Unpacking Solar Panels Costs in Australia: What to Expect in 2018

Unpacking Solar Panels Costs in Australia: What to Expect in 2018

As the world leans more towards sustainable energy solutions, Australia has emerged as a leader in the renewable energy sector. Particularly in 2018, the Australia solar market experienced significant growth, leading to a surge in interest regarding solar panel costs. If you’re contemplating a switch to solar energy, understanding the financial landscape is crucial. This article aims to provide an in-depth analysis of solar panel costs, installation, energy savings, and available incentives, ensuring you’re well-informed to make the best decision for your household or business.

Understanding Solar Panel Costs in 2018

To effectively navigate the solar panel costs landscape, it’s important to break down the various factors influencing pricing. In 2018, the average cost for a residential solar panel system in Australia ranged between $5,000 and $10,000, depending on the system size and installation specifics. However, these figures can fluctuate based on several variables:

• System Size: Larger systems tend to be more cost-effective per watt compared to smaller installations.
• Installation Complexity: Roof type, accessibility, and the condition of existing electrical systems can affect installation costs.
• Quality of Components: The brand and efficiency of solar panels and inverters play a significant role in the overall cost.
• Location: Costs can also vary by region due to differences in local regulations and market competition.

In 2018, a typical 6.6kW solar panel system cost approximately $7,000 before incentives. This size is popular among Australian homeowners, as it’s often enough to cover the energy needs of an average household.

Solar Installation: What to Expect

Once you’ve decided to invest in solar, understanding the installation process is vital. Typically, the solar installation process involves the following steps:

1. Site Assessment: A solar installer will visit your property to evaluate your roof’s suitability for solar panels.
2. Design and Quote: Based on the assessment, the installer will propose a system design and provide a detailed quote.
3. Installation: This usually takes one to three days, depending on the system’s complexity.
4. Inspection and Connection: After installation, the system will be inspected before connecting to the grid.

It’s highly recommended to choose a reputable installer with experience in the Australia solar market. Look for reviews, certifications, and licenses to ensure quality workmanship.

Cost Analysis: Long-Term Savings

While the initial outlay for solar panels can seem substantial, it’s crucial to weigh this against potential long-term savings. Here’s a brief cost analysis:

• Energy Savings: With solar panels, homeowners can reduce their electricity bills significantly. In many cases, households can save between $1,000 and $2,500 annually, depending on their solar system and energy usage.
• Feed-in Tariffs: Many states offer feed-in tariffs, allowing homeowners to sell excess power back to the grid, further enhancing savings.
• Increased Property Value: Homes with solar panels often see an increase in property value, making it a wise investment for the future.
• Government Incentives: Various incentives, such as the Small-scale Renewable Energy Scheme (SRES), can significantly reduce the upfront costs of solar installation.

Over a typical lifespan of 25 years, solar panels can yield substantial financial benefits, often paying for themselves several times over.

Exploring Solar Incentives

In 2018, the Australian government was keen on promoting renewable energy, which meant various incentives were available to help ease the financial burden of solar panel installation. Some of these included:

• Small-scale Renewable Energy Scheme (SRES): A rebate program that provides financial incentives based on the amount of renewable energy generated.
• State-Based Incentives: Many states offer additional rebates or subsidies, which vary by location.
• Interest-Free Loans: Certain programs provide interest-free loans for solar installation, making it easier to finance the upfront costs.

By leveraging these incentives, homeowners can significantly lower their initial investment in solar technology, making it a financially attractive option.

FAQs About Solar Panel Costs and Installation

1. What is the average cost of solar panels in Australia in 2018?

The average cost for a residential solar panel system in 2018 ranged from $5,000 to $10,000 before any incentives.

2. How much can I save on my energy bill with solar panels?

Homeowners can save between $1,000 and $2,500 annually, depending on their energy usage and the size of the solar system.

3. Are there any government incentives for solar installation?

Yes, the Small-scale Renewable Energy Scheme (SRES) and various state-based incentives can significantly reduce installation costs.

4. How long does it take to install solar panels?

The installation process usually takes one to three days, depending on the system complexity.

5. What factors affect the cost of solar panel installation?

System size, installation complexity, component quality, and location are key factors that affect solar panel installation costs.

6. Is solar panel installation worth it in Australia?

Yes, with significant energy savings, government incentives, and increased property value, solar panel installation is generally considered a wise investment.

Conclusion

As we unpack solar panel costs in Australia for 2018, it’s evident that the renewable energy revolution is more accessible than ever. With a combination of decreasing prices, compelling energy savings, and substantial government incentives, transitioning to solar energy is not only an environmentally responsible choice but also a financially savvy one. If you’re considering solar installation, take the time to research credible installers and explore available incentives. The shift towards a sustainable future is within reach, and Australia is leading the charge.

For more information on solar energy solutions, visit Solar Energy Australia.

To dive deeper into the benefits of renewable energy, check out this informative resource.

This article is in the category Economy and Finance and created by Australia Team