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Wisconsin Solar Incentives: Tax Credits & Rebates Guide
  • Written by Lisa Iscrupe
  • |
  • Edited by Hannah Hillson
  • |
  • Last updated 09/08/2023

Estimate your home’s solar cost and savings

20-year savings
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$11,654
Incentives
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$6,945
Upfront cost
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$23,241
Payback period
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12 years
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Key Points

  • The average cost of solar panels in Wisconsin is around $27,160.
  • Solar energy will be an important part of Wisconsin’s decarbonization plan.
  • Wisconsin solar incentives and federal rebates can cut the cost of solar in Wisconsin by up to 30%.

Solar power in Wisconsin

The average solar system cost in Wisconsin is around $27,160, and the typical Wisconsin home requires a 7 kilowatt (kW) system at $3.88 per watt, according to the most recent data from Find Energy. Various ranges for solar panels in Wisconsin cost around $11,640 for a 3 kW system to $46,560 for a 12 kW system. Solar panels in Wisconsin can save you money on power bills, reduce your carbon footprint, and increase your home’s value.

With ever-fluctuating electricity prices, a home solar system can provide some stability, and Wisconsin solar incentives can help reduce the investment. Here’s a breakdown of home solar costs and the benefits of solar panels in Wisconsin. SaveOnEnergy can help you determine if they’re right for your home.

Ready to go solar? Call 866-284-7209to be connected with a solar expert today!

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How much does solar cost in Wisconsin?

The average solar system cost in Wisconsin is $27,160. You can reduce the total cost of solar with incentives like the federal 30% Residential Clean Energy Credit. The price per watt of solar in Wisconsin is about 6% higher than the U.S. average ($3.88 vs. $3.67). However, the average solar system is smaller in Wisconsin versus the national average (7 kW vs. 8.6 kW). The following table compares the average size, cost, and number of solar panels (based on 300–400 watt panels) in Wisconsin vs. the whole U.S.

Cost of solar panels in Wisconsin vs. the U.S.

System sizeTotal costNumber of panels*
Wisconsin7 kW$27,16018–24
U.S.8.6 kW$31,55822–29

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

Payback period for solar systems in Wisconsin

Wisconsin residents pay 17.33 cents/kWh for electricity as of May 2023 and the state monthly average electric bill is $119.58. If you pay $27,160 for a 7 kW system in Wisconsin, we can anticipate your payback period would be 13.25 years once you factor in the 30% federal tax credit. Considering electricity rates increase over time, your savings with solar energy could be higher than anticipated. 

Customize solar panels in Wisconsin

The cost of a solar panel system in Wisconsin will depend on several important factors, including the configuration and size of your solar system, relevant

components, local labor and permitting costs, and more. You can start by getting an instant solar estimate today with our solar calculator. Then we recommend getting multiple solar quotes from trusted Wisconsin solar installers; SaveOnEnergy partners with installers in your area to get you started.

Other factors that go into total home solar costs in Wisconsin include your energy use and the size of your home. The following table calculates the total price for a variety of system sizes based on Wisconsin’s average price per watt (PPW) of $3.88.

System sizeTotal priceNumber of panels*
3 kW$11,6408–10
6 kW$23,28015–20
9 kW$34,92023–30
12 kW$46,56030–40
15 kW$58,20038–50

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

System components like the solar inverter, the type of panels you choose, such as monocrystalline or polycrystalline, and home solar batteries also impact the total cost. Learn more about the best solar inverters, the most efficient solar panels, and the best solar batteries of 2023.

The best Wisconsin solar rebates and solar incentives 2023

Solar panels are a pricey investment despite the significant drop in costs over the last decade. Wisconsin homeowners can receive the biggest benefit from reducing the total cost of solar equipment with the help of federal incentives and home solar rebates. 

ProgramDescription
Focus on Energy rebatesAll eligible homeowners in Wisconsin can get a fixed, one-time $500 solar rebate after purchasing and installing solar panels on their property, no matter the system size. Check Focus on Energy’s site to see if your utility participates in this program.
Net meteringWith net metering, you can send your surplus solar power to the grid and receive a credit on the next month’s electricity bill. Wisconsin’s Public Service Commission requires that utilities offer retail rates to net metering customers.
State solar property tax and sales tax exemptionsResidential solar system owners in Wisconsin are exempt from sales and property taxes. With these exemptions, you don’t need to pay taxes on the added value to your house from solar panels.
Federal tax creditThe federal Residential Clean Energy Credit (formerly known as the Investment Tax Credit) allows you to claim 30% of the solar system price from your federal income taxes and is valid from 2022 through 2032. The credit drops to 26% in 2033, 22% in 2034, and terminates in 2035 unless extended.

Solar incentives in Milwaukee

The Milwaukee Shines Solar Financing program offers low-interest loans for residents. 

  • Apply for the Milwaukee Shines Solar Financing program.
  • Solar panels Milwaukee homeowners purchase are eligible for a low-interest loan with Summit Credit Union
  • These solar loans do not require a down payment and have a 15-year payback period. 
  • Loans cover up to $20,000 for solar energy installations up to 6 kW. 
  • Systems have to be installed by an approved Focus on Energy partner. 
  • These loans “can also be used for structural reinforcement and re-roofing expenses if these upgrades are part of the solar project.”

Solar incentives in Madison

The MadiSUN solar program is a residential solar group purchase option. Find out how the City of Madison operates this solar initiative and how to get involved. 

  • Apply for 2023 MadiSUN Solar Programs.
  • This program leverages a group of homeowners interested in buying solar in Madison to get the best bid from solar installers in the area. 
  • 100% financing for solar systems is available through local lending institutions, including Greenpenny or the Clean Energy Credit Union
  • Current credit thresholds and interest rates vary throughout the year.

Solar incentives in Green Bay

Lower the cost of solar panels in Green Bay with these incentives. 

  • Apply for Focus On Energy’s 2023 rebate.
  • Individuals can take advantage of net metering benefits by going through the interconnection procedures for a solar panel system of 15 megawatts (MW) or less. 
  • Apply for interconnection by contacting your electric utility. 
  • A $500 home solar rebate is also available with Focus On Energy in Green Bay and throughout Wisconsin.

Solar panel grants in Wisconsin

  • EBSCO solar grant program. EBSCO is an online research database. “All academic, school and public libraries that are current EBSCO customers are eligible to apply for the EBSCO Solar grant program” and can apply here.  
  • Solar for all. The Environmental Protection Agency (EPA) funds $7 billion in grants to “states, territories, Tribal governments, municipalities, and nonprofits” in an effort to expand solar into disadvantaged communities. Check the eligibility criteria and apply here.
  • Tribal Solar Accelerator Fund. The TSAF offers three types of grants to fund solar initiatives in federally-recognized tribal communities. Applications for the current grant cycle are closed, but should reopen in late 2023. 
  • USDA Solar Grants. The USDA has $10 million in grants for rural communities to invest in renewable energy, such as solar. This grant program is part of the Rural Energy for America Program (REAP). Get more information, find grant writers, and apply here.

Why choose Wisconsin solar power?

Solar energy offers many benefits, including reduced energy costs, establishing energy independence, and reduced carbon footprint.

Lower energy costs

One of the most significant benefits of installing solar panels on your home is the money you can save on energy costs. Solar panels work by capturing sunlight, and your system turns it into usable energy. As long as your home gets most of its electricity from solar generation, you’ll pay less for electricity from the traditional energy grid. The amount you can save depends on your current energy costs and how much energy your solar panels can produce, but you have the potential to save hundreds of dollars a year by going solar in Wisconsin.

Increase energy independence

Another benefit of residential solar panels Wisconsin offers is increasing your energy independence. With solar, you aren’t entirely reliant on the traditional energy grid to power your home and are better protected from energy price hikes when demand is high. Solar panels don’t save energy; however, if you have a solar battery, your stored solar power can continue to power your home when the traditional energy grid is down.

Go green

Traditional electricity generation is based on burning fossil fuels, which can harm the environment. Emissions of carbon dioxide and other toxins from conventional power generation contribute to climate change and pollute the air and water. Solar is a renewable resource, and its production doesn’t have the same harmful environmental impact. As a result, installing solar panels can reduce your home’s carbon footprint.

Should I buy or lease my solar panels?

When you decide to install solar panels in your home, you’ll have several choices: buying, financing, or leasing your solar panels. Other options include a power purchase agreement (PPA) or a community solar program.

Payment methodProsCons
Cash purchaseMost cost-effective, can use the federal tax credit and other financial incentives, increase the resale value of your home by an average of $15,000Must pay upfront
Solar loanCan use the federal tax credit and other financial incentives without the high upfront costInterest fees, longer return on investment, long-term payment commitment
Solar leaseFew upfront costs, electricity bill savingsNot eligible for the federal tax credit, rate could increase over time, long-term payment commitment
Power purchase agreementFew upfront costs, little to no maintenanceNot eligible for the federal tax credit, rate could increase over time, electricity bill savings not as substantial, long-term payment commitment
Community solarNo panel installation needed, no maintenance, no upfront costs, no long-term commitmentNot eligible for the federal tax credit, rate could increase over time

Wisconsin solar panel companies

Do you need to find a Wisconsin solar installer? More than 180 solar panel companies offer solar installation solutions in Wisconsin. SaveOnEnergy can connect you with installers in your area. Here are a few companies to consider when learning about solar for your home.

Solar installerYear foundedFinancing optionsWarranty terms
Drews Solar2016No in-house financing. Offers local financing partnerships and recommendations2025 years on solar panel brand
Home Team Energy2019Purchasing and financing systems25-year quality-of-work warranty and 25-year manufacturer guarantee.
Palmetto Solar2010Purchasing, financing, or leasing systemsMinimum 12-year product warranty and 25-year performance guarantee

Do’s and don’ts when hiring a solar contractor

Here are a few vital steps to consider when deciding which solar installer to use:

DO:DON’T:
Set aside time to do your researchRush or get pressured into your decision
Get at least three quotesHire the first contractor you speak with
Decide ahead of time what your budget isOverlook unexpected costs that may arise
Consider different financing optionsForget about federal and state incentives
Read reviews from previous customersDepend solely on info from the provider

How does Wisconsin solar save you money?

Wisconsin solar saves you money compared to solar system sizes in other parts of the country. For this reason, the average cost to go solar in Wisconsin is about $4,400 less than the national average. Wisconsin solar incentives such as the Focus on Energy rebate, net metering policies, and the federal Residential Clean Energy Credit reduce the cost of solar panels in Wisconsin. Solar in Wisconsin may save you money on your utility bills for years to come. 

Beware of free solar panels in Wisconsin scam

Although you may see advertisements for free solar panels in Wisconsin, be aware there is no such thing as free solar panels. This type of advertising is a marketing gimmick that is too good to be true. These offers often have no money due up front. Advertisers use this nuance to describe the offer as free.

However, payment will be due eventually, whether you are purchasing your solar panels with cash or a loan or entering a solar lease or PPA. Loans, leasing, and PPAs have monthly payment plans outlined in your solar contract.

Important solar installation factors to consider

Solar panels can be an excellent investment. But there are a few things to consider before you install them on your home:

  • According to the U.S. Department of Energy, solar panels are most effective on south-facing roofs with slopes between 15 and 40 degrees and roofs in good shape that won’t need to be replaced anytime soon.
  • Solar panels are most effective on properties with unobstructed exposure to sunlight. If your home gets heavy shading, the solar energy Wisconsin offers won’t generate as much energy.
  • If you have a homeowner’s association (HOA), there may be restrictions around solar panels. Some neighborhood organizations may limit the size of solar panel systems or require approval before you install them.

Solar power FAQs

  • The average residential solar panel system costs $27,160 in Wisconsin. The exact price you will pay for a solar system will depend on your location, size, configuration, system components, local labor and permitting costs, and more.

  • Yes. Solar power can be worth it in Wisconsin. The amount you can save by investing in solar depends on how much you spend on electricity. Solar panels could save you thousands during their typical 25 to 30-year lifespan in Wisconsin. With the current average electric bill of $119.58, you could recoup your installation costs in about 13 years.

  • It’s important to do your due diligence before picking an installer. Check customer reviews online, ask for customer references, and research any legal actions taken against the company before deciding. SaveOnEnergy can help you find a solar installer you can trust. Call the number on the screen to connect with a solar advisor.

  • Statute 700.41 allows “an owner of an active or passive solar energy system or a wind energy system to receive compensation for an obstruction of solar energy by a structure outside a neighbor’s building envelope as defined by zoning restrictions in effect at the time the solar collector or wind energy system was installed.” This law effectively protects the homeowner’s right to access the amount of sunlight that was available at the time the solar panel system was installed. According to the Wisconsin Department of Natural Resources, large-scale solar projects must take precautions to avoid protected land such as wetlands, certain habitats, and prime farmland.

  • Wisconsin residents who purchase solar with cash or finance can take advantage of the 30% federal tax credit called the Residential Clean Energy Credit. This tax credit is available nationwide. There are not any solar tax credits specific to Wisconsin; however, many Wisconsin utilities are part of the state’s Focus On Energy program, which provides a $500 rebate for solar purchases. 

Solar energy by state

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