Solar in South Carolina

Solar in South Carolina can help you save thousands on energy bills. South Carolina solar panels cost about $31,050 for a system that completely covers the average energy usage. The more you currently pay in energy bills, the higher your potential savings are with home solar panels.

The Palmetto State has experienced significant solar growth and consistently sits among the top 15 states for solar power generation. According to the Solar Energy Industries Association (SEIA), South Carolina has enough installed solar to power more than 300,000 homes.

But are solar panels worth it in South Carolina? The upfront cost of solar is high, but the SEIA estimates solar prices in South Carolina have dropped 43% in the last decade. Additionally, South Carolina solar incentives, like the state’s solar tax credit and net metering policy, can offset a portion of the cost. Keep reading to learn more about the cost of solar panels in South Carolina, the pros and cons of solar, South Carolina solar companies, and whether solar is right for you.

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Cost of solar panels in South Carolina

The cost of solar panels in South Carolina depends on several key factors, including the size of your system, its configuration, the components, and your local labor and permitting costs. Solar system sizes are measured in dollars per watt, but system sizes are shown in kilowatts (kW). There are 1,000 watts for every kilowatt, requiring some math to understand your potential cost and system size. Solar panel systems are a custom product, so every system will differ based on a household’s needs. 

According to the Lawrence Berkeley National Laboratory, the average U.S. solar system is 8.6 kilowatts (kW) and costs $3.67 per watt. Based on these estimates, most solar panel systems cost roughly $31,558 in total.

Based on state data from Find Energy, the average solar system size in South Carolina is 9 kW. The state’s average price per watt is $3.45, meaning a solar system would cost around $31,050 before factoring in South Carolina solar incentives and tax credits. The following is a breakdown of how we calculated the average South Carolina solar panel cost:

($3.45 X 9 kW) X 1,000 = $31,050

The average solar system size and price per watt varies by state. Some states consume more electricity in a month, so the average system size is larger to account for higher usage. South Carolina, for example, has a higher average monthly usage than the U.S. average, likely because of the state’s hot summers. The following table compares U.S. solar averages to the average size and cost of solar panels South Carolina residents can expect to find when getting quotes.

Solar panel systems are customized for your home, and the price will vary by size. A solar system’s size depends on the number of solar panels included. Using the average $3.45 price per watt from Find Energy, the following table shows the estimated cost of solar panels in South Carolina for a range of system sizes, including the number of solar panels you could expect for each size.

*Estimated panel count is based on the average panel size ranging from 300 to 400 watts.

Free solar panels in South Carolina scam

There are no legitimate incentives or programs offering free solar panels in South Carolina. However, you may hear promises of installing solar panels for free from door-to-door salespeople or sales calls on the phone. Most likely, anyone offering free solar panels in South Carolina is a scammer. Solar scams are more common as home solar systems rise in popularity nationwide. While some credible installers do employ door-to-door sales people, you should confirm a person’s identification before discussing your personal information with anyone offering free solar panels. 

Some solar installers offer solar loans with no down payment or upfront cash requirements. While a zero-down loan is a more credible way to acquire solar panels without paying anything upfront, keep in mind that a loan does not mean you are getting solar panels installed for free. Some zero-down loans come with high interest rates or unfavorable terms, so be sure to read the details of a loan agreement before signing a contract.

Are solar panels worth it in South Carolina?

Electricity prices have risen significantly nationwide in recent years. Data from the Energy Information Administration (EIA) shows U.S. energy rates rose 10.7% from 2021 to 2022. Electricity prices in South Carolina increased by approximately 9.7% from 2021 to 2022 and have continued to rise in 2023.

Rising energy prices mean you could save even more now by investing in solar panels in South Carolina. Based on the average 2022 energy rate of 14.11 cents per kilowatt-hour (kWh) and usage of 1,078 kWh per month, the average South Carolina resident spends $149.99 per month on electricity bills. If you install solar panels that generate enough energy to power your home throughout the year, you can save almost $1,800 annually on energy bills.

Using the average yearly energy bill and cost of solar panels in South Carolina, the typical solar payback period for a solar system is approximately 12 years. After you achieve a return on your investment, you’ll continue to incur savings for years to come. Here’s how we calculated the average solar payback period in South Carolina:

(Total system cost − 30% tax credit savings) ÷ Annual electricity bill costs = Payback period

$21,735 ÷ $1,799 = 12 years

The best South Carolina solar incentives and rebates

While South Carolina solar panels are a significant financial investment, solar incentives at the federal, state, and local levels exist to help homeowners offset the cost of solar panels.

At the federal level, the Residential Clean Energy Credit offers a 30% tax credit for residents who purchase solar panels for their primary or secondary homes. Based on the average cost of solar panels in South Carolina, the federal solar tax credit would provide around $9,315 in credit when you file your federal tax return. You can combine the federal tax credit with other state and local solar incentives. SaveOnEnergy can help you learn more about the how to apply for the federal tax credit.

South Carolina offers a statewide 25% solar tax credit for the cost of your solar panels. The South Carolina solar tax credit has no expiration date, and you can claim up to $3,500 or 50% of your maximum tax liability. Other state solar incentives include South Carolina’s net metering policy and credits and rebates offered by local utility companies.

Why choose solar in South Carolina?

There are several key benefits to installing solar panels on your home. Some of the most common benefits that attract residents are reduced energy costs, greater energy independence, and a smaller environmental footprint.

Lower energy costs

For many residents, one of the most important benefits of installing solar panels in South Carolina is lower energy costs. Based on the average energy bill in South Carolina, traditional electricity could cost you nearly $1,800 per year. However, when you rely on solar to power your home, you can reduce or almost eliminate those electricity bills. If you keep your solar system grid-tied (most customers do), you’ll still incur some connection fees from the utility company, although these fees tend to be relatively minor compared to your savings.

Increase energy independence

Solar panels can also give homeowners more energy independence, meaning you won’t solely rely on the traditional electricity grid to power your home. When you have energy independence, you don’t have to worry about price hikes when energy demand is high. Stored energy from a solar battery can help protect your home against power outages due to storms or downed power lines.

Go green

Traditional electricity generation emits carbon dioxide into the atmosphere, contributing to climate change. Solar power is a clean and renewable energy source, so producing it doesn’t emit the same harmful pollution. As a result, switching to solar panels can reduce your home’s environmental footprint.

Financing South Carolina solar panels

If you’d like to invest in South Carolina solar panels, you can choose from various financing options, including a cash purchase, loan, lease, or power purchase agreement.

While each option has unique advantages, buying your own panels is the most cost-effective. It allows you to take full advantage of solar incentives, which can significantly reduce your costs and lead to long-term savings. You may also increase your home’s resale value by $15,000 on average, according to findings from the Department of Energy (DOE). Leasing your solar panels is less expensive up front, but you won’t be eligible for most solar incentives and your home value won’t increase because you don’t own the panels.

South Carolina solar panel companies

As green energy becomes more prevalent, the number of South Carolina solar panel companies will likely increase. When searching for the best South Carolina solar panel company, be sure to thoroughly research all your options. For starters, it’s important to know which financing options an installer offers since this could help you narrow your search immediately. Read reviews, ask for customer references, and research the company’s history before signing a contract. You should also discuss the timeline for installation as this could help you narrow down your options.

Explore solar panel guides and resources with SaveOnEnergy to ensure you’re an informed shopper. Call our experts at the number on your screen if you have any further questions. Here are some noteworthy solar installers in South Carolina to consider during your search:

Solar installer	Year founded	Financing options	Warranty terms
	2011	Cash purchase or solar loan	25-year manufacturer warranty and production guarantee
	2020	Cash purchase, solar loan, lease, or PPA	25-year manufacturer warranty and 10-year quality-of-work guarantee
	2010	Cash purchase, solar loan, lease, or PPA	Minimum 12-year product warranty and 25-year performance guarantee
	2018	Cash purchase or solar loan	30-year performance warranty, 25-year panel warranty, and 25-year quality guarantee
	1985	Cash purchase, solar loan, or lease	25-year full system warranty
	2007	Cash purchase, solar loan, or lease	10-year quality warranty; customers who lease their systems receive coverage on maintenance and monitoring

What to look for in a solar contractor

Your solar installer plays a critical role in setting you up for success with your South Carolina solar panels. The right installer will do more than just install your system — it will help you make financing decisions, choose the right equipment, and plan everything from start to finish. That’s why it’s essential to find the right fit in a solar contractor.

Here are a few things to consider as you compare your options:

• Experience and licensing: With the explosive growth of the solar industry, there are a lot of new players in the business. But experience matters, and proper licensing is even more important. Look for fully licensed, bonded, and insured contractors with a few years of experience planning and installing solar panels in South Carolina.
• Service reputation: Don’t simply enter a contract with an installer before receiving multiple opinions. Ask around and read reviews to find out how others have fared with contractors you’re considering.
• Transparency in communication: Solar panels are a big investment, and you deserve to understand the process and know what’s going on at every stage. Look for installers offering full transparency on the process to keep you in the loop.
• Pricing: The cost of solar panels in South Carolina varies widely based on a number of factors. It’s best to seek out multiple quotes for comparison and consider the pricing information on this page to ensure your cost makes sense.

Important solar installation factors to consider

Although solar in South Carolina can be a great investment, there are a few things to consider before you install solar panels on your home:

• Your roof: According to the Department of Energy, solar panels work best on south-facing roofs with slopes between 15 and 40 degrees. If your roof is in poor condition, you may need a replacement before installing solar panels. Roof repairs or replacements could significantly impact how much it costs to install solar panels.
• The amount of sunlight your home gets: Solar panels require direct sunlight to produce energy, meaning they’re most effective if your roof is not shaded by obstructions to sunlight. Keep in mind that the amount of sunlight your roof receives could fluctuate throughout the year, depending on your tree coverage.
• Your neighborhood: If you have a homeowners’ association in your neighborhood, there may be restrictions or required approvals for solar panels. Your solar installer can help you navigate the requirements in your neighborhood.