Skip to main content
Elovane
Home›Solar in Arkansas
#38 Solar ROI State

Solar Panel ROI in Arkansas (AR)

Arkansas averages 1,370 kWh per installed kW per year. At $11.2¢/kWh average utility rates, a 7 kW system produces a 25-year NPV of $3,007.

$13,475
System Cost (After Credits)
$3,007
25-Year NPV
14 years
Payback Period
$0.145/kWh
Solar LCOE

Solar Cost Breakdown in Arkansas

7 kW system (2.75/W)$19,250
Federal ITC (30%)-$5,775
Net Cost$13,475

Solar Production in Arkansas

Arkansas receives an average of 1,370 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 9,590 kWh in year one, declining by 0.5% annually due to panel degradation.

At Arkansas's average residential rate of $11.2¢/kWh with 4% annual escalation, first-year savings are $1,074. The solar LCOE of $0.145/kWh is -29% below the current utility rate and stays fixed while utility rates continue to climb.

Net Metering in Arkansas

1:1 net metering for systems up to 25 kW

Solar FAQ for Arkansas

How much does solar cost in Arkansas?
A typical 7 kW residential solar system in Arkansas costs $19,250 before incentives. After the 30% federal ITC, the net cost drops to $13,475.
What is the solar payback period in Arkansas?
Based on the average AR utility rate of $11.2¢/kWh and local solar irradiance of 1,370 kWh/kW/year, a 7 kW system typically pays for itself in 14 years. The 25-year NPV is $3,007.
Does Arkansas have net metering?
1:1 net metering for systems up to 25 kW
What is the LCOE of solar in Arkansas?
The levelized cost of solar energy in Arkansas is approximately $0.145/kWh, compared to the current average utility rate of $11.2¢/kWh. Solar electricity costs -29% 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 Arkansas?
Arkansas receives approximately 1,370 kWh of solar energy per installed kW per year. A 7 kW system produces about 9,590 kWh in its first year, enough to offset 91% of the average U.S. household's electricity consumption.

Compare Options in Arkansas

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

Solar ROI in Similar States

Kansas

NPV: $7,883 · Payback: 10yr
Rate: $13.8¢/kWh · #30 ranked

Virginia

NPV: $5,193 · Payback: 11yr
Rate: $13.2¢/kWh · #31 ranked

Alabama

NPV: $7,801 · Payback: 10yr
Rate: $13.5¢/kWh · #32 ranked

Louisiana

NPV: $4,402 · Payback: 11yr
Rate: $11.8¢/kWh · #33 ranked

Wisconsin

NPV: $5,029 · Payback: 11yr
Rate: $15.2¢/kWh · #33 ranked

Missouri

NPV: $3,503 · Payback: 13yr
Rate: $12.2¢/kWh · #34 ranked

Get Your Arkansas 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 ›