New Mexico vs Oklahoma Solar Incentives: Which State Gets the Better Deal?
Side-by-side comparison of New Mexico and Oklahoma solar incentive programs in 2026: state tax credits, net metering rules, exemptions, payback period, and projected 25-year savings.
| Metric | NM · New Mexico | OK · Oklahoma |
|---|---|---|
| Avg Monthly Bill | $115 | $165 |
| Peak Sun Hours / Day | 6.2 ◆ | 5.4 |
| Avg $/Watt Installed | $2.85 | $2.85 |
| State Tax Credit | 10% / $6000 ◆ | None |
| Net Metering | retail | avoided-cost |
| SREC Market | No | No |
| Property Tax Exempt | Yes | No |
| Sales Tax Exempt | No | No |
| Avg Payback (yrs) | 7.8 ◆ | 9.4 |
| Avg 25-Year Savings | $36,800 ◆ | $29,800 |
State Tax Credit Comparison
New Mexico offers a 10% state income tax credit (capped at $6,000). Oklahoma offers no state income tax credit.
Net Metering Policies
New Mexico: retail rate net metering active. Oklahoma: avoided-cost rate net metering active.
Net metering is often the most economically significant solar policy because it determines how excess production is valued. Retail-rate states (where you receive full retail price for exported energy) have substantially better solar economics than avoided-cost or no-net-metering states.
Average 25-Year Savings
New Mexico: $36,800 over 25 years (avg payback 7.8 yrs). Oklahoma: $29,800 over 25 years (avg payback 9.4 yrs).
Verdict: Which State Wins on Solar?
New Mexico edges out Oklahoma on lifetime savings primarily due to higher solar irradiance.
Note: state averages mask significant within-state variation. Your specific utility, roof orientation, and household electricity profile drive your actual numbers — use the calculator to model your home directly.