Federal solar credit ended Dec 31, 2025
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Solar costs · Louisiana

Solar Panel Cost in Louisiana

Fact-checked by Sorted & Saved data desk
Updated Data verified Nov 5, 2026

A typical Louisiana home uses 1,202 kWh a month[1] of electricity. Covering that with solar takes a system of about 9.8 kW est.[1,2], which costs roughly $30,000 to $40,500 est.[1,2,3] before incentives at the state's median installed price. With Louisiana's average residential price of 13.27¢ per kWh[4], our model puts payback at about 24 years est.[1,2,3,4,5]. Your quote, roof and utility plan will move these numbers, so treat them as a starting point.

On this page [ 7 ]

Louisiana solar at a glance

Average electricity price13.27¢/kWh[4]Jan–Aug 2026 average (preliminary)
Average home use1,202 kWh/mo[1]2024 average
Solar output per kW1,479 kWh/yr[2]PVWatts estimate for New Orleans
Median installed price$3.60/W[3]Estimate, before incentives
Typical system9.8 kWSized to cover 100% of use
Typical price$35,300Estimate, before incentives
Year-1 savings$1,240Estimate
Payback24 yearsEstimate, cash purchase

Estimates use the inputs above and the assumptions in our methodology: Entergy Louisiana credits exports from new solar customers at about 3.86¢ per kWh; we use it for Louisiana. Other utilities differ. Prices rise 2.5% a year; panels lose 0.5% a year.

Solar cost in Louisiana by system size

Same assumptions as the typical home above; only the system size changes. Prices are the state median before incentives and include the incentives our calculator applies by default in Louisiana.

SystemPrice before incentives[3]After incentiveskWh in year 1[2]Year-1 savings[4][5]Payback (years)
4 kW$14,400$14,4005,920$51024
6 kW$21,600$21,6008,870$76024
8 kW$28,800$28,80011,830$1,01024
10 kW$36,000$36,00014,790$1,27024
12 kW$43,200$43,20017,750$1,52024

Incentives that lower the price in Louisiana

Federal · tax creditEnding soon

Business credit for leased and PPA systems (48E)

Claimed by the system owner, not the homeowner; solar must begin construction by July 4, 2026 or be in service by December 31, 2027[6]

If a company owns the panels on your roof (a lease or power purchase agreement), that company may claim the business clean electricity investment credit and can reflect it in your price. You cannot claim it yourself.

Who
Third-party-owned systems (leases and PPAs). Ask the provider whether the price assumes this credit.
Deadline
December 31, 2027
Checked
November 5, 2026

All Louisiana incentives, including utility and local programs →

How Louisiana utilities credit your solar

Under the LPSC's 2019 net metering rules, customers who apply for interconnection or install after December 31, 2019 pay full retail for energy they buy but are credited only at the utility's avoided cost for energy exported; avoided-cost rates are published annually by utility. Earlier customers were grandfathered under the prior rules.[7]

We have not added every Louisiana utility yet, so the estimates on this page use the state-level rule: Entergy Louisiana credits exports from new solar customers at about 3.86¢ per kWh; we use it for Louisiana. Other utilities differ.[5]

Full Louisiana net metering and export-credit rules →

FAQ

Frequently asked questions

How much do solar panels cost in Louisiana?

At the state median installed price of $3.60 per watt est.[3], a 9.8 kW est.[1,2] system that covers a typical home's use costs about $35,300 est.[1,2,3] before incentives. Quotes vary with roof, equipment and installer.

How long does solar take to pay for itself in Louisiana?

For a cash purchase at the state's average electricity price of 13.27¢ per kWh[4], our model estimates about 24 years est.[1,2,3,4,5]. Your utility's export credit and rate plan matter a lot; see the export-credit table above.

Is there still a federal solar tax credit?

Not for homeowners who buy. The Federal Residential Clean Energy Credit (25D)[8] does not apply to systems whose installation is completed after December 31, 2025. Leased and PPA systems are different: the company that owns the system may still claim a business credit.

sources

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Every number on this page links to one of these sources. Dates show when we last checked each one.

  1. EIA Electric Sales, Revenue, and Average Price 2024, Table 5A: Residential average monthly bill by stateeia.gov · checked Nov 5, 2026
  2. NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)pvwatts.nlr.gov · checked Nov 5, 2026
  3. U.S. Distributed Solar and Storage 2026 Data Update (Barbose, Darghouth, O'Shaughnessy, Forrester), Berkeley Labeta-publications.lbl.gov · checked Nov 5, 2026
  4. EIA Electric Power Monthly, Table 5.6.B: Average price of electricity by state, year-to-date (August 2026, preliminary)eia.gov · checked Nov 5, 2026
  5. Entergy Louisiana, LLC Schedule DG - Optional Residential/Commercial Distributed Generation Rider, incl. Attachment A (eff. 4/1/2026)entergylouisiana.com · checked Nov 5, 2026
  6. Public Law 119-21 - Sec. 70513(a) and (g)(5) (48E); Sec. 70512(a) and (l)(4) (45Y)govinfo.gov · checked Nov 5, 2026
  7. LPSC - Utilities Net Meteringlpsc.louisiana.gov · checked Nov 5, 2026
  8. IRS FS-2025-05: FAQs for modification of sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D under Public Law 119-21 (OBBB)irs.gov · checked Nov 5, 2026

State data last re-checked November 5, 2026.

Change log

  1. Monthly output per kW in New Orleans updated to [93.4, 96.7, 133.3, 138.2, 149.1, 133.2, 131.1, 128.8, 132.7, 135.3, 111.5, 95.6] kWh/kW/month (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).
  2. Average solar radiation on the panels in New Orleans updated to 5.32 kWh/m2/day (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).
  3. Solar output per kW in Louisiana (PVWatts, New Orleans) updated to 1478.7 kWh/kW/yr (NREL/NLR PVWatts v8 (1 kW-DC, fixed roof mount, 20° tilt, south-facing, 14% losses, TMY weather)).