Solar Companies in Arkansas

4.7 hrs/day

Peak Sun Hours

$0.11/kWh

Electricity Rate

$13,400

Avg. System Cost (6kW)

Arkansas has steadily improved its solar policy landscape, with mandatory net metering at full retail rates for residential systems up to 25 kW. The Natural State receives nearly 5 peak sun hours daily in its southern regions, providing decent solar production potential year-round.

Entergy Arkansas and the state's electric cooperatives are required to offer net metering under Act 827. Arkansas also exempts solar energy equipment from state sales tax, reducing upfront installation costs. While there is no state solar tax credit, the favorable net metering rules make solar increasingly attractive.

Little Rock, Fayetteville, and Fort Smith are emerging as the top residential solar markets. With electricity rates around $0.11/kWh and installation costs near $13,400 after the federal credit, Arkansas homeowners typically see payback periods of 11-14 years.

Solar Incentives in Arkansas

Federal ITC: 30% tax credit on total system cost (through 2032)

Net Metering: Full Retail

State Tax Credit: No state-level credit

Arkansas mandates net metering at full retail rates for systems up to 25 kW and exempts solar equipment from sales tax.

City-level data for Arkansas coming soon. Check back as we expand our directory.