Solar power in Providence, Rhode Island
If you live in Providence, you can't get much luckier when it come to incentives available in your state.
Just upfront rebates cover about 60-70% of the upfront cost, and the rest is quickly paid for by the excellent feed-in-tariff or (FiT).
First, there is the federal solar tax credit, which in 2020 is worth 26% of total system costs.
Besides that, Rhode Island has a rebate of $1.05 per watt meaning about two thirds of the upfront system cost is already covered.
Solar in Rhode Island is a must-have investment for your home. Even if you don't plan on staying long in your current home the incentives are so good that the system won't actually cost that much and the feed-in-tariff will quickly cover the rest of the cost. Installing a solar system will also add a great deal of value to your home if you're interested in selling.
These incentives are considered by many as too generous and set to be cancelled or reduced so the time to act is now!
Net Metering Broken Down
Rhode Island's works is similar to net metering, but better!
Unlike most states Rhode Island has an excellent feed in tariff for those who choose to install solar.
Picture net metering for example, net metering gives you retail value for any excess energy exported to the grid which on its own is an excellent incentive.
In Rhode Island the feed-in-tariff is at 37.75 cents which is twice the average power price, so essence net metering times two, that's amazing!
The average cost of installing residential solar panels in Providence,
Rhode Island in 2024 is
$2.77 per watt. The average system size
in the US is 6 kilowatts, which means the average price of a solar system
in Providence, RI
is $13,850.
(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 Rhode Island is only 597kWh per month however, you are most likely using a lot more than this since this average includes condos and small apartments.
The Providence 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 Rhode Island solar savings calculator can do this because it contains a database of the electric rates charged by The Narragansett Electric Co, Pascoag Utility District, National Grid
How much can solar panels save you in Providence
What does the cost of a real solar system look like?
Facts about installing a 9.63kW solar system in Providence, RI
This system would offset 100% of your energy usage if your typical monthly bill is $207, however your situation may vary so try our Providence solar calculator to get a result tailored to you.
$12,778
Net cost of system
4 Years 8 Months
Average payback time
11,239 kWh
Annual power production
5¢/kWh
Levelized cost of solar energy
39¢/kWh
If you don't get solar
Cash flow graph based on cash purchase of this 9.63kW system
Life-time savings on this system over the next 25 years
$92,124
(Prices shown after repayments of capital)
21
Solar companies in Providence, RI that provide pricing through the SolarEstimate marketplace.
Average total cost of solar panel installation in Providence
| System Size |
Cash purchase After 26% solar tax credit |
Financed purchase After 26% solar tax credit |
|---|---|---|
| 3kw | $6,593 | $7,121 |
| 4kw | $8,584 | $9,271 |
| 5kw | $10,471 | $11,309 |
| 6kw | $12,299 | $13,283 |
| 7kw | $13,986 | $15,105 |
| 8kw | $15,570 | $16,815 |
| 9kw | $17,116 | $18,485 |
| 10kw | $18,500 | $19,980 |
Find out what system size you need for your home
Going solar in Rhode Island
Check out all of the ways energy providers of Rhode Island 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 |
| Small Scale Solar Grants (Commerce RI) | State | Grant Program |
| Rhode Island Renewable Energy Fund (REF) | State | Rebate Program |
| Property Tax Exemption | State | Property Tax Incentive |
| Sales and Use Tax Exemption | State | Sales Tax Incentive |
| Net Metering | State | Net Metering |
| National Grid Renewable Energy Growth Program - $0.2845/kWh value if opt to take instead of REF grant | Utility | Performance-Based Incentive |
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.
