2026
Quality Solar Panels Since 2011
Palmetto has served 20,000+ customers across 31 states with an approval rating over 85%.
About Nathan Healy

Nathan Healy is a Vice President at Palmetto, where he helps homeowners cut through the confusion around solar and figure out whether it actually pencils out for their home, roof, and budget. With energy prices climbing and the federal incentive landscape shifting, his focus is simple: give people a straight, honest answer instead of a sales pitch.

He reviews Palmetto’s local solar guides so the costs, incentives, and utility details on this page reflect what’s really happening in your area.
He believes in solar so much, that he had Palmetto install solar on his own parents’ house, the home he grew up in.

01

Solar Power in Los Angeles

If you’re considering solar installation in Los Angeles, you’re in good company. California ranks first in the nation for residential solar installations, as more Angelenos look for ways to take control of their energy.

Rising costs are a big reason why. California has the second highest utility prices in the country, prompting LA homeowners to explore their options. This guide breaks down what solar installation looks like in Los Angeles, so you can make a confident, informed decision. To go deeper, explore our complete guide to home solar panels.

CALIFORNIA by the Numbers

1st Most residential solar in the United States
1926 Households have installed solar panels
6.0 Avg peak sun hours per day
~$105k Los Angeles average savings over 25 years
02

How Much Do Solar Panels Cost in Los Angeles, CA?

See real solar installation costs for Los Angeles, based on our firsthand data from actual local homes. Whether you live in Pasadena, Long Beach, Santa Monica, Glendale, or Torrance, this calculator uses genuine numbers from your area to help you understand what solar could cost near you.

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 California.
Recommended
System
6.67 kW
Your Monthly Payment
Estimated monthly cost with LightReach
$88/mo
As low as
$88/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

  • Los Angeles electricity prices keep climbing, rising from 22.8¢ to 31.9¢ per kWh in just three years—nearly double the national average.
  • Solar can save LA homeowners around $105,000 over 25 years, thanks to abundant sunshine averaging 6 peak sun hours per day.
  • Leasing solar means no upfront cost, since Palmetto owns and maintains the system while you enjoy a predictable, fixed monthly payment.
05

Los Angeles Electricity Prices

Ever wonder why your LADWP bill keeps climbing? In Los Angeles, electricity costs have risen sharply, and understanding the trend can help you plan ahead.

California’s average electricity price jumped from 22.8 cents per kWh in 2021 to 31.9 cents in 2024. That’s nearly double the national average of 16.5 cents, and rates in Los Angeles keep trending upward.

Solar panel installation lets you generate your own power from Southern California’s abundant sunshine. By producing electricity at home, many Angelenos reduce how much they buy from the grid at these rising rates.

Over time, that shift can add up. As grid prices continue to climb, solar helps you lock in more predictable energy costs and gives you greater control over your home’s energy future.

Price of Energy: California vs National Average

10¢
20¢
30¢
40¢
13.7¢
22.8¢
15.0¢
25.8¢
16.0¢
29.5¢
16.5¢
31.9¢
2021
2022
2023
2024
US Average
California

Los Angeles Area Utility Providers

Los Angeles homeowners get power from two main utilities: LADWP and Southern California Edison (SCE). In 2023, the latest data available, LADWP charged about 23.0¢ per kWh, while SCE charged around 32.3¢ per kWh.

Both sit well above the 2023 national average of 16.0¢ per kWh. LADWP falls just under California’s 2023 state average of 29.5¢, while SCE runs above it. Los Angeles is a high-cost service area, which pushes rates up.

Several factors drive these higher rates, including aging infrastructure, wildfire prevention, and the cost of delivering power across a large region. With electricity this expensive, many Angelenos explore solar as a way to better understand and manage their long-term energy costs.

Los Angeles Utilities Electricity Rates

LADWP
23.00¢
+44%
SCE
32.30¢
+102%
CA Average
29.50¢
+84%
US Average
16.0¢
06

California Solar Incentives

Several state and local programs can help offset the cost of going solar. Explore the available solar incentives in California to see what you may qualify for.

Los Angeles homeowners have options like DAC-SASH, SGIP RSSE, SOMAH, and the Disadvantaged Communities Green Tariff. PACE financing offers no-money-down installation, and Pasadena Water and Power provides local rebates for residential customers.

While the federal 30% tax credit has ended, these state and local incentives remain. Leasing through LightReach also simplifies things, since Palmetto handles the commercial ITC and passes savings along.

Incentive Type Description Source
DAC-SASH – Disadvantaged Communities Single-Family Solar Homes Program Rebate DAC-SASH provides up to $3 per watt in solar installation rebates — effectively free solar — for income-qualified homeowners in California’s designated disadvantaged communities, administered by GRID Alternatives. Learn More
SGIP RSSE – AB 209 Residential Solar and Storage Equity Program Rebate The AB 209-funded RSSE program offers low-income California households up to $1,100/kWh for battery storage and $3,100/kW for paired solar, potentially covering 100% of installation costs. Learn More
SOMAH – Solar on Multifamily Affordable Housing Rebate SOMAH provides solar installation incentives of up to $3.50 per AC Watt for multifamily affordable housing properties, with benefits directed to low-income tenants, and is active through 2032. Learn More
DAC-GT – Disadvantaged Communities Green Tariff Rebate The DAC-GT program gives income-qualified residents in disadvantaged communities who cannot install rooftop solar a 20% discount on their electricity bill by crediting them with utility-scale clean energy. Learn More
PACE Financing – Property Assessed Clean Energy Rebate California’s PACE program allows homeowners to finance solar and battery storage installations with no money down, repaying the loan through their property tax bill over 10–20 years. Learn More

The Disadvantaged Communities – Single-Family Solar Homes (DAC-SASH) program offers income-qualified homeowners in disadvantaged communities an incentive of up to $3 per watt for solar systems between 1 and 5 kW, which can effectively cover the full cost of a rooftop solar installation. The program is active through 2030 and is administered by GRID Alternatives, a nonprofit organization. Applications are processed directly by GRID Alternatives — not through private solar installers — so homeowners in Los Angeles should contact them directly to begin the process.

To be eligible, you must meet all three of the following criteria: (1) receive electric service from PG&E, SCE, or SDG&E (2) own and occupy a single-family home as your primary residence; and (3) live in a disadvantaged community (DAC) as identified by the CalEnviroScreen 4.0 map (top 25% of census tracts statewide). Additionally, your total household income must fall within CARE or FERA program limits — through May 31, 2026, that means no more than $52,875 for a 1–2 person household or $94,125 for a 5-person household.

DAC-SASH is one of California’s most impactful solar equity programs, specifically designed to bring the benefits of rooftop solar to households that would otherwise be priced out. To apply or check eligibility, complete the online form at GRID Alternatives’ website or call toll-free at (866) 921-4696. Because this program targets underserved communities, it also includes workforce development and solar job training components.

The Residential Solar and Storage Equity (RSSE) program, funded through AB 209 with $280 million in state appropriations, is the most generous solar and battery incentive currently available in California. It offers $1,100/kWh for battery storage and $3,100/kW for paired solar installations, with the potential to cover 100% of system costs for qualifying low-income households. The program opened for reservations on June 2, 2025, and is available to customers of PG&E, SCE, SDG&E, and LADWP (LADWP applications were expected to open by end of 2025). Since most of Los Angeles is served by LADWP, this program is relevant to many Los Angeles homeowners.

Eligibility requires that your household income be at or below 80% of the Area Median Income (AMI), or that you are enrolled in an income-based assistance program such as CARE or FERA. Preference is given to households located in designated disadvantaged communities (DACs), high fire-threat zones, or areas that have experienced repeated Public Safety Power Shutoffs (PSPS). The incentive is structured as a rebate applied to the installed cost of the system and cannot exceed total project costs.

As of April 2026, most RSSE sub-budgets are fully reserved and new applicants are being placed on a waitlist. However, some sub-budgets (such as the SCE RSSE-AB 209 POU sub-budget) have shown small amounts of remaining funding. Homeowners are encouraged to apply through the official SGIP portal at selfgenca.com to secure a waitlist position, as additional funding rounds may become available. This program can be combined with the DAC-SASH solar rebate for maximum savings.

The Solar on Multifamily Affordable Housing (SOMAH) program provides financial incentives for installing solar photovoltaic systems on multifamily affordable housing properties in California, including Los Angeles. Building owners and affordable housing developers can receive up to $3.50 per AC Watt for solar generation that directly benefits tenants, and $1.19 per AC Watt for systems serving common areas. The program is funded by up to $100 million annually from electric utility Greenhouse Gas Auction Proceeds and has been extended through 2032 under Senate Bill 355 (2023).

SOMAH is designed to bring the economic benefits of solar energy to low-income renters who cannot install their own rooftop systems. Eligible properties must be located in California’s disadvantaged communities (DACs), defined as census tracts scoring in the top 25% statewide on the CalEnviroScreen tool. The program is administered by a consortium of nonprofits including the Center for Sustainable Energy (CSE), GRID Alternatives, the Association for Energy Affordability (AEA), and the California Housing Partnership Corporation (CHPC).

As of May 22, 2026, SOMAH has paused integrated battery storage incentive additions in PG&E service territory until further notice, though solar-only incentives remain available. A waitlist form is available for active applications in the PowerClerk portal. Property owners and developers interested in the program should visit calsomah.org for eligibility details, application instructions, and to connect with program administrators.

The Disadvantaged Communities – Green Tariff (DAC-GT) program is designed for income-qualified residents in disadvantaged communities who are unable to install rooftop solar — such as renters or homeowners with unsuitable roofs. Through this program, eligible customers receive a 20% discount on their electricity bill by being credited with energy from utility-scale clean energy sources. The program is available through PG&E, SCE, and SDG&E and was approved and improved by the CPUC as part of a broader 2024 decision that also launched the new Community Renewable Energy (CRE) Program.

To qualify, customers must meet the income eligibility requirements for either the California Alternate Rates for Energy (CARE) or Family Electric Rate Assistance (FERA) programs, and must reside in a designated disadvantaged community (DAC). This program is specifically intended for those who cannot participate in rooftop solar programs like DAC-SASH or SOMAH, ensuring that the benefits of clean energy reach all income levels in underserved communities.

The DAC-GT program requires no installation or upfront cost — the bill discount is applied directly to your monthly electric bill once you are enrolled. Customers interested in enrolling should contact their utility (PG&E, SCE, or SDG&E) directly or visit the CPUC’s program page for more information. This program can be a meaningful source of ongoing savings for renters and others who lack access to traditional solar incentives.

Property Assessed Clean Energy (PACE) financing is a state-supported program administered by the California Department of Financial Protection and Innovation (DFPI) that allows homeowners to install solar panels and battery storage systems with no money upfront. Instead of a traditional loan, the financing is tied to your property and repaid through your property tax bill over a period of typically 10 to 20 years. Because the debt is secured by the property rather than the borrower, PACE programs often offer competitive interest rates and are accessible to homeowners in Los Angeles who may not qualify for traditional financing.

One of the key advantages of PACE financing is that it is transferable — if you sell your home, the remaining balance can transfer to the new owner along with the property, which can be a selling point when marketing a solar-equipped home. PACE financing can be used for solar panel systems, battery storage, and other qualifying clean energy improvements. California is one of only a handful of states that offers PACE financing, making it a unique option for homeowners in the state.

It is important to understand that PACE is a loan, not a grant or rebate — you will pay interest over the life of the financing term, and the repayment obligation is attached to your property. Homeowners should carefully review the terms, interest rates, and total cost before entering a PACE agreement. The DFPI provides consumer protections and oversight for PACE providers in California. PACE financing can be combined with other incentives such as SGIP battery rebates and the property tax exclusion to reduce overall system costs.

Ready to start saving with solar?

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

Get a Free Quote
07

Los Angeles 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.

Los Angeles enjoys abundant sunshine year-round, making it ideal for solar. Occasional coastal marine layer and mild winters slightly affect production, but even cloudier cities can generate strong solar with the right system.

Solar Production in Los Angeles 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 Los Angeles

We’ve mapped solar installations across the country, right down to the neighborhood level. Explore this interactive map of Los Angeles to see how many homes near you have already switched to solar. Just click a hexagon to discover how your community is embracing clean energy.

09

Leasing Solar Panels

Most Los Angeles homes are served by LADWP, and Palmetto offers a solar lease here through LightReach. You pay one fixed monthly amount based on your system’s estimated yearly production, so your costs stay steady and predictable all year long.

Unlike paying cash up front, a lease means no large investment to recoup. Palmetto owns the system and handles all maintenance, monitoring, and repairs, so you don’t have to. You simply enjoy the clean energy your panels produce from day one.

Not sure which path fits your home? Our guide on whether to buy or lease solar panels walks through the tradeoffs so you can choose with confidence.

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. Most Los Angeles homes are served by the Los Angeles Department of Water & Power (LADWP), which offers 1:1 net metering. Excess energy your panels send to the grid becomes a dollar credit on your account that can roll over month to month.

Because LADWP is a municipal utility, California’s newer NEM 3.0 rules do not apply. Credits roll over indefinitely and are used toward future electric charges, though they aren’t paid out as a check.

Yes, in Los Angeles, solar panels can increase your home’s value—but this applies to purchased or owned systems. A Zillow study found homes with solar sell for about 4.1% more.

Leased systems, like Palmetto’s LightReach, work differently, since Palmetto owns the equipment. Rather than adding home value, a buyer may assume the lease agreement at sale, which can affect resale in other ways.

With a LightReach lease, Los Angeles homeowners can go solar for a low fixed monthly payment—starting around $88/mo for an average home—with no upfront cost. Palmetto owns and maintains the system.

If you prefer to buy, a cash purchase for a medium-sized LA home runs about $19,288. Note that the federal 30% tax credit is no longer available for residential cash purchases after the 2025 federal law change. See the calculator above for pricing by home size.

With a solar lease, LightReach owns the panels while you pay one simple monthly amount covering installation, monitoring, maintenance, and a 90% Production Guarantee. In Los Angeles, a typical 6.67 kW system runs about $88/month, with no upfront cost.

Because Palmetto owns the system, it claims the commercial tax credit and passes those savings to you through lower payments. Since the lease is often less than your current LADWP or SCE bill, many homeowners save from day one.

At Palmetto, we combine national expertise with a local focus, having completed 13,826 installs across California since 2020. In Los Angeles, we pair Southern California’s abundant sunshine with a trusted local install network to help you go solar with confidence.

We also offer some of the best financing options in the industry, including our LightReach lease with no upfront cost, predictable monthly payments, and full maintenance handled by us.

Yes. Los Angeles averages about 6 peak sun hours per day and enjoys abundant sunshine year-round, making it one of the best climates in the country for solar.

Production does shift with the seasons. A 10 kW system produces around 55.6 kWh/day in July versus 32.4 kWh/day in December, with shorter winter days and the occasional coastal marine layer. Panels still generate power on cloudy days, just at reduced output.

For many Los Angeles homeowners, solar can make strong financial sense. With LADWP and SCE rates now near 31.9¢ per kWh, generating your own power from LA’s abundant sunshine helps offset rising utility costs.

Leasing through LightReach lets you start saving from day one, with no upfront investment. Your fixed monthly lease payment is typically less than your current electricity bill, so you can begin lowering your energy costs immediately while Palmetto handles all maintenance.