SunCents Logo SunCents

Is Solar Worth It in Goodyear, Arizona?

We analyzed Arizona Public Service (APS) rate books, NREL irradiance data, and Arizona tax codes to calculate the real ROI for homeowners in 85338.

Market Snapshot

Elec. Rate
$0.135/kWh
Sun Hours
6.49
Utility Arizona Public Service (APS)
Tax Exempt Yes
Battery Required

Analyst Note: The "4kW Benchmark"

The analysis below uses a standardized 4kW system to provide a fair baseline comparison across cities. However, the average electric bill in Goodyear is $155.25.

⚠️ Most homes here will need a larger system (8kW–12kW) to reach 100% offset. Use the calculator below for your exact numbers.

Fighting against high summer electricity bills from Arizona Public Service (APS) is a common battle for homeowners in Goodyear. Those brutal Time-of-Use peak rates, especially after a day out at the Phoenix Raceway, can make you dread opening your bill. While solar panels are the obvious solution, a major policy shift from APS changes how you save money.

Benchmark Cost Analysis

What's the Real Cost of Solar in Goodyear?

When getting quotes, you'll see two options. A small, solar-only system might look tempting at just $7,050 after tax credits. However, to truly offset APS's peak rates, the recommended solution is a solar panel system with a home battery. Here’s that breakdown for a typical home:

  • Gross System Cost: $23,500
  • Federal Solar Tax Credit (30%): -$7,050
  • Arizona State Tax Credit: -$1,000
  • Final Net Cost: $15,450

This combined system empowers you to store your abundant daytime solar energy and use it during the expensive 4-7 PM peak, giving you true energy independence from the grid.

Incentives & Tax Credits

Goodyear Solar Incentives (2026)

Arizona offers a robust incentive package that makes going solar more affordable. Every homeowner in Goodyear qualifies for:

  1. The 30% Federal ITC: A dollar-for-dollar credit on your federal income taxes. For a $23,500 system, that's a $7,050 credit.
  2. Arizona State Tax Credit: A state credit of up to $1,000.
  3. Property & Sales Tax Exemptions: You pay no sales tax on your solar equipment, and your property taxes won't increase due to the added value of your solar system.

Net Metering: Arizona Public Service (APS)

Policy Status

Net Billing (2024)

Battery Priority

Critical 🔋

Understanding APS Net Billing

APS has transitioned from traditional net metering to a 'Net Billing' system. Under the old rules, you'd get full credit for every excess kilowatt-hour (kWh) sent to the grid. Now, APS buys your extra solar power for a low 'export rate' of about 6-8¢/kWh, but charges you the full retail price (often 20¢+ during peak hours) to buy it back later. This is precisely why a battery is now critical—it allows you to store and use your own energy instead of selling it to APS for pennies.

Projected Savings

Monthly & Annual Savings with a Battery System

A solar-plus-battery system does more than just generate power; it gives you control over when you use it. For a standard Goodyear home using around 1,150 kWh per month, this translates into significant savings. You can expect to slash your monthly APS bill by 60-70%, equating to around $889 in annual savings. This strategy is essential for maximizing your return on investment in the post-net-metering era.

Local Questions Answered

Can I still save money with just solar panels in Goodyear?
Technically yes, but your savings are significantly reduced. A solar-only system will only save you around $630 a year because of APS's low export rates. A system with a battery nearly doubles your savings to $889 and protects you from future rate hikes.
How does the intense Goodyear sun affect my solar panels?
Goodyear receives exceptional solar irradiance, averaging 6.49 kWh/m²/day. While extreme heat can slightly reduce panel efficiency, modern panels are built for these conditions and will produce abundant power year-round, easily overcoming any minor heat-related efficiency dip.
Is the $1,000 Arizona state tax credit a guaranteed rebate?
It's a tax credit, not a direct rebate. This means it reduces your state tax liability by up to $1,000. If your tax liability is less than $1,000, you'll receive a credit up to the amount you owe.

Calculate Your Solar Savings

Enter your details below for a personalized estimate

Initializing Solar Engine...

* Calculations based on Arizona Public Service (APS) residential rates (0.135/kWh).

Data Transparency & Methodology

Estimates for Goodyear, Arizona are produced by the SunCents Solar Engine (v1.2). We combine the following verified or standard industry sources:

Performance (PV production)

NREL PVWatts — modeled annual and hourly AC output (kWh), solar radiation, and system losses for a standardized array size so cities can be compared fairly.

nrel.gov

Electricity rates (tariffs)

U.S. Energy Information Administration (EIA) — state-level average retail electricity prices ($/kWh) and supporting series for economic context.

eia.gov

Incentives & programs

DSIRE — state and local rebates, net metering, and policy programs (summarized for readability; always confirm eligibility with a tax or solar professional).

dsireusa.org

Federal tax credit (ITC)

Investment Tax Credit — federal residential solar credit (e.g. 30% of qualified costs where applicable); rules change with statute—verify with a qualified advisor.

energy.gov

Utilities & interconnection

Where shown, local utilities (e.g. APS, PG&E, FPL, and other IOUs or munis) are mapped from public interconnection, tariff, or service-territory references so net metering and rider rules match your area—not generic national averages.