Solar power has grown across the country, including in Colorado. There are 2,268 megawatts of solar power in Colorado, enough to power more than 440,000 homes, according to the Solar Energy Manufacturers Association. This includes large-scale installations, but more and more people of color are turning to solar panels, saving money on their energy bills and reducing household carbon emissions.
According to CNET sister publication SaveOnEnergy, Colorado residents paid an average of $105.39 for electricity in October 2022, or about $1,264 for the entire year. Covering your energy use with rooftop solar panels could save the average Colorado resident $1,264 a year (excluding upfront fees and local fees). Electricity rates in Colorado rose by 10% from August 2021 to August 2022. If electricity rates continue to rise, residents will be able to save even more with solar panels .
While traditional energy prices have risen, the cost of solar panels has come down significantly. According to SEIA, the cost of solar energy in Colorado has fallen by 52% over the past 10 years. There are also a growing number of tax credits and rebates that help further reduce the cost of a solar panel system.
Solar panel cost in Colorado
Many factors affect the cost of a solar panel system, including the number of panels in the system, installation costs, and additional components such as solar panels. According to the Lawrence Berkeley National Laboratory, the average solar panel system in Colorado costs more per watt of power than the national average.
Colorado and US average
| System size (kW) | price per watt | Changed price | |
| Colorado | 6.79 kW | $4.08 | $27,696 |
| At the national level | 8.6 kW | $3.67 | $31,558 |
Solar panels are a great investment. There are several financing options available to make the upfront cost of solar energy more affordable. Some choose to buy their system right away, while others finance it with a solar loan. Colorado also has solar lease agreements or electricity purchase agreements . With a solar lease or power purchase agreement, you won't own your system and save less over time, although these options can significantly reduce the initial price of solar.
Advertiser Disclosure : Owned by CNET's parent company Red Ventures, SaveOnEnergy can help you find the right energy for your home. The SaveOnEnergy marketplace helps you find, compare, track and save on the right energy for your home for free. If you are interested in solar energy, please answer a few questions to receive a detailed quote from our solar energy consultants.
Promotions or discounts on solar panels in Colorado
There are a number of federal, state and local tax credits and incentives for solar panels to make solar panels more affordable. Depending on where you live in Colorado, you may be eligible for some extra solar incentives.
The Home Clean Energy Credit (formerly known as the Investment Tax Credit) is a federal solar credit offered in all states that gives you a credit of 30% of the total cost of your solar system when you file with the federal tax office. . After the adoption of the Inflation Suppression Law in August 2022, the rate increased from 26%.
In Colorado, a clean energy mortgage would save the average solar system $8,308. There is no limit to the amount you can borrow with this loan, so you can get the full 30% regardless of the size or value of your system.
To apply for a clean energy loan, complete IRS Form 5695 (PDF). The IRS provides detailed instructions on how to properly complete the form. Once your application is approved, you will receive credit when you file your federal income tax return.
Local and state solar credits, rebates and incentives are also available in Colorado. The database of government incentives for renewable energy and efficiency contains an extensive list of programs. Here are some things you need to know.
| program | Description |
|---|---|
| City of Boulder Solar Grants Program | This program provides solar installation grants to eligible non-profit organizations and low to moderate income households. |
| Colorado Springs Renewable Energy Rebate Program | People who install a grid-connected solar system receive a discount for every kilowatt of power their system produces. |
| Exemption from property tax | Renewable energy technologies, including solar panels, are exempt from property tax if they are in the home and owned by the property owner. |
| Sales and Use Tax Exemption | Renewable technologies such as solar panels are exempt from sales and use tax in Colorado. |
| Xcel Energy Solar Rewards Program | Xcel Energy loyal customers who own a solar panel system receive monthly or annual payments in exchange for renewable energy credits for the solar energy their system produces. |
Colorado Solar Companies
There are 384 solar energy companies in Colorado, 149 of which are installers, according to the Solar Energy Manufacturers Association. As the popularity of solar panels continues to grow, the number of solar companies in Colorado will also increase to meet the demand.
We have compiled a list of solar panel manufacturing companies that stand out in the industry. Here are some solar panel installers in Colorado. As with most large projects, it's a good idea to get a few offers before making a decision.
ADT sun
ADT Solar (formerly Sunpro Solar) provides solar and battery installation services in Colorado. ADT Solar offers a 25-year manufacturer's, power generation, and labor warranty while the solar warranty is in effect, as well as a warranty to match installation costs.
ADT Solar currently only offers solar panel systems for purchase and does not offer solar rentals or power purchase agreements. Partner with leading solar panel manufacturers to offer high quality products from Enphase, Tesla and more.
Blue Raven Sun
Blue Raven Solar operates in 17 states, including Colorado cities such as Colorado Springs, Denver and Fort Collins. It offers a 25-year product warranty and a 10-year labor warranty. Blue Raven Solar also offers a two-year power generation warranty. Under this warranty, Blue Raven Solar will test the amount of electricity produced by your solar system twice over a two-year period to ensure that the level of production is close to the amount originally estimated by the installer when signing the contract.
Blue Raven Solar does not offer solar rentals or power purchases, so customers must purchase a solar system. However, it sets itself apart from other competitors with its exclusive BluePower Plus+ solar financing program. With this program, you pay nothing up front and receive free solar energy for the first 18 months of your system's life. After 18 months, you can enroll in Blue Raven Solar's SmartStart financing program, which offers a fixed interest rate for the next five years to keep payments affordable.
palm sun
Since its founding in 2010 , Palmetto Solar has grown into one of the largest solar energy companies in the country. Offers solar panels for purchase, rental of solar panels and contracts for the purchase of electricity. Most Palmetto customers buy solar panels right away because of the benefits of owning a system.
Palmetto solar panels have an efficiency rating of over 19.8%, a minimum lifespan of 12 years, and a 25-year performance warranty. Palmetto says it is committed to providing the best customer service in the industry. It offers a subscription service called Palmetto Protect that monitors the performance of your solar array system. The subscription also offers tiered support if the panel is damaged or out of order.
Tan
Sunrun is currently the largest solar company in the country and stands out in the industry for its focus on solar rental. For many people, the cost of a solar energy system is too high. Signing a solar lease with Sunrun makes solar available to many homes, although solar leases have disadvantages, including less savings over time and not being eligible for most solar tax credits.
Sunrun customers who rent their systems will receive comprehensive service and system monitoring. The installer offers systems for sale, although buyers will only have to rely on the terms of the manufacturer's warranty. Sunrun offers a 10-year labor warranty that covers roof damage and installation.
sun tesla
Tesla offers two options for solar power: traditional solar panels and the Tesla solar roof. Prices, warranty terms and specifications will vary between the two options.
Tesla Solar Roof is more expensive than the other solar panel options on this list. Tesla offers a 25-year product warranty and guarantees 95% energy efficiency after five years and 85% energy efficiency after 25 years.
Tesla solar panels, on the other hand, are a cheaper option. Tesla guarantees 85% of solar energy in 25 years. They have an efficiency range of 19.3% to 20.6%.
Installation Factors to Consider
Before signing a contract with a solar panel installer, you should consider whether solar panels are right for you and your home. Here are some installation factors to consider:
Is your roof suitable for solar energy? The age, shape, size, and slope of a roof affect the efficiency with which a solar panel system generates energy. The Department of Energy says solar panels will generate the most electricity on rooftops with a slope between 15 and 40 degrees. Before installing solar panels, old roofs or old roofs that need repair must be hung or replaced.
Are solar panels allowed in your area? In Colorado, homeowner associations do not have the power to ban solar panels. However, your homeowners association or district may have requirements or approval processes that you should review before signing a contract.
Can you add solar panels to your insurance policy? Most homeowner insurance policies cover rooftop solar panels. However, you should check with your insurance agency for the exact details of your policy.
Does your home have enough sun? While solar panels can generate some electricity from indirect sunlight, a minimum of 4 hours of direct sunlight per day is a good rule of thumb if it makes financial sense. In Colorado, many residents get heavy snowfall during the winter. Solar panels are designed to work in snow, although they will produce less power on cloudy days. If your roof is constantly in the shade, your solar panel system may not be producing as much energy as you would like.
Are you renting a house? If you are renting your home, you may have chosen not to install solar panels. If so, then public solar programs are an alternative. Community solar allows residents to subscribe to solar power generated elsewhere (usually somewhere nearby) and receive a credit on their electricity bill. The subscription fee is lower than the cost of credit, which means you pay less than a regular electricity bill.
Colorado Solar Matters
Is solar energy good for the environment?
Solar energy is a more sustainable source of energy than coal or gas because it does not emit greenhouse gases such as carbon dioxide. The burning of fossil fuels is one of the main contributors to climate change and air pollution. Scientists say we must quickly phase out fossil fuels and rely more on clean energy sources to avoid the worst effects of climate change. Although the production of solar panels has an environmental impact, they have a much smaller lifecycle impact than the long-term burning of fossil fuels.
Does Colorado have tax credits for solar energy?
There are many tax credits, rebates, and incentives for solar in Colorado. The Federal Solar Tax Credit gives you 30% of the value of your solar system in taxes and is offered in all states. Colorado also offers various state and local incentives for solar energy. A complete list of Colorado solar incentives can be found in the state's Renewable Energy and Efficiency Database.
How can I find a solar installation company in Colorado?
With an increasing number of solar panel installers working in Colorado, choosing the right one can be overwhelming. Take the time to do your research before signing a contract with an installer. Read customer reviews, read the installer's warranty terms, and compare offers from different installers. As a starting point, you can use CNET's selection of top solar energy companies.
