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Solar Installers in New Jersey

Compare top-rated solar companies in New Jersey. Average cost: $2.85/W · 4.2 peak sun hours · 22.63¢/kWh electricity rate.

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$2.85/W
Avg Cost per Watt
4.2h
Peak Sun Hours
22.63¢
Electricity Rate/kWh
6yr
Avg Payback Period

Solar Energy in New Jersey: Complete Guide

New Jersey is one of the best states in the nation for residential solar energy. With an average electricity rate of 22.63 cents per kilowatt-hour and 4.2 peak sun hours per day, homeowners across New Jersey can generate significant energy savings by going solar. The average 8kW solar system in New Jersey costs $22,800 before incentives and $15,960 after the 30% federal tax credit.

An 8kW system in New Jersey produces approximately 12,264 kWh per year — enough to offset most or all of a typical household's electricity consumption. At current electricity rates, that translates to annual savings of approximately $2,775, with a payback period of around 6 years.

New Jersey's net metering policy is classified as full retail rate, which means homeowners receive full retail rate credit for excess energy sent to the grid — maximizing the financial return on solar investment. The state has a Renewable Portfolio Standard requiring 50% renewable energy, which supports continued solar growth.

New Jersey Solar Cost Breakdown

System SizeBefore IncentivesAfter 30% ITC
5 kW$14,250$9,975
8 kW$22,800$15,960
12 kW$34,200$23,940

New Jersey Solar Incentives

New Jersey SREC-II Program (Successor Solar Incentive)
$90/MWh for 15 years

New Jersey's Successor Solar Incentive (SuSI) program replaced the original SREC program. Residential systems receive a fixed incentive through the Administratively Determined Incentive (ADI) at approximately $90/MWh for 15 years.

Federal Solar Investment Tax Credit (ITC)
30% of total system cost

Available to all New Jersey homeowners through 2032. For a $22,800 system, this means a $6,840 tax credit.

New Jersey exempts solar installations from property tax assessments, meaning your home value increases without raising your property taxes. Solar equipment purchases in New Jersey are exempt from state sales tax, providing additional upfront savings. Over a 25-year period, the typical New Jersey homeowner saves $53,424 with solar — making it one of the best long-term investments available for your home.

New Jersey Solar FAQ

How much do solar panels cost in New Jersey?

The average cost of solar panels in New Jersey is $2.85 per watt before incentives. For a typical 8kW system, that's $22,800 before the 30% federal tax credit, or $15,960 after. Actual costs vary based on your roof, equipment choice, and installer.

How much can I save with solar in New Jersey?

New Jersey homeowners with an 8kW solar system can save an estimated $53,424 over 25 years. With an average electricity rate of 22.63¢/kWh and 4.2 peak sun hours per day, solar is a strong investment in New Jersey. The average payback period is 6 years.

Does New Jersey have net metering?

New Jersey offers full retail rate net metering. This means you receive full retail rate credit for excess solar energy sent back to the grid, maximizing your savings.

What solar incentives are available in New Jersey?

New Jersey homeowners can take advantage of the 30% federal solar Investment Tax Credit (ITC) through 2032. The state also has: SREC-II program. Solar installations are exempt from property tax increases. Solar equipment purchases are exempt from sales tax.

How many peak sun hours does New Jersey get?

New Jersey averages 4.2 peak sun hours per day annually. This means an 8kW solar system in New Jersey would produce approximately 12,264 kWh per year. Peak sun hours vary by season and specific location within the state.

Is solar worth it in New Jersey?

Yes, solar is worth it for most homeowners in New Jersey. With a 6-year average payback period and 25+ year panel lifespan, you'll enjoy 19+ years of essentially free electricity after your system pays for itself. The combination of 22.63¢/kWh electricity rates, 4.2 peak sun hours, and available incentives makes New Jersey a great state for solar.

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Quick New Jersey Solar Facts

  • ☀️ Peak Sun Hours: 4.2h/day
  • 💡 Electricity Rate: 22.63¢/kWh
  • 💰 Cost per Watt: $2.85
  • 📊 Net Metering: Full Retail Rate
  • 🔋 Payback Period: 6 years
  • 🌱 RPS Goal: 50%
  • 🏠 Property Tax: Exempt
  • 🛒 Sales Tax: Exempt
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