Home Solar in Indiana:

Local installers, tax credits, and rebates.

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Indiana residents who experienced power outages in a span of ten years¹


Prices have fallen 54% over the last 10 years²


Average yearly savings for homeowner's who switch to solar³

Indiana Solar

Indiana, often recognized for its agricultural landscapes and diverse communities, is also becoming a notable player in the solar energy scene. With a growing interest in renewable resources and the need to diversify its energy mix, the state is beginning to tap into its solar potential.

While Indiana might not boast the same sun-drenched reputation as some southwestern states, it still receives a considerable amount of sunlight throughout the year. This solar potential has spurred the adoption of solar energy across the state, from residential rooftops to large-scale solar farms.

More homeowners are turning to solar panels as a means to lower energy bills and reduce reliance on traditional fossil fuels. Net metering policies enable homeowners to earn credits for excess energy generated by their solar systems, which can be used to offset future electricity costs. Additionally, Indiana's commitment to renewable energy is reflected in its Renewable Portfolio Standard, which requires utilities to source a percentage of their electricity from renewable sources, including solar.

Local incentives, federal tax credits, and innovative financing options further sweeten the deal for those considering solar installations.

If you're a resident of Indiana considering solar adoption, it's important to familiarize yourself with key solar programs. Let’s explore the benefits of home solar in Indiana and uncover the potential that lies in harnessing the sun's energy to power your home.

Incentive Programs, Tax Credits, and

Solar Rebates in Indiana

Federal ITC - 30%Solar PV systems installed in 2022 - 2032 are eligible for a 30% tax credit. The credit can only be claimed by on the original installation of the solar equipment located at a residence of yours. You must also purchase it using cash or financing, but you're not leasing the system or paying a solar company for the electricity produced by the system.
Instant Rebate from EnergyPalEnergyPal secures group discounts by leveraging the depth of our network. We pass these savings onto homeowners every day!
Sales tax exemptionUnder this Indiana rule, you don't have to pay sales taxes on many system components, including panels, inverters and mounting equipment.
NIPSCO Feed-In TariffThe utility company NIPSCO pays feed-in tariffs to owners of solar systems between 3 kilowatts and 1 megawatt of capacity. NIPSCO provides a bill credit based on the surplus energy you send to the power grid. The difference between a feed-in tariff and net metering is that feed-in tariffs aren't tied to the rate you pay for electricity. You must complete an application form on the utility's website to receive the tariffs.
Solar easements and rights lawsUnder Indiana's solar easement and rights laws, you can voluntarily enter a solar easement contract with your neighbors to ensure your solar panels have access to sunlight. The law stops zoning and planning authorities from restricting or banning the use of solar on your property.

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Other Solar Energy Incentives

The US federal government helps residents and businesses pay for their solar systems. The federal investment tax credit (ITC) allows for a tax deduction of 30% of the cost of a solar system currently. Tax credits can be rolled over if you can’t use the whole credit this year. The ITC cannot be claimed for solar leases or power purchase agreements (PPAs) where the third party financier takes the credits themselves, but that is typically baked into a reduced lease/PPA monthly for you.

If you purchased a $20,000 system, your savings from the federal tax credit would look like this:

$20,000 X 0.30 = $6,000 savings

Home Solar Financing in Indiana

There are three pathways to powering your home with solar energy in Indiana: purchasing the solar system outright, obtaining a loan for its financing, or opting for a leasing program. Solar systems can be financed by bank loans, solar installer financing, new home mortgages, energy loans and home equity loans or lines of credit. Cash works too. Regardless of your choice, solar panels can reduce your home energy expenses, contributing to financial savings and a cleaner power supply. Our Energy Advisors can guide you to the best solar deals in Indiana. Here's a comparison:

Solar Purchase

  • Optimal Return-On-Investment
  • Potential Reduction of Bills to near $0
  • Enhances Property Value

Outright Solar Purchase: Homeowners with a stronger financial position often cover the full cost of solar upfront, yielding the highest return-on-investment over the system's lifespan. By paying in cash, homeowners in Indiana can claim tax credits and rebates, avoid interest charges, and directly enjoy the savings on their electricity bills. Some of our customers experience virtually no electricity expenses from the moment they install solar. We offer top-tier products at attractive cash prices.

Solar Loan

  • No Initial Expenses
  • Ownership of the System
  • Appreciates Property Value

Solar Loan Financing: Utilizing a solar loan enables you to save and own your solar system, as our financiers cover the upfront expenses (similar to an auto loan). Homes equipped with solar systems command higher value due to their lower operational costs. Depending on the chosen solar loan, you can achieve greater monthly savings or complete your financing earlier. Our team will help you secure the most favorable rates and terms to match your requirements. To learn about our latest offerings, connect with us

Solar Lease

  • No Initial Investment Required
  • Complete Maintenance Coverage
  • Lower Monthly Payments
  • Guaranteed Rates

Solar Leasing: Leasing solar panels provides an accessible and cost-effective path to solar adoption. With zero upfront costs—often referred to as “$0 down solar financing“—installation and maintenance are entirely managed, and your home benefits from the energy generated by the solar panels. You pay a consistent monthly fee and save compared to your existing electricity bill. The reduced electricity rate are what many homeowners like about this option.

Talk to your EnergyPal Advisor about financing solar options in Indiana. We regularly source the best deals and terms for our customers. Let us guide you through the finance and application process from A-Z.

Find The Best Deals On Home Solar In Indiana

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Frequently Asked Questions

Is it worth going solar in Indiana?

In most cases, yes, solar will save you a significant amount of money. Solar panels produce electricity and reduce how much power you have to purchase from your electric company. The typical homeowner in Indiana pays around 15.12¢ cents per Kilowatthour.

What is the payback period for solar panels in Indiana?

Homeowners who install a solar array sized to meet 100 percent of their energy needs can still pay off the upfront cost in as little as 5-6 years. The typical payback period in Indiana averages 6.7 years.

How much are solar panels in Indiana?

As of August 2023, the average solar panel cost in Indiana is $3.63/W. Given a solar panel system size of 6 kilowatts (kW), an average solar installation in Indiana is $15,246 with 30% tax credit applied.

What incentives are available for solar in Indiana?

Solar installations in Indiana are eligible for the 30% solar tax credit. Connect with us to learn more about all the local Indiana incentives, tax credits & rebates you qualify for.




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