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Solar Cost Per Watt in Hawaii

Average $$3.10/W • Rank #$46 of 51 • 3.1-year payback • Updated 2026

Urgent tax credit deadlines

  • Section 48E phase-out completes December 31, 2027 — projects must be placed in service by then (515 days left).
See the full deadline tracker

Cost Per Watt

$3.10

avg in Hawaii

vs National

+$0.40

(+14.8%)

Payback (8kW)

3.1 yrs

avg

Sun Hours/Day

6

peak

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Cost Per Watt by System Size in Hawaii

Cost per watt typically decreases for larger systems (economies of scale).

$3.41
4kW
$3.26
5kW
$3.16
6kW
$3.10
7kW
$3.04
8kW
$2.95
10kW
$2.85
15kW

Bars show Hawaii's $/W for each system size. Lower = better value.

System SizeCost Per WattTotal Costvs National Avg
4 kW$3.41/W$13,640+$0.71
5 kW$3.26/W$16,300+$0.56
6 kW$3.16/W$18,960+$0.46
7 kW$3.10/W$21,700+$0.40
8 kW$3.04/W$24,320+$0.34
10 kW$2.95/W$29,500+$0.25
15 kW$2.85/W$42,750+$0.15

Solar Cost Overview for Hawaii

In Hawaii, the average installed cost for residential solar is $3.10 per watt, with typical systems ranging from $3.10/W to $3.10/Wdepending on the installer, equipment quality, and roof complexity. Hawaii ranks #46 out of 51 states (1 = cheapest) for solar affordability — 44 states have cheaper solar.

Hawaii is near the national average — solid value with good installers.

What's Driving Hawaii's Solar Costs?

Hawaii's $$3.10/W average reflects a combination of near average equipment costs,above-average local utility rates ($0.520/kWh vs national avg $0.1844/kWh), and above-average solar resource (6 sun hours/day vs national avg 4.7).

Note on panel pricing:Prices shown reflect AVL/DomCon-compliant panels. The 30% residential federal tax credit (Section 25D) expired December 31, 2025 — an owned residential system installed in 2026 receives $0 in federal credit regardless of panel choice. Non-compliant panels (Mission, JA, Canadian) are available from $0.37/W panel-only and additionally disqualify the Section 48E credit (lease/PPA/commercial) and IRA bonus credits.See current ITC status →

Hawaii Solar Incentives & Policies

Net Metering

Reduced-rate net billing

State Tax Credit

Available

Property Tax Exemption

Yes

Sales Tax Exemption

No

⚠ 2026 Federal ITC Update

The Section 25D residential solar tax credit (30%) expired December 31, 2025. Owned residential systems installed in 2026 no longer qualify. The 48E ITC (30%) remains available for lease/PPA, commercial, and rental properties that began construction before July 4, 2026.

States With Similar Solar Costs

StateAvg $/Wvs HawaiiPaybackSun Hours
Hawaii (you)$3.103.1 yrs6
Connecticut$3.10+$0.008 yrs4.4
Massachusetts$3.10+$0.007.8 yrs4.3
New York$3.10+$0.007.4 yrs4.4
Maine$3.06$-0.048.1 yrs4.1
Vermont$3.06$-0.049.6 yrs4

Hawaii Solar Cost FAQs

How much do solar panels cost in Hawaii?
A typical 8kW residential solar system in Hawaii costs approximately $24,320 before incentives, at an average of $3.10 per watt. Smaller 5kW systems start around $16,300, while larger 10kW systems can reach $29,500. The exact price depends on equipment quality, installer, roof complexity, and local permitting costs.
Is Hawaii a cheap or expensive state for solar?
Hawaii's average cost of $3.10/W is $0.40 above the national average of $2.70/W. Hawaii ranks #46 out of 51 (1 = cheapest) for solar affordability. Hawaii is near the national average — solid value with good installers.
What is the payback period for solar in Hawaii?
The average solar payback period in Hawaii is 3.1 years for an 8kW system costing $24,320 and generating approximately 15,067 kWh per year. With Hawaii's average utility rate of $0.520/kWh, you'd save about $7,835 per year. After the 3.1-year payback period, the system continues producing electricity for 15+ more years.
Does Hawaii have net metering?
Hawaii offers reduced-rate net billing — excess solar production is credited at a lower rate (often the wholesale rate or avoided cost). This means exported solar is worth less than grid power you import.
What solar incentives are available in Hawaii?
Hawaii offers a state solar tax credit, exempts solar from property tax assessments, and does not exempt solar equipment from sales tax. The federal Section 25D residential solar tax credit (30%) expired December 31, 2025 — it no longer applies to 2026 installations on owned primary residences. The Section 48E ITC (30%) remains available for lease/PPA, commercial, and rental properties that began construction before July 4, 2026.
How many peak sun hours does Hawaii get?
Hawaii receives an average of 6 peak sun hours per day, which is above the national average of 4.7. Peak sun hours directly affect solar production — a 8kW system in Hawaii produces approximately 15,067 kWh per year.

Hawaii cost-per-watt data based on 3 ZIP code samples. Production estimates use NREL PVWatts V8 (azimuth 180°, tilt 30°, array_type 1, module_type 1, losses 14%). Utility rate averages from NREL Utility Rate API V3. The federal Section 25D residential solar tax credit expired December 31, 2025.

Written & reviewed by

Jeremy Wolfe — Senior Solar Energy Analyst

Jeremy Wolfe is a solar energy analyst specializing in residential photovoltaic economics, federal and state incentive policy, and return-on-investment modeling for homeowners. He leads EnergyTools' solar research program and methodology.

  • 10+ years analyzing residential solar economics and payback modeling
  • Lead researcher for EnergyTools' 50-state solar cost-per-watt database
  • Author of 100+ solar ROI, payback, and incentive analyses

Methodology & data sources:NREL PVWatts, EPA FuelEconomy.gov, state utility commissions— updated 2026.