Best Solar Panel Installation Companies in Puerto Rico

Living in Puerto Rico comes with the frequent challenge of power outages, rolling blackouts and surges, which can add considerable stress to daily life. Making matters worse, utility costs on the island average nearly three times higher than on the U.S. mainland. Fortunately, solar panels offer a more affordable alternative, providing residents with greater energy independence.

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Seven years after hurricanes Maria and Irma devastated Puerto Rico’s power infrastructure, the island has made significant strides in adopting solar energy. Now, Puerto Rico ranks seventh among U.S. states and territories in per capita rooftop solar installations, with a long-term goal of meeting 100% of its energy needs through renewables by 2050.

Puerto Rico’s net metering policies help reduce solar expenses by allowing households to earn credits for sending excess energy to the grid, which they can later use to draw power from the grid at no cost when their panels aren’t generating enough.

If these benefits have you thinking about installing solar panels in Puerto Rico, here are some of the best solar companies that operate on the island.  

Best national solar panel companies in Puerto Rico

Freedom Forever

Best for cash customers

Include Freedom Forever in your search if you want the backing of a national company that installs a wide variety of the most popular solar equipment available. Freedom Forever also extends a couple of products that take some of the pain and risk out of going solar, like a production guarantee and an escrow option with cash purchases. Online reviews say customer satisfaction has been low of late, though the company says that’s changing.

We also have reviews for Sunnova and Sunrun, which are both national solar panel installation companies that operate within Puerto Rico.

Local solar installers in Puerto Rico

How to determine which solar company in Puerto Rico is best for me?

There are many solar companies in Puerto Rico, so finding the right one can feel overwhelming. We’ve put together some guidance on how to find the best company for your situation.

First contact a few companies that install solar panels in Puerto Rico. You can start with the ones on our list or get recommendations from people you know. Reading through some online reviews from multiple third-party sources can help you get a better understanding of a solar company’s reputation. These companies should have at least a few dozen reviews with a relatively high customer-satisfaction score. 

Once you have a list of a few decent providers, call at least three of them for a quote. Ask at least the following questions:

• Do you have experience working with the type of roof I have and the type of system I’m installing?
• Are you certified by the North American Board of Certified Energy Practitioners, or NABCEP?
• Are you licensed to work in Puerto Rico?
• What’s a realistic deadline for my project?
• What kind of financing options do you offer?

When you speak with a representative or salesperson, they should clearly explain the project and address any questions you have. They should also have knowledge of the local permit requirements, the process of connecting with the local utility company, HOA rules, and tax credits and incentives.

Cost of solar panels in Puerto Rico

“The costs for nearly everything in Puerto Rico are higher, including electricity, because the materials or goods are all imported,” said Lauren Rosenblatt, the co-founder and CEO of solar nonprofit Barrio Eléctrico. 

That’s one reason island residents are converting to solar power, which is cheaper and more reliable than fossil fuels. Solar panels are also capable of withstanding natural disasters, which have been targeting Puerto Rico with more regularity in recent years.

“There is an incredible demand for solar and energy storage — much higher now than it was before Hurricane Maria in 2017, which shed light on the vulnerability of the electrical grid,” Rosenblatt said.

The cost of solar panels depends on factors like the size of the solar panel system, where the panels are installed, the equipment that’s being used, and labor costs in your area.

We typically use state data on solar panel costs from FindEnergy.com, but figures specific to Puerto Rico were unavailable. Instead, we’ve added information regarding national average costs for typical solar panel systems to the chart below to give you an idea of what costs might look like in your area.

The following map contains the data for the average total cash price, cost per watt and system size for a solar panel system in your state, according to data from FindEnergy.com. These prices don’t factor in tax credits or state incentives. Certain states don’t have any FindEnergy solar data and are grayed out on the map. While Puerto Rico isn’t displayed here, state data can help give you an idea of what solar costs might look like in your area.

Puerto Rico solar panel incentives and rebates

Residents of Puerto Rico who are looking to install solar panels may benefit from several incentive programs. 

The federal solar tax credit allows you to claim 30% of the total cost of your solar panel system on your federal income taxes. This applies to solar systems purchased from the beginning of 2022 through 2032. However, very few Puerto Rico residents can claim this tax break. “The benefit is a credit against a federal tax bill, and most Puerto Rican residents do not pay federal taxes,” Rosenblatt said.

But residents may benefit from net metering, which allows them to sell their excess solar energy to the power grid. 

Additionally, the costs of solar equipment and installation are exempt from sales tax. And while solar panels can increase the value of your home — and therefore increase your property tax bill — all eligible renewable energy equipment is exempt from property taxes in Puerto Rico. 

How solar-friendly is your state?

CNET recently ranked states based on their residential solar policies: the laws and regulations affecting consumer-level solar panel installation and adoption. These policies play a major role in determining how accessible and affordable a solar panel system is to the average resident. 

Each state was evaluated through a methodology and scored based on eight categories. The final score was converted to a letter grade. 

Here’s how your state scored on CNET’s solar policy test.

Puerto Rico

Grade: D

Incentives available:

• Territory-governed net metering at fraction of retail rate
• Solar panel systems fully exempt from property taxes
• Solar panel systems fully exempt from sales tax
• Territory-wide low-income programs

Strongest scoring categories:

Solar panel systems and all of their associated equipment are fully exempt from both property and sales taxes in Puerto Rico. Additionally, the territory’s Solar Access Program provides 30,000 households with solar panels at no upfront cost.

Categories to improve:

There’s no solar tax credit in Puerto Rico, and net metering isn’t offered at the full retail rate.

How to pay for solar panels in Puerto Rico 

Buying and installing solar panels in Puerto Rico can cost $10,000 or more, but you have a few payment options to consider. Each payment method comes with benefits and drawbacks. 

While the upfront costs can be high, “the fuel for solar energy is perpetually free,” Rosenblatt said. This gives you control over the amount and cost of the energy you use.

Here are some payment options to cover those initial costs:

• Cash: You’ll save on interest costs, but you’ll need to foot the entire bill upfront. 
• Solar loans: The solar company may offer this type of financing, where you buy the solar system and make installment payments over time with interest. 
• Solar lease: You pay a monthly fee to rent the solar panels. But you may not be eligible for certain incentives. Since the federal tax credit goes to the owner of the system, you won’t receive it.
• Power purchase agreement: The company installs the panels on your property and sells you the electricity at a reduced rate. There are few or no upfront costs or maintenance, but you might not qualify for tax incentives.
• Local financial assistance: Some nonprofits in Puerto Rico help make solar services more accessible to low- and moderate-income households. For instance, Barrio Eléctrico installs solar equipment at your home and charges you for the solar energy you use at a reduced rate.

Installation factors to keep in mind

When you’re thinking about installing a solar system to power your home, there are many factors to consider. Take time to investigate the following factors.

Insurance: Once the solar panels are installed, you’ll need to tell your homeowners insurance agency and update your insurance policy. “This normally entails a rider and a slight increase in the annual premium,” Rosenblatt said.

Homeowners association: Check your HOA or other neighborhood association rules regarding solar panels. “Some, but not all, states have solar access laws that prohibit local governments or HOAs from prohibiting a solar installation,” Rosenblatt said.

Maintenance: Solar panel maintenance is minimal, but it still involves cleaning and checking the panels. You can do this yourself or outsource the task. Meanwhile, “inverters and battery backup systems typically come with a service plan [and a warranty],” Rosenblatt said.

Replacement: Solar panels typically have a lifespan of over 20 years, but inverters and batteries may need replacement between the 10th and 15th year.

Location: Solar panels are most efficient when they’re installed under direct sunlight. And batteries typically perform best in an enclosed space, like a garage, in extreme heat — which Puerto Rico often receives.

Rent or own: Homeowners shouldn’t have problems installing solar panels on single-family houses. But renters may be prohibited from making changes to the property without the landlord’s permission. 

Roof condition: “The roof has to be in good condition before installation,” Rosenblatt said. “It is not easy to uninstall a solar system to fix a bad roof.” The solar panel installer should inspect the roof beforehand and give you a report.

How we found the best solar companies in Puerto Rico

Puerto Rico solar power FAQs