Typical home: Worth it

Solar in Palo Alto, CA

With PG&E's electricity at about 40.5¢ per kWh and 1,649 kWh of sun per kW, solar is worth it for a typical Palo Alto home today: about a 10.2-year payback.

Payback, typical home
10.2 yrsCalifornia: 10.9 yrs
25-year net
$24,566after paying $10,700
Sun
1,649kWh per kW per year
Electricity
40.5¢125% above U.S. average

A typical Palo Alto home, by the numbers

UtilityPG&E
Electricity use405 kWh a month
Best-value system3 kW, about 7 panels, 4,947 kWh a year (102% of use)
Cost$10,700
First-year savings$969
Payback10.2 years
Exported power3.9¢/kWh (PG&E)

Cash purchase, no federal credit, 4.0% yearly rate increases. Run it with your own numbers.

Solar production per kW in Palo Alto

kWh per kW each month, south-facing at 20° tilt. PVWatts v8 with local typical-year weather.

Show as a table
PeriodValue
Jan83
Feb100
Mar124
Apr157
May178
Jun179
Jul189
Aug177
Sep154
Oct134
Nov95
Dec81

Homes in Palo Alto

Owner-occupied homes
55%
Single-family detached
57%
Median home value
$2.0M
Median year built
1963
Population
67,237
Solar installs, last 3 years*
187
Roofs suitable for solar†
86%

Census ACS 2020–2024. *Installations in public records for this area's ZIP codes. †Share of 16,745 buildings Google Project Sunroof rated technically suitable (2019 snapshot).

Older housing stock. Many homes here were built before 1975. Have the roof and electrical panel checked before signing; a roof or panel upgrade can add thousands. Roof first?

Installers working in Palo Alto

Companies with the most installations in Palo Alto's ZIP codes over the last 3 years, from public records. We don't take payment for placement.

  1. Sunrun 51 installs
  2. Bright OPS 36 installs
  3. Tesla Energy 11 installs
  4. Better Earth Electric 6 installs
  5. SunPower 6 installs
  6. Complete Solar 4 installs
  7. Freedom Forever 4 installs
  8. Grid Alternatives 4 installs
  9. Luminalt Energy 4 installs
  10. Nexus Energy Systems 4 installs

Always verify the license and get at least three quotes. Compare quotes side by side.

Questions about solar in Palo Alto

Is solar worth it in Palo Alto, CA?

For a typical home in Palo Alto, solar is worth it at 2026 prices: a 3 kW system costs about $10,700 after state incentives, saves about $969 in year one and pays back in about 10.2 years. Enter your address for an estimate based on your roof and bill.

How much solar power does a system produce in Palo Alto?

About 1,649 kWh per year for each kW of panels on a south-facing roof, based on PVWatts and local weather. That's 1% less than the California average. East- or west-facing roofs produce roughly 10–20% less.

Who is the electric utility in Palo Alto?

Most homes in Palo Alto are served by PG&E, at about 40.5¢ per kWh on average. Some areas are served by City of Palo Alto.

How much do solar panels cost in Palo Alto?

A fair cash price is around $2.90 per watt before incentives, so about $10,700 for a 3 kW system. There's no federal tax credit for homeowners who buy in 2026.

Nearby

Data: PVWatts (National Laboratory of the Rockies), EIA-861 2025 adjusted to 2026, U.S. Census ACS, LBNL Tracking the Sun, state policy research as of October 2026.