Maryland has one of the nation’s best rates of return on investment in solar energy, according to a report from Geostellar.
In its detailed Q3 Index of the US solar market, Geostellar analyzed the internal rate of return (IRR) of solar installations across all 50 states and the District of Columbia.
IRR is a measurement that factors in:
- Cost of solar — including solar exposure, installation expenses, and solar panel efficiency
- Utility rates — i.e. the potential electricity bill savings customers enjoy by going solar
- Solar incentives — tax credits and rebates designed to reduce the upfront cost of installing a new system
Geostellar’s findings — Maryland ranked #17 in solar returns with an IRR of 6.8%.
To put that in perspective, 30-year US Treasury Bonds offer yields of only 3.7%. Solar offers nearly twice that return every year — for the next 25 to 40 years.
The Maryland solar payback rate is impressive since it’s calculated using today’s utility prices and solar panel costs. As electricity rates continue to rise and solar panel prices continue to fall, the rate of return on your Maryland solar investment will only increase. Payback periods will also shrink, allowing you to recoup installation expenses more quickly.
To learn how quickly you’ll get a payback on your solar panel installation costs, click here