Skip to main content
Elovane
Home›Solar in Alaska
#45 Solar ROI State

Solar Panel ROI in Alaska (AK)

Alaska averages 1,010 kWh per installed kW per year. At $23.4¢/kWh average utility rates, a 7 kW system produces a 25-year NPV of $12,619.

$14,455
System Cost (After Credits)
$12,619
25-Year NPV
9 years
Payback Period
$0.210/kWh
Solar LCOE

Solar Cost Breakdown in Alaska

7 kW system (2.95/W)$20,650
Federal ITC (30%)-$6,195
Net Cost$14,455

Solar Production in Alaska

Alaska receives an average of 1,010 kWh of solar energy per installed kW per year, based on NREL PVWatts data for a south-facing system at 20° tilt. A 7 kW system produces approximately 7,070 kWh in year one, declining by 0.5% annually due to panel degradation.

At Alaska's average residential rate of $23.4¢/kWh with 4% annual escalation, first-year savings are $1,654. The solar LCOE of $0.210/kWh is 10% below the current utility rate and stays fixed while utility rates continue to climb.

Net Metering in Alaska

Available through major utilities with annual true-up

Solar by Utility in Alaska

Chugach Electric

Avg Rate: $21.8¢/kWh
Structure: FLAT
View analysis ›

Solar FAQ for Alaska

How much does solar cost in Alaska?
A typical 7 kW residential solar system in Alaska costs $20,650 before incentives. After the 30% federal ITC, the net cost drops to $14,455.
What is the solar payback period in Alaska?
Based on the average AK utility rate of $23.4¢/kWh and local solar irradiance of 1,010 kWh/kW/year, a 7 kW system typically pays for itself in 9 years. The 25-year NPV is $12,619.
Does Alaska have net metering?
Available through major utilities with annual true-up
What is the LCOE of solar in Alaska?
The levelized cost of solar energy in Alaska is approximately $0.210/kWh, compared to the current average utility rate of $23.4¢/kWh. Solar electricity costs 10% less than grid electricity at today's rates, and the gap widens as utility rates rise.
How much electricity does a solar panel produce in Alaska?
Alaska receives approximately 1,010 kWh of solar energy per installed kW per year. A 7 kW system produces about 7,070 kWh in its first year, enough to offset 67% of the average U.S. household's electricity consumption.

Compare Options in Alaska

Solar vs. Grid in Alaska›Solar + Battery in Alaska›Heat Pump ROI in Alaska›Full Electrification in Alaska›

Solar ROI in Similar States

Montana

NPV: $3,189 · Payback: 13yr
Rate: $11.8¢/kWh · #37 ranked

Arkansas

NPV: $3,007 · Payback: 14yr
Rate: $11.2¢/kWh · #38 ranked

Nebraska

NPV: $4,129 · Payback: 13yr
Rate: $11.8¢/kWh · #39 ranked

Mississippi

NPV: $5,436 · Payback: 11yr
Rate: $12.2¢/kWh · #40 ranked

Oklahoma

NPV: $4,345 · Payback: 11yr
Rate: $11.2¢/kWh · #41 ranked

Kentucky

NPV: $2,061 · Payback: 14yr
Rate: $11.8¢/kWh · #42 ranked

Get Your Alaska Solar Analysis

These are averages. Your ROI depends on your specific utility, consumption, roof, and system size. Run a personalized 25-year NPV analysis — free.

Calculate My ROI ›