Is Solar Worth It in Wyoming in 2026?
Wyoming has real sun — around 228 clear or partly clear days a year, and a Cheyenne system produces roughly 1,558 kWh per installed kilowatt annually, a solid number for a northern state at 42.4°N. The problem in 2026 isn't the sun. It's the price tag and the missing federal credit. Wyoming installs run about $3.50 to $3.60 per watt, above the national average, because the state has a small population spread over a lot of ground and not much installer competition.
The 30 percent federal tax credit that used to soften that number is gone for any system completed after December 31, 2025. Wyoming never had a state income tax credit to fall back on — it has no state income tax at all — so what's left are two tax exemptions (sales, property) and a net-metering law that still works but is genuinely in flux. Solar can still pencil out on a home with a high bill and an owner who'll stay well over a decade. But Wyoming's economics were already tougher than most states, and losing the federal credit made them tougher still. This page walks through the real numbers.
Wyoming Electricity Prices Keep Climbing
Solar only pays off if the power you're not buying would have cost you something. So start with where Wyoming rates have been — and where they're headed. Here's the last several decades from federal EIA data.
Full Wyoming electricity price data (1990–2025)
| Year | Wyoming (¢/kWh) | US avg (¢/kWh) |
|---|---|---|
| 1990 | 6.0 | 7.8 |
| 1991 | 6.0 | 8.0 |
| 1992 | 6.1 | 8.2 |
| 1993 | 6.0 | 8.3 |
| 1994 | 6.0 | 8.4 |
| 1995 | 6.1 | 8.4 |
| 1996 | 6.1 | 8.4 |
| 1997 | 6.2 | 8.4 |
| 1998 | 6.3 | 8.3 |
| 1999 | 6.3 | 8.2 |
| 2000 | 6.5 | 8.2 |
| 2001 | 6.8 | 8.6 |
| 2002 | 7.0 | 8.4 |
| 2003 | 7.0 | 8.7 |
| 2004 | 7.2 | 9.0 |
| 2005 | 7.5 | 9.5 |
| 2006 | 7.8 | 10.4 |
| 2007 | 7.8 | 10.7 |
| 2008 | 8.2 | 11.3 |
| 2009 | 8.6 | 11.5 |
| 2010 | 8.8 | 11.5 |
| 2011 | 9.1 | 11.7 |
| 2012 | 9.9 | 11.9 |
| 2013 | 10.2 | 12.1 |
| 2014 | 10.5 | 12.5 |
| 2015 | 11.0 | 12.7 |
| 2016 | 11.1 | 12.6 |
| 2017 | 11.4 | 12.9 |
| 2018 | 11.3 | 12.9 |
| 2019 | 11.2 | 13.0 |
| 2020 | 11.1 | 13.2 |
| 2021 | 11.2 | 13.7 |
| 2022 | 11.1 | 15.0 |
| 2023 | 11.5 | 16.0 |
| 2024 | 12.5 | 16.5 |
| 2025 * | 13.4 | 17.3 |
Source: US EIA, average residential retail electricity price. Values in cents per kWh. * 2025 is preliminary.
Wyoming residential electricity ran about 13.4¢ per kWh in EIA's preliminary 2025 figures — up roughly 79 percent since 2005. That's steeper than most homeowners assume for a state known for cheap coal power, and the pace hasn't slowed: the last decade averaged about 2 percent a year. Wyoming is a small grid with a lot of transmission line per customer, an aging coal fleet facing retirement pressure, and rural cooperatives without the customer base to spread costs the way a big utility can. None of that points toward cheaper power — it's the one long-term argument in solar's favor here.
The Wyoming Sun, Month by Month
Panels respond to sun angle and day length, not outdoor temperature — good news in Wyoming, where cold, clear winter days can actually help a panel's efficiency even as shorter days cut total output. At 42.4°N the winter sun sits noticeably lower than in the Sun Belt, so production swings more between June and December than it would in Arizona or Florida.
Wyoming monthly solar production data
| Month | kWh per installed kW |
|---|---|
| Jan | 112 |
| Feb | 115 |
| Mar | 148 |
| Apr | 140 |
| May | 138 |
| Jun | 144 |
| Jul | 140 |
| Aug | 140 |
| Sep | 136 |
| Oct | 131 |
| Nov | 115 |
| Dec | 99 |
| Year | 1558 |
Source: NREL PVWatts typical-year estimate (Cheyenne), per installed kW at latitude tilt.
Expect May through August to carry most of the year's production, with a long, low-output stretch from November through January. Wyoming's dry climate and frequent wind help keep panels clear of the haze that dims output elsewhere, and snow tends to slide off a properly tilted array once the sun returns. If your bills spike with electric heat in winter, that's exactly when your panels produce the least — size the system around annual usage, not your worst month.
What Solar Costs in Wyoming in 2026
EnergySage puts the current Wyoming average at about $3.55 per watt installed, with a typical system size of roughly 12.6 kW — larger than the national average, reflecting Wyoming's bigger, more rural homes. A 12.6 kW system runs about $44,750 gross before any incentive, and that figure already predates the loss of the federal credit — there's no 30 percent slice coming off it anymore.
| System Size | Typical 2026 Cost | Roughly Offsets | Fits |
|---|---|---|---|
| 5 kW | $17,500 to $18,000 | ~7,790 kWh/yr (~$87/mo at 13.4¢) | Smaller home, lower usage |
| 8 kW | $28,000 to $28,800 | ~12,460 kWh/yr (~$139/mo) | Mid-size home |
| 12 kW | $42,000 to $43,200 | ~18,700 kWh/yr (~$209/mo) | Close to Wyoming's average system |
Wyoming's sales tax exemption covers generating equipment up to 25 kW, so nearly every residential system qualifies — a few percent saved up front, but nowhere near what the old federal credit did. With no state credit and no federal credit, the number you negotiate is close to the number you pay.
Estimate Your Wyoming Payback
The calculator below starts from Wyoming's average rate and Cheyenne-area production. Plug in your own monthly bill to see an estimated system size, payback period, and 25-year outlook. Wyoming rates have climbed roughly 2 percent a year over the last decade — a reasonable starting point for the inflation assumption, though you should test both a flatter and a steeper future given how small and exposed this grid is to fuel-cost swings.
Wyoming Solar Incentives That Still Exist in 2026
Here's what's gone and what survived.
- Gone — the 30 percent federal credit: The federal Residential Clean Energy Credit ended for installations completed after December 31, 2025, with no phase-out. If a quote still nets out 30 percent for federal credit, that installer hasn't updated their paperwork.
- Never existed — a state income tax credit: Wyoming has no state income tax, so there's never been a state credit for solar, and nothing suggests that's changing.
- Still here — sales tax exemption: Solar equipment up to 25 kW (or any size off-grid system) is exempt from Wyoming sales and use tax under Wyo. Stat. §§ 39-15-105(a)(iii) and 39-16-105. This has lapsed once before and been reinstated, so get written confirmation it's active before you buy.
- Still here — property tax exemption: A qualifying system's value — your out-of-pocket cost for parts and labor — is fully exempt from property tax every year it operates. File Form 18865 with your county assessor to claim it.
- Partially — leases and PPAs: Third-party-owned systems can still tap a separate federal business credit (48E) through 2027, but it belongs to the leasing company, not you. It might lower your lease payment. It might not. Compare a lease against a cash or loan purchase before assuming it's the better deal.
There is no state rebate program and no SREC market in Wyoming — the two exemptions above are the whole state incentive picture.
Net Metering in Wyoming — and Why It's Being Fought Over
Wyoming's net metering statute (Wyo. Stat. § 37-16-101 et seq.) covers systems up to 25 kW and is still in force in 2026. Your utility nets your usage monthly, crediting you a kWh amount that carries to your next bill. Historically, any credit still on the books at year's end got settled at the utility's "avoided cost" rate — often just 2 to 4 cents per kWh, far below the retail rate you were credited monthly.
That gap is exactly what got litigated. In September 2024, the Wyoming Supreme Court ruled in Powder River Basin Resource Council v. Wyoming PSC that the Public Service Commission couldn't simply presume avoided-cost was "just and reasonable" for High Plains Power's small-scale solar customers, sending the rate back to the PSC for a real ratemaking process. That's why net metering compensation is still being actively re-filed and re-litigated at the PSC through 2025 and 2026, utility by utility — High Plains Power and MDU both had 2026 tariff revisions pending as of this writing. A separate 2026 bill, SF 111, would have let the PSC set new, lower compensation for systems installed after January 1, 2026, while grandfathering existing ones. It passed committee 4-1 but failed on the Senate floor, so net metering was not repealed.
Which utility serves your address matters more here than in most states. Rocky Mountain Power (PacifiCorp) covers most population centers — Cheyenne, Casper, the I-25 and I-80 corridors — on its own PSC-filed tariff. But much of Wyoming's ranch and agricultural land is served by small member-owned cooperatives — High Plains Power, Big Horn REC, Niobrara Electric, and others — each with its own filing, and it's the co-ops, not Rocky Mountain Power, that have pushed hardest to cut solar payback rates. Two neighbors with identical systems on different utilities can see meaningfully different year-end credit values, so check your specific utility's current tariff before signing anything.
How to Go Solar in Wyoming
Work through these steps before committing to a system.
- Pull your last 12 power bills and find your true annual average — Wyoming usage swings hard between electric-heat winters and mild summers.
- Confirm your roof faces south, east, or west with minimal shading and can handle Wyoming's wind loads.
- Check your roof has at least 10 to 15 years of life left before committing panels to it.
- Get at least three local quotes and confirm none are still pricing in a federal credit that no longer exists.
- Ask your specific utility — Rocky Mountain Power or a rural co-op — what its current annual true-up rate is for exported power.
- File Form 18865 for the property tax exemption once the system is installed.
- Weigh payback against how long you plan to stay. With above-average costs and no federal credit, Wyoming payback runs long — this is more a long-hold decision than a quick win.
For the full picture of how solar works, sizing a system, and buying versus leasing, read our main solar panels guide. It covers the technology and the decision in depth, while this page focuses on what's specific to Wyoming. If your roof needs work before it can carry panels, see our roofing guide, and for how a system interacts with your home's wiring and your utility connection, see our electrical guide.
Sources
Figures on this page are 2026-current. Rates: US EIA, Electric Sales, Revenue, and Average Price (2025 values preliminary). Production estimates: NREL PVWatts. Net metering statute and litigation: Wyo. Stat. § 37-16-101 et seq. and Powder River Basin Resource Council v. Wyoming PSC (2024); see also WyoFile's coverage of SF 111. Tax exemptions: Wyoming Statutes §39-16-105 and §39-15-105 (sales/use tax), and the DSIRE property tax exemption listing. Cost data: EnergySage Wyoming solar cost data. We review these figures every six months.