EconomicsUp to date · Jan 15, 2026
Grid Parity
The point at which the cost of solar electricity equals or falls below the cost of grid-purchased electricity, making solar economically competitive without subsidies.
Why It Matters
Most of the US has already reached grid parity for residential solar. In high-rate states, solar is now significantly cheaper than grid power even without incentives.
Related Tools
Related Terms
Levelized Cost of Energy (LCOE)
The total cost of generating electricity from a system divided by its lifetime energy production. Used to compare energy sources.
Cost Per Watt
The standard metric for comparing solar installation prices, calculated by dividing total system cost by its DC wattage. US average is $2.50-$3.50/W before incentives (2024).