Summary of Washington solar incentives 2021
Governor Jay Inslee needs some introductory theme music for this page. It should be snappy, hot, and full of swagger. In 2019, he helped lead a coalition of smart solar policy warriors to finally get the new solar law enacted they’ve wanted for ages.
That law, The Solar Fairness Act, expanded net metering and re-introduced a sales tax exemption for solar. All that support from the legislature adds up to a big jump in your solar incentive savings.
On this page, you can:
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Learn what solar incentives are available to Washington homeowners
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See what Washington solar incentives you qualify for based on your utility company and city
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Find out how much these incentives and/or Washington solar tax credits will reduce your cost to go solar and add batteries
Federal solar investment tax credit
The federal solar investment tax credit will have the biggest impact on the cost you will face to go solar in Washington
This perk is commonly known as the ITC, short for “Investment Tax Credit”. If you install your photovoltaic system in 2020, the federal tax credit is 26% of the cost of your solar panel system. This is 26% off the entire cost of the system including equipment, labor and permitting.
Example: If your solar energy system costs $20,000, your federal solar tax credit would be $20,000 x 26% = $5,200.
The federal tax credit falls to 22% at the end of 2022.
Net energy metering in Washington
With net metering in some states, you get full retail rate credit for the amount of electricity you send back into the grid with your solar panels.
In 2019, Washington expanded its net metering requirements eightfold. This change should give the solar industry some much needed stability.
The best net metering laws make sure that you get the full retail value of every kilowatt-hour (kWh) of surplus you produce with your solar panels – either in credit to future bills or, if you consistently run a surplus, cash payments at the end of a regular accounting period.
In Washington however, any net surplus you have accumulated and not used as a bill credit are forfeited to the utility on March 31st of each year, without compensation. Don’t fret! This just requires a little more planning to make sure you don’t install more solar power capacity than you will use each year.
Washington solar rebates
While Washington does not have a dedicated state rebate for solar panel installation, some manufacturers like LG offer their own solar rebates. These programs are usually time sensitive. For example, LG offers a $600 solar rebate on their equipment, which your installer can help you redeem over the next year.
Sales tax exemption
In 2019, Washington restarted its 100% sales tax exemption on all equipment, all labor, and all services related to the installation of that equipment from all sales and use taxes on home solar systems up to 10kW. As the sales tax in Washington is currently 9%, that’s nothing to sneeze at when purchasing equipment that costs twenty to thirty thousand dollars. We’d love to see that 10kW maximum bumped up, but otherwise, that’s a model law right there. No twists, no tricks, just savings for smart solar energy.
Cost of solar panels in your part of Washington after all applicable solar incentives
Showing data for:
Prices based on a 11.7kW system, after 26% federal tax credit
Solar prices near you
Payback period
10.7-13.1 years
Net profit (savings less system cost)
$29,997-$36,663
Average size system installed in WA in 2021
11.7kW
Solar panel cost calculator
Best 10 solar companies in Washington
44 solar companies in Washington provide pricing on SolarReviews. Here are the best rated companies near you.
4.85 182 Reviews
Latest review
Dalmeida, over 1 month
The entire process went smoothly and professionally from the analysis/system bid,to the installation and finally the system commissioning.
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Latest review
Dalmeida, over 1 month
The entire process went smoothly and professionally from the analysis/system bid,to the installation and finally the system commissioning.
4.81 97 Reviews
Latest review
Danny, over 1 month
Extremely professional. Everyone answered my questions, patiently as I had a lot of technical questions. I got a high quality non-Chinese made system that will pay for itself in about 7-10 years with a 25 yr warranty.
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Average cost (5kW system)
$14,750 ($2.95 per watt)
Latest review
Danny, over 1 month
Extremely professional. Everyone answered my questions, patiently as I had a lot of technical questions. I got a high quality non-Chinese made system that will pay for itself in about 7-10 years with a 25 yr warranty.
4.79 246 Reviews
Latest review
ReneeR, over 1 month
We just completed our solar design and install project with Artisan Electric (www.artisanelectricinc.com) It was an outstanding professional experience overall — smoothly managed, and super pleasant people to work with from the beginning to end. And their follow-up to my subsequent questions has also been excellent. From the first inquiry over the Artisan website (www.artisanelectricinc.com) to the first conversations with the rep about the various system options; and on through the design and layout process with him; on into the site preparation walk-through with the general foreman; and all throughout the install experience with the crew. The crew was always prompt, professional, and managed a clean, well-organized work project space in/around our house, and they were all super pleasant to work with. Strong team! More to the point when we hit an install hiccup — upon seeing the panels layout on the front street side of our low flat roof and were unhappy with the way it looked (not Artisan’s fault but a failure of imagination on our part) — we deeply appreciated the quick response to my email about it from our Artisan rep and the crew’s professional “let’s put our heads together and find a solution” mentality. In my experience that's where the rubber really hits the road with any contractor and everyone involved managed an efficient, calm, and solutions-oriented approach in partnership with us that ended up with an even-better solution. We also appreciate a union crew and seeing diverse representation on it. That matters to us — in addition to high quality, fairly priced work. ;)
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Latest review
ReneeR, over 1 month
We just completed our solar design and install project with Artisan Electric (www.artisanelectricinc.com) It was an outstanding professional experience overall — smoothly managed, and super pleasant people to work with from the beginning to end. And their follow-up to my subsequent questions has also been excellent. From the first inquiry over the Artisan website (www.artisanelectricinc.com) to the first conversations with the rep about the various system options; and on through the design and layout process with him; on into the site preparation walk-through with the general foreman; and all throughout the install experience with the crew. The crew was always prompt, professional, and managed a clean, well-organized work project space in/around our house, and they were all super pleasant to work with. Strong team! More to the point when we hit an install hiccup — upon seeing the panels layout on the front street side of our low flat roof and were unhappy with the way it looked (not Artisan’s fault but a failure of imagination on our part) — we deeply appreciated the quick response to my email about it from our Artisan rep and the crew’s professional “let’s put our heads together and find a solution” mentality. In my experience that's where the rubber really hits the road with any contractor and everyone involved managed an efficient, calm, and solutions-oriented approach in partnership with us that ended up with an even-better solution. We also appreciate a union crew and seeing diverse representation on it. That matters to us — in addition to high quality, fairly priced work. ;)
4.79 129 Reviews
Latest review
Salty Sailor , over 1 month
Customer service was fantastic. Very responsive to our needs and schedule. Installers have great chemistry and I can't speak highly enough about their work. You'd be making the wrong move to go with anyone else. Best on the OP!
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Latest review
Salty Sailor , over 1 month
Customer service was fantastic. Very responsive to our needs and schedule. Installers have great chemistry and I can't speak highly enough about their work. You'd be making the wrong move to go with anyone else. Best on the OP!
4.70 104 Reviews
Latest review
Scott Rivers, over 1 month
Great reviews and customer service!
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Latest review
Scott Rivers, over 1 month
Great reviews and customer service!
4.70 103 Reviews
Latest review
Jim Guay, over 1 month
The installation took a long time due to the pandemic but that is understandable and the product seems to be very good.
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Latest review
Jim Guay, over 1 month
The installation took a long time due to the pandemic but that is understandable and the product seems to be very good.
4.64 59 Reviews
Latest review
JJohnson, over 1 month
We chose Puget Sound Solar for our residential solar installation. After gathering quotes from three different vendors in the area, we chose PSS for their competitive pricing, clear and understandable quoting; timeliness, and great communication. They were patient with me as I planned for this project for almost two years. Once we were ready to make a decision, they made the entire process extremely simple and were always quick to respond to any questions I had. The installation and electrician teams were quick, friendly, and did excellent work. I especially liked the electrician's attention to aesthetic detail when running the conduit along the side of our house! Also, huge props to Project Manager Clayton who was our main point of contact after signing a contract. He was always available to help us through the project and even got our project moved a week ahead of schedule, which is crucial when trying to take advantage of the long summer days in Seattle. Would HIGHLY recommend the Puget Sound Solar team for your residential or commercial solar install!
Read more
Latest review
JJohnson, over 1 month
We chose Puget Sound Solar for our residential solar installation. After gathering quotes from three different vendors in the area, we chose PSS for their competitive pricing, clear and understandable quoting; timeliness, and great communication. They were patient with me as I planned for this project for almost two years. Once we were ready to make a decision, they made the entire process extremely simple and were always quick to respond to any questions I had. The installation and electrician teams were quick, friendly, and did excellent work. I especially liked the electrician's attention to aesthetic detail when running the conduit along the side of our house! Also, huge props to Project Manager Clayton who was our main point of contact after signing a contract. He was always available to help us through the project and even got our project moved a week ahead of schedule, which is crucial when trying to take advantage of the long summer days in Seattle. Would HIGHLY recommend the Puget Sound Solar team for your residential or commercial solar install!
4.63 49 Reviews
Latest review
Anonymous, over 1 month
Ground mount of 36 panel Washington made system with e gauge monitor. Been watching daily through the winter months and we are producing about 1/2 of our power needs, and the best is just beginning! Highly recommend the e gauge monitor (extra 600$) can watch daily production on I pad, see where your use is greatest and what kinds of days are best. Can break out stats from 10 minute intervals up to monthly,yearly. It has really made us aware of what and when we use the most (Water heater ). Totally satisfied with all aspects of South Sound Solar, before,during and after instal. Looking forward to great production this Summer.
Read more
Latest review
Anonymous, over 1 month
Ground mount of 36 panel Washington made system with e gauge monitor. Been watching daily through the winter months and we are producing about 1/2 of our power needs, and the best is just beginning! Highly recommend the e gauge monitor (extra 600$) can watch daily production on I pad, see where your use is greatest and what kinds of days are best. Can break out stats from 10 minute intervals up to monthly,yearly. It has really made us aware of what and when we use the most (Water heater ). Totally satisfied with all aspects of South Sound Solar, before,during and after instal. Looking forward to great production this Summer.
4.63 26 Reviews
Latest review
Harley , over 1 month
We were adding solar to our shop and got several bids. Cascadia Solar was happy to come look at our project, and promptly came up with reasonable options and pricing. We found them to communicate well with us and the job was quickly completed. We would recommend them to our friends and neighbors.
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Latest review
Harley , over 1 month
We were adding solar to our shop and got several bids. Cascadia Solar was happy to come look at our project, and promptly came up with reasonable options and pricing. We found them to communicate well with us and the job was quickly completed. We would recommend them to our friends and neighbors.
4.61 26 Reviews
Latest review
Anonymous, over 1 month
OK, it wasn't a solar job but a backup for my whole house using a propane powered generator. They were on time, did a fantastic job, and did a super clean install. I can't say enough good about them. Hard to believe they are electricians because they show up prepared and get the job done quickly and efficiently. I just wish they also did work where my other homes are located, they are that good.
Read more
Latest review
Anonymous, over 1 month
OK, it wasn't a solar job but a backup for my whole house using a propane powered generator. They were on time, did a fantastic job, and did a super clean install. I can't say enough good about them. Hard to believe they are electricians because they show up prepared and get the job done quickly and efficiently. I just wish they also did work where my other homes are located, they are that good.
Solar guides for your Washington city
For more information about going solar near where you live, check out the following resources:
Useful links
Clark Public Utility Solar Loan Program - Low interest loans to finance solar projects up to $30,000
Chelan County Sustainable Natural Alternative Power Program (SNAP) - Pooled utility bill savings for power producers.
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