Over 100,000 Illinois homes and businesses have now embraced solar power. Statewide solar capacity recently eclipsed 1 gigawatt and continues climbing steadily. But is installing a rooftop solar array right for you? What are realistic cost projections? Just how much can Chicago or downstate families actually save by generating their own electricity from sunlight in the Land of Lincoln? This comprehensive guide provides answers.
How Solar Panels Work: A Brief Background
Before reviewing specifics for Illinois, a quick solar energy primer:
Photovoltaic (PV) panels mounted on homes contain solar cells made from silicon semiconductors. Sun photons hit these PV cells and knock electrons loose, creating an electric current. Inverters then convert that direct current (DC) into 240-volt alternating current (AC) power used to run appliances.
Excess electricity gets pushed back onto the local utility grid for credit through net metering programs. Solar systems require little maintenance and keep producing carbon-free renewable power for 25+ years.
While Illinois only sees 75-80% as much sunlight as sunnier states like Arizona, solar panels still generate plenty of energy here when correctly sized and positioned. The key metrics become solar payback period and return on investment. Let‘s explore those now in detail…
What Do Solar Panels Cost in Illinois? Breaking Down The Numbers
Here is a full breakdown of current average 2023 pricing for Illinois solar panel systems by size, starting with smallest:
| System Size | Avg Cost | Range |
|---|---|---|
| 2 kilowatts | $5,420 | $3,500 – $7,980 |
| 5 kilowatts | $13,550 | $8,750 – $19,950 |
| 7 kilowatts | $18,970 | $12,250 – $27,930 |
| 10 kilowatts | $27,100 | $17,500 – $39,900 |
As shown for 5kW setups, you can expect to budget $13,550 on average in Illinois according to installer data aggregated by EnergySage. However, costs can swing 35% or more in either direction based on your specific home solar needs and market fluctuations.
Over a projected 25-year lifespan, operators can forecast around $4,000 in repairs, operations and maintenance expenses as equipment ages. That brings total cost of ownership to near $17,550 for a 5kW system.
Regional solar quotes do vary slightly around the Prairie State:
| Region | Avg 5kW Price | Variance vs Statewide |
|---|---|---|
| Chicago Metro | $13,015 | -4% |
| Central Illinois | $14,235 | +5% |
| Southern Illinois | $12,960 | -4% |
Pricing fluctuations stem from labor, permitting differences and economies of scale in higher-adoption areas like Cook County and collar counties. Sunlight availability also plays a role.
No matter where you call home in Illinois though, the bottom line is purchasing solar panels represents a major investment for most families. Having a clear sense of the costs upfront helps set expectations properly as you calculate payback timelines and expected ROI.
Illinois Solar Incentives Cut Costs by 20-30%
Fortunately Illinois homeowners go solar have access to a robust set of incentives. State and federal solar subsidies can reduce net out-of-pocket costs substantially.
The 26% federal solar tax credit alone chops nearly $4,000 off a 5kW installation priced at $15,000. Additional savings come through:
- Solar Renewable Energy Credits – Average annual payout of $1,100
- Property tax exemption – Up to $3,000 deducted over 25 years
- Net metering bill credit – Around $75/year average
Altogether, total incentives valued at $7,000-$10,000 are common on standard solar arrays. That cuts real personal contribution down to $8,500-$10,500 for a 5,000 watt system.
In other words, current incentives cover nearly 25% of the expense on average. And that‘s before counting the ongoing utility savings.
Let‘s analyze the complete Illinois solar payback picture now…
How Soon Do Solar Panels Pay For Themselves?
With incentives effectively reducing installed solar panel system costs by 20-30% upfront, what is the breakeven point before lifetime savings outweigh remaining out-of-pocket expenses?
According to 2023 projections, the average payback timeline is 9-13 years for a residential setup in Illinois. Variances depend most on your utility‘s electricity rate and regional sun exposure averaging 4.0 to 4.5 daily peak hours.
To illustrate, we‘ll compare two Illinois scenarios – Chicago area (ComEd) and Ameren central:
| Metric | Chicago | Central IL |
|---|---|---|
| System Size | 5 kilowatts | 5 kilowatts |
| Avg Install Price | $13,015 | $14,235 |
| Est. Incentives | $3,500 | $3,850 |
| Net Cost | $9,515 | $10,385 |
| Annual Savings | $1,100 | $1,350 |
| Payback Years | 9 | 11 |
With a 25-year expected functional lifespan, that leaves 16 and 14 years of net positive return post payback for thousands in savings.
Over the full 25 years, Chicago solar owners can save $16,150 on energy bills while central Illinois residents save $20,650 after payback. Subtract the system cost minus incentives, and net lifetime savings range $10,000 to $15,000 typically.
That‘s an average of $400 to $600 in annual renewable energy cashflow once your solar panels are paid off. Not to mention the home resale value rise and environmental benefits inherent with solar.
Choose From Illinois‘ Best Rated Solar Installers
Now that the Illinois solar numbers add up, who can you actually trust to properly install panels and related equipment on your home?
It pays to choose only top-tier solar contractors who demonstrate technical competence, good pricing and stellar customer service. Working with unqualified hacks puts your entire investment – and potentially safety – at risk.
Based on solar industry vetting plus customer reviews, here is a head-to-head comparison of 5 leading Illinois PV system installers:
| Company | Rating | Years in Biz | Service Areas | Equipment Used | Prices | Warranty |
|---|---|---|---|---|---|---|
| All Energy Solar | A+ | 13 years | Statewide | Silfab, Mission Solar | Middle-rate | 25 years labor |
| Dimension Renewable | A | 20 years | Central/south IL | Itek, Longi Solar | Low-rate | 10 years labor |
| GS Solar & Electrical | A+ | 8 years | Chicago area | Qcells, Solaria | Middle-rate | 15 years labor |
| Microgrid Solar Energy | A | 12 years | Statewide | Solaria, Enphase | Premium-rate | Lifetime workmanship |
| Solar Sense INC | A+ | 15 years | Northern Illinois | Silfab Elite, SolarEdge | Low-rate | 12 years labor |
When evaluating company qualities, check for licensing, insured crews, membership in regional solar associations and the Better Business Bureau rating. Also ask if monitoring software is included for performance checks.
Solar Batteries: Using Sun For Backup Power
Rooftop solar panel systems mainly generate energy when sunlight shines midday. But pairing storage batteries allows families to tap solar reserves anytime – including overnight or during blackouts.
Tesla Powerwall, LG Chem and Generac PWRcell batteries can stash unused daytime solar electricity in chemical form. Then the reserve energy is accessible on demand, including during grid failures. This enables resilience while amplifying solar capabilities.
Adding home solar batteries does add $5,000 or more to costs however. With fewer incentives available, payback periods currently still run 10-15 years in most cases. But if emergency backup power or time-shifting solar supply is priority, ROI becomes secondary.
|||
| ————- |:————-:|
| Avg Solar Cost Per Watt (5kW Before Incentives) | $2.71 |
| Est. Lifetime Savings (25 Years) | $15,000 |
| Avg Years Until Breakeven | 11 |
| Top IL Solar Incentives | 26% Fed Tax Credit, SRECs |
| Battery Add-On Cost | $5,000+ |
Bright Forecast: Illinois Solar Energy Outlook
Industry analysts see outstanding runway for continued expansion of solar across Illinois through 2030 at least. Declining solar equipment costs globally combine with rising conventional electricity rates and climate change pressures to assure steady uptake.
The Solar Energy Industries Association forecasts the state reaching 4 gigawatts of cumulative installed solar capacity by 2026 – a 400% jump from 2022. New policy supportive of renewable transition like the state‘s Future Energy Jobs Act fuels this trajectory.
For consumers, projections indicate continually increasing savings in the decade ahead as solar efficiency improves. Federal or state incentives could shift but equipment price drops should offset changes. Talk to Illinois solar installers about planning options.
Whether seeking bill savings or energy independence, Illinois solar panels offer a smart investment for households statewide. This guide presented transparent pricing figures, payback time analysis and other key data to inform your decision. Go solar and help power the Illinois renewable revolution!
