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:
-
Learn what solar incentives are available to Washington homeowners
-
See what Washington solar incentives you qualify for based on your utility company and city
-
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:
Change
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
43 solar companies in Washington provide pricing on SolarReviews. Here are the best rated companies near you.
4.85 179 Reviews
Latest review
Ed West, over 1 month
I am retired from the electric utility industry and really wanted my solar system to be installed by professionals who knew what they were talking about. I had 3 estimates from local solar companies including Whidbey Sun and Wind (WSW). WSW had installed the solar systems at the homes of two friends we knew, and came highly recommended Paul Dickerson from WSW provided our estimate and answered all my many questions about sizing, battery storage, automatic transfer to the battery in the event of a power outage. Paul had the most through knowledge of systems and equipment of anyone who provided us an estimate. The installation team of Golda Moore, Kyle Collins, Adam Wundrow , and Josh Robinson were the best! You could tell that they had installed many systems and really worked as a team to do the install properly. Golda is an amazing licensed electrician, who went to great lengths to make sure the wiring exceeded code requirements and would be easy to maintain for years to come. I can't say enough good things about the team at WSW!
Read more
Latest review
Ed West, over 1 month
I am retired from the electric utility industry and really wanted my solar system to be installed by professionals who knew what they were talking about. I had 3 estimates from local solar companies including Whidbey Sun and Wind (WSW). WSW had installed the solar systems at the homes of two friends we knew, and came highly recommended Paul Dickerson from WSW provided our estimate and answered all my many questions about sizing, battery storage, automatic transfer to the battery in the event of a power outage. Paul had the most through knowledge of systems and equipment of anyone who provided us an estimate. The installation team of Golda Moore, Kyle Collins, Adam Wundrow , and Josh Robinson were the best! You could tell that they had installed many systems and really worked as a team to do the install properly. Golda is an amazing licensed electrician, who went to great lengths to make sure the wiring exceeded code requirements and would be easy to maintain for years to come. I can't say enough good things about the team at WSW!
4.81 128 Reviews
Latest review
Anonymous, over 1 month
Power Trip finished the expansion of my legacy 4.2 kW array to 12.4 kW. They handled the complexity of integrating the old with the new perfectly. They completed the job on time, as quoted, in a professional manner.
Read more
Latest review
Anonymous, over 1 month
Power Trip finished the expansion of my legacy 4.2 kW array to 12.4 kW. They handled the complexity of integrating the old with the new perfectly. They completed the job on time, as quoted, in a professional manner.
4.80 94 Reviews
Latest review
Sasha Rabkin, 3 days ago
We had a great experience with A and R and highly recommend them. They made the whole experience easy to engage with, encouraged questions, helped make the right decision and the crew they sent to our house was amazing. And, they all seemed to like working for the company. Through the process, everyone seemed to feel like they were representing a shared approach- be friendly and do good work. A really exceptional experience i would highly reccomend.
Read more
Average cost (5kW system)
$14,750 ($2.95 per watt)
Latest review
Sasha Rabkin, 3 days ago
We had a great experience with A and R and highly recommend them. They made the whole experience easy to engage with, encouraged questions, helped make the right decision and the crew they sent to our house was amazing. And, they all seemed to like working for the company. Through the process, everyone seemed to feel like they were representing a shared approach- be friendly and do good work. A really exceptional experience i would highly reccomend.
4.79 245 Reviews
Latest review
Refuse to Turn On Panels, over 1 month
Hi We have waited months for Artisan to come out and complete the work at our house. The panels have been in place for months but they refuse to turn them on. They won't call us back and they won't contact our contractor. We are very unhappy and looking to file a complaint with the attorney general.
Read more
Latest review
Refuse to Turn On Panels, over 1 month
Hi We have waited months for Artisan to come out and complete the work at our house. The panels have been in place for months but they refuse to turn them on. They won't call us back and they won't contact our contractor. We are very unhappy and looking to file a complaint with the attorney general.
4.70 104 Reviews
Latest review
Scott Rivers, over 1 month
Great reviews and customer service!
Read more
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.
Read more
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.
4.63 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 58 Reviews
Latest review
Ryan S., over 1 month
My wife was running through a neighborhood in North Seattle while PSS was installing on a house. We had been interested for a while so I emailed the company. Jeff came out and explained everything to us in a way we could actually understand. Clayton was great as a a project manager. He was very responsive during the inspection phase. The guys that installed the panels were lightning fast! Think it took them on 6 hours or so. Overall I would recommend Puget Sound Solar to my friends and family.
Read more
Latest review
Ryan S., over 1 month
My wife was running through a neighborhood in North Seattle while PSS was installing on a house. We had been interested for a while so I emailed the company. Jeff came out and explained everything to us in a way we could actually understand. Clayton was great as a a project manager. He was very responsive during the inspection phase. The guys that installed the panels were lightning fast! Think it took them on 6 hours or so. Overall I would recommend Puget Sound Solar to my friends and family.
4.63 26 Reviews
Latest review
Harley , 3 weeks ago
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.
Read more
Latest review
Harley , 3 weeks ago
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.
Related solar news
Ben Zientara
January 26, 2021
The state of net metering in the United States in 2021
This annual report ranks the states for friendliness to home solar based on their net metering programs.
Zeeshan Hyder
June 15, 2021
Are solar canopies and carports worth it?
Solar canopies are custom-built outdoor structures designed to hold overhanging solar panels, enabling on-site solar power generation.
Zeeshan Hyder
June 10, 2021
What is Concentrated Solar Power (CSP)?
Concentrated solar power (CSP) uses special mirrors to concentrate the sun’s energy; the collected heat is then used to generate power on the utility scale.
Ben Zientara
June 9, 2021
What residential solar installers need to stop doing immediately
Some solar installers use inflated estimates of utility price growth to make it seem like savings will be higher than they likely will. It’s time to stop.
Catherine Lane
June 3, 2021
What is a home energy audit - and is it worth it?
A guide to home energy audits, including how much they cost, how you can perform them yourself, and whether or not they’re worth it.