Indiana Solar Incentives (Rebates, Tax Credits & More in 2024)
By Dan Simms /
In this guide to the best solar providers in Indiana, you’ll learn:
There are just under 40 professional photovoltaic (PV) panel installation companies that service Indiana, according to the Solar Energy Industries Association (SEIA).1 All of these companies differ in the prices they charge for installing solar power systems, the quality of the equipment they provide and the service and warranty coverage they bring to the table. Choosing one can be a challenge, but picking the wrong company can be the difference between tens of thousands in savings and ending up paying far more than you need to and cutting into those savings.
The number of options available to you can be intimidating, which is why we’ve reviewed the companies in your area and have determined which provide the best value overall. Below is a list of our top picks for solar installation companies in Indiana:
You can click on the drop-down options below to see information on these companies and why we’ve chosen them as the best solar system installers Indiana has to offer.
Pros
Cons
Blue Raven Solar is in our top picks primarily because it provides one of the best financing options in the industry: the BluePower Plus+ loan program. This financing option provides in-house solar loans with low interest rates that often don’t require a payment for up to 18 months. Most other companies only offer to connect you with a standard loan provider rather than offer one in-house.
This is especially useful in Indiana, as the average cost per watt in the area of $3.66 is well above the national average of $3.33, and residents use above-average amounts of electricity, which demands larger and more expensive systems.4 Blue Raven’s loans are likely to keep the high local cost of solar affordable for most residents, even if a down payment isn’t in the cards.
Blue Raven also provides a 25-year warranty for equipment, workmanship and panel efficiency, while most other companies prioritize just one or two of these coverage options. The efficiency warranty is especially helpful, as maximum efficiency is necessary in the low-sun conditions in Indiana. The equipment warranty also helps protect your system against defects.
Blue Raven currently only offers panels and doesn’t yet install add-ons like batteries or EV chargers. Still, we recommend this company for its accessibility and outstanding financing options. Keep in mind that batteries are fairly popular in Indiana because of the below-retail rate for net metering. Batteries will be all but necessary in the future when net metering 3.0 takes effect. Thankfully, Blue Raven is planning on adding batteries to its product line up soon.
You can read our full Blue Raven Solar review here.
EcoWatch Rating |
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Better Business Bureau (BBB) Rating |
Year Founded |
Average Cost ($-$$$$$) |
Solar Services |
Brands of Solar Equipment Offered |
Warranty Coverage |
4.5 |
A+ |
2014 |
$$ |
Solar Panels, System Monitoring |
Trina Solar, Canadian Solar, SolarEdge, Silfab, SunPower |
25-year manufacturer warranty; 10-year workmanship warranty, 2-year production guarantee |
Regional Service
Average cost
Pros
Cons
Yellowlite Solar is one of our top picks for customer service in Indiana. It’s a regional company based in Ohio, but it maintains numerous Indiana offices that are individually owned and operated to maximize response rate and customer satisfaction. This is a good reputation to have in a budding solar industry like the one in Indiana.
Yellowlite carries high-end panel brands that can still help you minimize or eliminate your electric bills, even in Indiana, where sunlight is less available than in most states. These high-quality home panel brands include SunPower, Panasonic, Canadian Solar and Qcells. High-efficiency panels are more likely to make the best use of the limited sunlight in Indiana and push your savings higher over time. Something like SunPower should help you hit the average solar savings in Indiana of $25,365.
The company’s overall warranty, which includes workmanship, clocks in only at 10 years (we like to see 25). This is a shame since Indiana gets above-average rainfall, which can leave mistakes during PV panel installations at high risk of leaking. However, we still recommend this company for its customer service, and quality of its products and installations.
Yellowlite also handles solar batteries, so you can prepare for the future adoption of net metering 3.0 by implementing solar storage.
EcoWatch Rating |
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Better Business Bureau (BBB) Rating |
Average Cost ($-$$$$$) |
Solar Services |
4 |
A+ |
$$$ |
Solar Panels, Solar Batteries, System Monitoring, General Contracting, Maintenance & Repairs |
Regional Service
Average cost
Pros
Cons
GRNE Solar is a regional company based in Illinois that was founded in 2012. With a decade in the industry, this installer has the experience necessary to size systems appropriately and account for local weather conditions in Indiana, like above-average rainfall and tornadoes. Plus, it’ nice to have an installer with some experience, as many of the Indiana-based solar providers are just popping up now.
GRNE provides a 25-year warranty for the equipment, which can also help keep your panels safe through the state’s extreme weather. Its labor warranty of just ten years is below the industry standard, but the customer service behind that guarantee is outstanding.
GRNE carries some of the most efficient brands available, like LG, Panasonic and Qcells. These brands provide high efficiency to power your home through the lack of sunny days in Indiana. Purchasing these brands should keep your costs close to the state averages of $34,770 before the federal credit or $24,339 after the credit, which is higher than the national average but still good in the Hoosier State.
GRNE Solar mainly carries LG solar batteries at the time of writing but has displayed its ability to procure other brands at its customers’ requests. If you’re looking to install batteries to maximize your electric bill savings despite Indiana’s subpar net metering policy, GRNE should be able to serve you.
EcoWatch Rating |
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Better Business Bureau (BBB) Rating |
Average Cost ($-$$$$$) |
Solar Services |
4.5 |
A+ |
$$$ |
Solar Panels, Solar Batteries, EV Chargers, Maintenance & Repairs, System Monitoring |
Regional Service
Average cost
Pros
Cons
Icon Solar serves all of Indiana, and it does so in part by partnering with local utility companies and businesses to make solar more affordable and accessible to all. This is important in a state like Indiana, where the pre-ITC cost of going solar is close to $35,000, or between $44,770 and $54,770 if you opt for battery storage as well.
It’s also a member of the Green Umbrella Regional Sustainability Alliance, which shows its commitment to clean energy. These kinds of industry partnerships help set Icon Solar apart from other, younger installers. They make it clear that the company is committed to renewable energy and not just profits, which is, unfortunately, a common occurrence in an area like Indiana where solar is growing in demand.
Icon Solar also offers a 5-year warranty specifically on roof leaks, which the large majority of companies do not. This is excellent coverage to have anywhere, but especially in Indiana, where average annual rainfall is well above average. With the average cost of roof leak repair totaling between $500 and $1,500 in Indiana, this coverage could save you quite a bit if you do run into an issue.
Icon only carries a small selection of panel brands, but the offerings — like Tesla, Suniva and Canadian Solar — are all monocrystalline (which are more efficient than polycrystalline) panels. These should provide enough efficiency to offset electric bills, even in a low-light area like Indiana.
Lastly, Icon installs solar batteries, so it can provide you with everything you need to offset your electric bills despite the below-average net metering credit rate in Indiana.
EcoWatch Rating |
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Better Business Bureau (BBB) Rating |
Average Cost ($-$$$$$) |
Solar Services |
4 |
A+ |
$$$ |
Solar Panels, Solar Batteries, Energy-Efficiency Upgrades |
Watch Below: Is Solar Actually Worth It? What’s True vs What’s a Myth
The average property owner in Indiana pays around $34,770 for their solar system before any incentives offered in Indiana and excluding batteries. This average assumes you pay the typical $3.66 per watt for photovoltaic (PV) equipment in the area and that you need a 9.5 kilowatt (kW) system to offset your electric bills like most other Indiana residents. This is the average system size, which is designed to offset the typical monthly electric consumption of 938 kWh per household.
Both the cost per watt and the typical system size requirement are slightly above the national averages of $3.33 and a 9 kW system. That means Indiana Hoosiers pay above-average prices to convert to solar.
As such, most residents will look for ways to bring costs down and boost long-term savings. There are a few things you can do to achieve this, including:
We’ll discuss these in greater depth and explain how they affect your system costs in the sections below.
One of the best ways to reduce your cost of going solar in Indiana is to make sure you file for as many solar benefit programs as you can. There are quite a few perks available in Indiana, all of which can bring your total installation cost down by thousands of dollars.
We’ll include a breakdown of all of the incentives available in Indiana in the table below.
Solar Benefit Program | Description |
Federal Solar Investment Tax Credit (ITC) | This is a tax credit offered by the federal government. It provides a credit toward your tax bill in the amount of 30% of your entire system cost, or an average of $10,431 in IN. The credit rate is set to drop in 2033, and the program will no longer be available after 2034. |
Net Metering | Net metering credits you for all of the energy your panels generate, even if you don’t use the electricity and instead export it to the electric grid. You can use the credits you earn to reduce the utility bills you get in the future. NEM is mandated in Indiana, but the credit rate isn’t set. |
Renewable Energy Property Tax Exemption | This exemption prevents your solar system from bumping up your property taxes. Normally, a home improvement like solar would cause your annual taxes to go up, costing you more and decreasing your savings over time. |
Sales and Use Tax Exemption for Energy Generating Equipment | The State of Indiana waives all sales tax on solar PV equipment. This policy brings down the effective cost of panels, inverters, solar batteries, EV chargers and the labor to install your system. |
NIPSCO Feed-In Tariff | This tariff is available to all customers of Northern Indiana Public Service Company (NIPSCO). It provides a cashback incentive of between $0.15 and $0.17 for every kilowatt-hour (kWh) your system produces. This can help boost your long-term savings and reduce your system costs over time. |
For more information on these incentives and how to take advantage of them, you can read through our guide to solar benefit programs in Indiana.
As we mentioned above, Indiana residents see around 186 sunny days per year, which pales in comparison to the U.S. average of 205 sunny days. Less available sunlight means more cloudy days, your panels won’t have as much potential for energy production. In turn, lower rates of production mean lower energy savings.
As such, another great way to bring down your long-term system costs and maximize savings is to invest in high-efficiency panels. Solar panel brands with high efficiency ratings will allow you to take full advantage of the sunlight that does hit your home and offset more of your utility bills.
While choosing a high-quality panel brand — like SunPower, Tesla or Panasonic — will usually cost a bit more upfront, they’ll tend to save you more over time in an area like Indiana. The value is a little lower in Indiana than it would be in other states, mostly because the average retail rate for electricity in the state is 14.5 cents, which is below the U.S. average of 16.79 cents. You’ll see a little less value from high-efficiency panels overall, but we still feel it’s worth it to push your net savings higher.
Finally, we recommend getting multiple free quotes for your solar energy system. There are close to 40 installers that service Indiana alone, and each one will charge different prices for their equipment, their labor and their warranty coverage. To get the best price, it’s best to shop around a bit and get a few free quotes to compare.
We should mention that it’s important to compare the estimates you get based on the quality of the equipment and service you receive and not just on price alone.
You can use our solar calculator to see how much you can save by going solar in Indiana and to get an idea of what your system will cost you.
Yes, installing solar panels on your home is expected to boost your property value in Indiana by approximately 4.1%, an estimate based on research conducted by Zillow.4 Since the typical home in Indiana is valued around $230,053, that’s an expected value bump of over $9,400.5
The upside you’ll see on your home value when converting to solar depends quite a bit on where you live in Indiana. More expensive areas — like Indianapolis, Carmel, Anderson, Bloomington and West Lafayette — will naturally mean a higher value bump after going solar.
You’re also likely to see a greater value bump in cities that have adopted solar more readily than others. These include:
In areas of Indiana that aren’t as solar-friendly, visible solar panels may not be as appealing, which means a lower bump in property value. For these areas, solar roof shingles — like those from Tesla — might be a more suitable and beneficial option.
Installing your solar power system yourself in Indiana is usually tempting. This is especially true since the IN cost to go solar in the area is above average at $24,399, and a DIY solar system installation is significantly more affordable.
Unfortunately, there are some pretty significant downsides to a DIY installation that make it a less appealing option in the area. These include:
We’ll discuss these in greater depth below.
The first thing to consider before you attempt a DIY installation is that the efficiency of the DIY panels available is much lower. Companies like Renogy and Grape Solar that are available to DIYers often have efficiency ratings between 15% and 20%, whereas the top brands for professional installations can top 22%.
As mentioned above, solar panel efficiency is crucial in a place like Indiana because the available sunlight is significantly lower than it is in most other states. Less sun means less opportunity to produce electricity and fewer energy savings. Higher efficiency panels might be more costly, but they will often pay for themselves over time in an area like Indiana.
This will be especially true if Indiana adopts net metering 3.0, as it is expected to do. The lower credit rate would mean higher-efficiency panels are worth more, as they’ll generate more excess and push total credits higher.
Another thing to consider is that, while installing solar isn’t terribly difficult, doing it correctly is essential if you want to avoid damage to your home. Roof penetrations are inherently dangerous, and doing them yourself can easily lead to issues.
Roof leaks are already more common in Indiana than in most areas because of the above-average rainfall. Add in the potential for issues with a DIY installation, and you could be looking at rather costly mistakes. Overall, we believe it’s worth paying for a professional to do the work and avoid expensive damages to your home and your system.
Finally, warranty coverage on DIY PV panel kits is far less appealing than you’d get from most professional installers in Indiana. With DIY kits, you’re usually looking at between five and 15 years for the equipment and ten to 15 years for power generation. This pales in comparison to the 25 years that is standard with professional installations.
More importantly, you don’t get any labor warranty when you DIY your solar, whereas you’d get between 15 and 25 years, on average, from an experienced installer.
In an area like Indiana, where tornado activity is common and homeowners see well above-average rainfall, warranty coverage not only provides peace of mind but also helps you avoid paying for costly damage to your system and home.
Choosing a solar system installer in Indiana is often an intimidating process, especially since there are so many available from which you can choose. There are a few things we’ll mention below we recommend prioritizing, as these will help you find the best installer for your needs in the area.
First, we recommend looking at the warranty coverage included with your solar system, including the product warranty, production guarantee and the labor warranty.
Indiana solar systems are at greater risk of damage due to frequent tornado activity. Your efficiency also matters a great deal because the low-sunlight conditions in Indiana mean higher-efficiency panels are more likely to offset your energy bills and save you money over time.
The workmanship warranty helps protect you from inexperienced companies that are more likely to make mistakes. It can also keep your home and system protected from issues resulting from the installation, like roof leaks, which are a high risk in Indiana.
Next, we recommend you look at the panel brands available. Every installer carries a subset of panel options, and we recommend prioritizing those that carry high-efficiency, tier-one monocrystalline panels.
Considering that Indiana only receives around 80% of available sunlight compared to the national average, high-efficiency panels are essential to make your solar investment in Indiana worth it. Some of the brands that should suit your needs include:
Finally, we recommend you look for companies that have worked in the industry for years and in Indiana, specifically.
Experience, in general, is a good thing to prioritize. Not only does choosing an experienced installer reduce your risk of mistakes during the installation, but it also helps avoid new companies that pop up to meet the growing demand in Indiana. This helps ensure your warranties won’t be voided as a result of the installer going out of business.
Local experience will also help ensure that you choose a company that understands the needs of Hoosiers, like high-efficiency panels and robust warranty coverage.
We strive to bring you the most accurate and useful information possible to help make the transition to solar a smooth and lucrative one. We also aim to be entirely transparent about how we choose the best solar providers. Our rankings are never affected by our commercial partnerships and instead base our recommendations on the below factors:
We’ll discuss why these factors matter so much in our ratings below, and you can check out our methodology for more information on how we rank installers.
As we’ve mentioned above, warranty coverage is paramount in Indiana. There are three types of warranties that are crucial in the area:
A company gets a perfect score in this category if it provides 25 years of coverage for all three, which is rare. For comparison, we use the industry standard of 25 years for equipment and power production and ten years for workmanship.
Next, we look at how qualified the installer is, which includes a look at its certifications and qualifications. Some things we look for include electrician certification by the North American Board of Certified Energy Practitioners (NABCEP), B Corp certification and accreditation from the Better Business Bureau (BBB).
We also look at the company’s reputation among local solar customers, usually through customer reviews and complaints.
Experience is essential in an installer for two reasons:
We give an installer a perfect score in this area if it has more than ten years of experience. The industry standard we measure against is at least five years.
Next, we look at the payment options and the overall price of each company we’re reviewing. The price is an important factor for any aspiring solar owner, but it’s especially important in Indiana, where the average price of solar panels is above the already high national average.
We also look at the options for payment, which can include cash, solar loans, solar leases and power purchase agreements (PPAs). Companies that accept cash and offer in-house financing with appealing rates and down payment requirements score the highest.
We recently started looking for companies that offer all four payment options, as we expect leases and PPAs to be some of the most popular options in the future if NEM 3.0 takes effect. That would more or less mandate batteries, which would increase solar conversion costs in Indiana by between $10,000 and $20,000, on average. That could mean even solar loans become inaccessible to a lot of customers.
Some solar installers in Indiana don’t service the entire state and instead focus on major cities. Larger companies that have a wider service area naturally get ranked a bit higher, as they appeal to more customers.
Not every solar installer offers the same services. Some companies, like Blue Raven, only install panels, while others, like GRNE Solar, are full-service companies that tackle panels, batteries, EV chargers, maintenance and efficiency upgrades.
Companies that provide more products and services will be able to meet the needs of more customers, so we rank them a little higher. We’re currently prioritizing battery availability in Indiana, as the upcoming net metering shift will make solar storage far more valuable.
Finally, we look at the impact the company has on the environment and the industry as a whole. We look for companies that disclose data, provide equitable access to energy efficiency upgrades that go beyond just installing solar, as well as those that have industry affiliations that suggest it truly cares about renewable energy.
We also promote companies that have a positive social impact, like those that are B Corp-certified and do what they can to keep solar accessible to all.
Read More About Going Solar in Indiana
Given the recent boom in the solar industry in IN, we get lots of questions from residents about how to choose an installer that can handle their installation. We’ll answer some of the most common questions we see below.
We believe all of the top five solar providers on this list are the most reputable options for homeowners installing PV panels in Indiana. SunPower is an Indiana installer that has one of the most reputable names in solar nationwide, while YellowLite and GRNE have earned respect in the Midwest. It’s also important to note that the solar dealers in your area may differ, so the best solar provider in Indianapolis may not be the top solar company in Evansville or other cities. Still, we have full confidence that any one of the PV panel companies listed in this article could take care of your solar system installation.
It’s hard to know exactly how much your solar panels will cost without knowing specifics about your home, such as the layout and how much energy you consume. Based on our market research and data, we’ve found that Blue Raven offers some of the best solar financing options that help make solar more accessible to homeowners in Indiana.
It’s also important to ask your solar system installer and local utility companies about any exemptions and rebates available in Indiana that will lower the upfront cost of solar energy systems. For one, Indiana homeowners who install solar will be eligible to receive the federal tax credit.
We know that installing a solar system isn’t cheap, but remember that solar projects are an investment. One of the biggest benefits of switching to solar is that you’re likely to see your energy bills significantly decrease over time. Most customers end up savings $20,000 or more in lifetime energy savings.
According to the Solar Energy Industries Association (SEIA), there are 78 solar companies in Indiana, including 28 that provide solar system installation services.
Solar panels can use both direct and indirect sunlight to generate electrical power. This means they can still be productive even when the temperatures are cold, when there are fewer daylight hours or when there’s increased cloud coverage.
With that said, solar panels are most efficient and productive when they are soaking up direct sunlight on sunny days. However, if you add a solar battery to your rooftop solar system installation, you can store any excess electricity from sunny days to use for later.
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