3 Best Solar Companies in Alaska (2024 Guide)
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Alaska has the second-highest electricity rate in the nation, behind Hawaii. According to the United States Energy Information Administration (EIA), Alaska homeowners paid 23 cents per kilowatt-hour (kWh) in March 2023—well above the national average of 15 cents. Moving to solar energy can reduce energy spending, offering residents better long-term savings.
Our team spent 60 hours reviewing the highest regarded solar installers in the state, plus regional and national providers. We found the best solar companies in Alaska and included tips on choosing the right one for your home.
Compare Solar Energy Companies in Alaska
Alaska’s Top Solar Energy Companies
- Best B Corp Alaska Installer: Arctic Solar Ventures
- Best Local Alaska Installer: Renewable Energy Systems of Alaska
- Best Solar Tech: Tesla
Our Top Picks for Solar Panel Installation in Alaska
Tesla Solar
Best Solar Tech
Learn more: Tesla Solar Panels Review
Note: In July 2024, SunPower notified dealers it would be halting all new shipments and project installations. The company also noted it would “no longer be supporting new Leases and PPA sales nor new project installations of these financing options.
Are There Solar Incentives for Alaskan Homeowners?
Unfortunately, Alaska offers no state-level tax credits or rebates for homeowners. Instead, homeowners receive solar installation cost savings with the federal tax credit. You receive up to 30% off solar system costs that will apply to your federal tax liability. All Alaskan residents can apply for the federal tax credit but must own their solar energy system to quality.
The Property Tax Exemption for Renewable Energy Systems incentive eliminates additional taxation for solar projects. Typically, solar panels boost home value but also raise your property tax. With this property tax exemption, you benefit from improved home value without paying more at tax time.
With Alaska’s net-metering program, homeowners save on future electric bills by returning excess energy to the power grid. The Regulatory Commission of Alaska (RCA) mandates that all utility companies offer net metering and payouts at the retail rate. This means homeowners receive a payout at the same rate utility companies typically charge for electricity. Earned credits remain on your account and help offset future energy costs when you pull from your grid-tied power. Homeowners should check with their utility company for program details and applications.
Some utility companies offer customers additional solar rebates and credits. The Golden Valley Electric Association’s (GVEA) Sustainable Natural Alternative Power program (SNAP) offers a $1.50-per-kWh credit for power generated by your solar system. Under the Alaska Power and Telephone (AP&T) AMP-UP Program, customers receive up to a $1,000 rebate for adding an electric vehicle (EV) charger. Another EV charger program, the Chugach Electric EV Charger Incentive, provides a $200 rebate for installing a home level-2 EV charger.
Visit the Database of State Incentives for Renewables and Efficiency for an up-to-date list of incentives in your local area.
What Should You Look For in a Solar Company?
While shopping for solar panel installation companies, consider the following features and benefits to make the selection process easier.
Solar Services
Many solar companies offer either in-house or third-party installers for their solar projects. In-house installers work directly for the company, providing a more efficient and reliable installation process. With third-party installers, installation quality can vary between locations.
Additional solar services may include monitoring apps that track solar energy system performance and health. Some providers also offer energy efficiency and home services. Below are examples of solar and home services offered by solar providers.
- Dedicated mobile app or web portal
- Electrical or roofing services
- Energy efficiency audits and upgrades
- Home energy monitoring
- Panel removal and reinstallation services
- Smart home device installation
- Solar system monitoring
Warranties
Look for long-term warranty coverage for your renewable energy system. Most solar panels last around 25 years, so consider companies that offer coverage that matches this average life span. Solar installers typically offer the following warranty plans:
- Manufacturer’s (or product) warranty: The coverage protects against any manufacturing defects or issues.
- Workmanship (or labor) warranty: This plan covers issues from poor system installation.
- Power performance guarantee: This coverage guarantees your panels’ performance throughout their warranty. It outlines expected performance levels and details any replacement or repair options if panels fall below expected levels.
We learned that coverage varies between solar providers and may include one or all warranty options. You’ll find that high-quality solar panels have better warranty plans than more affordable solar options. Our recommended cheap solar providers may make up for the weaker warranty with their lower up front prices.
Payment Options
Providers offer several financing options for their solar products. Some options, such as cash payments and solar loans, make you the legal solar power system owner, qualifying you for additional solar incentive savings. Here’s a brief overview of the typical solar financing options:
- Up-front (or cash) payments: You pay the total up-front installation costs for your solar system.
- Solar loans: Homeowners make long-term payments with fixed interest rates for a specific timeframe.
- Solar leases: You pay little to no money down and then make monthly payments to rent your solar system from the provider.
- Power purchase agreements (PPAs): You pay for your solar energy only, not the system, and keep system ownership with the provider.
We recommend choosing cash payments or solar loans to gain the best overall savings and return on investment (ROI). Solar leases and PPAs only benefit customers uninterested in solar system ownership.
Customer Support
Check each solar provider’s website for its customer support team’s hours of operation and contact methods. We recommend choosing a company with several contact methods. Contact options include phone, email, online forms, text messages, and online chats. Some companies provide direct tech support through a mobile app. Review online customer reviews for mentions of poor customer service, such as unanswered calls, unfriendly staff, or delayed responses.
How To Get a Solar Quote in Alaska
You should request solar quotes from multiple companies to compare their solar energy solutions. Below, we’ve outlined the typical quote process to help you in your search.
- Contact each solar provider: Visit the company’s website and use their provided methods to start the quote process. Many installers offer forms, emails, phone numbers, or online calculators.
- Schedule a consultation: Select a virtual or in-person consultation with a company rep. We recommend setting aside at least two hours for your appointment.
- Find your latest energy bill: Solar companies use your utility bills to determine your energy needs and appropriate system size. Although some companies only need the latest bill, others may request multiple energy bills to analyze your use over a longer period.
- Check your available roof space: Solar installers check your roof design with a virtual or in-person assessment. Since some types of solar panels require ample roof space, this assessment plays an essential role in your final system design. The rep will also check for any chimneys, skylights, or shading that may reduce solar panel performance.
- Create your system: Based on these assessments, your provider will start designing your solar system. You can select your solar panels, components, available inverter brands, and add-on upgrades such as solar batteries.
- Review your finalized quote: Your final itemized quote will include full details on solar equipment, installation costs, warranty coverage, and labor fees. You’ll also receive details on your financing option and estimated solar payback period. Compare each quote to find the best deal.
Our Conclusion
Artic Solar Ventures stands out as the best solar installer in Alaska thanks to its three-panel configuration. Alternatively, Tesla Solar can be a good option for their variety of solar roofing options and transparent pricing, so you can feel confident that you know what you’re going to pay for their solar systems.
We recommend requesting free quotes from at least three solar installers and comparing their solar products, services, and warranty coverage.
Other Alaska Home Service Resources
FAQ About Solar Companies in AK
Is solar worth it in Alaska?
Yes, solar is worth the investment in Alaska thanks to its growing solar market and higher-than-average electricity rates. The state has plans to move to 80% clean energy electricity use by 2040. Moving to solar would help reduce energy costs for homeowners and offset the state’s high rates.
How many solar companies are there in Alaska?
There are seven solar installers in Alaska, according to the Solar Energy Industries Association (SEIA).
What are the solar incentives in Alaska?
Unfortunately, Alaska offers no statewide solar tax credits or rebates to help lower installation costs. However, residents can apply for the federal solar tax credit to receive up to 30% off total system costs.
Do solar panels work in Alaska winters?
Yes, solar panels will work even in freezing temperatures. In fact, panel performance improves in colder climates, according to the Department of Energy. However, panel performance will decline as peak sunlight reduces during winter.
Our Rating Methodology
We are committed to providing comprehensive and unbiased reviews to our readers. After over a thousand hours of research on solar companies, interviews with experts, and common customer needs, we’ve created a detailed rating system for solar providers based on six factors:
- Solar equipment, installation, and services (25%)
- Warranty and performance guarantees (25%)
- Brand reputation and certifications (15%)
- Financing options (15%)
- Experience (10%)
- Availability (10%)
Total scores are divided by 20 for a final 5-point rating scale.
To share feedback or ask a question about this article, send a note to our Reviews team at reviews@thisoldhousereviews.com.