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California vs South Dakota Solar Comparison

California gets more sun (5.8 hrs/day) while California has the faster payback (5.5 years).California offers higher 20-year savings at $58,200.

California

5.8 hrs

5.5yr payback

$58,200

20yr savings

South Dakota

4.6 hrs

11.2yr payback

$26,200

20yr savings

Side-by-Side Comparison

MetricCaliforniaSouth Dakota
Peak Sun Hours5.8 hrs4.6 hrs
Cost per Watt$3.30$3.10
6kW System Cost$19,800$18,600
Federal Tax Credit30%30%
State Tax CreditNoneNone
State RebateNoneNone
Net MeteringFull Net MeteringPartial Net Metering
Electricity Rate31.22¢/kWh13.74¢/kWh
Payback Period5.5 years11.2 years
20-Year Savings$58,200$26,200

Verdict

California is the better state for solar ROI with $58,200 in 20-year savings and a 5.5-year payback period. California has more sun exposure at 5.8 hrs/day, making it ideal for maximum energy production. Both states qualify for the 30% federal solar tax credit.

Frequently Asked Questions

Is solar better in California or South Dakota?

California gets more sun (5.8 peak hours/day vs 4.6). California has a faster payback (5.5 years) and California offers higher 20-year savings ($58,200).

How do solar costs compare between California and South Dakota?

A 6kW system costs $19,800 in California vs $18,600 in South Dakota before incentives. Both qualify for the 30% federal tax credit.

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Data verified March 2026 · Source: NREL, DSIRE, EIA