Idaho Power Overview
Idaho Power is headquartered in Boise and serves the Snake River Valley region across southern Idaho and parts of eastern Oregon. Known for hydroelectric generation from the Snake River, Idaho Power delivers some of the lowest electricity rates in America—great for consumers, but challenging for solar economics.
Net metering: Schedule 84 (reduced export rates)
Electricity rates: $0.08-$0.10/kWh (among lowest in US)
Peak sun hours: 4.5-5.0 hours (Boise area)
On-peak: Summer afternoons (3-8 PM)
Solar rating: 2/5 stars (economics) (Source: NREL Solar Resource Data, utility tariff filings)
Schedule 84: Net Metering
Idaho Power's Schedule 84 (On-Site Generation) provides net metering for residential solar systems. However, there's an important distinction: export credits are reduced compared to retail rates. This means the power you send to the grid is worth less than the power you consume.
Schedule 84 Details
| Feature | Idaho Power Policy |
|---|---|
| System size limit | 25 kW residential |
| Export credit rate | Reduced (below retail) |
| Credit rollover | Monthly, carries forward |
| Annual true-up | March 31 |
| Excess payment | Avoided cost rate (low) |
Annual Reconciliation
Each March 31, Idaho Power reconciles your account. If you have excess credits remaining after offsetting your annual usage, they're paid out at the "avoided cost" rate—significantly lower than retail. The strategy is to size your system so you use most of what you generate without large surpluses.
Rates and Economics
Idaho Power's rates are among the lowest in the nation, which is both good news and bad news for solar:
Rate Structure
| Rate Component | Details |
|---|---|
| Average residential | $0.08-$0.10/kWh |
| Rate structure | Tiered (higher usage = slightly higher rate) |
| Time-of-use | Optional, peak = summer afternoons |
| Service area | Southern ID, eastern OR |
Why Low Rates Challenge Solar
Solar economics depend on what you're offsetting. At $0.15/kWh (national average), every kWh your panels produce saves $0.15. At Idaho Power's $0.08-$0.10/kWh, each kWh saves roughly half as much. Same sunshine, same panel cost, but half the savings—that's why payback takes longer.
Solar Economics for Idaho Power Customers
| System Size | Est. Cost (2026) | Annual Savings | Payback Period |
|---|---|---|---|
| 5 kW | $13,000-$15,000 | $450-$550 | 14-18+ years |
| 7 kW | $18,000-$21,000 | $630-$770 | 14-18+ years |
| 10 kW | $26,000-$30,000 | $900-$1,100 | 14-18+ years |
Federal Tax Credit (2026)
| Ownership Type | Federal Credit |
|---|---|
| Cash/Loan (purchased) | None (25D expired Dec 2025) |
| PPA/Lease | 30% (48E through Dec 2027) |
Solar Production Potential
Despite challenging economics, Idaho Power territory has excellent solar resources. The Boise area and Treasure Valley receive strong, consistent sunshine.
Solar Resource by Area
| Area | Peak Sun Hours | Annual Production (per kW) |
|---|---|---|
| Boise | 4.8-5.2 hours | ~1,450-1,550 kWh |
| Twin Falls | 4.5-5.0 hours | ~1,400-1,500 kWh |
| Nampa/Caldwell | 4.7-5.1 hours | ~1,420-1,520 kWh |
| Eastern Oregon (Ontario) | 4.5-4.9 hours | ~1,350-1,450 kWh |
Time-of-Use Considerations
Idaho Power offers optional time-of-use rates with peak hours during summer afternoons (typically 3-8 PM). If you have a battery, you can store midday solar production and use it during peak hours, improving your economics. Without a battery, solar production naturally tapers as peak hours begin.
Interconnection Process
Idaho Power's On-Site Generation interconnection process is straightforward:
- Pre-application (optional): Discuss your project with Idaho Power's solar team
- Application: Submit On-Site Generation application with system details
- Engineering review: Idaho Power reviews your system design (timeline varies by complexity)
- Interconnection agreement: Sign the formal agreement
- Installation: Your installer completes the work and schedules inspection
- Final inspection: City/county and Idaho Power inspection
- Permission to operate: Idaho Power activates your net metering
Timeline Expectations
| Phase | Typical Timeline |
|---|---|
| Application to approval | 2-4 weeks |
| Installation | 1-3 days |
| Inspection to PTO | 1-3 weeks |
| Total process | 4-8 weeks |
Frequently Asked Questions
Should I get solar with Idaho Power?
It depends on your priorities. Pure ROI? Idaho Power territory is challenging—12-18+ year paybacks don't excite most investors. But if you value energy independence, want backup power capability, care about environmental impact, or want to lock in energy costs for 25+ years, those are valid reasons beyond simple payback math.
Would a battery help with Idaho Power?
Batteries can help in two ways: (1) Store excess solar for your own evening use instead of exporting at reduced rates, and (2) Provide backup power during outages. However, batteries add $10,000-$15,000 to system cost, extending payback further. Most valuable for backup power goals rather than economics.
Why are Idaho Power rates so low?
Hydroelectric power from the Snake River. Idaho Power generates most of its electricity from dams, which have low operating costs compared to coal, gas, or even solar. Great for consumers, challenging for solar economics.
What about community solar?
Check Idaho Power's current community solar offerings. These allow you to subscribe to a share of a larger solar project without installing panels on your roof. Economics and availability vary—ask Idaho Power directly for current program status.
Questions About Idaho Power Solar?
Our AI can help you understand Schedule 84, realistic payback expectations, and whether solar fits your goals in Idaho Power territory.
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