Kansas Solar Incentive Programs

11 yr
Avg. payback
$1,000/yr
Avg. annual savings
None
State tax credit
system avg cost
Net metering rate
Federal tax credit update: The 30% residential solar tax credit (Section 25D) ended for systems whose installation was completed after December 31, 2025, under Public Law 119-21. Systems whose installation was completed in 2025 can still claim it on a 2025 return. New 2026 installations do not qualify for homeowners who buy. What changed

What Kansas Actually Offers

The Critical Number: System Average Cost

Kansas law (K.S.A. 66-1263) requires Evergy and other investor-owned utilities to offer net metering, but the credit rate is the utility's monthly system average cost of energy, not your retail rate. For Evergy, that's roughly 2 to 5¢ per kWh exported compared to the ~15 to 16¢/kWh you pay to import electricity. Every kilowatt-hour you export instead of self-consuming is a 3-to-6x value loss.

What Still Works in Kansas
  • Property tax exemption: 10-year protection from increased property taxes for systems installed after 2016 (K.S.A. 79-201)
  • Net metering access: Evergy must accept your interconnection, no utility discretion
  • System size up to 150 kW AC, more than enough for any residential or small commercial project
  • HOA protections: Kansas law restricts HOAs from prohibiting solar outright
  • Battery storage: Can dramatically improve economics by eliminating low-value exports
What Kansas Doesn't Offer
  • No state income tax credit, Kansas has no residential solar credit
  • No sales tax exemption, pay full 6.5% state + local on all equipment
  • No utility rebates, Evergy offers no solar rebate programs
  • No retail-rate net metering, system average cost, not retail
  • Exports earn far less than retail: for systems interconnected after July 1, 2014, excess is credited each billing period at system average cost (the March 31 expiration applies only to older systems)
  • Federal ITC expired 12/31/2025, the 30% residential credit (§25D) is gone

The Net Metering Math

Kansas is a system average cost net metering state. Under K.S.A. 66-1263 (as confirmed by the KCC), Evergy credits net excess generation at 100% of the utility's monthly system average cost per kWh, not the retail rate you pay on your bill. Here's what that means in practice.

Scenario: 10 kW system producing 13,000 kWh/year on a 10,000 kWh/year home

Self-consumed energy (10,000 kWh × $0.155/kWh retail avoided) +$1,550/yr
Exported energy (3,000 kWh × ~$0.03/kWh system avg cost) +$90/yr
Total annual value $1,640/yr

Right-sized scenario: 8.5 kW system producing 10,500 kWh/year (85 to 90% self-consumption)

Self-consumed energy (10,000 kWh × $0.155/kWh retail avoided) +$1,550/yr
Exported energy (500 kWh × ~$0.03/kWh) +$15/yr
Total annual value (15% less panels, nearly same output value) $1,565/yr
The Takeaway

A right-sized 8.5 kW system delivers nearly the same value as an oversized 10 kW system, but costs less upfront, qualifies for a smaller interconnection process, and doesn't leave you selling power at 3¢ that you'll buy back tonight at 15¢. In Kansas, size for self-consumption, not maximum production.

Credit Expiration: The Hidden Risk

For systems interconnected after July 1, 2014, net excess generation is credited each billing period at the utility's monthly system average cost. Exports still earn far less than retail, so right-size and consider storage. This is another argument for right-sizing and using battery storage to capture surplus rather than exporting at system average cost.

Tip: If you're on a time-of-use rate (available July 1, 2024 onward under updated KCC rules), your export credits are calculated by time-of-use period. Running loads during peak production hours and exporting during peak TOU periods can improve economics, ask Evergy about TOU rate options before your system goes live.

Utility Landscape

Your solar economics in Kansas depend entirely on which utility serves your address. Evergy serves the vast majority of Kansas, but the rules differ slightly for co-ops and municipals.

Evergy (Formerly Westar / KCP&L)

~2 to 5¢
per kWh export credit (system avg cost)

Covers Wichita, Topeka, Kansas City metro (KS side), and most of the state. Net metering required by KCC. 150 kW AC export cap. Excess credited monthly at system average cost. Aggregate cap grows from 2% to 5% of peak demand by 2027. Right-size for self-consumption.

Liberty Utilities (SE Kansas)

~2 to 5¢
per kWh export (system avg cost)

Serves southeastern Kansas communities. Also subject to K.S.A. 66-1263 requirements as an IOU. Contact Liberty directly for current interconnection procedures and system average cost rate.

Electric Co-ops and Municipal Utilities

1.5× avoided cost
alternative net billing for co-ops/munis

Co-ops and municipal utilities are not subject to the same KCC net metering mandate. They may offer alternative "parallel generation" programs at 1.5× avoided cost, or in some cases retail-rate programs. Terms vary, contact your specific co-op for their current solar program before designing a system.

If You're in a Co-op Territory

Some Kansas electric co-ops offer better solar economics than Evergy because their alternative generation programs may approach retail or be structured more favorably. Before assuming Evergy-style system average cost economics, call your co-op's member services and ask specifically about their current solar interconnection and export compensation policy. The landscape has been improving.

Property Tax Exemption

Kansas exempts solar installations from increased property tax assessments under K.S.A. 79-201. For systems installed after December 31, 2016, the exemption runs for 10 years from the installation year. Systems installed before that date received a permanent exemption.

Installation Date Exemption Duration Annual Savings (Est.)
Before Dec. 31, 2016 Permanent (ongoing) ~$130 to $200/yr on avg. KS home + solar
After Dec. 31, 2016 10 years from install year ~$130 to $200/yr × 10 years = $1,300 to $2,000
What to Know
  • Batteries may not qualify: The exemption covers solar generation systems; battery-only storage attached to grid power is likely excluded. Confirm with your county assessor.
  • No application needed in many counties: The exemption may apply automatically, but it's worth notifying your county appraiser's office after installation to ensure the solar value isn't added to your assessment.
  • Kansas average property tax rate: ~1.33%, on a $20,000 solar system, that's ~$266/year saved. Over 10 years: ~$2,660 in tax savings.

What Kansas Doesn't Offer

Incentive Status Notes
State Income Tax Credit Not Available No state solar credit has been enacted in Kansas. Bills have been introduced but none have passed.
Sales Tax Exemption Not Available Kansas levies the 6.5% state sales tax plus local taxes on solar equipment. Whether installation labor is taxed depends on how the job is structured; ask your installer. Budget accordingly, this adds ~$800 to $1,300 to a typical residential system cost.
Evergy Rebates None Active Evergy does not currently offer residential solar rebate programs. No programs were found for Liberty Utilities either.
Retail-Rate Net Metering System Avg Cost K.S.A. 66-1263 requires IOUs to credit net excess generation at system average cost per kWh, not the retail rate appearing on your bill.
Federal ITC (§25D) Expired 12/31/2025 The 30% residential clean energy credit for homeowner-owned systems expired. Commercial/third-party (§48E) credits may still apply through 2027.
PACE Financing Check Locally PACE programs exist in some Kansas communities. Terms vary, ask your installer about available financing options in your county.

Battery Storage: Now Worth a Serious Look

In states with retail-rate net metering, battery storage has a weaker value proposition because exporting to the grid nets you the same credit as storing. In Kansas, that logic flips. Every kWh you export to Evergy earns ~2 to 5¢. Every kWh you store and use yourself is worth ~15 to 16¢.

When Battery Storage Makes Sense in Kansas
  • Your system regularly produces more than you consume midday, excess goes to Evergy at 2 to 5¢ instead of being stored for evening use at 15 to 16¢ value
  • You're sensitive to grid outages (Kansas severe weather, tornadoes)
  • You're on a time-of-use rate and want to discharge stored power during peak-price hours
  • Your system was right-sized but annual production varies (battery smooths seasonality)
Batteries lost the property tax exemption protection. As written, Kansas's property tax exemption covers solar generation systems. Standalone or add-on battery storage may not qualify for the same exemption and could increase your assessed property value. Confirm with your county appraiser before installing storage.

Economics Summary

Incentive / Factor Status Estimated Value
Net Metering (Evergy IOU) System Avg Cost ~2 to 5¢/kWh exported (vs. 15 to 16¢ retail)
Property Tax Exemption Available (10 yrs) ~$1,300 to $2,700 over 10 years
Sales Tax Exemption None $800 to $1,300 extra cost (6.5%+ tax)
State Income Tax Credit None $0
Utility Rebates None Active $0
Federal ITC (§25D) Expired $0 (expired 12/31/2025)
Electricity Rate Savings Strong Self-Consump. ~$1,400 to $1,650/yr (right-sized system)
Estimated Payback Timeline

Right-sized system (85 to 90% self-consumption, Evergy territory): 10 to 14 years
Oversized system (heavy exports at system avg cost): 15 to 22 years
Co-op territory (if retail-equivalent program): 9 to 12 years

Evergy retail rate ~$0.155/kWh assumed. Payback improves as electricity rates rise (historically 2 to 4%/year). System average cost figures are estimates based on published utility cost data; verify with Evergy for current rates.

Key Decisions Before You Install

  1. Identify your utility, Evergy, Liberty, or a co-op? The rules are different for each.
  2. Request Evergy's current system average cost rate before signing any contract. This is the actual ¢/kWh you'll receive for exports, and it changes monthly.
  3. Size for 85 to 90% annual self-consumption, not 100% of annual production. Exporting extra kWh at 2 to 5¢ is the costliest mistake KS solar buyers make.
  4. Consider battery storage if your midday production will regularly exceed your immediate consumption, turning those surplus kWh into stored value instead of 2¢ exports.
  5. Notify your county appraiser after installation to ensure the property tax exemption is properly recorded, don't assume it happens automatically.
  6. Budget for sales tax, get bids that explicitly include or exclude sales tax so you're comparing apples to apples.
  7. Get at least 3 quotes, Kansas has a competitive installer market and prices vary meaningfully.

Get quotes from Kansas solar installers

Local installers know the Kansas incentive landscape. Compare quotes and see exactly what you'd save with a system sized for your home.