Solar Energy Companies in St Louis benefit from the solar-ready ordinance for new construction. It assists in avoiding common barriers to installing a solar panel in St Louis for their residential and commercial clients. The state of Missouri prioritizes moving from a reliance on fossil fuel-generated electricity to renewable solar energy. This is both helpful in reducing air pollution and in creating green jobs.
Local Solar System Installation Costs
The cost of panels for solar electrical or hot water systems can vary greatly depending on the installation location, type of system required and the square footage of the area served.
Residential and commercial clients have the following options:
- Grid Tie-in (no battery backup)
- Grid Tie-in (battery backup)
- Off-grid with battery backup
The amount of sun exposure available will determine the maximum output of the system as well as the installation position.
Some things to consider are whether or not there is full or partial sun available or whether the area is mostly shaded. In some areas, the installation of panels may be moved from the roof to a ground-mounted array to make maximum use of exposure to the sun.
The amount of electricity consumed by the household or business will have the most impact on cost. The larger the demand, the larger the cost of the installation.
Likewise, the square footage of the area served will have an impact on the installation budget and can be broken down into the following sizes:
- <1,000 sq. ft
- 1,000 to 2,000 sq. ft
- 2,000 to 3,000 sq. ft
- >3,000 sq. ft
If the installation is going to be placed on the roof, then the height above the ground, depending on the number of stories, will also have an increased impact on the final costs.
The cost of a solar panel system installation can range from $8,500 to as much as $28,000 and more. It, therefore, makes sense to shop around for a quote from three different installation companies to ensure that you are receiving a competitive price for your installation.
Once you know that you are receiving quotes that are in the right price bracket, you can start the process of determining whether or not they are the right company to do business with based on the experiences of previous clients.
The cheapest price upfront is not always the best deal long-term. So, it pays to do your due diligence before making your final choice. We have compiled a list below of some of the recommended solar installation companies in St. Louis as a starting point.
How Much Do Solar Panels Cost in Saint Louis, MO in 2022?
Here is a list of the average solar panel costs you can expect to pay based on the power output size in St. Louis, MO
- 3 kW $8,490
- 4 kW $11,320
- 5 kW $14,150
- 6 kW $16,980
- 7 kW $19,810
- 8 kW $22,640
- 9 kW $25,470
- 10 kW $28,300
These prices exclude the 26% Federal Investment Tax Credit and other local incentives.
Expected Cost Savings
You can expect a solar panel system to achieve a payback period of approximately 12 years and your 20-year electricity savings could be in the region of $22,000. Based on current prices, it is not unreasonable to expect an average cost per watt of $2.83 for your PV installation.
With the average solar panel cost in Saint Louis, MO of $2.83/W, one can expect a solar panel system size of 5 kilowatts (kW), to range in cost from $12,000 to $16,300. The average gross price for a solar system comes in at around $14,000.
However, these costs do not take into account the 26% Federal Investment Tax Credit (ITC) which reduces the cost of installing a PV system quite considerably if you have a large tax bill and can take advantage of it.
Solar System Rebates
The utility-offered rebates available in Missouri make purchasing a solar system more affordable.
Homeowners can take advantage of the following rebates:
Empire District Electric – Rebate Program for Solar Installations
To encourage customers to embrace sustainable energy, a rebate of $0.25 is available to those who are eligible.
Columbia Water and Light – Solar Rebate Program
Certain Renewable Portfolio Standards (RPS) must be met by utilities and they encourage Missouri homeowners to go solar to achieve this. This encouragement comes in the form of a rebate that provides a customer with cash payments of up to $625 per kilowatt (kW) of solar power generation capacity (up to 10kW).
Kansas City Power and Light – Rebate Program for Solar Installations
To promote sustainable business, households can receive a rebate payment of up to $0.25 per watt rebate subject to eligibility.
Amaren Missouri – Rebate Program for Solar Photo Voltaic Installations
Customers will receive rebates from the PV Program when installing a photovoltaic setup. The rebate values are calculated on the output of the system and customers receive $0.25 per Watt for installing PV systems. The incentive is limited to 25 kilowatts for private residential customers, and 150 kilowatts for business customers.
Solar Property Tax Exemptions
In addition to the rebates from utility companies, there are local tax exemptions available as well. A measure taken by the State of Missouri is to exempt from property tax increases all homeowners whose property values have increased as a result of the installation of a solar panel system.
The Federal Solar Tax Credit
The Investment Tax Credit (ITC) was introduced to allow you to reduce the cost of your PV solar energy system by 26 percent.
For you to take advantage of the tax break, you must buy your PV system outright. That means either purchasing it by way of a cash purchase or through a solar system loan.
You also need to have a high enough income to make use of the tax credit.
What is the Solar Tax Credit?
The federal solar tax credit is a credit that you can use to reduce the amount of federal income tax you must pay. It is available for private individuals and businesses and means they can deduct the full cost of a solar installation.
This includes the parts and labor but excludes the cost of financing the installation.
Furthermore, you can carry the credit forward to the following years if your solar credit exceeds the amount of federal income tax you owe.
Extension of the Solar Tax Credit to 2023
In 2021, Congress passed a spending package that extended the 26% federal solar tax credit.
That means that the solar tax credit remains at 26% until 2023, at which time it will decrease to 22%.
The tax credit expires in 2024 for residential installs, but business installations will remain eligible for a 10% tax credit for the foreseeable future.
How to Lock in the 26% Solar Tax Credit?
If you wish to install a solar system in your home, then you must start construction no later than 31 December 2022. This will allow you to still enjoy the tax credit even though the system will only be operational from 2023.
Businesses will need to make a 5% minimum payment on the cost of their installation before the end of 2022 to lock in their 26% solar tax credit, even if the construction of their solar system only starts in 2023.
Recommended Solar Energy Companies in St Louis
With over 50 years in the energy industry, Solis Energy Solutions provides residential and commercial customers with a wide range of solar energy services. Their installation team is experienced at installing PV and solar thermal systems that exceed the expectations of their clients.
- Location: 720 Olive St Suite 2730, St. Louis, MO 63101
- Contact: 800-262-1101
Tony and his team have an enviable reputation for quality workmanship and professional service. Their attention to detail and ability to meet the ever-changing demands of their clients is what sets them apart from the competition. Reasonable pricing and a strong work ethic are hallmarks of their business.
- Location: 3725 michigan ave Chesterfield Missouri Fenton Missouri University City, 3725 Michigan Ave, St. Louis, MO 63118
- Contact: 314-685-7515
3. PCS Energy
PCS Energy focuses on providing affordable, efficient solutions to their clients’ energy problems. To assist them, the team identifies incentive assistance programs and provides free energy assessments and audits intending to provide the very best advice on which solar energy solutions to install.
- Location: 315 Lemay Ferry Rd #110, St. Louis, MO 63125
- Contact: 314-727-3368
Sunpro is part of the ADT group and provides the peace of mind that dealing with an international company provides. They offer both residential and commercial clients a complete range of solar energy products and services.
- Location: 4625 Lindell Blvd suite 200 & 300, St. Louis, MO 63108
- Contact: 866-450-1012
The company focuses on providing a low-impact solution for your commercial solar energy requirements. They have a proven track record of successfully delivering clean and affordable, large-scale projects to the community.
- Location: 4220 Duncan Ave Suite 201, St. Louis, MO 63110
- Contact: 636-474-9067
Based in St. Charles County, Solar Panel Pros O’Fallon offer their specialist solar panel installation services to both residential and commercial clients wishing to benefit from renewable solar energy. Their competitive pricing and reliability have earned them a trusted reputation in St. Louis.
- Contact: 636-251-4645
This company offers custom off-grid solar panel systems and lighting solutions to their clientele. They focus on locations where power is either not available, too expensive, or where a green-energy solution is the preferred option.
- Location: 6439 Plymouth Ave #127, St. Louis, MO 63133
- Contact: 314-337-7071
8. BKJ Solar
This NABCEP certified company takes pride in providing its residential and commercial clients with reduced electricity bills and environmentally-friendly solar systems. Their cost-effective solutions are provided by a team with more than 10 years of experience in the solar energy industry.
- Location: 907 Harbor Oaks Ct, Hazelwood, MO 63031
- Contact: 314-899-5527
What To Look at When Installing Solar Panels in St Louis
St. Louis has an average of more than 200 sunny days per year, which makes it an ideal location for installing solar systems. With 4.8 peak hours, St. Louis has more than enough sunlight to power both business and domestic PV installations.
When considering the efficiency of your solar system, you must take into account that the 4.8 hours peak sunlight figure is an average based on a fixed installation that faces due south.
However, based on the local conditions specific to your property, this may be changed to maximize the amount of sunlight hitting your panels. If you are mounting the panels to your roof on a stationary mount, then the best angle is 32.5°.
There are, however, brackets that will allow you to change the panel’s angle based on the time of year. If you wish to change the angle, here’s a guide to the most efficient angles based on the seasons:
- 11.2° in the summer months.
- 58.4° in the winter months.
- 35.6° in the autumn and spring months.
There are many different factors to consider when planning the installation of a solar panel in St. Louis. Cost is not the only factor to consider, and we hope that the information we have provided will assist you in making the right choice when you select your PV system installer.