Is solar worth it in Florida?

What drives solar payback in Florida

Florida homeowners pay about 15.4¢/kWh, which is 3.0¢ below the national average. A rooftop here generates roughly 1400 kWh per kW each year — better than the typical US figure. On exports, Florida offers full retail net metering: Lots of sun and retail net metering; no state income tax credit but a sales-tax exemption.

A worked example

For a Florida home with a $135/month power bill (typical household usage at Florida’s rate):

That nets out to a payback of about 12.4 years — shorter than simply dividing net cost by year-one savings, because power prices climb ~2.5%/yr so your savings grow each year. Assumes 3.00 $/W installed before incentives and a typical 40% self-consumption; your actual cost, roof and usage will differ — adjust the calculator above.

Who supplies your power in Florida

Florida is served by a handful of large investor-owned utilities plus a strong municipal and co-op sector. The big four IOUs are Florida Power & Light (FPL, which absorbed Gulf Power), Duke Energy Florida, Tampa Electric (TECO) and Florida Public Utilities. Between them they cover most of the state. On top of that sit sizeable municipal utilities — Orlando Utilities Commission (OUC), JEA in Jacksonville, Lakeland Electric, Gainesville Regional Utilities (GRU) and Tallahassee — and rural electric co-operatives. IOU customers get uniform net-metering rules set by the Public Service Commission; munis and co-ops set their own terms, so check yours.

What you’re paid for what you export

A 2022 push to phase down net metering died by veto, so Florida's investor-owned utilities still credit residential exports at the full retail rate — one of the friendlier deals left anywhere. Surplus rolls over from month to month, with any year-end balance paid out at the lower wholesale avoided-cost rate. Two caveats. The rule lives in a PSC regulation rather than a statute, so it could be revisited. And municipal utilities and co-ops aren't bound by it — some pay noticeably less for exports — so pin down your own provider's policy before you size a system.

Florida incentives & taxes in 2026

Florida keeps it minimal: no state income-tax credit, no SREC market. What it does offer is two solid, permanent tax breaks — solar equipment is fully exempt from sales tax, worth 6% off the top, and the value panels add to your home is shielded from property tax. Beyond that, direct incentives are thin; a few utilities and co-ops run small rebates that come and go, so it costs nothing to ask yours.

The 30% federal credit ended on 31 December 2025 and can now only reach a homeowner indirectly through a lease or PPA. Check the current state and utility programs on DSIRE’s Florida list, then type any incentive into the calculator above to see how it shortens your payback.

What solar costs in Florida

Solar comes cheap-ish in Florida — roughly $2.40 to $3.00 per watt, at or slightly under what most states pay — thanks to a deep installer bench and roofs that never see snow load. That prices an 8 kW system at $19,000–$24,000 before the sales-tax exemption trims a little more off. The gap between the cheapest and dearest quote here is wide.

The honest verdict for Florida

Sunshine and net metering carry the Florida case; cash incentives don't. Strong production of about 1,400 kWh per kW a year and retail-rate export credit are real assets, but at 15.4 cents/kWh the power you're offsetting is fairly cheap, so an owned system now takes roughly 10–13 years to repay — a long way off the sub-9-year deals in incentive-rich states. The two tax exemptions nudge the numbers rather than transform them. Still a sensible buy for a high-usage home with good roof exposure; just don't expect a fast payback.

Driving electric — or heating electric — in Florida?

Your home electricity rate also sets what it costs to charge an EV and whether a heat pump beats a gas furnace. See the Florida EV charging cost and the Florida heat pump vs gas comparison.

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