Solar in North Dakota: is it worth it in 2026?
North Dakota is one of the hardest states to make solar pay for itself. Three things decide that: electricity here is among the cheapest in the country (51st most expensive of 51), it gets less sun than most states (41st of 51), and exported power earns retail credit within each month, with leftovers paid less. Of the 51 states and DC, North Dakota has the 40th-fastest payback for a typical home.
The average home here pays about $126 a month for 1,070 kWh. A 9 kW system sized for that home would knock about $1,253 off the first year's bills, 83% of the total.
Checked November 12, 2026
What makes solar pay off in North Dakota
- Size the system to cover your yearly use. With monthly netting, power you export is worth nearly as much as power you use, so aim for little leftover each month.
- Cheap power stretches payback. At 11.8¢ 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 22 years.
Payback by system size
An average North Dakota home uses about 12,840 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 |
|---|---|---|---|---|---|
| 50% | 5 kW | $12,850 | 6,470 kWh | 19 years | $6,781 |
| 76% | 7.5 kW | $19,275 | 9,705 kWh | 18 years | $11,484 |
| 101% | 10 kW | $25,700 | 12,940 kWh | 18 years | $16,176 |
| 126% | 12.5 kW | $32,125 | 16,175 kWh | 19 years | $14,751 |
The 7.5 kW system pays back fastest, but the 10 kW system saves the most over 25 years. Assumes exported power earns about 85% of the retail rate, prices rise 2.5% a year and one inverter replacement.
How North Dakota credits power you send to the grid
Monthly netting
Net metering with excess power credited at the utility's avoided-cost rate.
We haven't found a single published export rate for North Dakota, so the calculators assume about 85% of the retail rate. Ask your utility for its rate and enter it.
Before you sign in North Dakota
Check the license. Look the company up with the North Dakota Secretary of State (contractor licenses), by its legal name or license number, and ask for the electrician's license number too.
North Dakota 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
North Dakota compared with its neighbors
| State | Electricity | kWh per kW | Typical payback | Exported power |
|---|---|---|---|---|
| North Dakota | 11.8¢ | 1,294 | 18 years | Monthly netting |
| Minnesota | 15.8¢ | 1,333 | 13 years | Full credit (net metering) |
| South Dakota | 13.3¢ | 1,409 | 23 years | No statewide rule |
| Montana | 13.0¢ | 1,344 | 15 years | Full credit (net metering) |
Questions about solar in North Dakota
How long does solar take to pay for itself in North Dakota?
About 18 years for a typical 9 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 North Dakota have net metering?
Partly. Net metering with excess power credited at the utility's avoided-cost rate.
Is there a solar tax credit in North Dakota in 2026?
Not from the federal government for buyers: the 30% homeowner credit ended for systems installed after December 31, 2025. For a typical 9 kW system in North Dakota, that credit was worth about $6,939 and brought payback down to 14 years, instead of 18 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 North Dakota?
On bill savings alone, not quite: a 13.5 kWh battery at about $15,650 would move about 3,548 kWh of solar power a year from the grid to your evenings in a typical North Dakota home, adding about $361 of savings over 15 years. That doesn't cover its price, so the system's payback goes from 18 years to over 25 years; the rest is paying for backup during outages. Time-of-use rates, battery rebates and utility payments for sharing your battery can tip it; try your numbers in the payback calculator.
Is plug-in solar legal in North Dakota?
There's no plug-in solar law yet in North Dakota, so your utility may treat a kit like any rooftop system.
How do I check a solar company's license in North Dakota?
Look the company up with the North Dakota Secretary of State (contractor licenses) (sos.nd.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.