Solar Panel Cost in South Carolina (2026): Price, Payback, Incentives

Q: How much do solar panels cost in South Carolina?

At the state median installed price of $3.60 per watt (estimate), a 8.7 kW (estimate) system that covers a typical home's use costs about $31,300 (estimate) before incentives. Quotes vary with roof, equipment and installer.

Solar Panel Cost in South Carolina

A typical South Carolina home uses 1,050 kWh a month^[1] of electricity. Covering that with solar takes a system of about 8.7 kW est.^[1,2], which costs roughly $26,500 to $36,000 est.^[1,2,3] before incentives at the state's median installed price. With South Carolina's average residential price of 15.90¢ per kWh^[4], our model puts payback at about 18 years est.^[1,2,3,4,5]. Your quote, roof and utility plan will move these numbers, so treat them as a starting point.

South Carolina solar at a glance

Average electricity price15.90¢/kWh^[4]Jan–Aug 2026 average (preliminary)

Average home use1,050 kWh/mo^[1]2024 average

Solar output per kW1,454 kWh/yr^[2]PVWatts estimate for Charleston

Median installed price$3.60/W^[3]Estimate, before incentives

Typical system8.7 kWSized to cover 100% of use

Typical price$31,300Estimate, before incentives

Year-1 savings$1,410Estimate

Payback18 yearsEstimate, cash purchase

Estimates use the inputs above and the assumptions in our methodology: South Carolina credits exports below the retail rate; until we add your utility's rate we assume 6.36¢ per kWh, 40% of the state's average price (assumption). Prices rise 2.5% a year; panels lose 0.5% a year.

Solar cost in South Carolina 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 South Carolina.

Estimated cost, output and payback by system size in South Carolina
System	Price before incentives^[3]	After incentives	kWh in year 1^[2]	Year-1 savings^[4]^[5]	Payback (years)
4 kW	$14,400	$10,900	5,820	$650	15
6 kW	$21,600	$18,100	8,720	$970	17
8 kW	$28,800	$25,300	11,630	$1,290	18
10 kW	$36,000	$32,500	14,540	$1,620	18
12 kW	$43,200	$39,700	17,450	$1,940	18

Incentives that lower the price in South Carolina

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

State · tax creditAvailable

Solar Energy, Small Hydropower and Geothermal Income Tax Credit (S.C. Code 12-6-3587)

25% of purchase and installation costs; up to $3,500 per facility per year or 50% of tax liability (whichever is less); excess carries forward up to 10 years^[7]

Taxpayers who buy and install a solar energy system on a South Carolina facility they own; credit claimed after installation is complete.

Who: Taxpayers who buy and install a solar energy system on a South Carolina facility they own; credit claimed after installation is complete.
Maximum: $3,500
Deadline: None set in the source
Checked: November 5, 2026

All South Carolina incentives, including utility and local programs →

How South Carolina utilities credit your solar

Act 62 (Energy Freedom Act, 2019) replaced traditional net metering for the state's large utilities with PSC-approved 'Solar Choice Metering' tariffs for applications received after May 31, 2021; the tariff must compensate customer-generators for the benefits their generation provides, not necessarily at full retail. Customers who applied earlier keep prior net metering terms until May 31, 2029; utilities with fewer than 100,000 customer accounts are exempt.^[5]

We have not added every South Carolina utility yet, so the estimates on this page use the state-level rule: South Carolina credits exports below the retail rate; until we add your utility's rate we assume 6.36¢ per kWh, 40% of the state's average price (assumption).

Full South Carolina net metering and export-credit rules →

Next steps

Run the solar calculator with South Carolina defaults and your own bill.
South Carolina solar incentives
South Carolina net metering and export credits
How to vet installers in South Carolina
Spot solar sales red flags and compare financing before you sign.

Frequently asked questions

How much do solar panels cost in South Carolina?

At the state median installed price of $3.60 per watt est.^[3], a 8.7 kW est.^[1,2] system that covers a typical home's use costs about $31,300 est.^[1,2,3] before incentives. Quotes vary with roof, equipment and installer.

How long does solar take to pay for itself in South Carolina?

For a cash purchase at the state's average electricity price of 15.90¢ per kWh^[4], our model estimates about 18 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.