New Jersey Solar Calculator — 2026 Costs & Payback
New Jersey is one of the best solar markets in the Northeast despite modest irradiance (1,280 kWh/kW). The Successor Solar Incentive (SuSI) pays $85/MWh of production for 15 years plus full retail net metering and high $0.185/kWh rates yields 6–8 year payback for most homes.
US Solar Payback Calculator — 2026
Get an accurate solar payback estimate for your state using NREL solar irradiance, EIA electricity rates, and the 30% federal Investment Tax Credit.
The numbers above are based on state averages. Real quotes vary by roof orientation, shading, panel type, and installer. Compare quotes from 3+ pre-vetted installers in your area — free, no obligation.
Highest electricity rates in the lower 48. NEM 3.0 (since April 2023) cuts export rates ~75%. Battery storage now near-mandatory for payback.
Methodology & sources
Solar irradiance per state: National Renewable Energy Laboratory (NREL) PVWatts PSM3 typical-year data, weighted state average for residential rooftops.
Electricity rates: EIA Form 826 monthly residential rates (most recent September 2025 data).
Federal ITC: 30% through 2032 under the Inflation Reduction Act (Section 25D).
State incentives: DSIRE (Database of State Incentives for Renewables & Efficiency) as of April 2026.
Inflation assumptions: 2.5% annual electricity price increase (EIA AEO 2024 reference case), 0.5% annual panel degradation (NREL standard).
Self-consumption assumption: 45% direct self-consumption without battery — typical for residential without storage.
Deep dive — solar in New Jersey
Net metering: Full 1:1 retail-rate. Credits roll forward annually with cash settlement at $0.04/kWh for any leftover.
Property tax exemption: 100% of added home value from solar excluded from assessment (NJ Stat 54:4-3.113).
Sales tax exemption: 100% on solar equipment.
Major utilities: PSE&G, JCP&L, Atlantic City Electric, Rockland Electric — all support full retail net metering and SuSI integration.
New Jersey solar FAQ
What is the SuSI program in New Jersey?
Successor Solar Incentive — production-based payment of $85/MWh of solar production for 15 years. Stacks with net metering and 30% federal ITC.
Does New Jersey have net metering?
Yes — full 1:1 retail-rate net metering. Credits roll forward, with annual cash settlement at $0.04/kWh for unused credits.
Are solar panels tax-exempt in NJ?
Yes — both sales tax (100%) and property tax (100% of added home value).
How much does solar cost in New Jersey 2026?
Average $3.15/W installed. An 8 kW system: $25,200 gross, $17,640 after 30% federal ITC. Plus ~$11,250 in SuSI payments over 15 years.