Top 5 Solar Companies in kentucky

Below you’ll find the top solar companies in Kentucky as ranked by us and reviewed by verified solar customers. To learn more about what goes into our “Best Rank” score for each company, visit our How We Rank page. For our full Kentucky Solar Overview, keep reading:





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Kentucky Solar Overview

Prior to 2019, Kentucky could have been considered a promising destination for solar companies and customers alike. The Bluegrass State offered a small tax credit to supplement the 30 percent federal solar tax credit along with a favorable net metering policy that credited residential solar users for their surplus solar energy.

In 2020, however, the state of solar energy in Kentucky is much different. With the state tax credit eliminated, no solar rebate, and the net metering policy drastically weakened, Kentucky now ranks in the bottom five states in the nation for solar production and adoption.

Read on to learn more about the ins and outs of going solar in Kentucky.

Pros and Cons of Going Solar in Kentucky

Here's an at-a-glance description of the current benefits and drawbacks of switching to solar in Kentucky:

Benefits of Going Solar in Kentucky:

  • 30 Percent Federal Tax Credit
  • High Sunshine Levels
  • Net Metering Policy

Drawbacks of Going Solar in Kentucky:

  • Higher than Average Solar Costs
  • Unprofitable Loan Option
  • No Lease or PPA Options
  • Weak Solar Policies and Incentives

Cost of Solar in Kentucky

The levelized price for solar panels in Kentucky equates to about 6 cents per kilowatt-hour over the course of 25 years, which is considerably less expensive than the 23 cents per kWh through traditional utilities. That said, at more than $21,000 for a typical 5 kW system, the upfront cost of solar energy in Kentucky is still considerably high compared to other states. That number could be as low as $10,000 depending on solar PV system capacity.

Kentucky Solar Financing Options

Kentucky residents only have two financing options available to them to go solar:

Outright Purchase

Outright purchase of a solar energy system in Kentucky can range from as low as $10,000 to more than $21,000, depending on budget, desired capacity, panel energy efficiency, available space, and current energy needs. With that in mind, outright purchase is also the fastest way to obtain a profitable return on a solar system.

Accounting for the 30 percent federal solar tax credit, a 5 kW system in Kentucky could cost as little as $15,500, a significant discount. Consequently, the estimated annual savings customers will receive for going solar will take about 14 years to completely offset the upfront costs, which means homeowners will enjoy up to 11 years of profitability from their system, more specifically, a little more than $6,000 over 25 years. Home value will also increase by upwards of $19,000 within that same timeframe!

Solar Loan

Unfortunately, the choice to finance a solar panel system through a solar loan will not yield the same overall savings as direct purchase. Homeowners will still qualify for the federal tax credit, which will significantly reduce the price of going solar.

That’s about where the good news of solar loans in Kentucky ends. Because electricity prices in Kentucky are a couple cents below the national average, homeowners who finance their solar array through a loan will only enjoy their initial savings — brought on by a zero money down loan option — for the first few years of operation. Loan payments will generally be more expensive than the monthly payments that homeowners would otherwise pay to the public utility company; but after the loan is paid off after 15 years, customers will just about break even on their solar installation system.

Kentucky Solar Incentives


Kentucky has almost no solar incentive programs to speak of. The state offers no solar power rebates, and as of 2020, no state solar tax credit. The state has no sales or property tax exemption for solar users in place, or a program for low-income individuals and families to access solar. In short, if you’re interested in going solar in Kentucky, you’ll be hard-pressed to find many financial incentives to do so.

Kentucky Solar Policy Information

Kentucky solar policy tells a very similar story. Although the state does have a functioning net metering policy in place, it used to be much stronger prior to 2020. Before, the policy mandated that all utility providers credit solar users for their excess energy; but now the law has been repealed, and utility companies have the freedom to set their own crediting rates on net metered systems — which are often lower than the standard retail rate, meaning less money back for solar users each month. Currently, Kentucky has no renewable portfolio standard (RPS) in place.

Kentucky Solar Statistics

In spite of this discouraging information, residential solar energy in Kentucky is trending upward, with nearly 4 megawatts of residential solar energy being installed in the state in 2019 alone. That number accounts for nearly 10 percent of all solar installations in the state, which as of 2020, sits at just about 1,200 and powers more than 5,500 Kentucky homes. Kentucky hosts 41 solar installer companies employing more than 1,300 people.

Interested in a solar quote? Check out the top-ranked solar companies in Kentucky and read reviews from verified solar customers.