Solar in Rapid City, SD
With Black Hills Power's electricity at about 16.1¢ per kWh and 1,460 kWh of sun per kW, solar is not worth it for a typical Rapid City home today: about a 20.3-year payback.
- Payback, typical home
- 20.3 yrsSouth Dakota: 21.8 yrs
- 25-year net
- $3,018after paying $11,000
- Sun
- 1,460kWh per kW per year
- Electricity
- 16.1¢11% below U.S. average
A typical Rapid City home, by the numbers
| Utility | Black Hills Power |
|---|---|
| Electricity use | 700 kWh a month |
| Best-value system | 3 kW, about 7 panels, 4,379 kWh a year (52% of use) |
| Cost | $11,000 |
| First-year savings | $554 |
| Payback | 20.3 years |
| Exported power | Avoided-cost export credit (Black Hills Power) |
Cash purchase, no federal credit, 1.9% yearly rate increases. Run it with your own numbers.
Homes in Rapid City
- Owner-occupied homes
- 63%
- Single-family detached
- 58%
- Median home value
- $299k
- Median year built
- 1979
- Population
- 77,946
- Roofs suitable for solar†
- 82%
Census ACS 2020–2024. †Share of 19,346 buildings Google Project Sunroof rated technically suitable (2019 snapshot).
Installers working in Rapid City
Public installation records for South Dakota don't name installers, so we can't rank local companies here. Browse installers in South Dakota.
Always verify the license and get at least three quotes. Compare quotes side by side.
Questions about solar in Rapid City
Is solar worth it in Rapid City, SD?
For a typical home in Rapid City, solar is not worth it at 2026 prices: a 3 kW system costs about $11,000 after state incentives, saves about $554 in year one and pays back in about 20.3 years. Enter your address for an estimate based on your roof and bill.
How much solar power does a system produce in Rapid City?
About 1,460 kWh per year for each kW of panels on a south-facing roof, based on PVWatts and local weather. That's 3% more than the South Dakota average. East- or west-facing roofs produce roughly 10–20% less.
Who is the electric utility in Rapid City?
Most homes in Rapid City are served by Black Hills Power, at about 16.1¢ per kWh on average. Some areas are served by Black Hills Electric Cooperative, West River Electric Association.
How much do solar panels cost in Rapid City?
A fair cash price is around $3.00 per watt before incentives, so about $11,000 for a 3 kW system. There's no federal tax credit for homeowners who buy in 2026.
Nearby
- Aberdeen no payback
- Sioux Falls 19 yrs
- All of South Dakota
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.