ThePowerPayback
Northeast · Data reviewed July 2026

Solar savings & payback in New Jersey

New Jersey runs about 18¢/kWh with full retail net metering (1:1). Enter your bill for a payback estimate tuned to local rates and sun, no federal tax credit assumed (it expired at the end of 2025).

Avg electricity rate
18¢/kWh
Solar generation
~3.9 kWh/kW/day
Net metering
Full retail net metering (1:1)
Export credit
Full retail (1:1)

State incentive: SuSI program pays SREC-IIs for 15 years on top of net metering.

Slide, or type the exact amount from your last bill.

Exclude chimneys, shaded corners, and obstructions (~65 sq ft per kW).

Adjust assumptions (tariff & install cost)

Defaults are approximate averages for New Jersey. Get an installer quote to confirm your exact cost.

Net metering credits exported power against what you draw from the grid. Rates vary by state, California's NEM 3.0 pays much less for exports than 1:1 states.

How New Jersey compares to the US average

Three numbers decide most of your payback. Here's where New Jersey sits against the national picture.

Electricity rate

18¢/kWh

US average: 17¢/kWh

+6% vs US avg

Higher rates make every solar kWh worth more

Solar generation

~3.9 kWh/kW/day

US average: ~4.5 kWh/kW/day

-13% vs US avg

Less sun per panel than the US average

Typical payback

10.9 years

US average: 10.6 years

+3% vs US avg

Slower than the US average on a $150 bill

Solar cost & savings by system size in New Jersey

Computed with New Jersey's rate (18¢/kWh), sun (~3.9 kWh/kW/day), and full 1:1 net metering, at the 2026 national benchmark of ~$2.75/W with no federal credit.

System sizeInstalled costGeneration/moAnnual savingsPayback
4kW~$11,000~468 kWh~$1,011~10.9 yrs
6kW~$16,500~702 kWh~$1,516~10.9 yrs
8kW~$22,000~936 kWh~$2,022~10.9 yrs
10kW~$27,500~1,170 kWh~$2,527~10.9 yrs

Savings assume a home large enough to use this output. Figures last reviewed July 2026,size a system from your actual bill instead.

How exports are paid in New Jersey

Full retail 1:1 net metering with no statewide cap, one of the strongest policies in the US.

Policies change often, always confirm current rules with your utility or at DSIREbefore deciding.

New Jersey solar FAQs

Is solar worth it in New Jersey in 2026?

For a typical $150/month bill, we estimate a New Jersey system pays for itself in about 10.9 years, with no federal tax credit assumed (the residential credit expired at the end of 2025). At 18¢/kWh with full retail net metering (1:1), the case is workable but depends on your roof, usage pattern, and quotes.

How much does a solar system cost in New Jersey?

At 2026 benchmark prices (~$2.75/W), a 6kW system runs about $16,500 installed, generating roughly 702 kWh a month in New Jersey's sun. Local quotes vary 20-40% between installers, so always collect several.

What is the net metering policy in New Jersey?

Full retail 1:1 net metering with no statewide cap, one of the strongest policies in the US.

Does New Jersey have a state solar incentive?

SuSI program pays SREC-IIs for 15 years on top of net metering. Since the federal residential credit ended in 2025, state and utility incentives are the main upfront help available.

How many solar panels do I need in New Jersey?

A 7 kW system suits a typical $150/month bill in New Jersey, that's roughly 17 modern 425W panels needing about 455 sq ft of unshaded roof. Enter your own bill in the calculator above for a precise size.