How much does a solar panel system for your roof cost in the U.S.?

Question

I have seen and heard about these companies that will install solar power panels on your roof and they claim depending on how sunny it is where you live that your electricity bills will be drastically reduced and you could even generate so much power that your electric meter will spin in reverse and the power company will pay you for the excess power generated. So, my question is, how much does one of these solar power arragements cost?

Answer 1

My colleague in San Jose, California installed a solar photovoltaic system on his house several years ago.

His installed cost was a little over $30,000.

The peak capacity of the system was 3,000 watts.

His annual production of electricity has been approximately 4,000 kilowatt hours per year.

He financed the system with a second loan on his house with an interest rate equal to the prime rate.

That interest rate is adjustable and has gone up to 8.25 % per year.

His interest cost on the loan is $2,475 per year.
($30,000 times .0825 = $2,475)

His interest cost per kilowatt hour is approximately: 61.88cents per kilowatt hour.

That does not include maintenance (which has been significant) or depreciation.

($2,475 divided by 4,000 kilowatt hours = 61.88 cents per kilowatt hour).

I think that 61.88 cents per kilowatt hour is rather high.

The utility company that I use is one of the most expensive utility companies in the United States and they only charge me 17.3 cents per kilowatt hour of electricity.

That is much less than it costs my colleague for electricity from his solar photovoltaic system.

I realize that it is very difficult to get accurate cost data on these systems. Recently I had the opportunity to talk with a salesman who sells these systems.

The first question that I asked him is why is it so hard to get accurate cost data on these systems.

The salesman replied with what I would say was rather remarkable candor.

The salesman said that if people knew how little electricity these systems produce, how much maintenance they require and how much they really cost nobody would buy them.

Here in Silicon Valley we have a term for people who absolutely must have the latest technology no matter what it costs.

They are called "early adoptors"

Who are early adoptors?

They are people who have more money than they know what to do with. They must have the very latest gadget and they do not care how much it costs.

Solar photovoltaic systems are definitely systems for"early adoptors"

Solar photovoltaic systems are not ready yet for the mainstream public.

Answer 2

The $25,520 fee quantities to approximately $8.fifty one a watt that's intense, i might've expected between $2.50 to $5 a watt and those are dated fees so it sound like the seller is raking the cost up. You did no longer point out what share months your $one hundred seventy five financing is for yet submit to in ideas that at 3 kw for 8 hours an afternoon for 30 days at 12 cents in line with kwh, you may generate $86.40 so which you would be paying approximately two times as plenty to your image voltaic power as you may had you acquire the ability from the grid. ideas you, for people on a hard and fast earnings, there is the protection that the cost won't upward thrust ( if appropriate insured ) so there must be an benefit to paying a top type to your power in case you're on a hard and fast earnings. i might say this is a rip off yet I even have self assurance image voltaic has a approaches to circulate inspite of subsidies formerly it incredibly is an financial decision and that's frequently no longer a properly-liked stance with the eco-friendly washed crowds.

Answer 3

Depends on how much power your house needs. 10K-40K was a pretty good estimate.

The economics depends on the tax subsidies in your region. At the very best it's close to a break even proposition, not a way to make money.

People who do this either have an environmental motivation or, the expense of running a power line to their house is large.

Answer 4

Around $10 per watt. Since a solar panel can produce a maximum of 2 kWh per year per installed watt, which is worth about 25 cents, solar panels are not economical unless you can get a fat subsidy.

Answer 5

Anywhere between 10K and 40K. It would only be worth it if one was doing it as a matter of conscience rather than economics. Grants and subsidies only pay for 10% to 50%.

Answer 6

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