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#8 Solar ROI State

Solar Panel ROI in New Jersey (NJ)

New Jersey averages 1,250 kWh per installed kW per year. At $18.2¢/kWh average utility rates, a 7 kW system produces a 25-year NPV of $12,340.

$13,720
System Cost (After Credits)
$12,340
25-Year NPV
9 years
Payback Period
$0.162/kWh
Solar LCOE

Solar Cost Breakdown in New Jersey

7 kW system (2.80/W)$19,600
Federal ITC (30%)-$5,880
Net Cost$13,720

Solar Production in New Jersey

New Jersey receives an average of 1,250 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 8,750 kWh in year one, declining by 0.5% annually due to panel degradation.

At New Jersey's average residential rate of $18.2¢/kWh with 4% annual escalation, first-year savings are $1,593. The solar LCOE of $0.162/kWh is 11% below the current utility rate and stays fixed while utility rates continue to climb.

Net Metering in New Jersey

1:1 net metering. SREC-II program provides ~$80-100/MWh certificates.

Solar by Utility in New Jersey

Jersey Central Power & Light

Avg Rate: $18.5¢/kWh
Structure: FLAT
View analysis ›

PSE&G New Jersey

Avg Rate: $17.8¢/kWh
Structure: FLAT
View analysis ›

Solar FAQ for New Jersey

How much does solar cost in New Jersey?
A typical 7 kW residential solar system in New Jersey costs $19,600 before incentives. After the 30% federal ITC, the net cost drops to $13,720.
What is the solar payback period in New Jersey?
Based on the average NJ utility rate of $18.2¢/kWh and local solar irradiance of 1,250 kWh/kW/year, a 7 kW system typically pays for itself in 9 years. The 25-year NPV is $12,340.
Does New Jersey have net metering?
1:1 net metering. SREC-II program provides ~$80-100/MWh certificates.
What is the LCOE of solar in New Jersey?
The levelized cost of solar energy in New Jersey is approximately $0.162/kWh, compared to the current average utility rate of $18.2¢/kWh. Solar electricity costs 11% 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 New Jersey?
New Jersey receives approximately 1,250 kWh of solar energy per installed kW per year. A 7 kW system produces about 8,750 kWh in its first year, enough to offset 83% of the average U.S. household's electricity consumption.

Compare Options in New Jersey

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Solar ROI in Similar States

California

NPV: $41,579 · Payback: 5yr
Rate: $28.2¢/kWh · #1 ranked

Hawaii

NPV: $68,203 · Payback: 3yr
Rate: $39.8¢/kWh · #2 ranked

New York

NPV: $20,948 · Payback: 6yr
Rate: $22.2¢/kWh · #3 ranked

Massachusetts

NPV: $27,033 · Payback: 6yr
Rate: $28.2¢/kWh · #4 ranked

Arizona

NPV: $14,954 · Payback: 8yr
Rate: $13.2¢/kWh · #5 ranked

Nevada

NPV: $12,806 · Payback: 8yr
Rate: $13.2¢/kWh · #6 ranked

Get Your New Jersey 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.

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