Expert Solar Advice · Elite Electric · (801) 928-7219
Is Solar Still Worth It in Utah 2026?
The Honest Guide After the Tax Credit Ended
The 30% federal residential solar tax credit expired December 31, 2025. Utah homeowners are asking: does solar still make financial sense? We break down the real 2026 numbers — Rocky Mountain Power rates, RMP Wattsmart rebates, payback periods, and the honest answer.
Is Solar Worth It in Utah in 2026 Without the Federal Tax Credit?
Yes — solar still makes financial sense in Utah in 2026, even after the 30% federal residential ITC expired on December 31, 2025. Here's why: Rocky Mountain Power rates are rising 3–5% annually, Utah gets 300+ sunny days per year, and the RMP Wattsmart Battery Rebate ($400/kW, up to $12,000) still applies to battery storage systems. The average Utah home still pays back a solar system in 10–13 years without the ITC — compared to 7–9 years with it — and saves $2,400–$2,800/year for 25+ years. Call Elite Electric at (801) 928-7219 for a free site-specific analysis.
What Exactly Happened to the Federal Solar Tax Credit?
On December 31, 2025, the residential portion of the federal Investment Tax Credit (ITC) — Section 25D — expired following the passage of President Trump's "One Big Beautiful Bill" in summer 2025. For homeowners who owned their solar systems, this 30% credit was the single biggest solar incentive in the country. It is now gone for new residential installations in 2026.
Here is what this means in plain numbers: A typical Utah 10kW solar system previously cost around $28,000 gross, dropped to approximately $19,600 after the 30% ITC. That same system now costs the full $28,000 out-of-pocket, or is financed without the tax credit benefit. That's roughly $8,400 in additional upfront cost for the average Utah homeowner.
⚠ What Expired vs. What Didn't
- EXPIRED (Dec 31, 2025): Federal residential solar ITC (Section 25D) — the 30% credit for homeowner-owned systems
- STILL AVAILABLE: RMP Wattsmart Battery Rebate ($400/kW, up to $12,000) for battery storage
- STILL AVAILABLE: Rocky Mountain Power net metering / net billing program
- STILL AVAILABLE: Utah sales tax exemption on solar equipment
- STILL AVAILABLE: Commercial solar ITC (Section 48E) — valid through construction start by July 4, 2026
The 2026 Utah Solar Math — Does It Still Work?
Let's run the real numbers for a typical Utah homeowner with a $150/month Rocky Mountain Power bill — about average for a 3-bedroom home in Salt Lake County or Utah County.
Utah Solar Cost & Savings (2026, No ITC)
| Factor | With 2025 ITC | Without ITC (2026) |
|---|---|---|
| Gross system cost (10kW) | $28,000 | $28,000 |
| Federal ITC (30%) | −$8,400 | $0 (expired) |
| Net system cost | $19,600 | $28,000 |
| Annual electricity savings | $1,800/yr avg | $1,800/yr avg |
| Solar payback period | 7–9 years | 10–13 years |
| 25-year lifetime savings | $45,000+ | $45,000+ |
| System value after payback | Free electricity 15–18 yrs | Free electricity 12–15 yrs |
The critical insight: the 25-year total savings are essentially identical whether you had the ITC or not. What changed is the payback period lengthened by 2–4 years. For a homeowner planning to stay in their home for 15+ years, solar is still highly financially justified. The RMP rates rising 3–5%/year actually make long-term solar increasingly valuable — every year you wait, your payback period shortens.
Rocky Mountain Power Rates Are Rising — That's the Real Driver
The strongest case for solar in 2026 Utah isn't incentives — it's Rocky Mountain Power's rate trajectory. RMP was approved for rate increases in 2024 and 2025, with analysts projecting continued increases of 3–5% annually through the late 2020s driven by grid infrastructure investment and wildfire mitigation costs.
RMP Rate Impact on Solar Payback
At 14¢/kWh today rising 4%/yr, your effective electricity cost over 10 years averages approximately 17¢/kWh. A solar system generating 12,500 kWh/year saves an average of $2,125/year in years 1–10 and significantly more in years 11–25. Higher future rates = faster real-world payback than the static calculation suggests.
The Wattsmart Battery Rebate: $400/kW Still Available
While the federal residential ITC is gone, one major incentive remains for Utah homeowners adding battery storage: Rocky Mountain Power's Wattsmart Battery Rebate. This program pays $400 per kilowatt of battery capacity up to $12,000 for eligible battery systems installed by authorized contractors.
There's a critical detail most solar companies won't tell you: only specific manufacturer models qualify for the Wattsmart rebate. The system must be capable of 30-second interval data tracking, have a minimum of 4 kW / 10 kWh capacity, and provide full dispatch control to the utility. Elite Electric installs exclusively from the RMP-qualified list to ensure your rebate is approved.
💰 RMP Wattsmart Qualified Battery Manufacturers (2025/2026)
- Tesla: Powerwall 3
- Sonnen: sonnenCore, sonnenEco, sonnenEcoLinx, sonnenHome 11
- FranklinWH: aPower X, aPower 2
- Fortress Power: Envy True, eFlex MAX, eVault
- SolarEdge: Energy Bank
- Torus: Station Core
Important: Not every battery brand qualifies. Some popular brands — including some we install for non-rebate customers — are not on the RMP-qualified list. If the Wattsmart rebate is a priority for your project, you must select from the manufacturers above. Elite Electric will help you choose the best qualified system for your home's specific needs and ensure your rebate application is properly submitted.
💰 Wattsmart Rebate Estimates by Qualified System
- Tesla Powerwall 3 (13.5kWh): ~$11,500 gross → ~$6,100 after $5,400 Wattsmart rebate
- Sonnen sonnenHome 11 (11kWh): check current pricing → $4,400 Wattsmart rebate
- FranklinWH aPower 2 (13.6kWh): check current pricing → $5,440 Wattsmart rebate
- Fortress Power eFlex MAX (18.5kWh): check current pricing → $7,400 Wattsmart rebate
- Multiple qualified batteries stacked: up to $12,000 maximum Wattsmart rebate
Note: The qualified product list can change. Verify with Elite Electric or the RMP Wattsmart program website for the most current eligible models before purchasing.
Want to know exactly how much solar can save your Utah home in 2026?
Is Solar Worth It by Utah City? 2026 City-by-City Breakdown
Solar economics vary by city based on average energy consumption, roof exposure, local shading, and proximity to RMP substations. Here's the honest 2026 analysis for Elite Electric's primary service areas:
| Utah City | Avg. Monthly Bill | System Size | 2026 Net Cost* | Payback (No ITC) | 25-Yr Savings |
|---|---|---|---|---|---|
| Salt Lake City | $155/mo | 10kW | $26,000–$28,000 | 11–13 yrs | $50,000+ |
| Provo | $140/mo | 9kW | $23,000–$25,000 | 11–13 yrs | $42,000+ |
| Draper | $380/mo | 18kW | $44,000–$50,000 | 9–11 yrs | $80,000+ |
| West Jordan | $145/mo | 10kW | $24,000–$27,000 | 11–13 yrs | $45,000+ |
| West Valley City | $148/mo | 10kW | $24,000–$27,000 | 11–13 yrs | $46,000+ |
| Ogden | $135/mo | 9kW | $22,000–$24,000 | 12–14 yrs | $38,000+ |
| Orem | $138/mo | 9kW | $22,000–$25,000 | 11–13 yrs | $40,000+ |
*Net cost assumes Utah sales tax exemption on solar equipment. Does not include Wattsmart Battery Rebate if adding battery storage. Call (801) 928-7219 for a property-specific quote.
When Solar Might NOT Be Worth It in 2026
At Elite Electric, we won't sell you solar if the numbers don't work for your specific home. Here are situations where we'd advise waiting or reconsidering:
- Short time horizon: If you're planning to sell your home within 5 years, the payback period may not work without the ITC. Solar does add home value, but recouping $28,000 in resale premium is uncertain.
- Heavily shaded rooftop: A roof with significant tree shading facing northeast will dramatically underperform the standard production estimates. We'll do a free drone scan to assess this before recommending anything.
- Very low energy usage: If your RMP bill is under $80/month, the 2026 system economics are tight. You may want to wait for panel efficiency improvements or further rate increases.
- Roof nearing end of life: A roof needing replacement within 7 years should be replaced before solar installation. We'll flag this at your free site assessment.
Financing Solar Without the ITC: 2026 Options
Without the 30% ITC reducing out-of-pocket cost, financing strategy becomes more important than ever. Here are the primary options for Utah homeowners in 2026:
1. Cash Purchase
Paying cash still gives the best 25-year ROI, eliminates interest costs, and provides full ownership of your system. For homeowners with available capital, the 10–13 year payback remains strong relative to other investments, especially given RMP's rising rates.
2. Solar Loan
Many Utah homeowners finance solar through home equity loans or dedicated solar loan products at 5–8% interest. At a 6% 15-year loan, a $28,000 system carries a monthly payment of approximately $236 — comparable to or lower than what many Utah homeowners pay in monthly RMP bills before solar. The loan payment + post-solar RMP bill is often less than the original RMP bill alone.
3. HELOC
A Home Equity Line of Credit can provide solar financing at rates often comparable to solar loan products, with flexibility to pay down principal faster. For Utah homeowners who've seen significant home value appreciation (especially in Draper, South Jordan, and Silicon Slopes), HELOC rates can be highly favorable.
Ready to see your exact 2026 solar numbers? Elite Electric offers free, no-pressure site assessments for every Utah homeowner.
The Honest Verdict: Is Solar Worth It in Utah 2026?
For most Utah homeowners, yes — solar is still worth it in 2026, particularly if you:
- Plan to stay in your home for 12+ years
- Have a monthly RMP bill above $120
- Have a south, west, or southeast facing roof with minimal shading
- Own an EV or plan to get one (solar + EV = exceptional combined economics)
- Want energy independence from RMP rate increases
What's changed is the decision timeline. The 30% ITC used to make solar a no-brainer for almost any Utah homeowner. Without it, you need to do a proper site assessment and honest ROI calculation for your specific home. That's exactly what Elite Electric provides — free, in writing, no obligation, no pressure.
📌 Elite Electric's 2026 Solar Bottom Line for Utah
Solar still delivers strong long-term economics in Utah even without the ITC. The key variables are your roof orientation, current energy usage, and planned time in your home. Call us at (801) 928-7219 for an honest site-specific assessment. If the numbers don't work, we'll tell you — and explain exactly why.
Frequently Asked Questions — Solar in Utah 2026
Elite Electric — Solar Service Areas, Utah
Elite Electric serves all of Salt Lake County, Utah County, and Weber County. We're based in Sandy, UT — centrally located to serve every Utah community within 60 miles.
Utah Areas We Serve
Elite Electric — Utah's licensed solar installer with 500+ completed systems. Free site assessment. No pressure. Honest numbers.