Does SDG&E offer net metering in San Diego?

Yes — SDG&E credits the solar you export to the grid in San Diego under California's modified net metering, valued at ~70–90% of retail. That credit is what lets a well-sized system zero out most of your annual bill.

Is solar worth it in San Diego?

At 5.7 peak sun hours, a 9.1 kW system in San Diego produces about 15,146 kWh a year. With $0 federal credit, this model puts payback near 11.5 years and about $44,534 over 25 years after a $27,755 net cost. It is a model, not a quote.

::SAN_DIEGO_INCENTIVES // 2026

San DiegoSolar Incentives 2026: Rebates, Tax Credits & Net Metering

Q: How much do solar panels cost in San Diego?

The 9.1 kW system that fits a typical San Diego home (about a $175/month bill) costs around $27,755 before incentives. With $0 federal credit, the net cost in this model is roughly $27,755. Use the calculator on this page with your actual SDG&E bill.

Updated October 2026 · SDG&E · California

San Diego homeowners installing in 2026 cannot claim the federal residential credit. What remains is SDG&E net metering. At 5.7 peak sun hours a day, a home with a $175/month bill (about 1,250 kWh) needs roughly a 9.1 kW system — 23 panels — and pays back in about 11.5 years.

Federal residential credit

CA State Credit

—

Local Utility

SDG&E

Net Metering

Active

Est. System Size

9.1 kW

Annual Production

15.1k kWh

Net cost ($0 federal)

$27,755

Est. Payback

11.5 yrs

::SAN_DIEGO_CALCULATOR

::INPUT_PARAMETERS

Monthly Electric Bill (USD)

State

Roof (sq ft, optional)

Solar Incentives Available in San Diego

The federal residential credit does not apply to a San Diego system installed in 2026. California does not add a state income tax credit in this dataset. SDG&E sets the local rules for crediting the solar power you export.

SDG&E has some of the highest electricity rates in the country, which makes solar payback in San Diego unusually fast.

How Much Solar San Diego Homes Produce

San Diego gets 5.7 peak sun hours a day, so each 1 kW of panels produces about 1,664 kWh per year here. A 9.1 kW system — the size that fits a typical $175/month SDG&E bill — generates roughly 15,146 kWh annually, worth about $2,120 in avoided electricity in year one and more as rates rise.

SDG&E Net Metering in San Diego

SDG&E credits excess solar generation from San Diego homes under California's modified net metering (~70–90% of retail). A right-sized system can bring net annual electricity costs close to zero. See full California net metering rules →

How Much Do Solar Panels Cost in San Diego?

At California's 2026 average of $3.05/watt, the 9.1 kW system most San Diego homes need runs about $27,755 before incentives. The federal residential credit is $0. Net cost in this model is about $27,755, with payback around 11.5 years. Those figures use $0 federal credit.

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Frequently Asked Questions

San Diego homeowners installing in 2026 cannot claim the federal Residential Clean Energy Credit. SDG&E offers net metering. SDG&E has some of the highest electricity rates in the country, which makes solar payback in San Diego unusually fast.