☀️ New Jersey · 2025 data

Is solar worth it in New Jersey?

At New Jersey’s average rate of 18¢/kWh and about 1250 kWh per kW of panels a year, a typical home pays back its system in roughly 8.6 yrs after the 30% federal credit — then keeps saving. Run your own numbers below.

$ / mo
$ / watt
$
to pay back your system
System size
Net cost after 30%
Year-1 savings
25-yr net savings

Independent estimate for guidance only — not a quote or advice. Full retail net metering plus SREC-II income make NJ a strong-payback state.

What drives solar payback in New Jersey

New Jersey homeowners pay about 18¢/kWh, which is 1.2¢ above the national average. A rooftop here generates roughly 1250 kWh per kW each year — below the typical US figure. On exports, New Jersey offers full retail net metering: Full retail net metering plus SREC-II income make NJ a strong-payback state.

A worked example

For a New Jersey home with a $160/month power bill:

8.5 kW
System size needed
$17,920
Net cost after 30% credit
$1,920
First-year savings
$43,480
25-year net savings

Assumes 3.00 $/W installed before incentives. Your actual cost, roof and usage will differ — adjust the calculator above.

New Jersey solar incentives

Every estimate here already includes the 30% federal Residential Clean Energy Credit. On top of that, New Jersey homeowners may qualify for state, utility or SREC incentives that change often and vary by provider. For the current, authoritative list, check DSIRE’s New Jersey programs, then type any rebate into the calculator to see how it shortens your payback.

Other states

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