Hawaii solar tax credit Act 24

Hawaii is the one state where the solar math barely needs arguing. Power costs 47.18 cents a kilowatt-hour — the highest in the country, two and a half times the national average — and a kilowatt of panels here makes about 1,623 kilowatt-hours a year, among the best production anywhere in the United States. Panels run $3.14 a watt, a typical 7.49 kW system costs about $23,519 before incentives, and the system pays for itself in about 7.9 years before incentives — 7.7 years on Oahu, 9.0 on Maui — the fastest payback in the country. The catch is that Hawaii ended retail net metering a decade ago, so what the panels earn depends on the island and the hour: daytime exports on Oahu earn 13.5 cents while evening exports earn 32.9, and Kauai’s co-op pays a monthly rate tied to oil. The state still offers a 35% tax credit capped at $5,000, but a 2026 law added a certificate, a $40 million yearly cap, an income cliff, and an end date — and the 30% federal credit is gone for a 2026 purchase you own. Nearly every new Hawaii system now includes a battery, and Hawaiian Electric will pay $400 per kilowatt for one. Every size gets priced here, the islands get compared, the export rules get explained hour by hour, and the guide finishes by naming the households that should sign this year — and the ones that should wait.