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Founded in 1979, Solar Oregon is a 501 (c) (3) non-profit membership organization providing public education and community outreach to encourage Oregonians to choose solar energy.
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Typical Costs

Typical Costs

The following treatment of tax incentives does not constitute tax advice and cannot be used to avoid IRS penalties.

Example - grid-tied solar electric system

The cost depends on the size of the system and the ease of installation. For smaller systems under five kilowatts (kW) in size, the average cost before incentives is about $4,000 for each kW of capacity. Larger systems typically cost less per kilowatt.


Incentives and tax credits can cover more than 80% of the cost!

Solar Electric - PGE Customer  - 4,000 Watts


Total installed cost*

- $2,560

 Energy Trust incentive ($0.64/watt for customer owned system)


- $4,032

Amount homeowner pays to contractor

Federal Tax Credit (30% of $13,440)

- $6,000

Oregon Tax Credit ($1.70/watt, up to $6,000)



Final cost to homeowner


For Utility Customers outside Energy Trust of Oregon territory (not served by PGE or Pacific Power)

4,000 Watt system


Total installed cost*


- $4,800


Federal tax credit (30% of $16,000)

- $6,000

Oregon tax credit ($1.90/watt, up to $6,000)



Final cost to homeowner

Several electric utilities in Oregon provide incentives or loans for solar electric systems (not shown in this cost example).  Is your utility one of them?  

The Database of State Incentives for Renewables and Efficiency (DSIRE) has a comprehensive list of utility incentives across Oregon. (When on the DSIRE site, we recommend on using the filter tool and selecting "Solar Technologies" Technology category and "Rebate Program" in the Program Type category.)

For information on solar electric incentives in the state of Washington click here.

* Solar electric system costs vary and depend on size. The 2015 average installed cost for a four kilowatt grid-tied system was $4.00 per watt. 

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