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Solar Panels in Colorado Springs, Colorado

Colorado Springs receives 1615.4 kWh per kWp of solar panels per year — 6.1% above the US national average of 1,550 kWh/kWp. At Colorado's electricity rate of 16.44¢/kWh, an 8 kW system saves roughly $2,125/year and pays back in 7.1 years.

Solar is well worth it in Colorado Springs. Note: The 30% federal solar tax credit (Section 25D) expired December 31, 2025. The numbers below reflect today's actual costs.

Annual yield:1615.4 kWh/kWp
Electricity rate:16.44¢/kWh
Payback:7.1 yrs
Location:38.83°N

Colorado Springs Solar at a Glance

Annual solar yield1615.4 kWh/kWp/yr
Optimal tilt angle30° south-facing
Avg. daily sun hours26.0 hrs/day
Electricity rate16.44¢ per kWh
8 kW system cost (2026)$22,400
Your net cost$22,400
Annual savings$2,125/yr
Payback period7.1 years

Last updated: April 11, 2026 · Sources: PVGIS v5.3, EIA

How Much Solar Power Does Colorado Springs Get Each Month?

Monthly solar yield (kWh per kWp installed) based on PVGIS satellite data for 38.83°N, 104.82°W.

118
120
151
153
147
150
142
143
136
135
120
101
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Best month: 152.8 kWh/kWp (Apr)Worst month: 101.3 kWh/kWp (Dec)Monthly avg: 135 kWh/kWp

Live Solar Forecast for Colorado Springs

Real-time generation estimate for an 8 kW system based on today's weather forecast. Data: forecast.solar.

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Is a Home Battery Worth It in Colorado Springs?

A battery stores excess midday solar for use at peak evening hours. At 16.44¢/kWh in Colorado Springs, here is the math for the two most popular options.

Tesla Powerwall 3
Capacity
13.5 kWh
Installed cost
$11,500
Annual savings
$648
Payback
17.7 yrs

10-year value: $6,480 · Based on 365 cycles/yr, 16.44¢/kWh, 80% usable capacity. Does not include backup value or utility TOU rate savings.

Generic LFP 10 kWh
Capacity
10 kWh
Installed cost
$8,000
Annual savings
$460
Payback
17.4 yrs

10-year value: $4,600 · Based on 350 cycles/yr, 16.44¢/kWh, 80% usable capacity. Does not include backup value or utility TOU rate savings.

Battery ROI improves significantly in states with Time-of-Use (TOU) rates where peak electricity can cost 2–3× the off-peak rate. California (PG&E, SCE, SDG&E), New York (ConEd), and Massachusetts (Eversource) have the strongest TOU incentives for battery storage.

What Are the 25-Year Solar Savings in Colorado Springs?

Based on 1615.4 kWh/kWp/yr yield, 16.44¢/kWh electricity rate, and a 2026 system cost of $2.80/W. Federal tax credit expired Dec 31, 2025 — not included.

System cost
$22,400
Installed, 8 kW
Federal ITC
Expired
Sec. 25D ended Dec 2025
Net investment
$22,400
Your actual cost
25-yr savings
$50,469
Est. lifetime benefit
Federal Solar Tax Credit Update: The 30% residential solar tax credit (Section 25D) expired on December 31, 2025 under the One Big Beautiful Bill. Cash and loan purchases no longer qualify for the federal credit. State and local incentives below may still apply — check with your installer.

What Solar Incentives Are Available in Colorado Springs, Colorado?

The federal ITC expired in 2025. These state and utility incentives still apply in Colorado.

Sales Tax Exemption
Solar equipment is sales-tax exempt in Colorado — saving you hundreds at purchase.
Net Metering
Full retail net metering through Xcel Energy, Colorado Springs Utilities, Black Hills Energy.
Utility & Local Programs
Xcel Solar*Rewards ($0.07–0.09/kWh × 15 yrs), sales tax exemption
Calculate Your Exact Savings
Enter your monthly bill, roof size, and location for a personalized estimate.
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Solar Panels in Colorado Springs: Frequently Asked Questions

How much do solar panels cost in Colorado Springs, Colorado in 2026?
In Colorado Springs, a typical 8 kW solar system costs approximately $22,400 installed (at ~$2.80/W, the 2026 US average). The federal solar tax credit expired December 31, 2025, so that 30% rebate is no longer available for residential cash or loan purchases. Prices vary by installer, panel brand, and roof complexity.
Is solar worth it in Colorado Springs without the federal tax credit?
Colorado Springs generates 1615.4 kWh per kWp annually — 6.1% above the US average. At Colorado's electricity rate of 16.44¢/kWh, an 8 kW system saves roughly $2,125/year and pays back in about 7.1 years — even without the expired federal credit. Solar is well worth it in Colorado Springs.
How much electricity do solar panels produce in Colorado Springs?
In Colorado Springs, each kW of solar panels produces approximately 1615.4 kWh per year. An 8 kW system generates about 12,923.2 kWh annually — enough to cover the average Colorado household's electricity use. Peak production hits 152.8 kWh/kWp in Apr, with the lowest output of 101.3 kWh/kWp in Dec. Data source: PVGIS v5.3 satellite radiation model.
What solar incentives are available in Colorado Springs, Colorado?
the expired federal tax credit (Section 25D) expired December 31, 2025 and is no longer available for residential buyers. Sales tax on solar equipment is waived in Colorado. Net metering and local utility programs may provide additional savings.
How long is the solar payback period in Colorado Springs?
In Colorado Springs, the average payback period for an 8 kW solar system is approximately 7.1 years. This is based on 1615.4 kWh/kWp annual yield (PVGIS data), a 16.44¢/kWh electricity rate (EIA 2026 data), and an $22,400 installed cost. After payback, the system produces free electricity for 15–20 more years.

Environmental Impact & Home Value in Colorado Springs

An 8 kW solar system in Colorado Springs produces roughly 12,923.2 kWh/year. Here is what that means beyond your electricity bill.

🌿
CO₂ avoided per year
5.0 tonnes
4,988 kg · EPA grid avg 0.386 kg/kWh
🌳
Tree equivalent
229 trees
Trees needed to absorb same CO₂ annually
🏠
Home value boost
+$1,546
Avg +6.9% (Lawrence Berkeley Lab / Zillow data)
US homes powered
1
Avg US home uses 10,632 kWh/yr (EIA 2024)

How Many Solar Panels Do You Need in Colorado Springs?

The right system size depends on your annual electricity usage and how much of your bill you want to offset. In Colorado Springs, where annual solar yield is 1615.4 kWh per kWp, here is what different households typically need:

Annual usageSystem sizePanels (400 W)Est. costAnnual savings
6,000 kWh
Small home
3.8 kW10 panels$10,640$986/yr
10,800 kWh
Average home
6.7 kW17 panels$18,760$1,776/yr
15,000 kWh
Large home
9.3 kW24 panels$26,040$2,466/yr
20,000 kWh
Large + EV
12.4 kW31 panels$34,720$3,288/yr

Costs based on $2.80/W installed (2026 US average). Panel count assumes 400 W modules. Savings based on current 16.44¢/kWh rate. State incentives not included — see above for Colorado credits.

Colorado SpringsSolar Resources & 2026 Incentives

Key information for homeowners in Colorado Springs going solar in 2026 — after the federal 30% tax credit expired December 31, 2025.

⚡ Federal Tax Credit Status (2026)

The 30% Section 25D residential solar credit expired December 31, 2025. An 8 kW system in Colorado Springs costs $22,400 after any applicable state credits. The commercial Section 48 credit (for businesses, landlords) was not affected.

IRS Residential Clean Energy Credit →
🔌 Net Metering in Colorado

Full retail net metering through Xcel Energy, Colorado Springs Utilities, Black Hills Energy.

DSIRE — Colorado Incentive Database →
🏛️ Colorado State Incentives

Xcel Solar*Rewards ($0.07–0.09/kWh × 15 yrs), sales tax exemption

✓ Sales tax exempt
📚 Authoritative Sources