Choosing the right solar installer in Alaska can feel overwhelming. There are so many questions to answer before making the decision, you can spend hours researching. That’s why we’ve simplified it for you.
Our guide highlights Alaska’s top-rated solar companies, combining Solar Power Systems expert insights with feedback from locals who’ve made the switch.
No need to surf the web looking for information crumbs to have the big picture. Years in business, reviews from real customers, online reputation, panel brands, warranty, social media overview, and more – we have it all. The hard work is done to help you make the right decision.
We prioritize companies committed to long-term service and reliability. Here’s our list of Alaska’s most trusted solar installers:
Susitna Energy Solutions review 2507 Fairbanks St Anchorage, Alaska 99503
Alaska Solar review 601 E 57th Pl, Suite 103 Anchorage, AK 99518
With an overall third-party rating of 4+ and positive feedback across more than 10 reviews from different platforms, Alaska Solar read more…
Renewable Energy Systems review Palmer, AK 99645, USA
With an overall third-party rating of 4+ and positive feedback across more than 10 reviews from different platforms, Renewable Energy read more…
Renewable Energy Systems review 145 W Dimond Blvd, Anchorage, AK 99515
With an overall third-party rating of 4+ and positive feedback across more than 10 reviews from different platforms, Renewable Energy read more…
Solar Costs in Alaska
If you’re deciding to go solar in Alaska, the initial thought is frequently about solar panel cost. In 2025, the cost of solar panels is around $3.14 per watt. Most homes need a 5 kW to 10 kW system, depending on usage.
How Much Do Solar Panels Cost in Alaska?
| System Size | Cost Before Incentives | Cost After 30% Tax Credit | Average Annual Savings | |
|---|---|---|---|---|
| 5 kW | $15,700 | $10,990 | $700-$860 | |
| 6 kW | $18,840 | $13,188 | $850-$1,030 | |
| 7 kW | $21,980 | $15,386 | $990-$1,200 | |
| 8 kW | $25,120 | $17,584 | $1,130-$1,370 | |
| 10 kW | $31,400 | $21,980 | $1,410-$1,715 | |
| Pricing Disclaimer: The solar panel prices shown are estimates based on data collected from online sources as of October 2025. Actual costs may vary based on your location, system specifications, and installer. | ||||
Note: Solar panel prices can shift based on where you live, your roof setup, and which company you choose. These numbers use the current $3.14/watt average.
The typical Alaska household uses 552-654 kWh each month, which usually means a 6-8 kW system works best. When asking how much it costs to install solar panels, your total cost covers everything – panels, installation labor, permits, and getting connected to the grid. The cost to install solar panels includes all these essential components.
Compared to the lower 48 states (where the average is $3.03/watt), Alaska’s pricing is actually pretty competitive. What really tips the scales here are our electricity rates. At 17.88-25.27 cents per kWh, every bit of power your residential solar panels generate is worth more than it would be in most other places.
Alaska Solar Incentives & Rebates
Some programs help offset the upfront cost of solar panel installation and reduce how much solar panels cost overall.
Federal Solar Investment Tax Credit (ITC)
This is the big one – a 30% federal tax credit on your entire system cost. That includes the panels, installation, permits, all of it. This solar incentive is the most valuable program for reducing the cost of solar panels in Alaska.
Here’s the catch: December 31, 2025 is the deadline. Your system needs to be installed by then to get the full 30%. We’re talking savings between $4,710 and $9,420 depending on your system size.
Net Metering
Alaska requires utilities to offer net metering for systems up to 25 kW. When your solar panels make more power than you’re using, that extra electricity goes to the grid. You get credits at the “non-firm power rate,” which your utility reviews every quarter. These credits never expire – you can bank them and use them whenever you need.
The main utilities with net metering are:
- Chugach Electric Association
- Golden Valley Electric Association (GVEA)
- Homer Electric Association (they bumped their cap up to 3%)
- Matanuska Electric Association (MEA)
The credit rate is lower than what you pay retail, but with Alaska’s high electricity costs, it still adds up to real savings.
Property Tax Exemption
Alaska won’t raise your property taxes when you add solar panels. Even though residential solar panels typically bump up home value by about 4.1% (around $14,318 for the average Alaska home), you won’t see that reflected in your tax bill. This solar incentive protects your investment.
Sales Tax Exemption
There’s no state sales tax in Alaska, and some municipalities throw in their own exemptions for solar equipment. Check with your local government to see what’s available to further reduce how much solar panels will cost you.
Golden Valley Electric Association (GVEA) SNAP Program
If you’re a GVEA customer, their Sustainable Natural Alternative Power program pays you based on what your system produces – up to $1.50/kWh for systems 25 kW or smaller.
Community Solar (New in 2024)
Senate Bill 152 passed in August 2024, opening up community solar for Alaskans. It’s ideal when you rent, your roof isn’t suitable, or you don’t want to take on an entire installation in your home.
Electric Bills in Alaska
Alaska has some of the highest-cost electricity in the country, which ironically makes solar panels more attractive there.
- State average: 17.88-25.27 cents per kWh (national average is 16.73 cents/kWh)
- Matanuska Electric Association (MEA): Around 25.07 cents/kWh
- Average month-to-month consumption: 552-654 kWh (way lower than the nationwide average of 903 kWh)
- Average monthly payment: $117-$142
These high rates mean every kWh your panels generate displaces costly grid power. And coupled with net metering, the economics of solar in Alaska make a great deal more sense than they would otherwise based on how cold it gets here.
Specific Considerations for Alaska Solar
Alaska isn’t your typical solar market. Understanding how much solar panels cost in Alaska means looking at unique factors beyond just price.
Solar Irradiance Levels
We get an average of 3.63-3.99 peak sun hours daily across the state (43rd nationally). But averages don’t tell the whole story here:
- Summer: Peak sun hours shoot up thanks to those incredibly long days – 20+ hours of daylight in some areas means surprisingly strong production
- Winter: Things drop off dramatically to 1-2 peak hours daily with short days and low sun angles
- Annual picture: Those summer months really pull their weight. You can generate way more than you need and bank it through net metering for winter
Our northern location means the sun sits lower in the sky year-round compared to southern states. Modern panels handle low-light conditions pretty well though. Snow actually helps at times – it reflects light back onto the panels and washes them off by itself.
Climate Benefits & Challenges
What’s working in our favor:
- Cold temperatures improve panel efficiency – they produce more power when it’s cold
- Longer summer daylight allows for peak period optimization of production
- Snow reflection boosts energy production through what’s known as the albedo effect
- Cleaner air in most regions results in less atmospheric interference
What we’re working with:
- Heavy snow can cover panels temporarily (you may have to manually remove the snow)
- Equipment needs to withstand extreme cold temperatures – proper sub-zero ratings are a necessity
- Ice accumulation must be monitored
- Winter production is much lower, so net metering is essential
Permitting and Interconnection Process
It depends on the city and the utility, but the whole process is as follows:
You’ll need:
- Net Metering Application – to your utility
- System Documentation – equipment specs, electrical drawings, inverter settings
- Site Plan – shows location of panels, property lines, connection points for utilities
- Application Fee – usually around $230 (non-refundable) with utilities like Chugach Electric
The steps:
- Most installers handle the paperwork for you
- Utility reviews and approves your design first
- Municipal electrical inspection (if required in your area)
- Utility inspects and installs/upgrades your meter (bidirectional for net metering)
- You get Permission to Operate (PTO) before turning everything on
Keep in mind:
- Systems need to be 25 kW or smaller for standard net metering
- Some utilities are hitting their net metering capacity cap (1.5% of retail sales)
- Places like Homer Electric raised their cap to 3% voluntarily
- Alaska’s solar installer shortage can affect scheduling – discuss timeline early
Timeline Expectations
Typical Installation Timeframes
Pre-Installation Phase (4-8 weeks):
- Initial visit and site check: 1-2 weeks
- Design work and proposal: 1-2 weeks
- Permit apps and utility sign-offs: 2-4 weeks
- Getting equipment: 1-3 weeks (supply chains can vary)
Installation Phase (1-3 days):
- Actual mounting and electrical work: 1-3 days for most residential jobs
- Weather and season factor into scheduling
Post-Installation Phase (2-6 weeks):
- Municipal electrical inspection: 1-2 weeks
- Utility interconnection check: 1-2 weeks
- Final PTO approval: 1-2 weeks
Total Timeline: Plan on 8-16 weeks from your first meeting to flipping the switch.
What affects the schedule:
- Installer availability (there’s a labor shortage)
- Weather conditions (winter takes longer)
- How backed up utilities are with interconnection approvals
- Municipal inspection schedules
- Shipping equipment to remote Alaska locations
2025 timing note: That federal tax credit expires December 31, 2025. Your system must be fully installed by then. If you’re serious about catching this incentive, start the ball rolling by late summer or early fall.
Permit Processing
Processing times vary depending on jurisdiction. Anchorage and other urban areas usually handle permits in 2-3 weeks. Rural municipalities can take 4-6 weeks. Experienced installers know the local requirements and can help speed things up.
The Regulatory Commission of Alaska reviews utility rates and interconnection agreements quarterly, which can occasionally complicate timing if they’re considering policy changes.
Is It Worth Going Solar in Alaska?
When asking “are solar panels worth it in Alaska,” the answer for most homeowners is yes. Despite the harsh weather and dramatic seasonal fluctuations in sunlight, solar is financially viable for the majority of Alaska homeowners.
Cost Benefits
When comparing initial costs to long-term value, Alaska stands out. Understanding how much solar panels cost versus what you save makes the case clear:
- Payback period: 5-11 years (8 years on average) – faster than the national average of 12 years
- Long-term savings: Approximately $41,943 over the 25+ year equipment life
- Strong electricity rates mean that every kWh your panels generate is worth more here than in most other locations
- Property value boost: About 4.1% ($14,318 on average) without an increase in property tax
- Rate protection: locks in your energy costs against future utility rate increases
The upfront cost is recovered through these savings, making solar one of the smarter long-term investment decisions for Alaska homeowners.
Energy Self-Sufficiency
Pairing residential solar panels with battery storage gives you backup power during outages, which happen more often in remote Alaska communities. That reliability becomes critical during harsh winter weather when you need power most.
Environmental Impact
Alaska is experiencing climate change more rapidly than the average state. Solar decreases your dependence on fossil fuels (particularly diesel in rural areas) and carbon emissions while helping the state meet its renewable energy objectives.
Net Metering Benefit
Banking summer production for use in winter through net metering is how Alaska solar works. Those extended summer days enable systems to produce 2-3 times as much electricity as you use in the summer. Those credits get you through the winter when production has slowed down.
Important Considerations
A few things to consider when evaluating the cost of solar panels in Alaska:
- Maintenance: You’ll probably need to clear snow after heavy storms
- System sizing: Get a professional evaluation that considers seasonal fluctuations
- Battery storage: Increasing numbers are installing batteries to maximize self-consumption and backup capability
- Roof compatibility: Roof load rating and south-facing exposure are critical
- Off-grid vs. grid-tied: Most installations are grid-tied to benefit from net metering
With rising electricity costs, favorable net metering laws, the 30% federal tax credit available through the end of 2025, and improved technology, 2025 is an especially excellent year for Alaska homeowners to consider going solar. The initial cost can seem formidable, but long-term savings coupled with current solar incentives make home solar one of the very best investments you can make to reduce energy bills while increasing home value.
How Much Can Solar Panels Save Me in Alaska?
Finding out how much you can save on solar in Alaska is not a straightforward answer. It depends on several factors, including the solar billing of your utility company, the size of a potential solar system on your roof, and your household’s energy consumption. While most solar installers will try to cover all your electricity needs, the actual savings will depend on your home’s unique conditions. To get a personal estimate of how much you could potentially save by going solar, fill out a simple form on our website, use Google’s Project Sunroof solar savings calculator, or consult with a couple of local solar installation companies for a personalized savings calculation.
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Solar Financing Explained
You can pay for solar panels in a couple of ways:
- Cash
- Installer solar loans
- Personal loans
- Cash-out refinance or HELOC
- Solar Leases or Power Purchase Agreements (PPA)
First, there is a cash purchase, which in most cases provides the best price and long-term savings, but the upfront payment is not always what you can afford. If you want to own your solar panels and don’t have about $15,000 to $20,000 in the bank, you’ll have to choose solar panel financing.
You can consider a personal loan, a home equity line of credit, or a solar loan offered by the solar company. However, keep in mind that these loans come with interest and additional fees. Solar loans often are tied to dealer fees, which can increase the total cost of your solar system by 20% or more in exchange for a lower interest rate. To ensure you get the best possible deal, it is wise to compare the dealer fees and interest rates offered by different installers. This way, you can make an informed decision based on the most favorable terms available.
Some companies offer solar leases or PPAs that require zero upfront cost. But in such case, you don’t own solar panels and you are not eligible for any solar rebates or the federal tax credit. And, because you have to pay the solar company monthly, your total solar savings will be lower. Ask for detailed savings calculations from a solar installer to decide on the best option. In most cases, you will still be paying less for electricity.
Frequently Asked Questions
How We Rank Solar Installers
Our main goal is to provide homeowners like you with top-rated solar companies you can trust. Our solar experts analyzed thousands of local and nationwide installers to get to the bottom of who is best in a specific location. The solar company ranking methodology is based on gathering input from homeowner surveys, consulting with industry experts, and extensive research into the solar energy market. Here are the things we believe are the most important to consider when choosing a solar company.
In short, here’s how we pick top installers:
– Company that has been in business for over five years as it indicates stability, reliability, and successful installations.
– Local solar companies over big national ones covering multiple areas as they can provide better personal attention and know more about the solar needs and regulations in their area.
– Companies with hands-on experience and a wealth of projects under their belt are more likely to deliver efficient and timely installations that cater to specific customer needs.
– Companies that handle their own installations instead of outsourcing to subcontractors ensure a higher caliber of work and nurture a culture of excellence and accountability in service.
– Select a company that has a good overall reputation and reviews on sites like SolarReviews, BBB, Google Maps, and Yelp.
– The company is licensed, insured, and holds relevant certifications such as NABCEP certification.
– Companies that offer a wide selection of high-quality solar panels and related products and work with reputable brands.
– Companies that provide flexible financing options such as solar loans, leases, or power purchase agreements.
– Installers that provide substantial workmanship warranties and system performance guarantees.
Read more:
Our Methodology
What Made Us Choose Sources for Expert Score?
How We Classify Solar Installers: What Matters Most?
What to Look for In a Solar Company
To ensure that you partner with a great provider that can meet your needs of going solar, look for the following:
– Make sure the solar installer has industry-standard certifications, such as those from the North American Board of Certified Energy Practitioners (NABCEP), indicating that they meet the gold standard in renewable energy installations. Also, verify if they are licensed, bonded, and insured for residential solar projects in your area. If subcontractors are involved, check their credentials as well.
– Prioritize installers with a proven track record in solar installations, ideally with at least 5+ years of experience. Ask about the number of systems they’ve installed and their project portfolio. A competent installer should openly discuss the solar panels, inverters, and batteries they use if they help to take advantage of local solar incentives and rebates, and warranty coverage specifics.
– Your installer should be forthcoming about the installation process and answer any questions you might have, like “How many solar panels will I need? Why?”, “Can you give me a detailed cost breakdown based on my energy consumption?”, “What solar panel brands do you install? Why?”, etc.. They should also be transparent about their use of subcontractors, detailing their roles and how their work will be supervised.
– A preliminary evaluation of your roof’s condition is the groundwork. The installer should advise on necessary repairs to ensure it’s ready for solar panel installation and clarify responsibilities for any potential roof damage during the process. Discuss aesthetic concerns, such as the placement of solar panels around roof vents or the possibility of relocating vents for a more visually appealing setup.
– Check the installer’s reputation through online reviews and testimonials. They should be able to connect you with past customers willing to share their experiences. Personal recommendations from friends or neighbors who’ve gone solar can also be invaluable.
– Solar installation costs can vary widely, so obtaining multiple quotes is advisable. Experienced installers will adjust their offers to your home’s specifics—size, energy needs, etc. For an objective cost comparison, calculate the price per watt of the proposed system, giving you a standardized basis to evaluate different quotes.
Should You Choose a Local Solar Installer or a Big National Company?
Always choose a local solar company over a big national corporation. Small local companies that operate in a distinct local area are better than multi-state and national solar companies and large corporations. It’s the small local companies who get the best reviews on our website, and it’s the national multistate companies who get very poor reviews. Why so, you may ask?
Solar is a local service business, for the most part, and it is extremely difficult to run a solar company and offer good customer service to many locations from a central office.
Local ones have a community connection, they know better the incentives and regulations in the area, and they simply care more about you than large businesses trying to get into your pocket and overprice you. While multi-state solar companies might try to convince you by financial stability and “quality of installations across different locations”, try to choose a local company that meets all your criteria.
What Does a Solar Installation Look Like?
Here’s how a solar system installation will look like once the design for your solar system is approved:
– First, a solar installer should estimate your energy needs, and analyze your annual and monthly electricity consumption, which you can find on utility bills measured in kilowatt-hours (kWh). Such calculations will help to understand potential savings, payback period, and the system size you need.
– A home energy audit is something every experienced solar company would do to understand the size and output needed.
– Next question on the list: are your house’s roof conditions good enough for installation? A solar installer should carefully inspect the roof and ensure its conditions and orientation are good to go, how and where to better place solar panels and wire the system.
– Next, they will design the system and show you how it’s going to look.
You will usually need a permit to install solar panels from your local authorities, and the solar provider should handle all the paperwork.
– The entire process might take up to 3 months depending on the state and local regulations, while the system installation is usually up to 3 days (might take longer depending on roof conditions and system complexity).
– The installation crew should always clean up and remove any debris, leaving your house in good condition.
– When the system is installed, it should be checked and approved by local municipality inspection.
– If you’re connecting your system to the grid, it has to be wired to your local utility system. You’ll apply for connection through your utility company, which will also want to inspect your system to ensure it’s following utility guidelines. Some installers may help you with this step, so always ask. Once you have all the permits, your system will be up and running, powering your home with solar.
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