The Cost of Solar Panels in Las Vegas In 2024
The installation of solar panels in the southern region of Nevada’s city, Las Vegas has rapidly increased over a decade now. Since the state receives very hot sunlight of over 300 days in a year and the state is favorable to this natural resource, more households and firms in Las Vegas are adopting solar power. Since this market is growing at a very fast rate within this region, potential customers who are planning to install these systems should be aware of the costs that are involved. This article seeks to explain solar pricing and give figures of the average price for a system for homeowners in Las Vegas after rebates.
Average Costs of Solar Panels In Las Vegas 2024
While analyzing the initial expenditures linked with solar panels, it is crucial to comprehend pricing in dollars per watt of DC producing capability. The primary measure to consider is what percentage a sun energy system costs per watt of power generating capacity before any rebates or tax credits.
In 2024, average cost range for PV modules in Las Vegas (pre-incentives) is from $2.50/W to $3.50/W. Here’s how much you can expect for typical residential system sizes:
- 5 kilowatt (kW) system: $12,500 – $17,500
- 10 kW system: $25,000 – $35,000
Today’s national average for solar panels is about $2.80 per watt—this cost is slightly below the cost that was experienced in Las Vegas. Another benefit that the city has is favorable sunlight conditions and hot weather and increasing demand of the consumers for electricity.
However there are also other non-policy factors that make the price of the solar systems in the southern Nevada region to be even higher than the average price per watt that is seen in other areas across the United States.
What Affects The Cost of Solar Panels in Las Vegas?
There are several important factors that ultimately determine the costs of designing and installing a solar panel system on a home or business in Las Vegas.
System Size
The size of the solar array measured in kilowatts is one of the largest factors that affect the cost. Higher capacity solar systems physically imply more solar panels, invertors, wires, and racking systems within an installation. The costs of labor are also relatively high, especially for the large systems because more time and work is necessary for the correct installation. As a result of these scale factors, cost per watt is lower when the system size is large. A residential property, especially a single family house, would usually require a solar array size of 5 to 10 kW.
Type of Solar Panels
Today there are two primary kinds of solar PV panels used in residential and commercial structures – monocrystalline and polycrystalline silicon cells. Monocrystalline panels are made from a single cylinder silicon crystal and are generally slightly more efficient (wattage per panel) than the multiple crystal structure of poly panels. In addition, monocrystalline modules are relatively more expensive than the other types per watt. In terms of looks, monocrystalline solar cells are smooth and shiny, and the appearance of single crystalline silicon is much smoother than that of multi crystalline which has a speckled blue appearance.
Installation Costs
In addition to the solar equipment itself, labor costs for installation are a major portion of the overall expense. Installation charges can vary based on the particular solar contractor, complexity of roof work needed, permitting costs, and other factors. Some installation companies in the Las Vegas market offer much more competitive labor pricing than others for standard residential solar deployments. Shopping around for quotes rather than going with the first bid is advisable.
Local Market Conditions
Some of the parts of Nevada have been experiencing short supply of qualified personnel who perform solar panel installation due to high demand at some point. There is normally a tendency of contracting out when there is high competition amongst the contractors also known as Buyer’s market leads to low prices. However, the studies indicate that where there are few installation companies which are locally based, supply constraints lead to increased costs. However, compared to other parts of Nevada, the Las Vegas market has continued to be fairly healthy in this regard.
Solar Incentives in Las Vegas
Many people feel that the costs of the solar panels are high, but fortunately there are several very relevant financial incentives that can be obtained in Las Vegas, which significantly reduces the net price.
Federal Investment Tax Credit (ITC)
Undoubtedly, the most enticing benefits that one can end up severing by going solar is the federal Solar Investment Tax Credit. This program offers the homeowner or the business person with a tax credit of the thirty percent of the cost of the solar panel system and installation.
State and Local Utility Incentives
Besides the ITC, the state of Nevada also has provisions on property tax credits for renewable energy systems on homes. All these benefits that accrue as a result of the installation of a solar array are excluded from taxation. For a system that costs $30,000, this could be over $2,500 in property taxes over 20 years at the average property tax rate in the state.
Also, local utility companies and municipalities offer incentives such as rebates and credits to encourage the use of solar power. For example, NV Energy offers a renewable energy credit worth around $0.02 per kWh produced. For a 10 kW system in Las Vegas, that could mean over $400 in annual savings. Local governments like North Las Vegas also have programs that reward solar installation with cash rebates.
How to Pay for Solar Panel Installation
The following are the financing options for solar panel installation:
Cash Purchasing vs. Leasing
The initial choice that a customer has to make is whether they would like to buy the solar panels and the system or take out a solar system financing from a company. Purchasing’s advantage is realizing all the long-term cost of utilities, and maintaining the 30% federal tax credit eligibility. But purchasing entails a need to acquire the full cost before the incentive discount is made.
With a $30,000 purchase price and ITC, your net cost is $21,000. Leasing often involves lower upfront costs around $1000-$2000 but requires monthly lease payments for 10-20 years. You also forgo the ITC credit benefit. Run the numbers to see if leasing or purchasing best fits your budget.
Power Purchase Agreements (PPAs)
A Power Purchase Agreement seems to be the third option in this regard. PPA is also known as solar lease where a solar company puts up the solar products then owns them on your behalf and you pay for the power produced by these solar products on your roof. Under a power purchase agreement, you are normally offered a fixed monthly rate for the system electric output over a long term but you don’t pay installation costs.
Solar Loans
Banks and credit unions now offer solar-specific loans with terms ranging from 10-20 years. These allow homeowners to finance system costs over time while retaining ownership. Solar loans offer low interest rates and flexible payment options. Just be sure to calculate the total costs with interest.
Conclusion
When residents of Las Vegas think about how much it costs to get solar panels, they may be inclined to consider it too expensive for them. However, there are many financial incentives accompanied by future energy savings, which put any residential solar system as a sound investment for most of the homeowners in the region. Las Vegas’ solar power expansion will continue to expand because of; affordable prices of solar equipment, several solar installers, laser and Sunny Nevada policies among others.
FAQ
1. Should I install solar panels in Las Vegas?
Certainly – Solar energy generation is well suited in the desert city of Las Vegas. Given the stake of Nevada in being a part of the ‘sun belt,’ the availability of adequate surface area on homes and commercial buildings, coupled with the high rates of electric tariff charged by NV Energy, going solar makes good sense in Nevada.
2. How long can solar panels be expected to last in Las Vegas conditions?
The durability of solar panels quality is standard averages to about 25-30 years. High temperatures in terms of its impact to efficiency, results in fractionalto losses over a period of a few decades but does not harm the equipment.
3. What is the average cost per watt for solar panels in the area of Las Vegas?
On average, residential solar panel systems in the U.S. typically cost between $2.50 to $3.50 per watt before any incentives or tax credits. Las Vegas, being in a sunny area with a strong solar market, might be on the lower end of this range.
