Albuquerque · NM
Solar Companies in
Albuquerque, NM
Albuquerque homeowners pay $13,000–$19,500 for a typical 7 kW solar system in 2026. The federal 30% residential tax credit expired December 31, 2025; New Mexico's property tax and sales tax exemptions remain active. At PNM (Public Service Company of New Mexico)'s rate of $0.138/kWh, most systems pay back in 10–15 years.
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6 hrs/day
Peak Sun Hours
$1,240/yr
Avg. Annual Savings
10–15 yrs
Payback Period
$13,000–$19,500
Avg. System Cost
2026 update: The 30% federal residential solar tax credit (Section 25D) expired December 31, 2025. Homeowners purchasing systems in 2026 cannot claim it. Solar leases and PPAs are the exception — the installer can still claim commercial credits and pass savings through in the monthly rate. Full 2026 ITC guide →
About Solar in Albuquerque
Why Albuquerque Homeowners Are Going Solar in 2026
Albuquerque has the best solar resource of any Phase 2 city — 6.0 peak sun hours per day. PNM's rates are moderate, but the combination of New Mexico's 10% state tax credit (up to $9,000), gross receipts tax exemption, property tax exemption, and excellent sun hours makes Albuquerque one of the strongest solar markets in the country even without the federal ITC.
Key solar facts for Albuquerque
- 6 peak sun hours per day
- PNM (Public Service Company of New Mexico) average rate: $0.138/kWh
- Average monthly bill: $118
- Popular system size: 7 kW
- Permit timeline: Albuquerque solar permits typically take 2–3 weeks through the City of Albuquerque Development Services. Bernalillo County jurisdictions outside the city are typically similar. HOA approval (if applicable) can add 2–6 weeks.
Active Incentives
Albuquerque Solar Incentives in 2026
New Mexico Solar Market Development Tax Credit
State CreditNew Mexico offers a 10% state income tax credit on residential solar installations, capped at $9,000 per taxpayer. This is one of the most generous state-level solar credits in the country. The credit can be carried forward for up to 3 years if it exceeds your annual tax liability.
Value: 10% state tax credit, up to $9,000
New Mexico Net Metering
Net MeteringPNM credits excess solar generation at the retail rate under New Mexico net metering law. Residential systems up to 80 kW qualify. Annual true-up: unused credits roll forward but do not pay out as cash.
Value: Retail rate credit
New Mexico Property Tax Exemption
Property TaxSolar installations are exempt from New Mexico property tax assessments. Adding panels does not increase your annual property tax bill.
Value: 100% exemption on added value
New Mexico Gross Receipts Tax Exemption
Sales TaxSolar energy systems are exempt from New Mexico's gross receipts tax (the state equivalent of a sales tax), saving 5–9% on a typical installation depending on local rates.
Value: 5–9% gross receipts tax exemption
Net Metering in Albuquerque
PNM credits excess solar at the retail rate. Credits roll forward monthly; unused annual credits do not pay out as cash. Systems must be 80 kW or smaller to qualify.
Solar Leases & PPAs in Albuquerque
Solar leases and PPAs are available in Albuquerque through national installers. Note: New Mexico's 10% state tax credit is only available for purchased systems — lease/PPA customers do not receive the state credit.
How much does solar cost in Albuquerque?
Detailed cost breakdown, financing options, and payback analysis for Albuquerque homeowners.
Want national solar cost data? How Much Do Solar Panels Cost in 2026? →
Common Questions
Albuquerque Solar FAQ
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Albuquerque Solar at a Glance
Solar Installers Serving Albuquerque and Surrounding Areas
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