Solar power in Orem, Utah
RMP offers net metering to its solar customers; despite being a little below average, the program can help homeowners wipe out thier electric bills.
Where Orem shines bright is with its financial incentives. Each year Rocky Mountain Power offer a $1,100 per kW rebates up to $4,400 but funding only supports 125 $4,400 rebates but if you're quick enough this can be a huge discount to your system.
Utah also offers a state tax credit of 25% of the system cost up to $2,000 which is excellent since most states don't give any state tax incentives.
Furthmore, after subtracting other tax credits and rebates then you can claim a big part if your system costs — 26% in 2020, and 22% in 2021 — as a federal tax deduction over however many years you want. There is also no size limit to the federal solar tax credit; no matter how big your system, the set percentage will apply.
Incentives in Orem still rank higher in comparison to most places and with RMP trying so hard to kill what remains of net metering, don't wait around!
Net Metering Broken Down
Excess solar generation is sent to the grid and given 1 for 1 credit with power drawn at a later time meaning solar can easily wipe out your power bill. Credit can be used to offset bills in different months up to 1 year from being obtained.
Where RMP falls short is if in a 12 month billing cycle more kWh's have been exported than drawn after compensating for your power bill this credit just expires, it's not given to you.
The average cost of installing residential solar panels in Orem,
Utah in 2024 is
$2.67 per watt. The average system size
in the US is 6 kilowatts, which means the average price of a solar system
in Orem, UT
is $13,350.
(after claiming 26% tax credit and other rebates)
The 26% federal solar tax credit explained
If you have a federal income tax liability, 26% of the cost of your solar system can be claimed as a deduction to your taxes. This incentive is claimed when you do your taxes. In order to receive the tax credit quicker it's best to do your taxes as soon as possible after installation.
What if my tax liability is less than 26% of my systems costThere is the option to claim this incentive over several years if your tax liability is less than 26% of the system cost.
How much will solar panels on my home save me?
The answer to this question depends on your electricity usage. Generally speaking the greater your power usage the greater the potential savings from installing solar.
The average monthly usage in Utah is only 793kWh per month however, you are most likely using a lot more than this since this average includes condos and small apartments.
The Orem solar panel savings calculator below will convert your monthly power spend into power usage (in kWh's) and then work out exactly how many solar panels you need to offset your usage, how much they will cost based on the prices of local solar companies and the amount you will save. Our Utah solar savings calculator can do this because it contains a database of the electric rates charged by City of Springville, Lehi City Corporation, PacifiCorp, Payson City Corporation, Provo City Corporation, Salem City Corporation, Spanish Fork City Corporation, Strawberry Electric Serv Dist
How much can solar panels save you in Orem
What does the cost of a real solar system look like?
Facts about installing a 10.43kW solar system in Orem, UT
This system would offset 100% of your energy usage if your typical monthly bill is $164, however your situation may vary so try our Orem solar calculator to get a result tailored to you.
$17,340
Net cost of system
7 Years 6 Months
Average payback time
15,138 kWh
Annual power production
5¢/kWh
Levelized cost of solar energy
23¢/kWh
If you don't get solar
Cash flow graph based on cash purchase of this 10.43kW system
Life-time savings on this system over the next 25 years
$62,508
(Prices shown after repayments of capital)
69
Solar companies in Orem, UT that provide pricing through the SolarEstimate marketplace.
Average total cost of solar panel installation in Orem
| System Size |
Cash purchase After 26% solar tax credit |
Financed purchase After 26% solar tax credit |
|---|---|---|
| 3kw | $6,371 | $6,881 |
| 4kw | $8,288 | $8,951 |
| 5kw | $10,101 | $10,909 |
| 6kw | $11,855 | $12,803 |
| 7kw | $13,468 | $14,545 |
| 8kw | $14,978 | $16,176 |
| 9kw | $16,450 | $17,766 |
| 10kw | $17,760 | $19,181 |
Find out what system size you need for your home
Going solar in Utah
Check out all of the ways energy providers of Utah can help you be more energy efficient and save money.
The following programs are available:
| Incentive Name | Eligibility | Type |
|---|---|---|
| Residential Renewable Energy Tax Credit | Federal | Personal Tax Credit |
| Renewable Energy Systems State Tax Credit | State | Personal Tax Credit |
| Net Billing | State | Net Metering |
Find your local rebates and incentives
Please keep in mind that the best source of up-to-date information on incentives are the solar installers who specialize in your area.
