Solar Energy in San Jose, California

Average Solar Resource #4 nationally · #3 in California Pop. 1,013,240

San Jose, California receives 5.12 kWh/m²/day of solar irradiance and 5.9 peak sun hours daily, representing average solar resources . A typical 5 kW residential solar system in San Jose produces approximately 8,556 kWh annually, potentially saving homeowners $2,199 per year on electricity bills. After the 30% federal Investment Tax Credit, a 5 kW system has an estimated payback period of 4.8 years, leaving roughly 20 years of profitable operation within a standard 25-year warranty. For maximum annual output in San Jose, panels should be tilted at approximately 37° and oriented true south (180° azimuth).

Solar Resource Summary

5.12
kWh/m²/day
GHI Annual
5.9
hours/day
Peak Sun Hours
5.83
kWh/m²/day
DNI Annual
GHI vs. US national average (4.5 kWh/m²/day) Average
0 7.5 kWh/m²/day

Monthly Solar Data

Month JanFebMarAprMayJunJulAugSepOctNovDec Annual
GHI (kWh/m²/d) 2.34 3.05 4.77 6.0 7.18 7.95 7.91 7.08 5.76 4.23 2.84 2.16 5.12
DNI (kWh/m²/d) 3.31 3.63 5.33 6.06 7.12 8.14 8.36 7.85 6.89 5.57 4.23 3.36 5.83
Source: NREL. Monthly averages in kWh/m²/day and °C.

Solar Production Estimates for San Jose

5 kW Residential
Typical home system
Residential
8,556 kWh/yr
713 kWh/month avg
≈ $2,199/year savings
10 kW Residential
Large home system
Residential
17,111 kWh/yr
1,426 kWh/month avg
≈ $4,398/year savings
50 kW Commercial
Small commercial
Commercial
85,556 kWh/yr
7,130 kWh/month avg
100 kW Commercial
Medium commercial
Commercial
171,112 kWh/yr
14,259 kWh/month avg

Production estimates based on NREL solar resource data, 37° tilt, south-facing orientation, and 80% performance ratio.

Local Solar Conditions in San Jose

San Jose shows significant seasonal variation in solar output, with peak summer months receiving 8.0 kWh/m²/day compared to 2.2 kWh/m²/day in winter — a 3.7x difference. Battery storage or net metering is particularly valuable here.

Best Tilt Angle
37° (latitude-optimized)
Best Azimuth
180° (true south)
Coordinates
37.3382°N, -121.8863°

Financial Overview — Solar in San Jose

Solar is an excellent investment in San Jose. With a 4.8-year payback on a 5 kW system and 25-year panel warranties, early adopters in San Jose can expect 15+ years of net profit. Estimated annual savings from a 5 kW system: $2,199/year.

Avg. Electricity Rate
$0.257/kWh (CA avg)
Est. Annual Savings (5 kW)
$2,199/year
Est. Payback Period
4.8 years (after 30% ITC)
Federal ITC
30% of system cost
Net Metering
Available
Financial estimates assume a 5 kW system at $3,000/W installed ($15,000 pre-ITC, $10,500 after 30% credit). Actual costs vary by installer and equipment. Consult a local solar installer for firm quotes.

Solar FAQ — San Jose, California

In San Jose, California, a 5 kW residential solar system produces approximately 8,556 kWh of electricity per year. A 10 kW system produces about 17,111 kWh annually. These estimates use 5.1 kWh/m²/day average solar irradiance and an 80% system performance ratio, accounting for real-world losses from wiring, inverter efficiency, and temperature. Actual output will vary based on your specific roof orientation, shading, and equipment.

San Jose receives an average Global Horizontal Irradiance (GHI) of 5.12 kWh/m²/day. This is 0.62 kWh/m²/day above the US national average of 4.5 kWh/m²/day, placing San Jose near the national average. GHI measures total solar energy incident on a horizontal surface and is the primary indicator of a location's solar resource quality.

San Jose, California receives an average of 5.9 peak sun hours per day. Peak sun hours represent the equivalent number of hours when solar irradiance equals 1,000 W/m² — the standard condition used to rate solar panel output. This means a 1 kW solar panel array in San Jose produces 5.9 kWh on a typical day. Seasonal variation is significant: summer months see peak sun hours 40–60% higher than winter months in most US locations.

San Jose is a average location for solar panels, with 5.12 kWh/m²/day solar irradiance — near the national average. It ranks #3 in California and #4 nationally for solar potential. With an estimated payback period of 4.8 years, solar installations in San Jose can be financially attractive, especially given California's electricity rates.

The optimal tilt angle for solar panels in San Jose is approximately 37°, which corresponds to the city's latitude. This angle maximizes annual energy production by ensuring panels receive the most direct sunlight averaged over the year. For maximum winter output, tilt panels at latitude + 15° (52°). For maximum summer output, use latitude − 15° (22°). Fixed south-facing panels at the latitude angle are the standard recommendation for residential systems in San Jose.

A 5 kW solar system in San Jose can save an estimated $2,199 per year on electricity bills, based on San Jose's average electricity rate of $0.257/kWh. Over a 25-year system lifetime, that represents $54,975 in total savings before accounting for electricity rate increases. After the 30% federal Investment Tax Credit, the net system cost of approximately $10,500 for a 5 kW system yields a payback period of 4.8 years.

San Jose ranks #3 in California for solar potential based on annual GHI. This means 2 cities have higher solar irradiance in the state. As a top-ranked solar location, San Jose offers particularly strong economics for solar installations.Browse other California cities on our California solar data page to compare locations.

For a typical home in San Jose using 1,000 kWh/month, a 5 kW solar system producing 713 kWh/month would offset approximately 71% of a typical household's electricity use. Most residential installations in similar climates range from 5 to 12 kW depending on energy consumption, roof size, and budget. Use SolarScope's Site Studio to get a personalized system size recommendation based on your specific address and energy bills.

Based on local solar irradiance and electricity rates, a 5 kW residential solar system in San Jose has an estimated payback period of 4.8 years. This calculation assumes a net system cost of $10,500 (after the 30% federal ITC) and annual savings of $2,199. Modern solar panels carry 25-year performance warranties, so systems in San Jose would operate profitably for roughly 20 years after payback. Electricity rate increases over time typically reduce the effective payback period.

Other Cities in California

Los Angeles
5.3 kWh/m²/d
San Diego
5.3 kWh/m²/d
San Francisco
5.0 kWh/m²/d
View all California solar data →
Learn more: Solar irradiance · Peak sun hours · GHI explained · Net metering · How solar analysis works

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This page shows area-level averages. For your specific address — accounting for roof orientation, shading trees, and your utility rate — use SolarScope's AI-powered Site Studio.

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Quick Stats

Annual GHI
5.12 kWh/m²/day
Peak Sun Hours
5.9 h/day
5kW Production
8,556 kWh/yr
Payback (5kW)
4.8 years
Rank in California
#3
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