Complete Guide to Solar Energy in Arkansas
Your complete resource for solar energy. Everything you need to know about solar laws, solar costs, solar financing, and solar installation in Arkansas.
Why Arkansas is Strong for Solar Energy
Strong Solar Potential
Arkansas gets about 217 sunny days per year, giving homeowners a strong solar resource across much of the state. With long, hot summers and high cooling demand, solar panels can generate meaningful daytime savings for households that use a lot of electricity during peak heat.
Rapid Solar Market Growth
Arkansas is no longer a small solar market. The state now has nearly 4 GW of installed solar capacity, enough to power hundreds of thousands of homes. That growth has improved installer availability, increased market competition, and made solar more familiar and accessible for homeowners across the state.
Affordable Solar Pricing
Arkansas remains one of the more affordable states for residential solar pricing. Installed system costs are below the national average, which helps offset the fact that Arkansas electricity rates are still relatively moderate compared with higher-cost states. Strong equipment pricing and good sunshine levels continue to make solar financially viable for many homeowners.
Legacy Net Metering Still Matters
Arkansas changed its solar compensation rules after Act 278, replacing traditional net metering for most new customers with net billing based on avoided-cost credits. However, customers who qualified before the September 30, 2024 deadline can remain under more favorable legacy terms through 2040. For new homeowners going solar, system sizing and self-consumption now matter more than ever.
Explore Solar Topics
Explore Solar Topics
Laws & Regulations
Arkansas solar law now centers on the shift from traditional net metering to net billing under Act 278, along with updated Arkansas Public Service Commission rules governing interconnection, billing, customer protections, and legacy grandfathering through 2040.
Residential Solar
Complete guide for homeowners covering system sizing for Arkansas homes, roof suitability, panel performance in hot and humid weather, inverter options, battery storage value, and the role of self-consumption now that exported solar electricity is generally credited at lower avoided-cost rates.
Costs & Savings
Current Arkansas pricing breakdown, electricity bill offset potential, payback period estimates, long-term savings projections, and how net billing changes the economics of sending extra energy back to the grid.
Financing Options
Solar loans, leases, PPAs, cash purchase strategies, and practical financing options for homeowners who want to go solar in Arkansas without relying on major state tax incentives or exemptions.
Installation Guide
How to choose a qualified installer, compare proposals, understand permitting and inspections, complete interconnection paperwork, and prepare for utility approval with providers such as Entergy Arkansas and SWEPCO.
Solar 101
Fundamentals of photovoltaic technology, monocrystalline vs. polycrystalline panels, string inverters vs. microinverters, battery basics, and the key differences between net metering and net billing in Arkansas.
Community Solar
Overview of shared solar opportunities, utility-scale solar growth in Arkansas, and alternatives for renters or homeowners whose roofs are not ideal for solar installation.
Solar Calculator
Estimate your solar savings and system requirements.
Quick Solar Savings Calculator
Important 2026 Updates
Solar Economics Remain Competitive Despite Policy Changes
Although Arkansas no longer offers full retail net metering for most new customers, solar can still be a strong long-term investment thanks to relatively low installation prices, good sunshine, and growing interest in battery storage. The strongest savings now come from maximizing onsite energy use rather than exporting excess generation.
Legacy Net Metering Deadline Has Passed
Arkansas homeowners who installed and qualified for solar before the September 30, 2024 transition deadline may keep legacy net metering treatment through June 1, 2040. Most newer systems are now compensated under net-billing rules tied to avoided cost, which typically means lower export value and greater importance of battery storage and careful system design.
Arkansas Act 278 | Arkansas Net Metering Policy Overview | Arkansas Public Service Commission
Arkansas Solar Laws & Regulations
Federal Incentives
The residential federal clean energy credit no longer applies to expenditures made after December 31, 2025, so homeowners planning solar in 2026 and beyond should evaluate projects without assuming the former residential federal tax benefit.
Net Billing Rules
Arkansas shifted from traditional net metering to net billing for most new solar customers. Under the current structure, excess electricity exported to the grid is generally credited using avoided-cost calculations rather than full retail electricity rates, reducing the value of overproduction.
Utility Interconnection & Legacy Service
Utilities such as Entergy Arkansas and SWEPCO continue to offer interconnection pathways for qualified residential systems. Legacy customers may remain under prior net-metering terms if they meet Arkansas qualification deadlines, while newer customers are placed under updated non-legacy service structures.