How much do solar panels usually cost?
So, you’re thinking of going green. Solar is an excellent choice for the environment and a great investment that can help bring down your annual electricity costs. But what kind of cost are you looking at upfront? In Australia, solar installation can cost anywhere from $2,800 to $14,100.1 Solar installation is completely customised to your home and energy needs, so it’s best to get a personalised quote from any potential installers. Let’s take a look at the factors which may contribute to the amount you’ll pay.
How many panels do you and your household need?
This one will come down to your household’s energy usage, the panels’ capacity and how much energy you want your panels to produce — do you just want to supplement some of your energy or are you hoping to make the switch completely?
In Australia, households consume on average between 5kWh and 25 kWh of energy per day, while a 4kW solar system can generate around 16kWh of energy per day.2 Your most recent electricity bill can help you figure out just how much energy your household is using and get a better idea of your solar panel requirements.
You can often install fewer panels if you opt for a higher-quality panel brand that has a greater capacity.
Size of your rooftop
The larger your solar system, the more you’ll pay. Each solar panel is approximately 1.7m x 1m, so you’ll need to think about how much space you have on your rooftop.3 You’ll also need to account for rooftop space which is under the shade of large trees, tall neighbouring buildings or electricity poles. It may seem insignificant, but shaded areas can significantly impact your electricity production.
Are you considering adding a battery?
It might be a bigger investment upfront, but installing a battery can actually save you money in the long run and is a great way to make the most out of your solar system. Without a battery, your solar panels would only power your home when the sun is shining and you’d be reliant on the grid for electricity during off-peak times like rainy days and at night. However, depending on the size of the battery you have installed, a battery could hold enough electricity to power your home all night long. In Australia, batteries usually cost between $1,000 - $2,000 per 1kW of storage.4
Are you replacing old panels?
Do you have existing solar panels on your roof which are damaged or maybe you’re just looking to upgrade to a better quality system? Either way, you’ll need to remove these before installing your new panels and you can typically expect to pay an additional fee for this service, the exact fee is at your installer’s discretion.
Are you eligible for incentives or rebates?
The great news is there are actually a number of rebates and incentives out there for installing solar at home. These rebates differ from state to state, but are worth looking into if you’re keen to bring down the cost of installation — check out our guide to government subsidies and programs here. Make sure to do your research and chat with your installer for more info.
Conclusion
Although there are upfront costs involved in installing a solar system for your home, the savings on electricity are worth it for many Aussies — and you can feel great knowing you’re helping to save the environment.
Sources:
1 Clean Energy Council - Buying Solar
2 Canstar Blue - Solar Panel Energy