Best Solar Panel Installation Companies in Indiana - CNET

Despite some lackluster state incentives, going solar might still help you save money on your electric bill in the Hoosier State.

Solar panels may help you save money on energy in Indiana.

If you live in the Hoosier State and want to lower your electric bill, solar panels could be the solution. Electricity rates in Indiana saw a slight dip in 2023, but solar is still viable option for those looking to spend less on their monthly electric bill, reduce their reliance on the grid and power their home with clean energy.

Rising electricity rates happen because of fluctuating prices of fossil fuels and plant shutdowns. Since Indiana's electricity generation comes mostly from coal and natural gas, your utility bill can sometimes be unpredictable. One way to take control and become energy independent is to go solar -- and federal and state incentives make solar an appealing option for Indiana residents.

One potential obstacle: Indiana phased out its net metering policy in 2022, which had allowed residential solar owners to send excess solar energy back to the grid and receive a credit on their next electric bill. Those who installed solar panels before 2023 will continue to have access to net metering. Indiana residents making the clean energy switch still have access to the federal residential clean energy credit, as well as sales and property tax exemptions for their solar panel system.

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Here's what you should know if you're thinking about getting solar panels on your home in Indiana -- starting with the best solar panel installation companies operating within the state.

There are 102 solar companies in Indiana, including 38 installers. CNET has reviewed the best national solar installers; here are some to consider.

EnergyPal is more than just a middleman. It'll handle your solar installation from beginning to end while also allowing you to benefit from its proprietary engine and competitive bidding process. The company offers a range of hardware for panels, batteries and inverters, has plentiful financing options and offers responsive customer service support.

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EnergyPal is both a marketplace and an energy advisor. It uses its proprietary quote builder engine to customize your solar system; then it'll contract with a local company and act as your single point of contact for everything from installation to permitting. Hardware options include solar panels, batteries and inverters from QCells, REC, Silfab, Aptos, Tesla, Enphase, SolarEdge and FranklinWH. You can expect a workmanship guarantee of 5-10 years, with manufacturer warranties of up to 30 years depending on the hardware. No weatherization warranty is offered. Customers can also take advantage of third-party monitoring tools, from Enphase, SolarEdge, Tesla and others. While EnergyPal isn't rated by the BBB, it receives positive customer reviews online and scores a 4.7 on Trustpilot.

Tesla's solar branch seems to be the least loved of Elon Musk's ventures. Even Tesla's Solar Roof seems to get more love.

If price is the thing you won't budge on, consider Tesla. By all accounts, Tesla installs quality panels and makes the closest thing there is to a household name in solar storage: the Powerwall.

Where you might miss out is customer service. Discussion online seems to suggest Tesla's service is a bit of a gamble.

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Solar panels from Tesla are likely to be the cheapest option where they are available. You can save thousands of dollars, without sacrificing on quality of equipment or the warranties that protect it.

What you might sacrifice is customer service. From delays to price changes, to slow responses, to system malfunctions, social media reports of negative experiences aren't hard to find, including some who regret their choice. This is true of all solar companies, but the quantity of reports concerning Tesla is concerning.

You don't have to choose a big national brand. Here are some local companies we identified that operate in Indiana.

Advanced Solar provides residential, commercial and agricultural solar services in Indiana ranging from solar system design to inspection and post-installation customer support. Advanced Solar doesn't publicly provide information on whether it offers solar leases or PPAs or the terms of its warranties.

Based in Bloomington, Indiana, Whole Sun Designs installs solar systems and batteries for residential, group and commercial customers in Indiana, Kentucky and Illinois. While the company focuses on residential, grid-tied solar systems, it also installs solar heaters and off-grid solar power systems. The company installs Q Cells solar panels and SolarEdge inverters for its residential solar customers. While Whole Sun Designs provides a 25-year product warranty, it doesn't specify if it gives a performance or quality of work warranty.

YellowLite operates in eight states, including Indiana. This Ohio-based company provides customers with solar installation, repair and maintenance. YellowLite also offers online monitoring of your solar system's performance. It provides a 10-year quality of work warranty, but does not specify warranty information for components. YellowLite provides solar financing services in partnership with GreenSky Credit, Clean Energy Credit Union and traditional banks.

Your choice of solar panel company should be like choosing any other contractor for a big project: You want a company that has a good reputation, a good price and a history of quality work. That means, most importantly, that you need to get multiple quotes.

Have representatives from several companies give you estimates of what kind of system they can install and choose one that best fits your wants, needs and budget.

Talk with your neighbors who have solar panels to see what companies they used and what their experiences were like. Ask around and find plenty of options to consider.

Here's a look at the average cash price for a typical solar panel system in Indiana before factoring in tax credits and incentives, according to data from FindEnergy.com.

The map below shows the average total cash price, cost per watt and system size for a typical solar panel system in your state, according to data from FindEnergy.com. The prices displayed don't factor in tax credits or state incentives. Certain states don't have any FindEnergy solar data and are grayed out on the map.

Despite the end of net metering, Indiana homeowners have several other solar incentive programs to reduce the cost of solar. The residential clean energy credit, a federal solar tax credit program, is one of the essential incentives available to all American homeowners. With this tax credit, you can claim 30% of the cost of a solar system from your federal income taxes. The credit is 30% through 2032. After that, it drops to 26% in 2033, 22% in 2034 and expires in 2035.

Read more: Want something smaller than a whole-home solar system? See our picks for the best portable solar panels and solar generators.

CNET recently ranked states based on their residential solar policies: the laws and regulations affecting consumer-level solar panel installation and adoption. These policies play a major role in determining how accessible and affordable a solar panel system is to the average resident.

Each state was evaluated through a methodology and scored based on eight categories. The final score was converted to a letter grade.

Here's how your state scored on CNET's solar policy test.

Grade: F

Incentives available:

Strongest scoring categories:

In Indiana, solar panels are fully exempt from property taxes. Only the solar arrays themselves are exempt from sales taxes, rather than every piece of solar equipment, but the combined tax exemptions can save residents on the investment into a solar panel system.

Categories to improve:

The exchange rate for energy on the grid is accredited at the wholesale rate, which is going to impede residents' savings. There are also no low-income programs for solar offered in Indiana.

There are various ways to pay for solar panels in Indiana. Each one has its pros and cons.

Cash: When you buy a solar system with cash, you don't need to deal with interest or loan fees. While the upfront cost is high with a cash payment, you can reduce the total cost by claiming the 30% residential clean energy credit.

Solar loan: If cash is not an option, consider a solar loan. A loan requires no expensive upfront payment but you will pay interest and fees, which can add up to a considerable amount over time. Using cash or a loan gives you a more significant return on your investment because you can apply for various incentive programs to lower the overall cost of solar panels.

Other loans: You don't have to go with a solar loan from your installer or another solar company. You can also finance solar panels through home equity loans, home equity lines of credit and personal loans. These products all have their own advantages and disadvantages. Know the risks, such as using your home as collateral, and shop around and compare to see what gives you the best deal.

Solar lease: If you choose to lease solar panels, a solar company installs them on your property, but the ownership remains with the company. You pay a fixed monthly price for the electricity generated from the panels. Since you won't own leased solar panels, you won't be eligible for tax and other financial incentives, but the leasing company will.

Power purchase agreement: With a power purchase agreement (PPA), a solar company installs solar panels on your rooftop but owns and maintains the solar panels. You pay a fixed price per kilowatt hour for electricity produced by solar panels. The solar company retains all incentives because it owns the solar system, which means you won't be eligible for the incentives. You won't be able to take advantage of any solar incentives if you sign up for a solar lease or PPA, but leases and PPAs are excellent options for those who can't afford the upfront capital or are ineligible for a loan.

Many factors can determine whether it makes sense to go solar.

Our Methodology

The companies we listed above as "the best" are curated from CNET's best solar companies list. Companies making the best list are scored on the equipment, warranties and customer service they offer. Then, we make sure these recommendations are available in your state. You can read a full breakdown of how we review solar companies here.

Companies listed under the local installers were chosen in a less rigorous way. We chose them because they offered something unique or notable to customers in the state, they seemed well-regarded by internet reviewers or because they were one of the few installers we could find information on in the state.

Whether we've completed a full review on a company or not, it's always a good idea to get multiple quotes from different installers before choosing a company.

Will my solar panels generate power during cloudy days?

The amount of power your solar panels produce depends on how much sunlight they receive. When conditions are cloudy, the system will produce less energy than when it is sunny.

Will solar panels get rid of my utility bill?

If your solar system is connected to the grid you will still receive electricity when solar panels stop generating power in the evenings or cloudy days, unless you have enough backup energy storage to cover all of your energy needs. If at any point you don't produce enough or do not store enough, you will still get a utility bill, but it should be lower.

How can I find out if my roof is suitable for solar panels?

The ideal roof orientation for solar is south-facing with minimal to no shading around it. You must also ensure your roof has sufficient space to accommodate solar panels. A professional solar installer can assess your roof's condition and angle and guide you on the next steps if you decide to go solar.

Article updated on October 28, 2024 at 3:42 PM PDT

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