Duquesne Light Company serves Pittsburgh and Allegheny County as a Pennsylvania investor-owned utility required by state law to offer 1:1 retail-rate net metering for residential solar systems up to 50kW. At approximately 22.1¢ per kilowatt-hour — roughly 13% above PPL’s Allentown rate and well above the Pennsylvania state average — Duquesne Light’s rate produces the highest per-kilowatt-hour net metering credit value of any Pennsylvania utility in this dataset. Every kilowatt-hour Pittsburgh’s panels export to Duquesne Light’s grid earns a credit at that 22.1¢ rate. Credits roll forward month-to-month through the annual May 31 true-up. Any year-end surplus credits are paid out in cash at Duquesne Light’s price-to-compare generation rate — approximately 7–10¢ per kilowatt-hour — rather than being forfeited, consistent with Pennsylvania’s cash-out provision for annual surplus.
Duquesne Light’s rate trajectory is worth noting: the utility serves a dense urban territory with aging infrastructure and significant grid modernization investment needs. Rate increases have been consistent over the past decade, and Pittsburgh’s transition away from industrial electricity consumption (historically held rates lower in western PA) toward a service economy profile has changed the utility’s cost recovery dynamics. Each future Duquesne Light rate increase improves the return on a Pittsburgh solar system installed at current costs.
The Inflation Reduction Act created a bonus Investment Tax Credit for solar projects located in designated Energy Communities — areas defined by coal mine closures, coal plant retirements, or unemployment and fossil fuel employment thresholds. Much of Allegheny County qualifies as an IRA Energy Community based on its industrial heritage and the closure of coal mining and steel operations that characterized the region’s economic history. The Energy Community designation increases the commercial Investment Tax Credit available to solar installing companies from the standard 30% to 40% of system cost. For Pittsburgh homeowners who choose solar leases or PPAs — third-party ownership structures where the installing company owns the system and claims the ITC — the Energy Community bonus translates into lower monthly lease rates or PPA prices passed through by the installer to capture the benefit competitively.
For cash and loan purchasers who own their system, the Energy Community ITC is irrelevant — individuals cannot claim the commercial ITC directly. The benefit flows only to third-party owners. This makes Pittsburgh one of the stronger markets in this dataset for solar lease and PPA economics relative to cash purchase, since the installer’s enhanced 40% ITC can produce lease rates that are genuinely competitive with the long-term cash-purchase economics, particularly for homeowners who would not otherwise benefit from tax credits. Confirm Energy Community qualification for your specific address with your installer using the IRS’s Energy Community bonus credit tool.
Western Pennsylvania solar installations run approximately $2.80–$3.20 per watt in 2026. Pittsburgh’s installer market, while smaller than Philadelphia’s, is competitive enough to produce multiple qualified bids. A typical Pittsburgh system of 7kW–10kW costs approximately $19,600–$32,000 before incentives. Pennsylvania’s 6% sales tax applies — approximately $1,176–$1,920 in additional cost. No property tax exemption. No federal residential ITC for cash or loan purchases in 2026. Pennsylvania AEC income adds approximately $200–$500 annually at current market rates. At Duquesne Light’s 22.1¢ rate, cash-purchase payback for Pittsburgh systems runs approximately 9–11 years — somewhat faster than Allentown or Philadelphia due to the higher rate, despite Pittsburgh’s somewhat lower sun hours (approximately 3.8–4.2 peak sun hours daily, slightly below southeastern PA). Twenty-five-year savings estimates run $30,000–$55,000 for well-sized Pittsburgh installations.
Est. 2018
Est. 2009
Est. 2003
Est. 2009
Est. 2007
Est. 2006