
Solar Panel Cost in North Dakota
Updated 2026 guide to solar panel prices, savings, and payback period in North Dakota.
Estimated Solar Savings
Solar Panel System Costs in North Dakota
Below are estimated costs for different solar panel system sizes in North Dakota, including the 30% federal solar tax credit.
| System Size | Cost Before Incentives | Federal Tax Credit (30%) | Net Cost | Est. Annual Production |
|---|---|---|---|---|
| 4 kW | $11,800 | -$3,540 | $8,260 | 6,132 kWh |
| 6 kWMost Popular | $17,700 | -$5,310 | $12,390 | 9,198 kWh |
| 8 kW | $23,600 | -$7,080 | $16,520 | 12,264 kWh |
| 10 kW | $29,500 | -$8,850 | $20,650 | 15,330 kWh |
| 12 kW | $35,400 | -$10,620 | $24,780 | 18,396 kWh |
What Affects Solar Panel Cost in North Dakota?
The average cost of solar panels in North Dakota is $295/watt before incentives. For a typical 6kW residential system, that means a total cost of about $17,700 before the federal tax credit.
After applying the 30% federal Investment Tax Credit (ITC), your net cost drops to approximately $12,390.North Dakota homeowners typically see a payback period of 10 years and save an estimated $23,000 over 25 years.
Solar costs in North Dakota have fallen about 36% over the past decade. While adoption is still growing, declining costs make solar viable for more homeowners.
Factors that affect your cost:
- System size: Larger systems cost more but have a lower cost per watt
- Equipment quality: Premium panels and inverters cost more but offer better efficiency
- Roof complexity: Steep roofs, multiple levels, or shading can increase installation costs
- Local labor rates: Installation costs vary by region within North Dakota
- Incentives: State and local programs can significantly reduce your out-of-pocket cost

Solar Incentives in North Dakota
Federal Solar Investment Tax Credit
30% Federal Tax Credit (ITC)
North Dakota homeowners can claim the 30% federal ITC along with a state income tax credit for solar installations.
State & Local Incentives
North Dakota Renewable Energy Tax Credit
Tax CreditNorth Dakota offers a state income tax credit for renewable energy device installations including solar.
Property Tax Exemption
Property TaxSolar energy systems are exempt from property tax in North Dakota for 5 years after installation.
Net Metering
North Dakota requires utilities to offer net metering for renewable energy systems up to 100 kW.
AvailableSRECs
North Dakota does not have an SREC market or mandatory renewable portfolio standard.
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Solar Panel Cost FAQ - North Dakota
The cost of solar panels in North Dakota typically ranges from $2.50 to $3.50 per watt before incentives. For a standard 6 kW residential system, homeowners in North Dakota can expect to pay between $15,000 and $21,000 before the federal tax credit. After applying the 30% federal Investment Tax Credit, the net cost drops to approximately $10,500-$14,700. Actual costs vary based on your specific roof, chosen equipment, and installer. We recommend getting at least three quotes from local North Dakota solar installers to find the best price.
The average solar payback period in North Dakota depends on local electricity rates, available incentives, and sun exposure. Most North Dakota homeowners see a payback period between 6 and 10 years. After the payback period, you essentially enjoy free electricity for the remaining 15-20+ years of your system's life. Higher local electricity rates and additional state incentives can shorten the payback period significantly. A qualified North Dakota solar installer can calculate your specific payback period based on your energy usage and roof characteristics.
North Dakota homeowners who install solar panels typically save between $20,000 and $50,000 over 25 years, depending on system size, electricity rates, and available incentives. These savings come from reduced or eliminated electricity bills, net metering credits, and any applicable SREC income. As electricity rates in North Dakota continue to rise (historically averaging 2-3% annually), your savings grow each year. The combination of the 30% federal tax credit and any North Dakota-specific incentives helps maximize your return on investment.
The right solar system size for your North Dakota home depends on your electricity consumption, roof space, and budget. The average North Dakota home uses approximately 10,000-11,000 kWh per year, which typically requires a 6-8 kW solar system. To determine your ideal size, review your annual electricity usage on recent utility bills. Factors like North Dakota's average peak sun hours, your roof orientation, and any shading will affect how many panels you need. A professional North Dakota solar installer will use satellite imagery and your usage data to recommend the optimal system size.
Yes, solar is generally worth the investment for North Dakota homeowners in 2025. With solar panel costs at historic lows, the 30% federal tax credit still available, and electricity rates continuing to rise, the financial case for solar in North Dakota is strong. Most North Dakota homeowners who go solar see positive returns within 6-10 years, followed by 15-20+ years of significant savings. Additionally, solar panels increase your home value, provide energy independence, and protect against future electricity rate increases. The best way to determine if solar is right for your North Dakota home is to get a free, customized quote from a qualified local installer.
Solar Panel Costs by City in North Dakota
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