Are you a Virginia homeowner curious if installing solar panels makes sense? With rising utility rates and abundant peak sunlight hours, the Old Dominion offers excellent solar savings potential once equipment purchase and installation costs get recouped.
This comprehensive guide examines solar pricing, incentives, system sizing, installer selection, expected long-term savings, and more key factors influencing the customer experience going solar in Virginia. Both practical financial advice and policy level context are provided to help you make the smartest decision for your home.
We‘ll analyze topics like:
- Solar costs and payback specific to Virginia‘s housing stock
- Profile of leading local installers across VA
- Step-by-step system sizing guidance
- Available tax breaks, rebates, and incentives
- Predicting your long-term solar savings
Let‘s get started with an overview of the booming solar landscape in Virginia…
The Surge in Solar Energy Across Virginia
To call solar growth in Virginia over the past 5 years anything short of explosive seems inaccurate. The Commonwealth saw over 1.8 gigawatts (GW) of solar power installed in 2020, trailing only solar giants California, Texas, and Florida nationally. This fed enough emissions-free electricity into grids across VA to power 333,000 homes!
And while pandemic-related delays slowed total gigawatts added in 2021 down to 1.47, this still ranked as Virginia‘s 2nd best year ever. Plus it kept momentum and investor confidence strong as the state diversifies energy supply with renewables.
Virginia solar capacity additions by year, Solar Energy Industries Association
Much of the credit for solar expansion goes toward recent policy shifts, according to Professor Vivian Thomson, a climate researcher at UVa focused on renewable legislation.
"Virginia adopted aggressive clean electricity standards in 2020, targeting 100% carbon-free generation by 2050," Thomson said. "Requirements for Virginia utilities to invest heavily in solar, wind, and other renewables signal strong long-term confidence."
These utility commitments provide financial certainty to solar developers, eliminating risk and making project investments attractive. And as more projects come online, improved economies of scale drive install costs down, allowing homeowners to achieve quicker payback periods when going solar.
Growing interest from homeowners looking to lock in lower long-term electricity costs and hedge against rate hikes has further propelled Virginia solar forward at breakneck speeds.
Virginia currently ranks 16th nationally in cumulative solar capacity. If growth continues apace, analysts predict the state could crack the top-10 by 2025.
Now let‘s shift focus toward what it looks like for a residential customer to go solar by examining average Virginia solar installation pricing.
What Does a Solar Panel System Cost in Virginia?
According to EnergySage, a leading independent solar marketplace, the average price per watt to install a solar system on a Virginia home falls between $2.50 and $3.00 as of early 2022 depending on your specific location and roof.
Based on these rates, a 6 kilowatt system would run you $15,000 on the low end before accounting for any tax credits or rebates.
However, this uses a baseline system size not necessarily reflective of energy needs for the typical Virginia home. Larger above-ground square footage and widespread central AC pushes cooling electricity consumption (and thus required solar array output potential) higher for most households compared to national averages.
So what size system makes sense for a standard Virginia home?
Sizing a Solar System in Virginia
Properly sizing a solar panel system tailored to your household‘s power appetite proves critical in determining the overall installation cost and long-term savings potential.
If you size the system too small, you miss out on energy production and savings. Too big and you pay extra upfront for negligible added benefit. Use the following 3-step process to identify your optimal solar array size:
- Calculate total daily electricity usage
- Review 12 months of previous electric bills to average monthly kWh consumption
- For example: 1,095 kWh/month
- Determine your region‘s average peak sun hours
- Factoring in climate, latitude, etc., this metric defines solar intensity
- Consult this Virginia sun hours map
- Divide Usage by Sun Hours
- Following our example:
- 1,095 kWh/month
- ÷ 4.2 sun hours (statewide average)
- = 8.8 kilowatt solar array
- Following our example:
This formulas shows the typical Virginia home needs a 8.8 kW system. At $2.75 per watt, an appropriately-sized 8.8 kW solar installation would cost $24,200 on average.
Now $24k certainly feels steep. But remember – this calculation methods removes risk of undersizing or overpaying. Plus costs get partially offset through incentives.
What Factors Influence Solar Panel Pricing in VA?
Your geography, roof traits, equipment selections, installer choice, and financial incentives all impact end pricing. Here‘s a brief overview of major elements that cause cost fluctuations:
- Peak Sunlight Exposure – More annual solar irradiance allows downsizing of panels for same output, lowering overall spend
- Equipment Types & Efficiency – Typically pay more for premium monocrystalline panels but enhanced output warrants it
- Roof Condition & Accessibility – Issues like shade, structural soundness, pitch, etc raise installation expenses
- Installer Reputation & Experience – Established regional companies cost moderately more but deliver ideal system configurations and production guarantees
- Incentives – Tax credits, solar renewable energy certificates, etc help defray purchase costs substantially
Now let‘s examine two of Virginia‘s leading solar installers shining through the 80+ options on the market.
Spotlight: Top Residential Solar Installers Operating in Virginia
Virginia boasts a growing number of qualified solar contractors across the state competing for your business. With so many options on the table, choosing the right installer matters greatly in determining system quality and return on investment.
Based on extensive market analysis, these two installers stand above the competition in Virginia right now.
While Nova Solar takes home top honors overall thanks to unrivaled technical expertise and service delivery, Cosmo Solaris wins on affordability while still offering robust equipment and warranties.
Now let‘s profile both installers briefly highlighting competitive advantages that earned them recognition as Virginia‘s best solar contractors.
Nova Solar
Location: Falls Church, VA
Years in Business: 11
Service Territory: Statewide
For homeowners prioritizing quality over cost, Nova Solar delivers best-in-class service and systems. Their solar design expertise optimizes panel placement for energy production. And they exclusively utilize tier 1 equipment from premium brands like SunPower, Enphase, and LG backing it with 25-year workmanship warranties.
Nova‘s experienced installation teams undergo continual training certification through NABCEP and other solar institutions. This shows through in their work – neat, efficient, structurally-sound, visually-appealing rooftop solar deployments. No cut corners.
We also appreciate Nova publishing guaranteed system performance metrics as part of their quoting process. This output transparency holds them accountable. If your annual system production falls below expectations, they‘ll pay you back the difference.
Nova Pricing & Production Guarantee Examples:
- 7.5 kW system: $23,625 before incentives (avg 492 kWh/month)
- 11.2 kW system: $33,150 before incentives (avg 641 kWh/month)
Yes, you pay a moderate premium for Nova‘s quality assurance. But for risk-adverse homeowners prioritizing system performance and workmanship, few compare.
"After reviewing multiple bids, we chose Nova Solar based on expertise and warranty alone," said Mark Hayes, a northern Virginia homeowner with a 8.6 kW Nova system. "Their production guarantee was also 350 kWh/month lower than competitors – a key selling point guaranteeing output."
Cosmo Solaris
Locations: 5 Virginia offices
Years in Business: 7
Service Territory: Mid-Atlantic & Southeast
In contrast to Nova‘s localized approach, Cosmo Solaris leverages economies of scale across its 190,000+ customer base to deliver remarkably low pricing. TheyQUOTE PASS large volume equipment orders directly from manufacturers at steep discounts compared to small contractors. These big savings get passed on to you.
And while scaling fast across states, each Cosmo branch sticks to the same rigorous staff training programs emphasizing custom solar solutions for every unique home. Local market managers have autonomy is building out the best teams to serve the Virginia community.
Cosmo stays ahead of the market by incentivizing top talent retention. They compensate system designers and installers well beyond industry averages. This both attracts and retains the best talent.
Yes, monitoring platforms and workmanship warranty periods fall slightly below Nova‘s industry-leading offerings. But if you‘re laser focused on minimizing initial solar outlays, Cosmo Solaris is your best bet without sacrificing tremendous quality.
Cosmo Solar Pricing Examples:
- 6.5 kW system: $16,275 before incentives (about 18% below market average )
- 10.2 kW system: $23,289 before incentives (about 20% below market average)
Appreciate the insight into Virginia‘s premier solar installers? Now let‘s examine if financial returns actually live up to the hype once you pay for equipment and hire one of these professionals.
How Quickly Do Solar Panels Payoff in Virginia?
Going solar in Virginia holds tremendous long-term financial upside. But steep equipment, installation, maintenance, and monitoring costs ranging $15,000-$30,000 intimidate some homeowners.
Let‘s analyze important solar cost metrics like payback periods and return on investment to determine precisely how long it takes to recoup your upfront investment and start pocketing serious savings.
We‘ll use an average 8.8 kW system for $24,200 as our baseline, excluding incentives. Factoring those in later improves economics further.
Solar Panel System Payback Period in Virginia
You‘ve likely heard the phrase "solar panel payback period" – but what does it really mean?
Simply stated, the payback period represents the number of years required for your cumulative electricity savings from using solar power to offset the entire system cost.
For our example 8.8 kW, $24,200 Virginia solar install, payback shakes out as follows:
- Total initial solar panel system investment: $24,200
- Annual electricity savings from solar array: $1,649
- $24,200 system cost / $1,649 annual savings = 14.7 Years
So excluding incentives and interest, a typically-sized solar array recoups costs in just under 15 years for Virginians.
Any electricity you produce from solar panels beyond the 15 year period eliminates utility costs almost entirely. This minimizes bills for another 10-15 years as panels operate at strong efficiency before eventual end-of-life.
And this conservative payback duration gets even quicker when factoring incentives…
Factoring Solar Incentives into Payback Schedule
Arguably the most enticing solar incentive available comes via the 26% federal solar tax credit (ITC). This policy directly reduces your tax burden by over a quarter of project cost.
Running our 8.8 kW Virginia solar install example with the ITC yields the following updated payback result:
- Initial pre-incentive cost: $24,200
- Federal tax credit percent: 26%
- Value of tax credit: $24,200 * 0.26 = $6,292
- Out-of-pocket post ITC system cost: $17,908
- Annual electricity savings: $1,649
- $17,908 / $1,649 per year = 10.9 Years
When leverage the one-quarter system cost savings courtesy of the ITC, Virginians can slaVE over 3.5 years off payback periods compared to paying full price without subsidies. And state/local solar incentives can drive numbers down further.
The payoff timeframes & long-term savings potential highlighted for going solar in Virginia beat national averages substantially thanks favorable policy and ample peak sunlight hours for production.
Now speaking of post-payback benefits…
How Much Money Do Solar Panels Save Virginians Long-Term?
Once your solar panel system works through payback duration where electricity savings effectively reimburse your initial equipment and installation payment, it‘s time to start really pocketing savings.
For a normally-sized 8.8 kW residential solar array in Virginia generating 1,300 kWh per month, you could conservatively save $22,540 over the rest of your system‘s usable 25 year lifespan.
Remember – your solar panels will continue producing abundant low-cost renewable energy for 25+ years in total. But the payback period above showed it takes roughly 11-15 years to offset system expenses.
So you have 10-14 years left enjoying free power! Avoid buying dirty utility electricity and watch your energy savings accumulate.
Let‘s break this down mathematically:
- 8.8 kW solar system output: 1,300 kwh/month
- Electricity rate in Virginia: $0.13 per kWh
- Monthly utility savings: 1,300 kWh * $0.13 = $169/month
- Post payback period lifespan left = 10-14 years
- Total long term solar panel savings = $169 12 months 10-14 years = $20,280 – $28,656
This equates to over $22,500 in projected cost savings using conservative math. Upsizing your system beyond baseline needs leads to even more dramatic utility bill reductions. Solar pays dividends.
We‘ve covered quite a bit of ground explaining solar panel costs, savings expectations, and more for Virginia households. Let‘s recap key takeaways before wrapping up.
Key Takeaways – Solar Panels in Virginia
If you‘ve made it this far, pat yourself on the back for prioritizing clean energy and cost savings at home. Here are final summarized points on residential solar in VA:
- 2021 was Virginia‘s 2nd biggest year ever for solar installations, adding over 1.4GW statewide
- Strong policy incentives make conditions very favorable long-term
- Typical VA home uses 8.8 kW solar array vs 6 kW national average
- Pre-incentive costs about $2.75 per watt, so $24,200 for 8.8 kW system
- Factoring in 26% federal tax credit saves $6,300 upfront
- Payback happens in 10-15 years depending on incentives
- After payback, save $22,500+ over the rest of 25 yr system lifespan
Ready to explore solar quotes for your Virginia home? Independent experts at EnergySage can connect you with the state‘s most reputable installers after a quick eligibility pre-screening. Click below to get a custom solar estimate backed by their transparency guarantees.
And please drop any outstanding solar questions in the comments section!
