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North Dakota Solar Guide 2026

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

Key fact about North Dakota solar

North Dakota's 15% state tax credit (up to $3,000) helps but doesn't fully overcome low electricity rates and cold winters. Fargo and Bismarck have the most installer presence.

Peak sun hours

4.8

hrs/day avg

Avg electricity rate

10.0¢

per kWh

Median install cost

$2.95/W

before incentives

Typical payback

14 yrs

8 kW system, avg usage

Typical 8 kW system in North Dakota

Annual production

14,016 kWh

Year-1 savings

$1,402

System cost (est.)

$23,600

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

North Dakota Net Metering Policy

Full retail net metering (PSC rules)

North Dakota requires full retail net metering for IOUs under PSC rules. MDU and Xcel Energy ND must credit excess at retail rate. Annual settlement with unused credits at avoided cost.

North Dakota Solar Incentives

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

  • State income tax credit: 15% of cost (up to $3,000)
  • Property tax exemption on added value
See full North Dakota incentive database →

Top Utilities in North Dakota

Montana-Dakota Utilities (MDU)Xcel Energy NDBasin Electric Power Cooperative

Interconnection timeline: 4–8 weeks

Calculate your North Dakota solar economics

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