Solar Panel Savings in Salt Lake City, UT

Calculate how much you can save with solar panels in Salt Lake City, Utah. Based on 5.6 peak sun hours/day and 12.7¢/kWh average electricity rate.

5.6

Peak Sun Hours/Day

12.7¢

Avg Rate (¢/kWh)

9.5 yr

Payback Period

$19k

25-Year Savings

Salt Lake City Solar Overview

Population:199,723
Sunny Days/Year:246
Avg Temperature:68°F
Solar Penetration:9.4%
Utility Company:Rocky Mountain Power
Net Metering:Available

Calculate Your Salt Lake City Solar Savings

3 kW15 kW

Salt Lake City average: $161/mo

South-facing roofs produce the most energy

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

Annual Production

9,811

kWh/year

Annual Savings

$1,246

per year

Net System Cost

$11,802

after 30% ITC

Payback Period

9.5 yr

break-even time

25-Year Total Savings

$42,561

Monthly Savings

$104

Federal Tax Credit

$5,058

Cumulative Savings vs System Cost

$0k$11k$22k$34k$45kYr 0Yr 5Yr 10Yr 15Yr 20Yr 25System CostBreak-even
Cumulative Savings System Cost

Cost Breakdown

ItemSalt Lake CityNational Avg
Gross System Cost (6kW)$16,860$17,100
Federal Tax Credit (30%)-$5,058-$5,130
Net System Cost$11,802$11,970
Cost Per Watt$2.81/W$2.85/W

Solar Potential in Salt Lake City

Sun Hours vs National Average

5.6 hrs
4.5 hrs

Salt Lake City gets 24% more sun than the national average.

Climate Advantages

  • 246 sunny days per year
  • Average temperature: 68°F — moderate climate with good solar conditions
  • Average roof size: 2,085 sq ft — enough for a 115-panel system

Salt Lake City Solar Incentives & Programs

Federal Investment Tax Credit (ITC)

30% of total system cost deducted from federal taxes. For a $16,860 system, that's a $5,058 credit. Valid through 2032.

Utah State Incentives

Utah solar tax credit 25% (up to $400); net metering at avoided cost.

Net Metering — Rocky Mountain Power

Rocky Mountain Power offers net metering in Salt Lake City. Earn credits for excess solar energy sent to the grid, reducing your electric bill further.

Environmental Impact in Salt Lake City

4.1

Tons CO2 Offset/Year

68

Equivalent Trees Planted

0.9

Homes Worth of Energy

Based on 9,811 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 Salt Lake City, Utah

Salt Lake City, Utah receives an average of 5.6 peak sun hours per day, placing it among the best cities in the country for solar energy production. With electricity rates averaging 12.7¢ per kWh from Rocky Mountain Power, below the national average, but with rates rising 2-3% annually, the long-term savings are still meaningful.

A typical 6kW solar system in Salt Lake City produces approximately 9,811 kWh per year, saving homeowners an estimated $1,246 annually. The system pays for itself in about 9.5 years, after which you enjoy essentially free electricity for the remaining 16+ years of the system's warranty life.

Salt Lake City has a solar penetration rate of 9.4% — showing growing adoption of residential solar, with significant room for expansion. The cost of living index of 102 (national average: 100) is near the national average.

Other Cities in Utah

Frequently Asked Questions

How much do solar panels cost in Salt Lake City, UT?

The average cost of a 6kW solar panel system in Salt Lake City is approximately $16,860 before incentives ($2.81/watt). After the 30% federal Investment Tax Credit, the net cost is about $11,802. Utah solar tax credit 25% (up to $400); net metering at avoided cost.

How many peak sun hours does Salt Lake City get?

Salt Lake City, UT receives an average of 5.6 peak sun hours per day and approximately 246 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 Salt Lake City?

The average solar payback period in Salt Lake City is approximately 9.5 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 $19,348.

Does Salt Lake City have net metering?

Yes, Salt Lake City has access to net metering through Rocky Mountain Power. This allows you to earn credits for excess solar energy sent to the grid, significantly improving your solar investment returns.

Is solar worth it in Salt Lake City, UT?

Absolutely. With a 9.5-year payback period and $19,348 in 25-year savings, solar is an excellent investment in Salt Lake City. The 30% federal tax credit and local incentives help make solar financially attractive.

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