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Louisiana Solar Information

Louisiana isn’t a bad state for solar. There’s always enough sunshine to cover your basic energy needs or at least to reduce your monthly electricity bill. The 26% Federal Solar Tax Credit as well as some local incentives will make your solar installation even more profitable.
  • #4
    Louisiana ranks #4 in the USA for savings from installing solar panels
  • 7146.30 kWh
    Annual AC energy output of a 4 kW solar system installed in Louisiana
  • 6.21 kWh
    Solar Radiation (kWh / m2 / day)
  • 13 ¢ /kWh
    The cost of electricity today in Los Angeles Dept of Water & Power
  • 27 ¢ /kWh
    If you don't go solar. The forecast average utility price over the next 25 years

Louisiana Solar Facts

  • $1.55
    Average cost of a 4kw solar power system in 2019.
  • 5 years
    Average system payback period.
  • $56,101.82
    Average lifetime savings.
  • 5 ¢ /kWh
    Levelized cost of solar energy.
  • 5 kW
    Recommended system size.

The Pelican State of Louisiana is known for Mardi Grass and jazz, for winding bayous and amazing Creole cuisine, but also for a great potential for home solar systems. 6 hours of peak sunlight per day together with the state's solar incentives gives Louisiana a unique possibility to go fully solar.

Louisiana Solar Facts

  • The average payback period for solar panels in Louisiana is 12.8 – 17.3 years.
  • More than $14,241 can be saved over the 20 years of a solar system’s lifespan.
  • 72-98% of electricity needs can be covered by solar energy in Louisiana.
  • Solar Power System Cost in Louisiana
  • $1.55 per watt
  • $7,632.72 total
  • 5 years

The Cost of Solar Panels in Louisiana

As of December 2020, the average cost of a solar panel installation in Louisiana is around $2.47 - $3.35 per watt. The total cost of a 5kW solar system will not exceed $17,077 after claiming the 26% federal solar tax credit.

How much solar energy can you get in Louisiana?

The amount of solar energy you get depends on the power output of your system, the amount of sunlight that hits the panel and factors such as solar panel placement and shading. Louisiana ranks in the top 20 for peak sun hours received per year out of all states in the country. Power output is a physical solar panel attribute measured in watts (W) and it tells how much energy the panel can produce under ideal temperature (77°F) and sunlight conditions. Most home solar panels’ power output is 250 to 400 watts per 4 hours. As for placement, a solar system that is installed on a south-facing 30-degree pitch roof in Louisiana will generate 1,550kWh per year.

Louisiana Solar Rebates and Tax Credits

Federal solar investment tax credit (ITC) – a governmental perk that allows all solar panel buyers to get a 26% deduction of the installing cost from federal taxes. For example, if your solar system costs $15,000, your tax credit would be $3,900. Deduction will be lowered by 5.0% in 2021 and will be gone the year after unless new legislation is introduced.

Louisiana 50% Tax Credit – this credit offers 50% of the solar system’s initial cost. It can be deducted from your state taxes, or you can get a check if the credit amount is less than what you pay in taxes.

Property tax exemption – in the state of Louisiana all solar panel buyers are 100% exempted from property tax. Even though your solar panels add value to your property and should therefore be additionally taxed, they are exempted from property taxes.

Pros and Cons of Buying Solar Panels in Louisiana

Pros of Solar Panels

  • Environmentally sustainable source of energy

    Solar panels are a clean and renewable source of energy that can help reduce carbon footprint and greenhouse gases. An average 4kW system will have the same benefit as planting 100 trees per year.
  • Cheap source of energy

    On average you will pay $0.9/kWh by purchasing energy from your local utility companies in the state of Louisiana, but by purchasing a solar system with an output of 400 watts per 4 hours you will save around $23,390 over the service life of your panels. Also, the local government is becoming more conscious about the impact of fossil fuels, so regulations could drive up energy prices soon.
  • Increase in home value

    On average, solar panels add $20 of value to your property for every saved $1 on your electricity bill.

Cons of Buying Solar Panels

  • Lack of rebates and incentives

    Unlike many other states, Louisiana does not offer any rebates or incentives for going solar. The main reason is that the electricity price of $0.9/kWh in Louisiana is lower than the country’s average, and therefore utility companies do not offer any solar rebates.

Is it worth buying solar panels in Louisiana?

Solar energy is a fantastic investment, and plenty of direct sunlight in Louisiana will help you save a significant amount of money. Moreover, in 2020 solar panels remain subsidized by the 26% federal tax credit making them a lucrative deal.

Tell us how much you are spending on electricity and we’ll calcalute how much you can save if you go solar
According to Los Angeles Dept of Water & Power, we received the cost of kWH in your area and calculated energy consumption based on an average electricity bill for 3 months.
I am claiming the 26% Federal Tax Credit (ends 2022) i

When you install a solar system, 26% of your project expenses apply toward a credit to offset any taxes you owe that year. This federal tax credit is a major incentive to go solar, but it is going to be phased out by 2024.

To be eligible to claim this credit, you must owe federal taxes.

System size

  • Mini
  • Small
  • Medium
  • Large
We recommended
4.92 kW medium system size
Provides up to 80% of electricity consumption
$1.55 per watt
Average system cost
  • image rec 3
    15 x 350 watt
    solar panels
  • +
  • image rec 3
    15 x 300 watt
    microinverter
  • +
  • image rec 3
    2 x 3 800 watt
    inverter
$100.07/ month
Estimated savings on your average quarterly bill
  • $7,632.72
    Estimated system cost
    Excludes 26% Federal Tax Credit.
    This price does not include the installation cost.
  • 5 years
    Average system payback period
  • $56,101.82
    Estimated utility savings

Example of 4 kW system calculation in Minnesota for electricity bill $100

  • 13 ¢ /kWh
    The cost of electricity today in Los Angeles Dept of Water & Power
  • 27 ¢ /kWh
    If you don't get solar. The forecast average utility price over the next 25 years
  • 5 ¢ /kWh
    levelized cost of solar energy

Relevant product for your system

Entry-level solar panels x 15
$3,003.00
  • View
  • View
Entry-level microinverter x 15
$2,345.66
  • View
Entry-level inverter x 2
$2,560.02
  • View
  • View
In stock
Panasonic 340W Solar Panel 96 cell VBHN340SA17 Monocrystalline White - A1 Solar Store
Cell number 96 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $1.07
Rated Power Output 340 W
Voltage (VOC) 71.3V
Cell Type Monocrystalline
Pickup at 2 locations or US shipping
In stock
Panasonic HIT 330W Solar Panel 96 cell VBHN330SA17 Monocrystalline Black - A1 Solar Store
Cell number 96 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $1.03
Rated Power Output 330 W
Voltage (VOC) 69.7V
Cell Type Monocrystalline
Pickup at 2 locations or US shipping
In stock
Trina 330W Solar Panel 120 cell TRI-TSM-330DD06M-BK Monocrystalline Black - A1 Solar Store
Cell number 120 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $0.56
Rated Power Output 330 W
Voltage (VOC) 40.6V
Cell Type Monocrystalline
Pickup at 4 locations or US shipping
In stock
Q CELLS 350W Solar Panel 120 cells Q.PEAK DUO G6+ - A1 Solar Store 16% Off
Cell number 120 cell
DC/Charger Volt Compatible 12v, 24v, 48v
Price per Watt $0.6
Rated Power Output 350 W
Voltage (VOC) 40.73V
Cell Type Monocrystalline
Pickup at 2 locations or US shipping