Solar Panels in Hawaii2026 Cost Guide & Incentives
Average cost, state incentives, payback estimates, and how to find certified installers in Hawaii.
$20,000–$35,000
Avg system cost
$14,000–$24,500
After 30% ITC
5.6 hrs/day
Peak sun hours
$0.433/kWh
Avg rate
Is Solar Worth It in Hawaii?
Based on a home with a $150/month electric bill in Hawaii
Est. system size
1.9 kW
Gross cost
$5,426
Federal tax credit
−$1,628
State credit
−$1,899
Year-1 savings
$1,800
20-year savings
$45,911
Estimated payback: 1.1 years — then 18 years of free electricity.
* Estimates assume $2.90/W installed, 92% solar offset, and 3% annual electricity rate inflation. Get an installer quote to confirm your actual savings.
Hawaii Solar Incentives & Policies
Federal
Investment Tax Credit (ITC)
30%
of total system cost — off your federal tax bill
Available through 2032
Hawaii State
Hawaii Solar Tax Credit
35%
Up to $5,000 off your state income taxes
Additional Hawaii Solar Policies
Net Metering: Limited — check with your local utility
Property Tax Exemption: Solar system value exempt from property taxes
Sales Tax Exemption: Sales tax applies to solar equipment purchase
Solar Installation Cost in Hawaii by System Size
| System size | Gross cost | After 30% ITC | Year-1 savings |
|---|---|---|---|
| 5 kW | $12,272,800 | $8,585,960 | $4,071,239/yr |
| 7 kW | $17,181,920 | $12,022,344 | $5,699,735/yr |
| 9 kW | $22,091,040 | $15,458,728 | $7,328,231/yr |
| 12 kW | $29,454,720 | $20,613,304 | $9,770,974/yr |
* Costs based on $2.90/W national average. Hawaii installer pricing may vary ±15%.
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Frequently Asked Questions — Solar in Hawaii
How much do solar panels cost in Hawaii?
Solar installation in Hawaii typically costs $20,000–$35,000 before incentives. After the 30% federal tax credit and Hawaii's 35% state credit, most homeowners pay $14,000–$24,500 net.
Is solar worth it in Hawaii?
Yes — Hawaii homeowners benefit from 5.6 average peak sun hours per day and relatively high electricity rates ($0.433/kWh). The 30% federal ITC combined with 35% state tax credit up to $5,000 — best state credit in the us make the financial case strong for most homeowners.
What state incentives are available for solar in Hawaii?
35% state tax credit up to $5,000 — best state credit in the US. On top of state incentives, all Hawaii homeowners qualify for the federal 30% Investment Tax Credit (ITC). Your solar system is also exempt from property tax assessment.
How long is the payback period for solar in Hawaii?
Based on Hawaii's average electricity rate of $0.433/kWh and 5.6 peak sun hours, most homeowners see payback in 1.1–2 years. Systems then produce free electricity for 15–20+ more years.
Does Hawaii have net metering?
Hawaii's net metering policy is limited. Check with your local utility for current export compensation rates, as policies vary by provider.