All states · Arkansas

Updated October 2026 · ranks 31 of 50

Solar panel cost in Arkansas

14.9years

Only under favorable conditions

6 kW system · $15,240 after incentives · $1,084 returned in year one

0 yrs25 yrs

At 14.9 years the outcome depends more on individual circumstances than on the state average. It shortens appreciably with above-average consumption, an unshaded south-facing roof, or an installed price below $2.54 a watt, and lengthens with the opposite.

Is solar worth it in Arkansas?

The answer depends on the individual property rather than the state average. At 14.9 years, shading or below-average consumption can move the outcome materially in either direction.

Are solar panels worth it in Arkansas for an average household?

The case modeled here approximates an average Arkansas household on the state average rate of 14.3¢, with an unshaded roof and no financing: $15,240 of capital, $1,084 returned in the first year, and break-even near year 14.9. Above-average consumption, a south-facing roof or a competitive installed price shorten that period; shading, a loan carrying a dealer fee, or a sale within six years lengthen it. Because exports earn only 4.0¢, daytime occupancy carries measurable value: a household absent between nine and five performs appreciably worse than this figure.

What decides the payback in Arkansas

The retail electricity rate

At 14.3¢ per kilowatt-hour, electricity in Arkansas costs 13% less than the United States average of 16.5¢. Inexpensive grid power lowers household bills but weakens solar economics, since each kilowatt-hour generated displaces a cheap one.

Available irradiance

A 6 kW array in Arkansas generates approximately 8,478 kWh a year, above the national median. Irradiance is the one input that no change in policy can remove.

Compensation for exported power

Arkansas provides little or no net metering. Exported power earns approximately 4.0¢ against a retail rate of 14.3¢, roughly a quarter of its purchase price. The practical consequence is that a smaller system, consumed almost entirely on site, repays faster than a large one - the reverse of the position in full-net-metering states.

Incentives

Arkansas offers no state rebate or tax credit at present, so the installed price of $15,240 stands. With Section 25D expired there is no federal credit to deduct either, the first year in over a decade in which that has been the case.

What a 6 kW system costs here

A 6 kW system, the size typical of Arkansas households, costs approximately $15,240 installed at $2.54 a watt before deductions. No deduction applies in Arkansas: there is no state rebate, no state tax credit, and no federal credit following the expiry of Section 25D on 31 December 2025. Prices vary with roof complexity, equipment selection and local installer demand; quotes $0.40 a watt either side of this figure are common. Smaller systems cost more per watt and larger ones less, although a larger array is worth less here, since exports earn only 4.0¢.

The numbers

System size6 kW
Annual production8,478 kWh
Installed cost$15,240
Incentivesnone
Net cost$15,240
Electricity rate14.3¢ / kWh
Export credit4.0¢ / kWh
Year-one saving$1,084
Break-even14.9 years
25-year gain$16,155

Where Arkansas sits nationally

Of the 50 states published here, Arkansas ranks 31st for how quickly a bought system repays itself. Fastest right now: Hawaii, New York, Illinois, Massachusetts. Slowest: South Dakota, Louisiana, North Dakota, Tennessee. Compare them all on the map.

Bordering states

Solar economics change at state lines rather than at county lines, because the export tariff and the netting period do. These states share a border with Arkansas, and the figure each produces on the same assumptions.

Questions

How much do solar panels cost in Arkansas?

About $15,240 installed for a 6 kW system at $2.54 a watt. No deduction applies in Arkansas: no state rebate, no state credit, and no federal credit following the expiry of Section 25D. A system sized to daytime consumption costs less and repays faster here, because exports earn only 4.0¢.

Is solar worth it in Arkansas in 2026?

Only under favorable conditions. A 6 kW system breaks even in 14.9 years on the assumptions used here, following the expiry of the 30% federal tax credit on 31 December 2025.

How much will solar save me each year in Arkansas?

Approximately $1,084 in the first year on a 8,478 kWh system, rising thereafter as Arkansas electricity rates increase. Almost all of that derives from power consumed as it is generated; at 4.0¢, export earns little.

How many solar panels does a house in Arkansas need?

A 6 kW array is about 14 modules at 430 W and generates 8,478 kWh a year here, which covers a household using roughly that much. Sizing beyond on-site use is poor value in Arkansas, since the surplus earns 4.0¢ against a 14.3¢ retail rate. The sizing calculator works it out from a bill.

Are solar panels a good investment in Arkansas?

Only under favorable conditions. The retail rate here is 14.3¢ against a national average of 16.5¢, exports earn 4.0¢, and a 6 kW system breaks even in 14.9 years. What separates Arkansas from states with similar sunshine is the rate and the export tariff, not the weather.

Does Arkansas have net metering?

Arkansas provides little or no net metering.

Method

Compiled and verified by Chameera Sampath, Compiler and maintainer, energycostmap. Export terms for Arkansas were read from the serving utility's tariff rather than a secondary summary. Report an error on this page.

Generation is taken from NREL PVWatts v8 for the largest metropolitan area in Arkansas, south-facing at 20°. The retail rate is from the EIA and the export credit from the state's net metering rule. The break-even figure incorporates 0.5% annual panel degradation, 3% annual electricity price growth, $150 a year in maintenance and an inverter replacement in year 12. The federal credit is set to $0 — Section 25D expired 31 December 2025. Imports and exports are netted over the monthly billing period, so approximately 85% of generation offsets consumption at the full retail rate before any surplus is compensated at the export rate. This has a larger effect on the result than the export rate itself. Full method and sources. Privacy. Export terms checked against the state source in August 2026.

These are estimates for comparison between states, not quotations. Roof orientation, shading, consumption pattern and installer pricing all affect the result. At least three written quotations are advisable before purchase.