Solar Panel Cost in Nashville, TN
Updated 2026 guide to solar panel prices, savings, and payback period in Nashville.
Estimated Solar Savings
Solar Panel System Costs in Nashville, TN
Below are estimated costs for different solar panel system sizes in Nashville, including the 30% federal solar tax credit.
| System Size | Cost Before Incentives | Federal Tax Credit (30%) | Net Cost | Est. Annual Production |
|---|---|---|---|---|
| 4 kW | $11,400 | -$3,420 | $7,980 | 6,278 kWh |
| 6 kWMost Popular | $17,100 | -$5,130 | $11,970 | 9,417 kWh |
| 8 kW | $22,800 | -$6,840 | $15,960 | 12,556 kWh |
| 10 kW | $28,500 | -$8,550 | $19,950 | 15,695 kWh |
| 12 kW | $34,200 | -$10,260 | $23,940 | 18,834 kWh |
What Affects Solar Panel Cost in Nashville?
The average cost of solar panels in Nashville, TN is approximately $285/watt before incentives. For a typical 6kW residential system, that means a total cost of about $17,100 before the federal tax credit.
After applying the 30% federal Investment Tax Credit (ITC), your net cost drops to approximately $11,970.Nashville homeowners typically see a payback period of 9 years and save an estimated $26,000 over 25 years.
Factors that affect your cost in Nashville:
- System size: Larger systems cost more but have a lower cost per watt
- Equipment quality: Premium panels and inverters cost more but offer better efficiency
- Roof complexity: Steep roofs, multiple levels, or shading can increase installation costs
- Local labor rates: Installation costs vary within the Nashville metro area
- Local permits: Permitting costs and requirements vary by municipality in Nashville
- Incentives: State and local programs can significantly reduce your out-of-pocket cost
Solar Incentives Available in Nashville
Federal Solar Investment Tax Credit
30% Federal Tax Credit (ITC)
Tennessee homeowners can claim the 30% federal solar Investment Tax Credit to reduce installation costs.
State & Local Incentives
TVA Green Power Providers
RebateThe Tennessee Valley Authority's Green Power Providers program offers credits for solar energy contributed to the grid.
Sales Tax Exemption
Sales TaxTennessee does not charge sales tax on residential solar energy equipment.
Net Metering
Tennessee does not have a traditional net metering policy. TVA and local power companies offer programs like Green Power Providers, but terms differ from standard net metering.
Not AvailableSRECs
Tennessee does not have an SREC market. The TVA system operates differently from states with restructured electricity markets.
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Solar Panel Cost FAQ - Nashville, TN
The average cost of solar panels in Nashville is approximately $2.85 per watt before incentives. A typical 6kW residential system costs about $17,100 before the 30% federal tax credit, bringing the net cost to around $11,970.
The typical payback period for solar panels in Nashville is approximately 9 years. After that, you'll enjoy free electricity for the remaining 15-20+ years of your system's life, saving an estimated $26,000 over 25 years.
Nashville homeowners can take advantage of the 30% federal solar tax credit, which reduces your system cost by 30%. Tennessee also offers and various state-level incentive programs. Check our incentives page for the complete list.
Nashville homeowners can save an estimated $26,000 over 25 years by going solar. Actual savings depend on your electricity usage, system size, roof orientation, and available incentives. With electricity rates averaging $0.11/kWh in Tennessee, solar provides significant long-term savings.
Solar Costs in Other Tennessee Cities
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