How Much Does A Solar PV System Cost?

What are the factors that influence the cost of the Solar PV System?

1. Wholesale equipment costs

There has been a decrease in the cost of Solar over the last decade. The reason behind this decrease is the economies of scale reached by the Solar Panel and Inverter manufacturers predominantly in the Asian continent. Now the factories have been able to automate processes, increase manufacturing and logistics scale and dramatically reduce the cost per watt of a solar installation

2. The Australian Dollar

Most components for a solar system come from overseas. Therefore, the price of solar reflects the ability of the Australian dollar to acquire equipment, either directly as installers negotiate with manufacturers or passed on through Australian equipment wholesalers. To ensure that installers are not at risk if equipment costs change, solar quotes often have an expiry date of 14 to 30 days.

3. The Solar Rebates

The federal solar rebate – STC program – winds back each year until it is phased out completely in 2030. This provides upward pressure on solar pricing but has been overshadowed in the past years with the cost of solar decreasing. The introduction of local solar rebate schemes in particular states has also had a dramatic effect on the cost of solar, particularly in Victoria.

Getting a Solar PV system is a long-term investment. Therefore, various financing options like rebates and loans are available so that it is easier for one to afford them. Different states have different prices and rebates systems that can help you in cutting down your cost without figures. It’s always better to check the rebates available in your area to avail of them at the earliest.

While buying a Solar PV system, always focus on the ROI and not the price. The price may be a little on the higher side but the system is going to be there with you for about 25 years. One cannot take the risk for a long-term investment like that. Isn’t it? These are premium products but offer great benefits over a long period of time.