Your Choices Of Solar Panels Can Dictate Price

The variety of panels you choose for your system can change your system price significantly. If you buy long-lasting monocrystalline panels, for instance, you’ll pay $0.90 to $1.30 per watt. Polycrystalline panels, with their slightly shorter lifespan and lower efficiency, will fetch around $0.60 to $0.70 per watt. Solar industry thought leader Greentech Media has estimated that the panels will incorporate about 27 to 34 percent of your overall system expenses. 

The next most important (and second-most expensive) piece of equipment in your solar installation is the inverter. The inverter is the heart of your solar energy system and transforms the DC power from the solar panels into usable AC energy for your home. To drive down prices, many inverter manufacturers have started producing inverters that can connect more solar modules, reducing the demand for wiring and combiner boxes. Most inverters will add about $0.29 per watt to your solar system and comprise about 9 percent of your overall system prices.

Inverter Costs

But like solar panels, different kinds of inverters add different expenses. A standard single-phase string inverter fetches roughly $0.18 per watt, while a DC power optimizer string inverter, a microchip that boosts energy generation of individual panels will be more expensive at $0.30 per watt. A more complicated and more efficient microinverter will add nearly $0.40 per watt to your system.

There are also some options available for solar panel racking, but price distinctions between these different racks are generally not meaningful. Racking and connecting costs total around $0.12 per watt.

According to Home Advisor, labor typically contains about 15 percent of total system prices; other estimates place it as high as 19 percent of the total. These prices generally add about $0.33 per watt to your system and only connect to the direct costs for the installer and electrician. The labor that goes into generation and engineering of the solar panels and other equipment add $0.21 per watt.

Soft Costs

Then there is an assortment of miscellaneous fees and soft costs connected with permitting (which adds approximately $0.10 per watt to your system), marketing and sales (which continues another $0.31 to $0.43 per watt), and general administrative expenses (which can add $0.28 to $0.38 per watt). These expenses depend on your installer and location. And adding batteries or other arbitrary equipment will further increase your system’s value.

Curious about solar hard costs vs. soft costs near you, and how that might affect your own solar panel pricing? We here at HahaSmart you will have a look at what we can offer you on the cost of solar panels and cost of solar installations. We will strive to find you the best prices available. Follow the solar experts. Try our price checker tool. It tells you how much solar power you need and how much you can save on your energy bills each month. Please visit our solar blog to find out more about the benefits of going solar.