New Jersey vs South Dakota Solar Comparison
South Dakota gets more sun (4.6 hrs/day) while New Jersey has the faster payback (7.5 years).New Jersey offers higher 20-year savings at $38,200.
New Jersey
4.0 hrs
7.5yr payback
$38,200
20yr savings
South Dakota
4.6 hrs
11.2yr payback
$26,200
20yr savings
Side-by-Side Comparison
| Metric | New Jersey | South Dakota |
|---|---|---|
| Peak Sun Hours | 4.0 hrs | 4.6 hrs |
| Cost per Watt | $3.15 | $3.10 |
| 6kW System Cost | $18,900 | $18,600 |
| Federal Tax Credit | 30% | 30% |
| State Tax Credit | None | None |
| State Rebate | None | None |
| Net Metering | Full Net Metering | Partial Net Metering |
| Electricity Rate | 18.48¢/kWh | 13.74¢/kWh |
| Payback Period | 7.5 years | 11.2 years |
| 20-Year Savings | $38,200 | $26,200 |
Verdict
New Jersey is the better state for solar ROI with $38,200 in 20-year savings and a 7.5-year payback period. South Dakota has more sun exposure at 4.6 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 New Jersey or South Dakota?
South Dakota gets more sun (4.6 peak hours/day vs 4). New Jersey has a faster payback (7.5 years) and New Jersey offers higher 20-year savings ($38,200).
How do solar costs compare between New Jersey and South Dakota?
A 6kW system costs $18,900 in New Jersey 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