Solar Battery Backup Costs Increase in 2026 Following Expiration of Federal Tax Credit
The cost of solar battery backup systems for U.S. homeowners has significantly increased in 2026 due to the expiration of the 30% federal residential clean energy tax credit at the end of 2025. Homeowners are now responsible for the full retail price of these systems, which typically range from $11,000 to $17,000 for a single installed unit. This cost includes the physical battery, supporting electrical hardware, and labor. While the federal credit is no longer available, some states and local utility companies continue to offer incentives, such as California's SGIP program. The financial decision to install a solar battery backup now heavily relies on localized costs, utility rates, and individual power needs, particularly in areas with time-of-use (TOU) billing where storing solar power for peak hours can yield savings.
