Solar in Montana: is it worth it in 2026?
Montana is a slow-payback state: solar works, but it takes well over a decade to earn back what you paid. Three things decide that: electricity here is among the cheapest in the country (46th most expensive of 51), its sun ranks 30th, and exported power earns full retail credit. Of the 51 states and DC, Montana has the 32nd-fastest payback for a typical home.
The average home here pays about $111 a month for 853 kWh. A 7 kW system sized for that home would knock about $1,222 off the first year's bills, 92% of the total.
Checked November 12, 2026
What makes solar pay off in Montana
- Size the system to cover your yearly use. With full net metering, power you export is worth as much as power you use, so timing matters less than in most states.
- Cheap power stretches payback. At 13.0¢ per kWh, the price you pay matters more than anything. At $3.34 per watt, the high end of what companies quote, payback for a typical system here stretches to 18 years.
Payback by system size
An average Montana home uses about 10,236 kWh a year. Here's how systems sized to cover part or all of that work out, bought with cash at $2.57 per watt:
| Covers | Size | Price | Makes a year | Payback | 25-year savings |
|---|---|---|---|---|---|
| 53% | 4 kW | $10,280 | 5,376 kWh | 16 years | $9,428 |
| 72% | 5.5 kW | $14,135 | 7,392 kWh | 16 years | $13,948 |
| 98% | 7.5 kW | $19,275 | 10,080 kWh | 15 years | $19,974 |
| 125% | 9.5 kW | $24,415 | 12,768 kWh | 16 years | $20,284 |
The 7.5 kW system pays back fastest, but the 9.5 kW system saves the most over 25 years. Assumes exported power earns full credit, prices rise 2.5% a year and one inverter replacement.
How Montana credits power you send to the grid
Full credit (net metering)
Retail net metering for customers of NorthWestern Energy and most co-ops.
Before you sign in Montana
Check the license. Look the company up with the Montana Department of Labor and Industry (contractor registration), by its legal name or license number, and ask for the electrician's license number too.
Montana has no solar-specific sales law that we know of, so its general consumer protection law applies.
In every state, the FTC Cooling-Off Rule lets you cancel a contract signed at your home until midnight of the third business day.
How to choose a solar company · Contract checklist · Before you sign
Montana compared with its neighbors
| State | Electricity | kWh per kW | Typical payback | Exported power |
|---|---|---|---|---|
| Montana | 13.0¢ | 1,344 | 15 years | Full credit (net metering) |
| Idaho | 11.8¢ | 1,468 | 24 years | Reduced credit (net billing) |
| Wyoming | 13.4¢ | 1,533 | 14 years | Full credit (net metering) |
| South Dakota | 13.3¢ | 1,409 | 23 years | No statewide rule |
| North Dakota | 11.8¢ | 1,294 | 18 years | Monthly netting |
Questions about solar in Montana
How long does solar take to pay for itself in Montana?
About 15 years for a typical 7 kW system bought with cash at the 2026 median price of $2.57 per watt, with no federal tax credit and one inverter replacement. A bigger or smaller system, a different price, or your own usage will change that; the table above shows other sizes.
Does Montana have net metering?
Yes. Retail net metering for customers of NorthWestern Energy and most co-ops.
Is there a solar tax credit in Montana in 2026?
Not from the federal government for buyers: the 30% homeowner credit ended for systems installed after December 31, 2025. For a typical 7 kW system in Montana, that credit was worth about $5,397 and brought payback down to 10 years, instead of 15 years now. Leasing companies can still claim a business credit, so ask for a lease or PPA price too. Your state energy office lists any state rebates.
Is a solar battery worth it in Montana?
Not for savings. Montana credits exported power at the full retail rate, and storing power in a battery loses about 10% of it, so a battery saves nothing on the bill. It can still be worth it for backup during outages: a 13.5 kWh battery costs about $15,650 installed in 2026.
Is plug-in solar legal in Montana?
There's no plug-in solar law yet in Montana, so your utility may treat a kit like any rooftop system.
How do I check a solar company's license in Montana?
Look the company up with the Montana Department of Labor and Industry (contractor registration) (erd.dli.mt.gov) by its legal name or license number, and ask for the electrician's license too.
More guides: What changed for solar in 2026 · Lease or buy? · Plug-in solar · Is my solar system working?
Sources: U.S. Energy Information Administration (EIA), final 2025 data: Annual State Historical Spreadsheets (Form EIA-861, released October 7, 2026) and Electric Power Annual (October 21, 2026); NREL PVWatts (National Solar Radiation Database), statewide averages; Solar Energy Nerds: net metering by state, 2026; EnergySage: median quoted price, first half of 2026.