Going Solar in Tennessee: A Complete Guide for 2026
Tennessee, the Volunteer State, offers solid solar potential with 4.5 peak sun hours daily and electricity rates of $0.11/kWh. The state's lack of income tax simplifies federal incentive claims, and the TVA region provides various solar programs. From Nashville to Memphis to Knoxville, Tennesseans are embracing solar energy for cost savings and energy independence.
Tennessee Valley Authority (TVA)
Most of Tennessee is served by TVA through local power companies. TVA's Green Invest and other initiatives support solar development. Each local utilityβNashville Electric Service, Memphis Light, Gas and Water, and othersβmay offer different programs. Contact your local provider for specific offerings.
Financial Benefits of Solar in Tennessee
The 30% Federal ITC provides direct savings with no state income tax complications. Property tax exemption prevents increased taxes. Low electricity rates extend payback times but solar provides energy independence and hedge against future increases.
πΈ Tennessee Solar Savings
- β’ Monthly Savings: $120
- β’ Annual Savings: $1,440
- β’ 25-Year Savings: $30,600
Major Cities for Solar in Tennessee
Nashville, Tennessee's capital, leads solar with a booming market and Nashville Electric Service programs. Memphis in West Tennessee has MLGW. Knoxville in East Tennessee serves as a TVA hub. Chattanooga has EPB with innovative utility programs.