Solar resource
Your solar production in Richmond
4.94 avg peak sun hours/day
Monthly avg solar radiation (kWh/m²/day) — Richmond, VA. Bars update to show estimated kWh production when you use the calculator above.
Utility rate
Dominion Energy Virginia electricity rate
$0.126/kWh residential
- Utility
- Dominion Energy Virginia
- Residential rate
- $0.126/kWh (blended)
Dominion Energy Virginia is required under the Virginia Clean Economy Act to offer net metering at the full retail rate for residential systems up to 150% of annual load (net metering 3.0). Richmond homeowners benefit from one of the stronger mid-Atlantic incentive stacks: full-retail net metering, Dominion’s Solar Rebate Program, and access to the PJM SREC market for additional revenue.
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Incentives
Available solar incentives in Richmond, VA
Federal + state + utility
| Incentive | Type | Value | Scope |
|---|---|---|---|
| Federal Solar Investment Tax Credit (ITC) | Tax Credit | 30% of system cost | Federal |
| Virginia Clean Economy Act — Net Metering 3.0 | Net Metering | Full retail-rate credit for exported generation up to 150% of annual load | Utility |
| Dominion Energy Solar Rebate Program | Rebate | $250 per kilowatt installed (AC) | Utility |
| PJM SREC Market — Virginia Solar Renewable Energy Credits | Srec | Virginia SRECs trade on the PJM market; value varies with RPS compliance demand | State |
Incentive amounts and eligibility rules change. Verify current terms with your installer and a tax professional before installation.
System cost
Cost breakdown (6 kW default)
- Gross system cost
- $22400
- Federal ITC (30%)
- −$8720
- Net system cost
- $13,680
- Installed cost per watt
- $2.8/W
Mid-Atlantic benchmark estimate for an 8 kW residential system in the Richmond market.
Payback & long-term value
25-year outlook
- Annual savings (yr 1)
- $1,461
- Simple payback period
- 9.4 years
- 25-year net savings
- $45000
- Assumed annual rate increase
- 2.5%/year
25-year estimate uses flat electricity rate for conservative baseline. Accounting for 2.5% annual rate increases, lifetime savings increase substantially.
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How it works
How solar savings work in Richmond
- Your panels capture Central Virginia sun NREL PVWatts modeling for Richmond shows about 4.94 peak sun hours per day and roughly 11,599 kWh per year from a standard 8 kW roof-mount system. Richmond’s mid-Atlantic location provides solid year-round solar production.
- Full retail net metering makes exports highly valuable The Virginia Clean Economy Act requires Dominion to credit exported solar at the full retail rate for systems sized up to 150% of annual load. This makes Richmond one of the more export-friendly markets in the mid-Atlantic.
- Dominion’s Solar Rebate directly reduces installed cost Dominion Energy’s Solar Rebate Program pays approximately $250/kW, worth roughly $2,000 on an 8 kW system. This rebate is applied at installation and reduces the net cost before the ITC calculation.
- PJM SRECs add a revenue stream on top of savings Virginia’s RPS creates demand for Solar Renewable Energy Credits in the PJM market. An 8 kW Richmond system generates about 11–12 SRECs per year, which can be sold for additional income beyond net-metering savings.
- The federal ITC further reduces upfront cost On a modeled $22,400 installed cost, the 30%% federal ITC is worth about $6,720. Combined with the $2,000 Dominion rebate, total incentives reduce net cost to approximately $13,680.
- Richmond has one of the strongest mid-Atlantic incentive stacks The combination of full-retail net metering under the VCEA, the Dominion rebate, PJM SREC revenue, and the federal ITC gives Richmond homeowners a genuinely strong incentive stack that supports a sub-10-year payback at current assumptions.
FAQ
Common solar savings questions for Richmond, VA
How much can I save with solar in Richmond, VA?
An 8 kW Richmond system is modeled at about 11,599 kWh/year. At an effective Dominion bill-impact rate of roughly $0.126/kWh with full retail net metering, first-year savings are around $1,461 and simple payback is about 9.4 years after federal ITC and Dominion rebate incentives.
What is the Virginia Clean Economy Act net metering benefit?
The VCEA requires Dominion Energy to offer full retail-rate net metering for residential systems sized up to 150% of annual load. This means exported solar is credited at the same rate you pay for grid electricity, making Richmond one of the better export-credit markets in the mid-Atlantic.
How does Dominion’s Solar Rebate Program work?
Dominion Energy Virginia’s Solar Rebate pays approximately $250/kW AC for qualifying residential solar installations. On an 8 kW system this is roughly $2,000 paid at installation. Program caps apply, so confirm availability with Dominion before signing a contract.
What are Virginia SRECs and how do they benefit Richmond homeowners?
Virginia Solar Renewable Energy Credits (SRECs) are certificates generated for every 1,000 kWh of solar production. They are sold on the PJM market to utilities that need RPS compliance. An 8 kW Richmond system generates approximately 11–12 SRECs per year, adding revenue on top of net-metering savings.
How many solar panels does a Richmond home need?
Many Richmond homes land in the 7–10 kW range depending on annual usage and roof space. Because full retail net metering is available for systems up to 150% of annual load, Richmond homeowners can consider slightly larger systems than in markets with weaker export credit.
Is Richmond a good solar market?
Yes. Richmond is one of the stronger mid-Atlantic solar markets due to the combination of the VCEA full-retail net metering, the Dominion Solar Rebate, PJM SREC revenue, and the federal ITC. The incentive stack is materially better than in states that have weakened or eliminated net metering.
Do I need a permit for solar in Richmond?
Yes. Rooftop solar requires a local building permit and Dominion interconnection approval. If you are also building a deck, review the Richmond deck permit page so both project scopes stay coordinated under the 2018 Virginia USBC.
Sources
Data sources and freshness
- https://developer.nrel.gov/docs/solar/pvwatts/v8/
- https://www.dominionenergy.com/home/solar/net-metering
- https://www.dominionenergy.com/home/solar/solar-rebate
- https://law.lis.virginia.gov/vacode/title56/chapter23/section56-594/
- https://programs.dsireusa.org/system/program/VA
- https://www.pjm-eis.com/
- https://www.energy.gov/eere/solar/homeowners-guide-federal-tax-credit-solar-photovoltaics
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Disclaimer: This calculator provides estimates for informational purposes only — not financial or investment advice. Solar savings depend on actual shading, roof orientation, energy usage patterns, rate changes, and equipment performance. Consult a licensed installer and a tax professional before making purchasing decisions. Verify incentive eligibility with official sources. Data last verified 2026-04-19.