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

Solar Panel Cost in Ohio

Updated Data verified Nov 5, 2026

A typical Ohio home uses 846 kWh a month[1] of electricity. Covering that with solar takes a system of about 7.8 kW est.[1,2], which costs roughly $24,000 to $32,500 est.[1,2,3] before incentives at the state's median installed price. With Ohio's average residential price of 18.81¢ per kWh[4], our model puts payback at about 13 years est.[1,2,3,4,5]. Your quote, roof and utility plan will move these numbers, so treat them as a starting point.

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Ohio solar at a glance

Average electricity price18.81¢/kWh[4]Jan–Aug 2026 average (preliminary)
Average home use846 kWh/mo[1]2024 average
Solar output per kW1,296 kWh/yr[2]PVWatts estimate for Columbus
Median installed price$3.60/W[3]Estimate, before incentives
Typical system7.8 kWSized to cover 100% of use
Typical price$28,100Estimate, before incentives
Year-1 savings$1,900Estimate
Payback13 yearsEstimate, cash purchase

Estimates use the inputs above and the assumptions in our methodology: AEP Ohio nets exports against use over each month, so most exports offset the retail rate; surplus left over earns 7.51¢ per kWh. Other Ohio utilities differ. Prices rise 2.5% a year; panels lose 0.5% a year.

Solar cost in Ohio 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 Ohio.

Estimated cost, output and payback by system size in Ohio
SystemPrice before incentives[3]After incentiveskWh in year 1[2]Year-1 savings[4][5]Payback (years)
4 kW$14,400$14,4005,180$98013
6 kW$21,600$21,6007,780$1,46013
8 kW$28,800$28,80010,370$1,91013
10 kW$36,000$36,00012,960$1,91016
12 kW$43,200$43,20015,550$1,91018

Incentives that lower the price in Ohio

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 Ohio incentives, including utility and local programs →

How Ohio utilities credit your solar

PUCO rule OAC 4901:1-10-28 requires utilities to offer a net metering tariff; when a customer exports more than it uses over a monthly billing cycle, the excess becomes a dollar credit at only the energy component of the utility's standard service offer, carried forward on future bills with no required cash payout. In Feb 2026 the PUCO's five-year review kept the rule unchanged despite AEP's request to change it.[7]

We have not added every Ohio utility yet, so the estimates on this page use the state-level rule: AEP Ohio nets exports against use over each month, so most exports offset the retail rate; surplus left over earns 7.51¢ per kWh. Other Ohio utilities differ.[5]

Full Ohio net metering and export-credit rules →

FAQ

Frequently asked questions

How much do solar panels cost in Ohio?

At the state median installed price of $3.60 per watt est.[3], a 7.8 kW est.[1,2] system that covers a typical home's use costs about $28,100 est.[1,2,3] before incentives. Quotes vary with roof, equipment and installer.

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

For a cash purchase at the state's average electricity price of 18.81¢ per kWh[4], our model estimates about 13 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.