Solar in New Hampshire: High Rates, Modest Sun, and a Surprising Case for Panels

New Hampshire does not get as much sun as Nevada or Texas. It has long winters, heavy snow, and significantly fewer peak sun hours than sunbelt states. So why does solar often make more financial sense in New Hampshire than in states with twice the sunshine?

Because New Hampshire has some of the highest electricity rates in the country. When you are paying $0.22-$0.28/kWh for grid electricity, every kilowatt-hour your panels produce is worth considerably more. Solar economics are driven as much by what you are avoiding as by what you are producing. And New Hampshire homeowners are avoiding some of the most expensive electricity in America.

The Good News

Very High Electricity Rates

Eversource, the dominant utility in southern and central New Hampshire, charges residential rates averaging $0.24-$0.28/kWh. Liberty Utilities and the New Hampshire Electric Cooperative also serve portions of the state at similarly high rates. These are among the highest in the nation — roughly double the national average.

This single factor does more for solar economics than any incentive program. Every kWh your panels produce avoids a $0.25 purchase from Eversource. A system in New Hampshire producing 8,000 kWh saves you $2,000 at those rates. The same system in a $0.11/kWh state saves you $880. The rate differential is enormous.

Net Metering at Full Retail

New Hampshire requires utilities to offer net metering for residential systems, and credits are applied at or near the full retail rate. Monthly net excess generation is credited to your next bill. This is a strong policy that makes the math work for systems that produce more than you consume during sunny months.

The combination of high rates and full retail net metering is the one-two punch that makes New Hampshire surprisingly good for solar.

State Rebate Program

The New Hampshire Public Utilities Commission has administered a residential solar rebate program, typically offering $0.20-$0.30 per watt for systems up to 10 kW. On a 7 kW system, that translates to $1,400-$2,100. Funding comes from the Renewable Energy Fund and is subject to availability — check current status before planning around it.

Property Tax Exemption

New Hampshire municipalities may adopt a property tax exemption for solar energy systems. Many towns have done so. Check with your town assessor to confirm the exemption is in place — it is not automatic statewide but is widely adopted. Given New Hampshire's notoriously high property tax rates (often 2.0-2.5% of assessed value), this exemption saves meaningful money.

The Challenges

Moderate Solar Resource

New Hampshire averages 4.0-4.5 peak sun hours per day — below the national average. Southern New Hampshire (Nashua, Manchester, Concord) gets the best exposure. The northern parts of the state and mountain regions get less. You will produce fewer kWh per installed kilowatt than systems in the mid-Atlantic or sunbelt states.

Winter months are particularly weak — December and January deliver 2.5-3.0 peak sun hours, and snow cover reduces production further. Annual production is heavily concentrated in April through September.

Snow and Winter Production

Heavy snowfall is a reality. Panels typically shed snow within 1-3 days due to their tilt and dark surface, but during extended snowy periods, production drops to near zero. Steep-pitch roofs shed snow faster than low-pitch roofs — factor this into system design.

Do not let anyone climb on your roof to clear panels. The production lost to snow over a winter is less than the cost and risk of regular snow removal.

Higher Installation Costs

New England installation costs run above the national average. Expect $3.10-$3.50 per watt in New Hampshire, reflecting higher labor costs, shorter installation seasons, and cold-climate mounting requirements. A 7 kW system runs $21,700-$24,500 before rebates.

The New Hampshire Solar Math (2026)

Typical 7 kW system:

• Installed cost: $23,100 ($3.30/watt)
• Federal ITC: $0 (expired)
• State rebate: ~$1,750 ($0.25/watt, if available)
• Net cost: ~$21,350

Annual production: ~8,750 kWh

Average Eversource rate: $0.26/kWh

Annual savings: $2,100-$2,275

Payback period: 9-10 years

25-year savings: $30,000-$45,000 (depending on rate increases)

Read those numbers again. Despite getting 30-40% less sunshine than Nevada, New Hampshire's payback period is actually shorter — because the value of each kWh is so much higher. This is the clearest demonstration in the country that solar economics are about rates, not just sunshine.

If Eversource rates continue climbing at 3-5% annually (they have been volatile but trending upward), 25-year savings approach the upper end of that range.

With a 9-10 year payback already in reach, getting competitive quotes ensures you are not leaving money on the table with an overpriced installation.

When Solar Makes Sense

Install if:

• Your Eversource or Liberty Utilities bill exceeds $150/month
• You plan to stay in the home 8+ years
• You have a south-facing roof with steep pitch (better for snow shedding)
• You want to hedge against New England's notoriously volatile electricity rates
• Your town has adopted the solar property tax exemption

Wait or skip if:

• You are in a heavily shaded location (common in forested areas of northern NH)
• Your roof faces north or has a very low pitch
• You plan to move within 4-5 years
• Your roof needs replacement in the next 5 years
• You are on a community power program with rates significantly below standard Eversource tariffs

Key Takeaways

• New Hampshire's high electricity rates ($0.24-$0.28/kWh) are the primary driver making solar work here
• Net metering at full retail rate maximizes the value of every kWh your panels produce
• State rebate (~$0.25/watt) provides $1,400-$2,100 in direct savings on a typical system
• Payback period of 9-10 years is among the shortest in the country — proof that rates matter more than sunshine
• 25-year savings of $30,000-$45,000 make this one of the strongest long-term solar investments nationally
• Snow is a nuisance, not a deal-breaker — design for steep pitch and accept minor winter production losses
• Check your town's property tax exemption status — most towns have adopted it, but it is not automatic
• New Hampshire proves that high rates + good policy = strong solar economics, even with modest sunshine

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