Independent Solar Advisor • Updated July 2026

Solar Panels in
Hawaii

Not in Hawaii?

Hawaii pays the highest electricity rates in America, around 40¢/kWh and up, and still writes solar owners a 35% state tax credit worth up to $5,000. What it no longer offers is simple net metering: your real decision is which Hawaiian Electric program to join, and almost every good answer now includes a battery. EcoGen America maps the island rules before anyone sizes your roof.

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Hawaii Solar Report

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Include Battery?
For backup or TOU shifting
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Advisor Verdict Strong, Battery-Led
HI State Credit (Alive) 35%, Max $5,000
Grid Power Runs ~40¢+ /kWh
Incentive Strength
Fair Price Range $3.20 – $3.90/W
About EcoGen America

In Hawaii, the Program You Join Beats the Panels You Buy.

Hawaii pays the highest electricity rates in America, around 40 cents per kilowatt-hour and up, and still writes solar owners a 35% state tax credit worth up to $5,000.

What it no longer offers is simple net metering. Your real decision is which Hawaiian Electric program to join, and almost every good answer now includes a battery.

At island rates, self-supplied power pays for itself faster than almost anywhere in the country, which is why install prices of $3.20 to $3.90 per watt still pencil.

EcoGen America maps the island rules before anyone sizes your roof, and checks quotes for the program terms and battery sizing your enrollment will actually get.

Program-First Guidance

Since net metering closed, Hawaiian Electric's programs decide your economics. We work out which one fits your usage before any hardware talk.

Quote Analysis

Built-in checks for program enrollment terms, battery sizing against evening island rates, and the state credit claimed at its real ceiling.

Local Policy

We track Hawaiian Electric program changes, PUC decisions and the 35% state credit that survives when federal support did not.

Privacy First

Your data is only shared with the licensed Hawaii installers you choose.

Trevor Guilday
Reviewed by Trevor Guilday, founder of EcoGen America · LinkedIn
Trevor has worked in home improvement and residential solar since 2016 and maintains the EcoGen Solar Cost Index.

Export or Keep It: The Hawaiian Electric Choice

Since net metering closed, the program you enroll in matters more than the panels you buy. The current menu, simplified:

Path
How It Pays
Who It Fits
Export program (Smart Renewable Energy Export)
Net-billing credits for exports, with premium rates in the evening peak window (roughly 5-9pm); smart meter required
Homes that can shift battery discharge into the evening window
Non-export design
Nothing leaves the roof; a battery stores the day’s production for your own evening use at 40¢-plus avoided cost
High evening consumption; simplest approval path
KIUC territory (Kauai)
The cooperative runs its own programs entirely
Kauai homes: get KIUC’s current terms in writing first
Program structures as of July 2026; names, rates and availability change with Hawaiian Electric filings. Confirm the current program terms for your island in writing before any design is priced.

The constant across every path: batteries. Self-used power avoids the highest retail rates in the country, which is why storage pays for itself faster in Hawaii than anywhere on the mainland.

Program, Battery, Credit: Order of Operations in Hawaii

1

Choose

Pick the program before the panels: export with evening-peak credits, or non-export with storage capturing everything. Your usage pattern decides.

2

Store

Size the battery to your evening load first, the array second. Against 40¢-plus rates, every stored kilowatt-hour works harder here than anywhere in America.

3

File

Claim the 35% state credit, up to $5,000, at tax time. It survived the federal credit's death and it belongs in every Hawaii payback model.

Want the program choice made with real numbers?

Free 15-minute call. We match the program to your usage and sanity-check the battery sizing.

Book a Hawaii Consult

The 35% Credit Nobody Else Still Has

When the federal residential credit expired at the end of 2025, most states were left with nothing. Hawaii was left with the strongest state solar credit in the country.

  • 35% of system cost, capped at $5,000 per system, under the Renewable Energy Technologies Income Tax Credit, claimable against Hawaii state income tax.
  • It stacks with the rate math, not instead of it. The credit trims the entry price; the 40¢-plus avoided cost does the long-term work.
  • Paperwork matters: the credit is claimed on your Hawaii return with the right form and election; your installer should document eligible costs cleanly at contract time, not scramble in April.
  • Watch the legislature: Hawaii’s credit has been debated for years as budgets tighten. It is alive today; a buyer planning around it should not assume forever.

Combined with the fastest paybacks in the country, the credit is why Hawaii remains a strong solar market even after the rules stopped being simple.

What a Hawaii Quote Must Spell Out

Island installs are program-driven and paperwork-heavy. Four things in writing, every time.

Clause to verify: Get the program name, the export terms if any, and the filing responsibility written into the contract.
Clause to verify: Ask for the self-consumption percentage and evening-coverage figures the design achieves. Numbers, not adjectives.
Clause to verify: Confirm the installer provides the cost documentation for the RETITC claim, and that the payback model uses the after-credit number.
Clause to verify: Cash price beside financed total, gap explained by interest alone.
Verify your paperwork

Four lines, any island quote. The installers who work these programs daily answer without blinking.

Hawaii Installers Who Know the Programs

Vetted for island licensing, program fluency, warranties and complaint history.

RevoluSun

Why Recommended
  • 10,000+ Hawaii home and business customers since 2009
  • Tesla Powerwall Premier Certified installer
  • Licensed contractor CT-30244 with 800+ reviews averaging 4.8 stars
Experience
17 Years
Service Area
Oahu, Hawaii

ProVision Solar

Why Recommended
  • Serving Hawaii since 1998, among the islands' longest-running installers
  • Covers the Big Island, Maui and Oahu
  • Named Best Solar Installer in Hawaii East for over a decade running
Experience
28 Years
Service Area
Big Island, Maui & Oahu

Hawaii Energy Connection

Why Recommended
  • Oahu installer established 2007, based in Aiea
  • Packaged KumuKit solar-plus-storage systems engineered for Hawaii's export programs
  • Residential and commercial coverage across the islands
Experience
19 Years
Service Area
Oahu & Neighbor Islands

Alternate Energy Hawaii

Since 1993 Battery Bonus Participant Oahu Permitting Veterans
Why Recommended
  • Island energy projects since 1993 from its Kapolei base
  • Three decades of Oahu-specific permitting experience
  • Solar, storage, EV charging and roof readiness planned as one system
  • Participated in Hawaiian Electric Battery Bonus program
Experience
33 Years
Service Area
Oahu, from Kapolei

Haleakala Solar

Since 1977 14,000+ Systems Tesla Powerwall Certified
Why Recommended
  • Hawaii longest-running solar name, installing since 1977
  • More than 14,000 systems on its record
  • NABCEP and Tesla Powerwall certifications
  • Roof repair and treatment handled alongside the install
Experience
49 Years
Service Area
Oahu, Maui and Kauai

When Island Solar Should Wait

Even at 40¢ power, some situations deserve a pause.

  • Solar-only budgets. Without a battery, the current programs leave most production earning far less than it saves when stored. If storage does not fit the budget yet, wait until it does.
  • Kauai homes without KIUC’s terms in hand. The cooperative’s programs differ from Hawaiian Electric’s; paper first.
  • Aging roofs in salt air. Island roofs weather hard; re-roofing under an array costs thousands. Roof first, panels second.
  • Buyers counting the credit twice. The 35% credit is real but capped at $5,000; projections applying 35% to a $40,000 system without the cap are inflating by thousands.
  • Short stays. Fast as island paybacks are, flippers and short-term owners rarely collect them.

Who should move: owner-occupants with real evening usage and a sound roof. Between the rates, the credit and the evening-peak programs, a right-designed Hawaii system remains one of the best energy investments in the country.

1. Island quote in hand?

Checked against real Hawaii pricing, program terms and the credit cap.

OR

2. Talk story with an advisor instead?

15 minutes, independent. Program match, battery sizing, credit math.

Talk to a Hawaii Advisor

No obligation. 100% free service.

Hawaii Solar FAQs

Is the Hawaii solar tax credit still available?

Yes. The Renewable Energy Technologies Income Tax Credit pays 35% of system cost, capped at $5,000 per system, against Hawaii state income tax, now the strongest state solar credit in the country.

Have your installer document eligible costs at contract time so the claim is clean.

Does Hawaii have net metering?

Not anymore; retail net metering closed to new customers years ago. Today you choose among Hawaiian Electric programs: export options that credit surplus with premium evening rates, or non-export designs where a battery keeps everything on-site.

Kauai’s KIUC cooperative runs separate programs.

Do I really need a battery in Hawaii?

For a good outcome, effectively yes. The current programs reward storing your production and using or exporting it in the evening; solar-only designs leave most of the value on the table.

Against roughly 40¢-plus grid power, storage pays for itself faster here than anywhere on the mainland.

Why do Hawaii installs cost more per watt?

Shipping, island logistics and battery-inclusive designs push the range to roughly $3.20 to $3.90 per watt. The 35% credit and the country’s highest rates absorb the premium for most owner-occupants.

Quotes far outside the band should itemize why.

References & Research Sources

The program terms, rates and figures on this page come from the records below. Sources accessed between June 10, 2026 and August 20, 2026.

  1. Hawaii Public Utilities Commission (PUC). Docket 2019-0323: Smart DER Framework. Program governing new interconnections since April 1, 2024, and the March 29, 2024 closure of the CGS and Smart Export programs. The framework behind the program menu on this page and the closure of retail net metering to new customers. Accessed June 11, 2026.
  2. Hawaiian Electric. Smart DER Export rate sheet, February 1, 2025, PUC Docket 2019-0323. Per-island time-of-day export credits, the optional seven-year rate lock, the advanced meter requirement, the non-export option, and the closure dates for the prior programs (NEM October 2015; CGS, CGS Plus and Smart Export March 29, 2024). The evening-peak export credits, the advanced meter requirement and the non-export option described on this page. Accessed August 20, 2026.
  3. U.S. Energy Information Administration (EIA). Form EIA-861: Annual Electric Power Industry Report, 2024. Residential customer counts for Hawaiian Electric, Hawaii Electric Light, Maui Electric, and KIUC. Behind this page separating Hawaiian Electric territory from the Kauai cooperative. Accessed June 10, 2026.
  4. U.S. Energy Information Administration (EIA). Electric Power Monthly, Table 5.6.A. Average residential electricity prices by state, March 2026 edition. The statewide residential price behind the 40¢-plus avoided cost figure on this page. Accessed June 10, 2026.
  5. Hawaii State Legislature. Senate Bill 3125, enacted as Act 24. The 35% credit rate and $5,000 single-family cap under HRS 235-12.5, the income limits, the certification requirement, the annual statewide totals for 2027 through 2030, and the $0 rate from January 1, 2031. The 35% credit rate and the $5,000 cap this page quotes. Accessed August 20, 2026.
  6. Office of the Governor of Hawaii. Executive Order 26-02, June 12, 2026. Preserves the state renewable energy tax credit for 2026. Behind the statement on this page that the state credit is alive today. Accessed August 20, 2026.
  7. Internal Revenue Service (IRS). One, Big, Beautiful Bill Provisions. Guidance on Public Law 119-21, including termination of the Section 25D residential credit for systems whose installation is completed after December 31, 2025. Behind the statement on this page that the federal residential credit expired at the end of 2025. Accessed August 15, 2026.
Dean Mahmoud
Written by
Chief Executive Officer

Dean Mahmoud is the CEO of EcoGen America. He has connected tens of thousands of homeowners with residential solar installers across all 50 states since 2021, and works directly with installation companies on solar pricing, financing, and what homeowners actually pay for rooftop solar.

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