The 5 Best Solar Companies in California (2024 Guide)
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California is one of the country’s most solar-friendly states. It’s working toward a goal of running on 100% renewable energy by 2045, and it usually leads the United States in solar capacity—generating enough to power more than 5.8 million typical homes in 2022.
If you’re considering making the switch to solar power, we spent more than 770 hours researching leading installers to help you find the best solar company for your needs in California. We recommend Sunrun Solar if you want a seamless installation process.
Key Takeaways
- The best solar company in California is SunRun. Our findings are based on a synthesis of user reviews, expert interviews, and a survey of 1,000 homeowners.
- California provides a property tax exemption for residential solar systems. Solar owners in California enjoy increased property values without an associated tax increase.
- The average cost of a 8kW-h solar system in California is $21,924 before incentives are applied. Typically, incentives reduce this to around $15,347.
Compare Solar Companies Across California
We compared solar companies in California using our rating methodology to determine which provides the best all-around services and products. Sunrun scored near the top due to their solar panel selections, additional service options, and positive reputations across review sites such as the Better Business Bureau (BBB).
| Company | Star Rating | Warranties | Payment Options | Link |
|---|---|---|---|---|
| 10–25 years | Full purchase, loan, lease, PPA | GET QUOTE | ||
| 25–30 years | Full purchase, loan, lease, PPA | GET QUOTE | ||
| 25 years | Full purchase, loan, lease, PPA | GET QUOTE | ||
| 25 years | Full purchase, loan, lease, PPA | GET QUOTE | ||
| 10-25 years | Full purchase, loan | GET QUOTE |
What Should You Know About Going Solar in CA?
Going solar in California requires understanding how much you may pay for a system, what solar incentives you can access, and what payment options are available. You should also know what warranties to look out for and be familiar with some industry jargon so you don’t get scammed.
How much does a solar panel system cost in California?
The average cost of a standard 5-kilowatt (kW) solar panel system in California is around $13,703.* Your system’s cost varies based on several factors, including its size, where the company installs it on or around your home, installation complexity, and the solar panel type. Changes in a company’s technology will also affect the price, as will your region.
*Cost data via EnergySage
What solar incentives are available in California?
California offers one of the most extensive selections of solar tax incentives and rebates. All homeowners can use the federal government’s 30% solar investment tax credit. Other incentives include rebates for solar battery installation and financial assistance for low-income households. California also offers a net energy metering program (NEM), which provides credits for excess electricity sent back to the grid.
A quality solar company should assist you with finding and applying for solar incentives.
What solar energy terms should you know?
You may hear unfamiliar words when speaking with California solar installers. Here are some key terms and what they mean:
- Active monitoring: Active monitoring involves real-time tracking and analysis of various performance metrics, such as electricity production, system health, and environmental conditions. This continuous monitoring allows you and your solar provider to detect issues promptly, optimize system efficiency, and proactively maintain your system to ensure it’s operating reliably and optimally.
- Inverter: This component converts the direct current (DC) power your solar system receives from the sun into the alternating current (AC) power that runs your home.
- Solar panel efficiency rating: This is the percentage of sunlight that solar panels convert into usable electricity. The higher the efficiency rating, the better the energy production. It’s not possible for solar energy systems to operate at 100% efficiency. Most have efficiency rates between 15% and 22%.
- Solar battery backup: A solar battery stores excess energy generated by solar panels, enabling you to power your home when the sun isn’t shining, such as at night or during power outages. This product allows for greater energy independence and resilience against grid failures.
How do you pay for solar panels?
Various solar financing options exist to fit different budgets and financial goals. Many companies offer two or more payment choices. A full purchase or loan is typically the most cost-effective option. Solar leasing may be a good fit for you, but this is highly situational. We recommend a full purchase or loan because these options yield more benefits than leasing.
Here is a list of the most common payment options:
- Full purchase: A full cash purchase gives you system ownership, qualifying you for all tax incentives and rebates.
- Solar loan: This option requires smaller monthly payments for a set time frame and grants you full ownership. However, you’ll pay more over time due to interest rates.
- Solar lease: You can lease your system from a solar provider and make monthly payments for its use. Check out our guide on this option to decide if a solar lease is worth it for you.
- Power purchase agreement (PPA): The solar company retains system ownership and only charges you for the solar energy you use each month. We generally don’t recommend this option because it may disqualify you from incentives and other benefits, such as increased home value.
What warranties come with solar panels?
Top solar companies offer 25-year warranties in most cases, but some limit their workmanship warranty to 10 years. We recommend finding a company that provides 25-year warranties for coverage throughout your system’s lifetime.
Here are the three most common warranties and what they cover:
- Manufacturer’s warranty (or product warranty): Protects the individual solar system components in case of defects.
- Workmanship warranty: Covers installation in case of poor workmanship or faulty installation materials.
- Performance (or power production) guarantee: Certifies the solar system’s output as outlined in your contract.
California’s Top Solar Energy Companies
The following companies provide some of the best solar installation services in the Golden State according to our 100-point scale, including solar battery backup services and comprehensive warranty coverage.
Our Top Solar Company Picks
Solar Energy World
Best East Coast Installer
Momentum
Best Installation Process
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.
What Is the Cost of Solar Panel Installation in California?
Our research shows that California’s average solar panel system costs around $16,443 for a standard 6 kW system. This aligns with our survey of solar buyers, in which 43% of solar buyers noted paying between $10,000 and $20,000 for their solar setup. Several factors affect your total solar panel installation cost, including the following:
- Household electrical demand: This is the monthly electricity your household uses. You’ll need a larger, more expensive system to match your needs if you have high monthly energy consumption.
- Labor: Labor costs vary by location and are more expensive in states with higher living costs, such as California. All solar providers also charge different prices.
- Panel quality: The equipment you choose greatly impacts both your electricity production and overall cost. More expensive equipment doesn’t always mean higher savings, while the cheapest option can sacrifice value.
- Purchasing option: You can pay in one lump sum, take out a loan or lease, or enter a PPA. Each option affects how much you’ll spend in the short and long term.
- System and panel size: Your panels and overall system size are the most influential factors in your installation cost. The bigger the system, the higher the price tag.
Get a better idea of what going solar in California might cost you with our table below. Cheaper solar panels are available for homeowners looking to go solar on a budget.
| Cost per Watt* | Cost per System Size | Cost After Incentives |
|---|---|---|
| $2.74 | $13,703 for 5 kW | $9,592 |
| $2.74 | $16,443 for 6 kW | $11,510 |
| $2.74 | $19,184 for 7 kW | $13,429 |
| $2.74 | $21,924 for 8 kW | $15,347 |
What To Know About Local Solar Installers in California
The well-known and reputable companies listed above are great options, but smaller, local solar installers are also worth considering. These local operators often provide a more personalized experience and can customize their services to meet your specific location’s unique needs and characteristics.
Local solar companies deeply understand the regional climate, building codes, and regulations, which can be beneficial when designing and installing a solar system tailored to your area’s specific needs. They’re usually more involved in the community, which can lead to better customer service and a stronger commitment to maintaining a good reputation in their area. Some local installers may offer more flexibility in customizing your solar system with different panel brands, inverters, and other components, as strict corporate guidelines do not limit them.
Southern California homeowners can consider Sullivan Solar Power near San Diego or AWS Solar in Los Angeles, as well as other smaller, local solar installers. SolarCraft and Byers Solar are also excellent choices for Northern California residents.
Smaller local operators in your region may provide a more tailored and community-focused solar installation experience. Ultimately, it’s advisable to research and obtain quotes from multiple installers, both larger and smaller local companies, to compare their offerings, pricing, and customer reviews. This will help ensure you find the solar installer that best aligns with your needs, preferences, and desired level of personalized service.
What Solar Incentives Are Available in California?
The Golden State is aiming to generate 100% clean energy by 2045, and California officials have spent several years pushing for solar conversion. The state provides several solar incentives, credits, and rebates to help offset solar system costs, making going solar more affordable.
All California residents qualify for the federal tax credit, which offers 30% off photovoltaic (PV) panels and stand-alone solar batteries. Note that the federal tax credit is not a rebate or cash payment. Instead, it’s applied to your owed federal tax liability. At tax time, this credit helps reduce or eliminate any owed taxes.
We’ve highlighted some of the biggest incentives below, but we encourage you to read our in-depth guide to California solar incentives for more information.
Active Solar Energy System Property Tax Exemption
This exemption allows you to benefit from the increased home value solar panels provide without increasing your property tax.
Disadvantaged Communities – Single-Family Solar Homes (DAC-SASH)
This program provides affordable solar system installations to California’s low-income homeowners. You must meet income requirements and be a current customer of Pacific Gas and Electric (PG&E), San Diego Gas and Electric (SDG&E), or Southern California Edison (SCE).
Self-Generation Incentive Program (SGIP)
This program provides up-front rebates for adding a solar battery to your system. The SGIP offers $200 per kilowatt-hour (kWh) of stored energy capacity. For example, you would earn about $2,700 for installing a Tesla Powerwall, one of our top solar battery choices, thanks to its 13.5-kWh energy capacity. Though you will also want to consider the up front cost of the Powerwall.
Equity Resilience Rebate Program
This rebate program offers up to $1,000 per kWh to low-income households, homeowners in high-risk fire areas, and those who have experienced two or more Public Safety Power Shutoff (PSPS) events.
Local incentives and rebates
Additional incentives and rebates are available to residents in certain counties, cities, and municipalities. Some utility customers may receive special rebates for solar panel and battery storage installations.
Check the Database of State Incentives for Renewables and Efficiency (DSIRE) for a complete list of local incentives.
Are There Solar Regulations in California?
California imposes a few regulations for residential solar energy systems. Various new regulations and building codes instituted in 2023 may influence your solar journey. Here’s a breakdown of key solar regulations in California:
- 2020 Solar Mandate: This is part of the California Energy Commission’s Building Energy Efficiency Standards, a mandate that requires all newly built homes to install solar photovoltaic systems. These requirements focus on the home’s floor area and the climate zone. The solar panel systems must be sized to provide full annual energy usage to the home, typically between 2.7 and 5.7 kilowatts. These system sizes take into consideration that new homes will include other energy-efficient technology. The exceptions to this mandate are if a home’s roof is too small for solar panels, the home gets too much shade, or it already has access to community solar.
- 2022 Solar PV, Solar Ready, Battery, and Electric Ready Energy Code: This code is also part of the Building Energy Efficiency Standards and requires all single-family homes to be electric-ready, meaning new homes must be built using electric systems rather than other energy types, such as gas. It will include installation guidance for professional solar battery installers. The battery portion of the mandate currently only applies to select businesses, but it’s a good indication of where future code updates may go. Tristan Cronshaw, product manager for Geneverse, shared with us how crucial solar batteries are becoming in California due to this new legislation, “Homeowners should understand that investing in a battery backup system not only enhances their energy independence but also provides greater control over their electricity usage and savings. It also better prepares them for potential grid disruptions or outages, offering peace of mind and resilience in the face of unforeseen circumstances.”
- NEM3: NEM3 is shorthand for the third version of the state’s net energy metering program. Solar users who got their solar before NEM3 are referred to as NEM1 or NEM2, depending on the year their solar turned on. Solar users under NEM3 will earn 75%–80% less from the utility for the extra solar energy they share with the grid. Compensation for that extra energy will go from an average of 30 cents per kWh to around 5 cents per kWh. These changes will extend the payback period for a solar investment from an average of six years to more than 10 years.
What Should You Look For in a California Solar Company?
Consider the following factors when comparing potential California installers.
- Availability: Different companies offer varying coverage areas. A company might list full state coverage but only service a few specific cities. Verify the coverage area for any potential companies and ensure they include your city or ZIP code. Also, check with the company about its installer’s locations to ensure they offer local services.
- Customer reviews: We recommend checking online reviews from trusted review sites such as the Better Business Bureau, TrustPilot, and Google Reviews. Check both positive and negative reviews to best gauge current and former customer experiences. Review details concerning customer support, panel quality, installation, repairs, and warranty claims. Good customer reviews was the top reason our survey respondents chose the solar brand they did.
- Financing options: Up-front payments and solar loans offer the best return on investment and the shortest solar payback period. Therefore, we recommend considering companies that offer you the ability to pay for your system in full or take out a loan. These financing options also qualify you for federal and state solar incentives. Solar leases and PPAs offer the least financial advantages since the panels remain under the solar company’s name. A solar lease often leads to some challenges with an installer, too. Robin Saidov, owner of Your Energy Footprint, shared with us that a company aggressively pushing for leasing is a red flag. She also mentioned that maintenance plans are often unnecessary: “Solar panels are very low maintenance and shouldn’t require any ‘periodic maintenance’ like washing that a salesperson might reference. Rain is almost always sufficient to clean the panels, even in the desert.”
- Solar brands: Solar brand availability varies among installers. Some companies offer several name-brand solar products, while others limit their offerings to in-house. You’ll want excellent solar panels to take advantage of California’s 258 sunny days yearly. Top-quality residential solar panels offer the best power production and energy savings potential. Compare solar installer catalogs to find the right panel for your needs and budget.
- Warranty: We recommend investing in solar companies with 25-year equipment warranties. Solar panels last 25 years on average, ensuring coverage throughout their lifetime. Look for companies offering 25-year manufacturer (or product) and workmanship coverage. Some companies also provide power performance warranties that guarantee panel performance for a set time frame. This ensures your panels remain in excellent performance for your entire warranty.
- Years of experience: Professional installers we spoke to recommend working with companies that have at least 10 years of solar industry experience. You should also consider companies with extensive business experience, even if they’re new to solar. Established companies often buy existing solar companies to enter the industry. A proven track record of reliability and longevity provides peace of mind for the future.
Questions To Ask Your Solar Installer
You’ll likely meet with company representatives to discuss your potential solar system after requesting quotes. We’ve compiled a list of questions to ask your potential installer to help you prepare for those meetings.
- Are you a NABCEP-certified installer or work with certificated installers? Do you have or work with master electricians?
- Do you assist with solar tax incentive research and applications?
- Do you have examples of local solar projects and reviews from your current customers?
- Does your company use in-house installers or third-party contractors?
- What additional solar services do you offer? What’s included in my contract? What services do you offer at cost?
- What financing options do you offer? Do you offer financing directly through your company or specific lenders?
- What is my estimated solar savings and solar payback period?
- What is the condition of my roof? Will I need additional repairs or upgrades completed before installing solar panels? What about additional services such as tree removal or electrical upgrades?
- What official licenses and insurance do you have? What about your subcontractors?
- What warranties come with my panels? What additional guarantees are included for roof leaks, panel performance, or other solar-related coverage?
How Can You Save Money on Solar?
Our research shows that Californians pay around $2.73 per watt for a solar panel system, higher than the $2.66 national average. Despite the slightly higher up-front cost, you can save money on solar in California with the following tips.
- Choose the right financing options: Review each company’s solar financing options. This includes the financing terms, initial payments, interest rates, and lender choices. Select the most cost-effective option for your budget, but we recommend considering a full purchase and solar loan over leasing or a PPA. These options yield higher long-term savings.
- Compare solar equipment: Review each solar installer’s quote for equipment details, such as the number of panels required for installation and any extra solar components. Compare your options and select the best panels for your energy needs. Investing in high-efficiency panels is ideal, but you don’t need that much power production if your home energy needs are low.
- Get multiple quotes: We recommended getting quotes from at least three providers. Your quotes should include potential savings estimates, solar equipment, your estimated payback period, and warranty coverage.
- Take advantage of solar incentives: Use federal and state solar incentives to help reduce investment costs. We discovered that some programs in California require lengthy paperwork and approvals, so take your time to read all qualifications and make a note of any deadlines. Approximately 75% of our survey takers took advantage of solar incentives to save money.
What Should You Expect During a Solar Installation?
The solar installation process requires several steps and involves your solar company, local officials, and utility company. Here are the general steps to expect.
- Consultation: You meet with a company representative to discuss your savings potential and energy needs. Many companies offer in-person and virtual consultations. You need a recent copy of your electricity bill to help with this estimate.
- Site survey: The sales rep inspects your roof for any structural issues and design complications. They determine your overall roof space and plan your system based on spatial availability. The rep may advise you of any structural concerns and recommend roof repair or upgrades as needed. They may also advise of additional services such as tree removal or electrical upgrades.
- Design and permitting: Company reps design your panel based on the site survey and initial energy assessment. You then choose your panels, system components, and any additional equipment. Finally, you receive a detailed quote to review before signing a contract. Once signed, the company begins filing necessary paperwork and design plans with local officials. The permitting process varies but could take two to four weeks.
- Installation day: Installers arrive with panels, wiring, racking systems, add-on components, and any other necessary equipment. Nearly a third of our survey takers said installation took just one day. The solar company should provide timely updates for any delays in installation.
- Final system inspection: Your installer works with local officials for a final inspection. Solar installations must meet local codes and design plans to qualify for activation. This process could add two to four weeks, depending on your solar company and local officials’ availability.
- System activation: Your installer coordinates grid connections and final approvals with your local utility company. Your system is granted permission to operate and is ready for use once it receives all approvals.
Our Conclusion
Sunrun is an excellent option if leasing matches your budgeting needs and energy goals.
We suggest getting quotes from at least three providers. You should also consider a few key factors, such as your home’s amount of direct daily sunlight, your roof’s layout, slope, and direction, and your average monthly electricity usage, before contacting solar contractors. Ask for local references and check online reviews for each installer.
FAQ About Solar Companies in CA
Can a homeowners association (HOA) in California prohibit solar panel installation?
No. The California Solar Rights Act prevents HOAs from limiting your ability to install solar panels on your property. However, HOAs may still maintain some oversight as to how and when your system is installed. For example, HOA rules might require the approval of solar system plans before the installation process can begin.
Is California paying people to go solar?
California is not directly paying people to go solar, but it is incentivizing it. The California Public Utilities Commission says that eligible customers can receive up to $3 per watt in incentives for solar installations, and you may also receive a rebate through the SGIP for installing a solar battery in addition to solar panels. You’re not necessarily paid for these installations, but you receive some financial compensation to lessen the total cost.
Is solar worth it in California?
Solar energy is worth it in California for several reasons. California has some of the country’s highest electricity costs. A solar panel system takes advantage of the state’s abundant sunlight, making clean energy a long-term, cost-effective solution for energy bill reduction. Additionally, California offers several government incentives and rebates to help combat greenhouse gas emissions, making solar energy an excellent option for environmentally conscious California homeowners.
Do solar panels increase property taxes in California?
No, solar panel installation doesn’t increase property taxes for California homes. According to Section 73 of the state’s revenue and taxation code, qualifying solar installations receive a property tax exclusion.
Our Methodology and Solar Research Process
We are committed to providing comprehensive and unbiased reviews to our readers. We’ve researched solar companies for hundreds of hours, including deep-diving into each provider’s website. We obtained warranty information through their websites or by calling and interviewing customer service representatives. We analyzed warranties and weighed their coverage with industry standards. We also examined each provider’s product selection specifications to determine if they can disclose any partnerships or information on their products.
We ensured each provider followed the steps most solar installation companies should provide, such as in-home estimates and permitting, to offer quality solar panel installation. We also checked to see if the companies are certified with the NABCEP or if they partner with local, third-party contractors. We analyzed recent customer reviews through popular review sites such as the BBB and Google Reviews to gain further insight into what it’s like to interact with each provider’s customer support staff and installers. We then synthesized this information to add to your rating scale.
We cross-checked all of our findings through surveys with thousands of residential solar energy customers and interviews with experts in the industry. We also had another industry expert fact-check our articles. We then 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.
