Solar Panel Savings in Lexington, TN

Calculate how much you can save with solar panels in Lexington, Tennessee. Based on 5 peak sun hours/day and 11.4¢/kWh average electricity rate.

5

Peak Sun Hours/Day

11.4¢

Avg Rate (¢/kWh)

13.2 yr

Payback Period

$34k

25-Year Savings

Lexington Solar Overview

Population:21,096
Sunny Days/Year:208
Avg Temperature:58°F
Solar Penetration:6.5%
Utility Company:TVA
Net Metering:Not Available

Calculate Your Lexington Solar Savings

3 kW15 kW

Lexington average: $103/mo

South-facing roofs produce the most energy

Add $8,000-$12,000 for whole-home battery backup

Annual Production

8,760

kWh/year

Annual Savings

$998

per year

Net System Cost

$12,852

after 30% ITC

Payback Period

12.9 yr

break-even time

25-Year Total Savings

$34,089

Monthly Savings

$83

Federal Tax Credit

$5,508

Cumulative Savings vs System Cost

$0k$9k$18k$27k$36kYr 0Yr 5Yr 10Yr 15Yr 20Yr 25System CostBreak-even
Cumulative Savings System Cost

Cost Breakdown

ItemLexingtonNational Avg
Gross System Cost (6kW)$18,360$17,100
Federal Tax Credit (30%)-$5,508-$5,130
Net System Cost$12,852$11,970
Cost Per Watt$3.06/W$2.85/W

Solar Potential in Lexington

Sun Hours vs National Average

5 hrs
4.5 hrs

Lexington gets 11% more sun than the national average.

Climate Advantages

  • 208 sunny days per year
  • Average temperature: 58°F — cooler temps actually improve panel efficiency
  • Average roof size: 1,856 sq ft — enough for a 103-panel system

Lexington Solar Incentives & Programs

Federal Investment Tax Credit (ITC)

30% of total system cost deducted from federal taxes. For a $18,360 system, that's a $5,508 credit. Valid through 2032.

Tennessee State Incentives

Federal 30% ITC; check local utility for additional rebates.

Net Metering — TVA

TVA does not currently offer standard net metering in Lexington. Alternative buyback programs may be available — contact them for details.

Environmental Impact in Lexington

3.7

Tons CO2 Offset/Year

60

Equivalent Trees Planted

0.8

Homes Worth of Energy

Based on 8,760 kWh annual production with a 6kW system. EPA average: 0.417 metric tons CO2 per MWh, 10,632 kWh per US home.

Solar Energy in Lexington, Tennessee

Lexington, Tennessee receives an average of 5 peak sun hours per day, providing excellent conditions for residential solar installations. With electricity rates averaging 11.4¢ per kWh from TVA, below the national average, but with rates rising 2-3% annually, the long-term savings are still meaningful.

A typical 6kW solar system in Lexington produces approximately 8,760 kWh per year, saving homeowners an estimated $998 annually. The system pays for itself in about 12.9 years, after which you enjoy essentially free electricity for the remaining 12+ years of the system's warranty life.

Lexington has a solar penetration rate of 6.5% — showing growing adoption of residential solar, with significant room for expansion. The cost of living index of 92.9 (national average: 100) reflects a lower cost of living, keeping installation costs competitive.

Other Cities in Tennessee

Frequently Asked Questions

How much do solar panels cost in Lexington, TN?

The average cost of a 6kW solar panel system in Lexington is approximately $18,360 before incentives ($3.06/watt). After the 30% federal Investment Tax Credit, the net cost is about $12,852. Federal 30% ITC; check local utility for additional rebates.

How many peak sun hours does Lexington get?

Lexington, TN receives an average of 5 peak sun hours per day and approximately 208 sunny days per year. This is above the national average of 4.5 hours, making it an excellent location for solar energy.

What is the solar payback period in Lexington?

The average solar payback period in Lexington is approximately 13.2 years. After payback, your solar panels generate essentially free electricity for the remaining 15-20 years of their warranty. Over 25 years, total savings can reach $34,089.

Does Lexington have net metering?

Lexington does not currently have standard net metering. However, TVA may offer alternative solar buyback programs. Contact them for current rates and policies.

Is solar worth it in Lexington, TN?

Yes, solar is a solid investment in Lexington. While the 13.2-year payback is moderate, you'll still save $34,089 over 25 years. The 30% federal tax credit and local incentives help make solar financially attractive.

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