Based in Tempe, Icon Power designs and installs home solar and battery storage across Arizona.
One accountable team handles your design, permits, installation and service.
Solar in Arizona
For most Arizona homeowners, yes. Arizona gets more sunshine than almost any state, summer bills run high, and the state still offers a tax credit plus property and sales tax exemptions on solar. The biggest change in 2026 is that utilities pay less for the power you send back to the grid, so the best systems are sized to your own use and often paired with a battery.
Tax treatment varies. Consult a tax professional.
Net billing
Arizona utilities no longer credit exported solar one-for-one. Each one pays an export rate that's lower than what you pay for power, so the solar you use at home, or store in a battery, is worth the most.
Arizona Public Service credits exported solar at an export rate the Arizona Corporation Commission approves each year. The rate in place when you connect is locked for 10 years. Most APS solar homes use a time-of-use plan, where a battery can cover the evening peak.
Salt River Project credits exported energy at a rate it resets each May. For new solar customers on its E-16 and E-28 plans, that's 1.87 cents per kWh as of May 2026. SRP Battery Partner adds bill credits for homes with an enrolled Tesla, FranklinWH, Enphase or SolarEdge battery.
Tucson Electric Power credits exports at 4.62 cents per kWh for customers who apply to connect between October 1, 2026 and September 30, 2027. That rate is locked for 10 years.
SRP export rate for new E-16 and E-28 solar customers as of May 2026; TEP rate as published in October 2026. Rates change, so we confirm the current rate for your home in your quote.
Incentives
What's still available for Arizona homeowners, and what changed this year.
Tax treatment varies. Consult a tax professional.
Claim 25% of the cost of a solar energy device on your home, up to $1,000, with Arizona Form 310. Unused credit can carry forward for up to five years.
Under A.R.S. §42-11054, solar on your home adds no value for property tax purposes, so your assessment doesn't go up.
Qualifying solar equipment and installation are exempt from Arizona's transaction privilege tax (A.R.S. §42-5061 and §42-5075).
Homeowners who buy a system no longer get a federal credit. With a lease, PPA or prepaid plan, the system owner can still claim the 30% credit and pass that value to you as a lower price. See how it works below.
Lease, PPA and prepaid plans
When a financing partner owns the system on your roof, it can still claim the 30% federal solar credit under Section 48E. That value can come back to you as a lower monthly payment or a lower prepaid price. In 2026, it's the main way Arizona homeowners still benefit from the federal credit.
The system owner claims the 30% credit and can pass the savings to you as a lower rate or a lower prepaid price. You don't claim anything on your own return.
Because you aren't the one claiming the credit, it works even if you owe little or no federal income tax.
Choose a monthly lease or PPA with no upfront cost, or a prepaid plan that covers the system with a single payment.
Monitoring and system service are included for the life of the agreement, so repairs aren't on you.
Battery storage has its own federal credit with no 2027 cutoff, so a lease or prepaid plan can lower the cost of a Powerwall or FranklinWH battery.
With Arizona export rates below retail, a plan that pairs solar with a battery lets you use more of your own power in the evening.
New solar must be in service by December 31, 2027 for the system owner to claim the federal credit; batteries have no 2027 cutoff. Terms vary by financing partner and address. Tax treatment varies. Consult a tax professional.
Battery storage
With lower export rates, the solar you store and use yourself is worth more than the solar you send back to the grid.
Run your home on stored solar during evening hours, when time-of-use rates are highest.
Keep essentials running during summer monsoon outages.
SRP Battery Partner pays $55 per average kW in bill credits each summer and winter season for letting SRP draw on your battery during peak events.
How it works
We review your utility bills, roof and goals, then design a system sized to how your home actually uses power.
We handle city permits, HOA paperwork and your interconnection application with APS, SRP or TEP.
One accountable team installs your system and supports it after turn-on.
After the city inspection, your utility grants permission to operate and we help you set up monitoring.
Service area
We work out of our Tempe headquarters and install across the Phoenix metro and southern Arizona.
Icon Power · 3006 S. Priest Dr., Tempe, AZ 85282 · 1-888-777-3766
See what our customers are saying
"I have to say that The Hydra Crew from Icon Power did an absolutely amazing job with our solar installation. They are very friendly and extremely hard workers with attention to detail... they made the magic happen. It's like artwork. They were very clean throughout the process and the product and service they provided is top notch."
"Jordan and his team made the process super easy. They reconfigured some of our existing solar and they added a Tesla battery so we could maximize our utility savings. They handled all the permits... If you are on the fence about solar or a battery — schedule a meeting and they will show you the numbers. You won't regret it."
"Icon showed up within a week with two technicians who were absolutely incredibly awesome!... Icon customer service were top notch and efficient in getting back to me within 24 hours... I am so impressed with Icon Solar that I cannot even express my gratitude... They get 10 stars!"
"This is the 4th solar system I have installed over the years, and Icon Power (Jordan especially) has been Excellent. They were fast, well communicated, instant to respond to any question... I have never experienced such a great install that was very quick, and their lease-to-own option was a great deal reducing the cost."
"Polite, Professional, Proficient. From the initial sales contact, complete with full explanation of time line/benefits/cost options to professional, rapid install to frequent timeline updates and onsite checkups, Icon Power provides you, the customer, with the care and attention that truly makes you a part of the entire project."
"It's unusual these days to work with someone who does great work, for a fair price and in a timely manner, but Icon Power does that and more. We needed them to install an EV charging station and couldn't be happier with the results."
"I have done many solar and other home projects in my life time, this by all means was clear, professional, swift and DONE. Definitely a five stars performance... Awesome work. Strongly recommended."
"Cannot say enough positive things about our experience with Ramone and the Hydra crew. Extremely conscientious, knowledgeable and dedicated. Making sure everything was done safely and accurately... We are much safer now than we were before they showed up. Again highly recommended. You will not go wrong."
"Icon Power was great to work with. Shawn and his crew were fabulous for the install. They ensured we had an install done right, the first time, and didn't have ugly silver conduit running across our roof... they worked with me and around my schedule and had us connected and ready for inspections and the PTO quickly!"
Answers on tax credits, APS, SRP and TEP export rates, batteries, and property taxes.
For most homeowners, yes. Arizona's sunshine and high summer bills make solar a strong fit, and the state still offers a 25% tax credit up to $1,000 plus property and sales tax exemptions. Because utilities now pay less for the power you export, the best value comes from a system sized to your own use, often paired with a battery.
Not for a system you buy yourself; the homeowner credit ended December 31, 2025. With a lease, PPA or prepaid plan, though, the system owner can claim the 30% federal credit and pass that value to you as a lower price. Arizona's state tax credit, property tax exemption and sales tax exemption are still in place. Tax treatment varies. Consult a tax professional.
Arizona offers a state income tax credit of 25% of the cost of a residential solar energy device, up to $1,000, claimed on Arizona Form 310. Solar on your home is also exempt from property tax assessments, and qualifying solar equipment and installation are exempt from state sales tax (transaction privilege tax).
You use your solar power first. Any extra power you send to the grid is credited at your utility's export rate, which is lower than the retail rate you pay. SRP resets its export rate each May, and new solar customers on its E-16 and E-28 plans are credited 1.87 cents per kWh as of May 2026. TEP credits 4.62 cents per kWh for customers who apply to connect between October 1, 2026 and September 30, 2027, locked for 10 years. APS sets its export rate each year through the Arizona Corporation Commission and locks it for 10 years once you connect.
You don't need one, but many Arizona homes benefit. A battery stores daytime solar for evening peak hours, keeps essentials running during outages, and lets SRP customers earn bill credits through SRP Battery Partner.
No. Arizona law exempts residential solar from property tax assessments, so adding solar doesn't raise your home's assessed value for tax purposes.
One accountable Icon Power team, headquartered in Tempe, handles your design, permits, installation and support, from your first consultation through turn-on.
Contact us for expert guidance on solar and battery storage. Serving homeowners across the Southwest.
Phone
+1 (888) 777-3766
