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SolarUnfiltered

Solar in Idaho

Key Solar Metrics

Avg Electricity Rate

11.8¢/kWh

Solar Production Potential

5.4 peak sun hours

Annual Production

991 kWh/kW

Net Metering

Net Billing

Incentive Programs

3 active programs

Top Incentive

Idaho Residential Alternative Energy Tax Deduction

Permitting

City

Major Utilities

Idaho Power Co (Oregon) logoIdaho Power Co (Oregon)

Solar Landscape in Idaho

Idaho's electricity market is dominated by Idaho Power, an investor-owned utility serving approximately 600,000 customers across southern Idaho and parts of eastern Oregon. Idaho Power is the primary utility for solar interconnection in the state and operates the net billing program that replaced net metering in January 2024.

Rocky Mountain Power also serves a portion of eastern Idaho. Idaho has some of the lowest electricity rates in the nation due to abundant hydroelectric resources, which can make the solar payback period longer compared to states with higher rates.

Permitting

Solar permitting in Idaho is handled at the local jurisdiction level, with requirements varying by city and county. Most residential installations require both building and electrical permits. Idaho does not have state-level streamlined permitting standards, and SolarAPP+ adoption has been limited.

Typical residential solar permitting timelines in Idaho range from 1 to 3 weeks depending on the jurisdiction. Urban areas like Boise and Meridian tend to have more established processes, while rural counties may have simpler or less formal requirements.

Idaho's solar access law (Idaho Code 55-3208) provides strong HOA protections, preventing associations from banning rooftop solar while allowing reasonable aesthetic requirements such as roof-parallel mounting and south-facing orientation.

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Solar Incentives & Rebates

Some incentive data is provisional and subject to verification. Programs may change — check official sources before making decisions.

State Programs

Idaho Residential Alternative Energy Tax Deduction

40% deduction in year 1, 20% in years 2-4. Maximum $5,000/year, $20,000 total. This is a deduction, not a credit.

Percentage
40%

Idaho Net Billing

Idaho transitioned to net billing. Export credits at time-of-use avoided cost rate (~$0.04/kWh for Idaho Power).

Idaho Property Tax Exemption for Solar

Idaho exempts solar energy systems from property tax for residential installations.

TPO EligibleProvisional

Idaho Net Billing

Policy Type
Net Billing
Credit Type
Time of Use
Annual Credit Rollover
No
Effective Date
January 1, 2024

Run the Numbers for Idaho

Solar in Idaho costs $2.83–$3.54 per watt

National average: $3.36/W

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