How much did our system cost?

Roof top solar power systems for residential use, are becoming more and more common, especially in Ontario thanks to the microFIT program. So you can find several companies that offer different packages, and prices are changing all the time.

When you consider how much money the microFIT program will pay you, it’s quite feasible to pay part of the cost for the system using a line of credit on your property. If you do that, there’s little cost to you upfront, you have a high degree of confidence that the loan will be completely paid back by the microFIT revenue, and you could end up with a profit at the end of the microFIT contract too.

For a system similar to ours, rated for around 3,000 watts, in 2010 it would have cost you anywhere from $20,000 to $30,000 depending on the exact equipment, wattage, complexity of installation, etc. And depending on when in the year you bought it.

As of 2012, the costs should be less, and the package should include all parts, labour, building permits, inspections, etc. A system equivalent to ours will likely generate about $41,000 in revenue over the next 20 years (based on the payment rate in effect after the two year review of the microFIT program — the rate was over 30% higher when the program was first launched).

In the industry, a common measurement is the cost per installed kilowatt, or even per watt. For example, if a system with a nameplate capacity (ie: manufacturer’s rated output) of 10 kW cost $75,000, then the cost per installed kilowatt would be $7,500, or $7.50 per watt.

For a small residential system, costs have been dropping from as high as $9.00 per watt in 2009, down to $6.00 per watt in 2011, and I think even lower now. It’s hard to get exact figures when speaking generally, since each installation will be different, and some figures you will see are based on the cost-per-watt for the equipment, not the cost-per-watt for having the entire system installed on your roof.

To get a site assessment of your own property, and see what a potential system might cost, you should contact Our Power, a community group focused on promoting and facilitating residential solar power systems.