Is solar worth it in 85040 (Phoenix, AZ)?

With an average payback period of 9.2 years and 25-year savings of $37,575, solar panels in Phoenix, Arizona are a solid investment.

How much do solar panels cost in 85040?

The average cost of a 6kW residential solar system in Phoenix, Arizona is $13,800 before incentives. The federal 30% Investment Tax Credit reduces this to about $9,660.

How much solar electricity does 85040 get?

Phoenix receives 6.55 kWh/m²/day of solar irradiance. A 6kW system in zip code 85040 produces approximately 11,476 kWh per year.

Solar Panel ROI in 85040

Phoenix, Arizona — Is solar worth it here? Here's what the data says.

2.7x ROI Score

9.2 yrs Payback Period

$1,503/yr Annual Savings

$37,575 25-Year Savings

Your savings estimate

$ /mo bill

Annual savings $1,503

Payback 9.2 yrs

25-yr savings $37,575

Solar Calculator for 85040 (Phoenix)

Adjust values to see your personalized solar ROI estimate for Phoenix, Arizona.

System Size

System Cost

Electricity Rate

$ /kWh

Solar Irradiance

6.55 kWh/m²/day

Based on NREL data for Phoenix, AZ

ROI Score 2.7x

Annual Production 11,476 kWh

Annual Savings $1,503

Payback Period 9.2 years

25-Year Savings $37,575

After 30% ITC $9,660

Solar Data for 85040 – Phoenix, AZ

Solar Irradiance 6.55 kWh/m²/day +32.1% vs national avg

vs Arizona Avg +0.2% State avg: 6.54 kWh/m²/day

Electricity Rate $0.131/kWh Arizona average rate

Annual Production 11,476 kWh 6kW system estimate

Phoenix gets 6.55 kWh/m²/day (32.1% above national avg) and electricity at $0.131/kWh. The 9.2-year payback represents a solid return — the federal 30% ITC further reduces costs.

Solar Incentives for Phoenix, Arizona

★

Federal Investment Tax Credit (ITC)

Claim 30% of your system cost as a federal tax credit. On a $13,800 system, that's $4,140 back.

★

Net Metering

Most Arizona utilities offer net metering — sell excess electricity back to the grid at retail rates, accelerating your payback.

★

Arizona State Programs

Check with the Arizona energy office for additional rebates, tax exemptions, and low-interest solar financing programs available in Phoenix.

85040 vs Arizona Average

Solar Irradiance

85040: 6.55 AZ avg: 6.54

Payback Period

85040: 9.2 yrs AZ avg: 10 yrs

Annual Savings

85040: $1,503 AZ avg: $1,381

25-Year Savings

85040: $37,575 AZ avg: $34,525

See the full Arizona solar guide for statewide data and incentives.

Nearby Zip Codes — Solar Comparison

85001 Phoenix, AZ 2.7x ROI 9.2 yr payback 85008 Phoenix, AZ 2.7x ROI 9.2 yr payback 85013 Phoenix, AZ 2.7x ROI 9.2 yr payback 85015 Phoenix, AZ 2.7x ROI 9.2 yr payback 85031 Phoenix, AZ 2.7x ROI 9.2 yr payback