Solar panels in Phoenix, Arizona: output, savings and payback
Solar panels in Phoenix produce about 1,788 kWh a year for each kW installed, 18% more than the average of the 400 US cities in our data (1,517 kWh). Among the 15 Arizona cities we cover, it ranks 9th of 15 for solar output, against an average there of 1,802 kWh.
Arizona’s average residential electricity price for January to August 2026 was 15.36¢ per kWh, 2.83¢ below the US average of 18.19¢, according to the Energy Information Administration.
For a home using the US average of 899 kWh a month, a 6.0 kW system would cover a year’s use and save about $1,657 in its first year, or $56,491 over 25 years. With the average sunshine of the 400 US cities in our data, the same home would need a 7.1 kW system. Because Phoenix gets more sun, it needs 15% less capacity to cover the same use, so at any price per watt the system costs 15% less and pays for itself sooner.
There is no verified US installed-price figure yet, so add the price per watt from your installer’s quote in the calculator below to see the payback period for Phoenix.
A typical home in Phoenix
- System size
- 6.0 kW
- Sized to cover 10,788 kWh a year
- First-year generation
- 10,788 kWh
- First-year savings
- $1,657
- At 15.36¢ per kWh
- Savings over 25 years
- $56,491
- Prices rising 3% a year
- Payback
- Needs your quote
- No verified US installed price yet: enter yours below
Assumes all the electricity the panels make is used at home, up to the home’s yearly use, and that panel output falls 0.5% a year. Power sent to the grid is counted at zero.
How Phoenix compares
| Phoenix | Arizona average | US average | |
|---|---|---|---|
| Solar output, kWh per kW a year | 1,788 | 1,802 | 1,517 |
| Electricity price per kWh | 15.36¢ | 15.36¢ | 18.19¢ |
| System size for a typical home | 6.0 kW | 6.0 kW | 7.1 kW |
| First-year savings | $1,657 | $1,657 | $1,962 |
Averages are of the 15 places in Arizona and the 400 US cities in our data, unweighted. The US column uses the US average price as well as the average sunshine.
Your home in Phoenix
All amounts in US dollars.
Results
Payback period
Add your installer’s quoted price to see payback
- First-year savings
- $1,657
- Savings over 25 years
- $56,491
- System size
- 6.0 kW
- Sized to cover your yearly use
- First-year generation
- 10,788 kWh
Year-by-year table
| Year | Generation (kWh) | Price per kWh | Saved that year | Saved so far |
|---|---|---|---|---|
| 1 | 10,788 | $0.154 | $1,657 | $1,657 |
| 2 | 10,734 | $0.158 | $1,698 | $3,355 |
| 3 | 10,680 | $0.163 | $1,740 | $5,096 |
| 4 | 10,627 | $0.168 | $1,784 | $6,879 |
| 5 | 10,574 | $0.173 | $1,828 | $8,707 |
| 6 | 10,521 | $0.178 | $1,873 | $10,581 |
| 7 | 10,468 | $0.183 | $1,920 | $12,501 |
| 8 | 10,416 | $0.189 | $1,968 | $14,468 |
| 9 | 10,364 | $0.195 | $2,017 | $16,485 |
| 10 | 10,312 | $0.200 | $2,067 | $18,552 |
| 11 | 10,261 | $0.206 | $2,118 | $20,670 |
| 12 | 10,209 | $0.213 | $2,171 | $22,840 |
| 13 | 10,158 | $0.219 | $2,225 | $25,065 |
| 14 | 10,107 | $0.226 | $2,280 | $27,345 |
| 15 | 10,057 | $0.232 | $2,337 | $29,681 |
| 16 | 10,007 | $0.239 | $2,395 | $32,076 |
| 17 | 9,957 | $0.246 | $2,454 | $34,530 |
| 18 | 9,907 | $0.254 | $2,515 | $37,045 |
| 19 | 9,857 | $0.261 | $2,578 | $39,623 |
| 20 | 9,808 | $0.269 | $2,642 | $42,265 |
| 21 | 9,759 | $0.277 | $2,707 | $44,972 |
| 22 | 9,710 | $0.286 | $2,775 | $47,746 |
| 23 | 9,662 | $0.294 | $2,844 | $50,590 |
| 24 | 9,613 | $0.303 | $2,914 | $53,504 |
| 25 | 9,565 | $0.312 | $2,987 | $56,491 |
Savings count only electricity your home no longer buys. Power sent to the grid is valued at zero. Grid emissions data has not been verified yet, so no carbon figure is shown. See the methodology for every formula and source.
Nearby cities
| City | Distance | kWh per kW a year | Price per kWh | System size | First-year savings |
|---|---|---|---|---|---|
| San Diego, California | 295 miles | 1,742 | 32.58¢ | 6.2 kW | $3,515 |
| Los Angeles, California | 364 miles | 1,707 | 32.58¢ | 6.3 kW | $3,515 |
| San Antonio, Texas | 847 miles | 1,512 | 16.03¢ | 7.1 kW | $1,729 |
| Houston, Texas | 1,015 miles | 1,428 | 16.03¢ | 7.6 kW | $1,729 |
| Chicago, Illinois | 1,445 miles | 1,369 | 19.23¢ | 7.9 kW | $2,075 |
Solar panels in Phoenix: questions
- How much electricity do solar panels produce in Phoenix, Arizona?
- About 1,788 kWh a year for each kW of panels, for a roof-mounted, south-facing array at a 30° tilt with 14% system losses (PVWatts). A 6.0 kW system would make about 10,788 kWh in its first year. Shade, a different roof angle or an east or west-facing roof will change this.
- How much could solar panels save in Phoenix, Arizona?
- At Arizona’s average residential price of 15.36¢ per kWh, a 6.0 kW system sized for an average US home would save about $1,657 in its first year and $56,491 over 25 years. That assumes the home uses all the power the panels make, electricity prices rise 3% a year and panel output falls 0.5% a year. Power sent to the grid is counted at zero. At the US average price of 18.19¢, the first-year figure would be $1,962.
- How long do solar panels take to pay back in Phoenix, Arizona?
- It depends on the installed price on your quote, which varies by installer and system, and we do not have a verified US average to use. Enter your quote in the calculator on this page: Phoenix’s solar output and Arizona’s electricity price are already filled in. Every $0.10 per watt adds about $600 to the price of a 6.0 kW system.
- What do homes in Phoenix, Arizona pay for electricity?
- Arizona’s average residential price for January to August 2026 was 15.36¢ per kWh, against 18.19¢ for the US as a whole (EIA Electric Power Monthly, Table 5.6.B). Your own rate depends on your utility and plan, so use the figure from your bill in the calculator if you can.
- How does Phoenix compare with nearby cities?
- Of the 5 nearest cities we cover, San Diego (295 miles away) gets the most sun at 1,742 kWh per kW, and Chicago (1,445 miles away) the least at 1,369 kWh. Phoenix gets 1,788 kWh, more than any of them. Within Arizona, it ranks 9th of the 15 cities we cover.
- Where do these figures come from?
- Solar output is from the PVWatts V8 tool for Phoenix’s coordinates in the Census Bureau Gazetteer, checked on 2026-11-10. The electricity price is the EIA residential average for Arizona for January to August 2026, and household use is the EIA average for US homes. Each figure is listed with its source link at the bottom of this page.
Sources for this page
- Solar output for Phoenix: developer.nlr.gov (checked 2026-11-10)PVWatts V8.5.0 outputs.ac_annual for a 1 kW system. Weather data: 79240.csv, station at 33.56999969482422, -112.0999984741211 (940 m away).
- Arizona electricity price: www.eia.gov (checked 2026-11-11)Arizona, residential sector, year-to-date through August 2026. Published as 15.36 cents per kilowatthour.
- US average price: www.eia.gov (checked 2026-11-11)U.S. Total, residential sector, year-to-date through August 2026. Published as 18.19 cents per kilowatthour.
- Typical household use: www.eia.gov (checked 2026-11-10)Average annual electricity sold to a U.S. residential utility customer in 2022: 10,791 kWh ("an average of about 899 kWh per month").
- Panel output loss: docs.nlr.gov (checked 2026-11-10)Median of nearly 2,000 reported degradation rates: "a median value of 0.5%/year" (average 0.8%/year).
- Location: www2.census.gov (checked 2026-11-10)Census Gazetteer INTPTLAT/INTPTLONG (internal point) for GEOID 0455000, "Phoenix city".
Methods and every other figure are on the methodology page.