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Arkansas Solar Guide 2026

Everything Arkansas homeowners need to know: costs, incentives, net metering policy, and what makes this state unique for solar.

Key fact about Arkansas solar

Arkansas has solid sun hours (5.0/day) and full retail net metering, but low electricity rates extend payback. Arkansas is an underserved solar market — fewer installers means shopping quotes is especially important.

Peak sun hours

5

hrs/day avg

Avg electricity rate

11.0¢

per kWh

Median install cost

$2.75/W

before incentives

Typical payback

13 yrs

8 kW system, avg usage

Typical 8 kW system in Arkansas

Annual production

14,600 kWh

Year-1 savings

$1,606

System cost (est.)

$22,000

No federal tax credit — Section 25D expired December 31, 2025.

Arkansas Net Metering Policy

Full retail net metering (APSC Rule)

Arkansas requires full retail net metering under APSC rules. Entergy Arkansas and AEP Southwestern Electric must credit exports at retail. Monthly net excess carries forward for 12 months.

Arkansas Solar Incentives

Available in addition to any utility rebates. Federal 25D credit is $0 for homeowner-owned systems from 2026.

  • Sales tax exemption on solar equipment
  • Property tax exemption
  • AECC and co-op rebate programs (varies)
See full Arkansas incentive database →

Top Utilities in Arkansas

Entergy ArkansasAEP Southwestern Electric PowerArkansas Electric Cooperatives

Interconnection timeline: 4–8 weeks

Calculate your Arkansas solar economics

Our calculators are pre-filled with Arkansas data. Run any tool below.