Louisiana Solar Panel Savings Calculator

Calculate how much you can save with solar panels in Louisiana. Based on 4.9 peak sun hours/day and 12.1¢/kWh average electricity rate.

4.9

Peak Sun Hours/Day

12.1¢

Avg Rate (¢/kWh)

14 yr

Avg Payback Period

0.6%

Solar Penetration

Calculate Your Louisiana Solar Savings

Average home: 6-10 kW

Your average monthly bill

South-facing is optimal

Annual Production

8,585

kWh/year

Annual Savings

$1,036

per year

25-Year Savings

$35,394

total estimated

Payback Period

20.8 yr

break-even time

Monthly Savings

$86

System Cost (after ITC)

$21,600

CO2 Offset

3.6 tons/yr

Cumulative Savings vs System Cost

$0k$9k$18k$27k$35kYr 0Yr 5Yr 10Yr 15Yr 20Yr 25System CostBreak-even
Cumulative Savings System Cost

Louisiana Solar Panel Savings Overview

Louisiana receives an average of 4.9 peak sun hours per day, providing a solid foundation for residential solar energy. With electricity rates averaging 12.1¢ per kWh — below the national average — longer payback periods are typical but savings still add up over time. The typical Louisiana homeowner with a 6kW system can expect to save approximately $1,080 per year.

Solar Energy Production in Louisiana

A standard 6kW residential solar panel system in Louisiana produces approximately 8,585 kWh per year. This accounts for a system efficiency factor of 80%, which includes panel degradation, inverter losses, and temperature effects. At 4.9 peak sun hours per day, Louisiana offers good solar production — enough to offset a significant portion of typical household electricity consumption.

Louisiana Electricity Rates and Solar Context

The average residential electricity rate in Louisiana is 12.1¢ per kWh according to EIA data. While this rate is below the national average, electricity costs are rising approximately 2-3% per year. Over a 25-year system lifetime, your cumulative savings will still be substantial. With utility rates increasing annually, your solar savings grow each year.

Louisiana Solar Incentive Programs

No current state tax credit. Federal residential solar credit ended for 2026 homeowner-owned systems placed in service after Dec. 31, 2025. Some utility programs. For new 2026 homeowner-owned systems, do not assume the old federal 30% residential clean energy credit unless your project has documented eligibility under current IRS guidance. Louisiana also offers avoided cost net metering, allowing homeowners to earn credits for excess solar energy sent back to the grid.

Net Metering in Louisiana

Louisiana has avoided cost net metering, which is a significant financial benefit for solar homeowners. Under the avoided cost model, you receive credit at the utility's avoided cost rate for excess energy, which is typically lower than the retail rate but still provides meaningful savings.

Best Cities for Solar in Louisiana

The best cities for solar panels in Louisiana include New Orleans, Baton Rouge, Shreveport, Lafayette, Lake Charles. Solar production can vary by location within the state due to differences in cloud cover, local shading, and microclimates. Southern-facing roofs with minimal shading produce the most energy. Homeowners in New Orleans and Baton Rouge can typically expect production close to the state average of 4.9 peak sun hours per day.

How Louisiana Compares to Neighboring States

Compared to neighboring states, Louisiana (12.1¢/kWh, 4.9 sun hours) receives less solar radiation but has similar electricity rates. See how solar savings compare in Texas, Arkansas, and Mississippi.

Methodology & Solar Energy Data Sources

How we calculate solar savings in Louisiana: Our solar cost, savings, and payback calculations integrate federal energy production data with state-specific incentive programs and utility rate information.

  1. Solar potential and production data from NREL PVWatts Calculator — the DOE's National Renewable Energy Laboratory solar energy production model for Louisiana.
  2. Electricity rates and utility data from EIA State Electricity Profiles — the definitive source for residential electricity prices by state.
  3. Federal residential clean energy credit information from the IRS Residential Clean Energy Credit (Form 5695) — current IRS guidance says the credit is not available for property placed in service after December 31, 2025.
  4. State incentive programs cross-referenced with DSIRE (Database of State Incentives for Renewables & Efficiency) — the NC Clean Energy Technology Center's authoritative incentive database.
  5. Carbon reduction calculations use EPA eGRID emission factors for the relevant Louisiana grid subregion — the official source for grid carbon intensity.

Authoritative solar and energy data sources:

Solar Disclaimer: Savings estimates are projections based on average solar irradiance, utility rates, and incentive programs for Louisiana. Actual savings depend on roof orientation, shading, panel efficiency, installer pricing, and changes to net metering policies. Obtain quotes from 3+ certified installers for accurate costs. Incentive programs change frequently — verify current rates with DSIRE and your utility.

Reviewed by Brazora Monk · Last updated 2026 · NREL & EIA data current as of latest annual release

Frequently Asked Questions

How much do solar panels cost in Louisiana?

The average cost of a 6kW solar panel system in Louisiana is approximately $21,600 before documented state or utility incentives. For new 2026 homeowner-owned systems, this calculator does not subtract the old federal residential clean energy credit unless eligibility is documented. No current state tax credit. Federal residential solar credit ended for 2026 homeowner-owned systems placed in service after Dec. 31, 2025. Some utility programs.

How much can I save with solar panels in Louisiana?

The average Louisiana homeowner saves approximately $1,080 per year with a 6kW solar system. Over 25 years, total savings can exceed $35,394, factoring in a 2.5% annual increase in electricity rates.

Does Louisiana have net metering?

Yes, Louisiana offers avoided cost net metering, which allows you to sell excess solar energy back to the grid. This significantly improves the financial returns of going solar.

What is the solar payback period in Louisiana?

Based on the inputs above, the payback period for solar panels in Louisiana is approximately 20.8 years before any documented state or utility incentive. After that, your solar panels generate essentially free electricity for the remaining 15-20 years of their warranty life.

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