ScottsdaleSolar Incentives 2026: Rebates, Tax Credits & Net Metering
Scottsdale homeowners stack the 30% federal tax credit with the 25% Arizona state credit and APS net metering. At 6.5 peak sun hours a day, a home with a $165/month bill (about 1,179 kWh) needs roughly a 7.6 kW system — 19 panels — and pays back in about 6.1 years.
Solar Incentives Available in Scottsdale
Solar incentives in Scottsdale come in three layers. First, every homeowner qualifies for the 30% federal Residential Clean Energy Credit on the full installed cost, claimed on IRS Form 5695. Second, Arizona adds a 25% state income tax credit (up to $1,000) that stacks on top. Third, APS sets the local rules for crediting the solar power you export.
APS credits exported solar in Scottsdale at an export rate set annually, so sizing to self-consume matters.
How Much Solar Scottsdale Homes Produce
Scottsdale gets 6.5 peak sun hours a day, so each 1 kW of panels produces about 1,898 kWh per year here. A 7.6 kW system — the size that fits a typical $165/month APS bill — generates roughly 14,425 kWh annually, worth about $2,019 in avoided electricity in year one and more as rates rise.
APS Net Metering in Scottsdale
APS credits excess solar generation from Scottsdale homes under Arizona's modified net metering (~70–90% of retail). A right-sized system can bring net annual electricity costs close to zero. See full Arizona net metering rules →
How Much Do Solar Panels Cost in Scottsdale?
At Arizona's 2026 average of $2.65/watt, the 7.6 kW system most Scottsdale homes need runs about $20,140 before incentives. The 30% federal credit takes off $6,042, and the Arizona state credit another $1,000 — landing the net cost near $13,098, with payback around 6.1 years.
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