AZ · Solar + Battery

Solar quotes in Phoenix, AZ.

Battery-coupled solar closes most often in Arizona. One real quote from a vetted local installer, with the federal Clean Tech ITC (30%) on storage stacked with state net metering.

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What you get
  • One vetted local Phoenix installer
  • Rebates checked for your exact address
  • No call-center spam, no lead list
7.5 kW
Average system size
$2.60/W
Average cost (USD)
9 yrs
Average payback
178+
Local installers

Why solar in Phoenix

The single most consequential fact about solar in Phoenix is that two utilities serve the city under completely different rules, and which one bills you decides almost everything else. APS is regulated by the Arizona Corporation Commission and credits exports under a Resource Comparison Proxy rate you lock for ten years. SRP is a not-for-profit utility with a publicly elected board, is not ACC-regulated, and puts solar customers on plans with a demand charge. Service boundaries change block by block, so this is a question to answer by address rather than by city.

Answer the utility question by address, not by city

SRP serves much of the Phoenix metropolitan area, including parts of Phoenix itself along with parts of Mesa, Scottsdale, Tempe, Chandler and Gilbert. Service territory boundaries can change block by block, so verify your provider by entering your address on the utility websites rather than assuming based on your city.

This is not a technicality. APS credits exported solar under a Resource Comparison Proxy rate rider, metering export energy on an instantaneous basis and providing monthly bill credits, with the initial purchase rate locked in for ten years. SRP puts solar customers on demand and export based price plans, where a per-kilowatt demand charge is based on 30-minute intervals during on-peak hours.

Those are different products requiring different decisions. Under one, the timing of your interconnection sets a rate for a decade. Under the other, the shape of your household's peak usage drives a charge that solar alone does not reduce.

So the first thing to establish, before any quote, is the name on your bill. A neighbour two streets over may genuinely be on a different utility with different economics, which is why solar advice travels so badly across this metro area.

If APS bills you, the interconnection date is a ten-year decision

The APS Resource Comparison Proxy is a rate rider available to partial requirements residential customers with qualified on-site solar generation. Customers lock in an initial RCP purchase rate for ten years.

That lock is the part worth planning around. The rate is set through the Arizona Corporation Commission process and reviewed annually, and the rate you get is the one in effect when you interconnect. A project that lands either side of an annual change is locked to a different number for a decade.

So ask APS directly what the current RCP purchase rate is, when the next change takes effect, and what rate a system interconnecting on your expected date would lock. Ask for it in writing. That answer is worth more to your return than any equipment upgrade an installer will offer you.

One further condition matters if you might expand later. A material increase in capacity ends eligibility for the initial RCP purchase rate locked in for ten years. If you are considering adding panels for an electric vehicle or an addition, ask what counts as a material increase before you size the first system, not after.

What you use is worth more than what you send out

Traditional one-to-one net metering has been replaced in Arizona by net billing export rate riders at the major utilities. Exported solar is credited below the retail rate, which means electricity you consume as it is generated is worth more to you than electricity you export.

That inverts the old sizing instinct. Rather than building generously to cover annual consumption and letting the grid balance the seasons, you want a system matched more closely to what your household actually uses during daylight, with the surplus valued honestly at the export rate rather than at retail.

Ask your installer to model the self-consumed share of production explicitly and to value the remainder at the actual export rate you will be on. A projection that treats every kilowatt hour as equally valuable is describing net metering, which Arizona no longer has.

It also makes batteries a more serious question here than in a net-metered state, because storing production for evening use converts a low-value export into an avoided retail purchase. Ask for the arithmetic with and without storage rather than accepting a general recommendation either way.

The state credit you claim yourself, and the federal one that ended

Arizona still has a state income tax credit of its own, claimed on Arizona Form 310, Credit for Solar Energy Devices. It is calculated by multiplying the cost of a solar energy device by 25 percent, capped at $1,000, and the form provides for tracking credit carryover across multiple years.

Ask a tax advisor how the cap and the carryover apply to your situation before you rely on a figure in a quote. A credit is only worth what you can actually use against tax owed, and an installer is not the right party to advise you on that.

Arizona also exempts solar equipment from state sales tax and excludes it from property tax, so the improvement does not raise your property tax bill the way a renovation of similar cost would. Neither arrives as a cheque, which is exactly why they get left out of people's own arithmetic.

The federal position has changed and much published material has not caught up. The 30 percent Residential Clean Energy Credit under Section 25D expired for property placed in service after December 31, 2025, so a cash or loan purchase now does not receive it. Section 48E survives at 30 percent for third-party owners under leases and power purchase agreements, so such a provider may claim it and reflect part of the value in the rate offered. Ask what they claim and what actually reaches you, and confirm with a tax advisor.

Incentives & rebates

Net metering: Net billing / export rate riders

Arizona retired full retail net metering. Major utilities now use net billing with an export (or resource-comparison-proxy) rate that credits exported solar below the retail rate and steps down over time. This raises the value of self-consumption and makes battery storage increasingly attractive.

Battery + Storage

Why solar + battery in Phoenix

Arizona is one of the sunniest states in the country, with desert sun-hours that let a solar array generate exceptional output year-round. Traditional one-to-one net metering has been replaced by net-billing 'export rate' or 'resource comparison proxy' riders at the major utilities, so exported solar is credited below the retail rate and the value of self-consumption (and batteries) is higher. The 30% federal Residential Clean Energy Credit (Section 25D) ended on December 31, 2025 - cash and loan purchases in 2026 no longer receive it, though leased / PPA systems can still indirectly access the surviving 30% commercial Section 48E credit. Arizona's own state income tax credit (25% of cost up to a $1,000 lifetime cap) remains active, and solar equipment is still exempt from state sales tax and excluded from property tax. Thanks to very high production, a typical 7.5 kW Arizona system pays back in roughly 9-12 years for a cash purchase in 2026.

✓ Federal Clean Tech ITC 30% on storage ✓ Outage resilience

How payback works in Arizona

System cost
$19,500
Estimated net cost
$19,500
Estimated payback
~12.0 years
25-year net savings
~$21,000

These figures are illustrative; your actual quote reflects your roof, sun exposure, and local utility rates.

Frequently asked questions

Which utility serves my Phoenix address?
That has to be checked by address. SRP serves much of the Phoenix metro area and APS serves much of the rest, and boundaries can change block by block. Enter your address on the utility websites rather than assuming from your city, because the two have completely different solar rules.
Why does the interconnection date matter with APS?
Because customers lock in an initial Resource Comparison Proxy purchase rate for ten years, and the rate you get is the one in effect when you interconnect. Ask APS what the current rate is, when it next changes, and what a system interconnecting on your expected date would lock in.
Does Arizona still have net metering?
No. Traditional one-to-one net metering has been replaced by net billing export rate riders at the major utilities, so exported solar is credited below the retail rate. Electricity you consume as it is generated is worth more than electricity you export.
Should I add a battery?
It deserves a serious look in Arizona, because storing production for evening use converts a low-value export into an avoided retail purchase. Ask your installer for the arithmetic with and without storage on your actual rate, rather than accepting a general recommendation.

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