How Much Do Solar Panels Cost and Why?
Since the invention of the solar panel, it has gone through a lot of transformation and taken the shape of what it looks today. Along with its outlook, its technology got advanced and its price too.
Previously, solar panels used to be a luxury, but over time, the idea is changing. It is no more a product of luxury but rather a necessity.
Yet, before the installation of panels at your place, you need to know about the overall cost that you need to bear. For that, first, you need to know what sort of panels you need as solar panels come in different shapes and in different brands. Besides, due to the differences there exists differences in their efficiencies as well.
Keeping all these in mind, you have to calculate the total cost to install solar panels at your place.
Lately, I have been thinking of installing solar panels on my rooftop and to do that I did some research on the amount of money I have to spend on it. In this article, I am going to write everything I know about the expenses of installing a solar panel at your home.
Cost of A Solar Panel for Home
Cost of solar panel mostly depends on the location of where it is to be installed and the size of the whole system. Besides, the brand of the solar panels should be taken into consideration as well.
However, solar panels used for residential usage is pretty standard, and they are now half the price they used to be back in 2008 and 100 times lower than they were in 1977.
Commonly, the residential solar system costs less than $3 per watt to around $8 per watt. Recently, in many places, you can get solar energy for free or maybe pay a few cents per watt by solar leasing companies or by installing one by taking bank loans.
Later on, you will only be paying a monthly amount as you would regarding your car or house loans.
Cost of A Single Solar Panel
How much it costs to set solar panels at your house mostly depends on how many you are going to have. Besides, it is not a simple question to answer. Lately, solar panels are selling for in between $4 to $6 per watt.
But a typical panel that you might want to install on your roof would cost you $400 to $1500 which are rated in between 100 to 300 watts per hour.
If you're going to establish a complete solar power system, you will need some other accessories. These accessories will have their own installation costs as well. So, the total cost for installation will be around $8-$10 per watt of rated power.
Recently, most of the home-sized systems are priced in between 1000 to the 10,000-watt range. Hence, the cost is in between $8000 to $100,000 to install the whole thing.
Besides, some states offer tax savings and rebates which eventually diminishes the value by as much as 50%. For that, these types of systems will generate around $300 to $2500 worth of electricity per year.
A generic solar panel is expected to last for around 30 to 50 years, so the systems are likely to generate around $9000 to $120,000 worth of electricity through-out its lifetime. In the meantime, it may vary under different kind of circumstances, electricity cost, and electricity rates.
Cost of Different Brands of Solar Panels
Prices of solar panels vary depending on the brand or manufacturer producing it. The most expensive ones are Sun power and Panasonic solar panels. Nowadays, the cheapest second and third tied solar panels that you can avail in the US is at $0.55 per watt.
The first-tier solar panels that are made in China are mostly around $0.60 to $0.65 per watt and the most effective and expensive ones, that is, Sun power and Panasonic are approximately $0.80 to $0.90 per watt.
Some producers have high efficiency in their produced solar panels, and they tend to make bold claims about the high competency of their products. These are the high-quality manufacturers who invest a lot on their brand.
Why the Costs of Solar Panels Get Increased?
You cannot estimate the overall costing of installation of panels as they often might require additional works. If you need some extra facilities or rectifications then, the costing gets increased accordingly.
If you are willing to landscape your area to optimize energy production, this will increase the total cost of installation of solar panels. Meanwhile, if you are eager to save some money, you can do this work all by yourself or hire a local tree pruner.
Having warranties on your solar panels’ installation can really assure you that you will get the most amount of power from the system. That is why trying to make sure you are hiring a right installer who offers you the right kind of warranty that fulfills your requirements.
Improvement of The Electrical System
Even though it is unlikely, your electrical system might need some upgrade. If the system really needs it, it will cost you more money. You can also spread the expenses evenly over a few months and reduce the financial toll.
In that case, upgrade the electric system in one month and install your solar system the next month.
If the roof where you are going to install your panels consist of several levels, some unusual angle or maybe dormers, installing your system might get a bit more complicated.
First, your installer needs to arrange the panels so that optimal energy is produced. But in this way, your expenses will get increased. If you distribute solar panels across multiple levels, that will make the work more complicated and installations on certain types of roof.
Solar panels undoubtedly help us a lot in saving our money on electricity. But firstly, we really need to spend some good amount of money or make quite a big investment in buying and installing the solar panels.
If you make proper plans before purchasing the panels and bringing an installer, you may end up saving a lot of money which you would’ve spent otherwise.
You will also have to keep one thing in consideration and that is, sometimes these panels might need an upgrade or a servicing in order to work efficiently. For times like these, it will be wise to keep some money aside as “maintenance cost”.
That is why, know about the equipment first, figure out its costing and how much it will take to install it on your roof and then go for the purchase and installation.