Solar Panels Costs
Solar panels cost, on average, about $16,000, or between $3,500 to $35,000 depending on the type and model. While solar panels can help save you money on energy costs, it’s important to know the overall startup solar panel costs so you can plan a budget.
Average Cost of Solar Panels
Cost of Solar Panels By Type
Monocrystalline Solar Panels
On average, monocrystalline solar panels (the most energy-efficient option) cost $1 to $1.50 per watt, meaning that outfitting a 6kW solar panel system (also known as a solar system) costs between $6,000 and $9,000.
Polycrystalline Solar Panels
Less energy-efficient than monocrystalline solar panels, polycrystalline solar panels cost $0.90 to $1 per watt, so outfitting a 6kW solar panel system would cost between $5,400 and $6,000 making it a more affordable option.
Thin-Film Solar Panels
On average, thin-film solar panels cost between $1 and $1.50 per watt, meaning that outfitting a 6kW solar panel system costs between $6,000 and $9,000. Thin-film solar panels are more inexpensive than their counterparts, but require a large amount of space, and hence, are primarily used in industrial settings.
Solar Panel Installation Costs
Installing solar panels can cost anywhere between $15,000 and $25,000. This price will depend on location, with solar power costing more in regions farther from the equator, like Alaska, and costing less for sun-drenched regions.
When To Install Solar Panels
Contrary to popular belief, winter is actually the best time to install solar panels. There is simply less demand for this service in winter, so the installation should cost less as a whole. Even if you live in a region that tends to be cloudy and/or chilly, your solar panels will still be able to generate energy and in some cases, will even generate more energy than they would in warmer months.
Installing solar panels during winter is, in addition to being cost-effective, efficient. With installation companies doing fewer jobs in the off-season, your panels are likely to be installed faster, and will be up-and-running in no time.
How Much Do Solar Panels Save?
Though solar panels cost money upfront, they are certain to save you money in the long-term. The question of how much solar panels will save you depends on a number of factors, including the hours of daily direct sunlight available to the panels, the angle of your roof and the size of your solar panel system. The most important factor, though, in determining how much money solar panels will save you, is simply your local electricity rates.
In order to determine how much money your solar panels will save you each year, calculate how much you spend on electricity annually (for reference, the typical American family spends about $1,450 a year on electricity). Then, determine what your current utility rate is, keeping in mind that utility rates tend to increase 2.2% or so each year (yet another reason to install solar panels).
Use an online calculator to estimate your annual savings by plugging in information like your location, energy usage and the current average price of solar panel installation in your area.
A common misconception is that solar panels will eradicate your electricity bills altogether. While this is sometimes the case, solar panels will significantly reduce your electricity bill each month, and are worth the investment as a whole.
Whether you’re trying to reduce your electricity costs, carbon emissions or both, solar panels can generate major savings. The primary factor in determining how much money a solar panel system will save you, in the long run, is the cost of electricity, which can vary significantly based on your location.
If you live in a region with middle- to upper-level utility rates, you can pretty much guarantee that a solar panel will save you big bucks over time. Solar panels tend to be worth the investment as long as you go about the installation process wisely.