How to Estimate the Cost of Solar Panels on Homes

It is no secret that investing in a solar photovoltaic system can require a considerable amount of money. This is often the biggest factor homeowners consider and wrestle with when thinking about putting solar panels on their homes. It’s the debate of long term savings versus present expenses.  To help make a sound decision assess and learn how to estimate the cost of the solar panel installation.

Estimate Cost

In a recent episode of Sunny with Jacque, the host explained a quick approximation for determining roof space. Using 5 kilowatt peak (kWp), which is often the kWp required for a typical home that runs lights, major appliances, and frequent air conditioning, it was estimated that the home would need around 19 solar panels, which is approximately 40 square meters of roof space. Those 19 panels will cost around

Php 400,000.00.  

Factoring in how much the homeowner would save on a monthly basis, it will take around four to five years for the panels to pay for themselves. Broken down into months, and the homeowner is approximately spending an extra Php 6,500 a month for four to five years.  After that they get to enjoy free power for another forty years or more, enjoying their full savings as well.

Given that, the first step for any homeowner is to consider how much roof space there is on the site in order to determine how many solar panels can be put on the home or is necessary for the solar panel installation. In an ideal situation, one should maximise the roof space so as to maximise the kilowatt peak and maximise the amount saved. 

Once the roof space has been accounted for, then the number of panels can be determined. Most blueprints will contain the roof area, and from there homeowners can use the simple formula for the approximate number of panels. To keep things simpler and easier, estimate 20 panels for every 40 square meters, which means about 1 panel for every 2 square meters of roof. So a 30 square meter roof will need about 15 panels while a 70 square meter roof will need about 35 panels.  

The next step is to consider the cost of the panel. Again, using the original example, the number of panels would have to be multiplied by Php 21,100.00 (400,000/19 and rounded up to the nearest hundred). That means the roof with 15 panels will cost about Php 316,500.00 while the roof with 35 panels will cost about Php 738,500.00, and both will take around four to five years to pay for itself.

Remember that maximising roof space is ideal. Not only does the homeowner get to save, but any excess power that is generated and fed back to the DU will return to the homeowner through credit in their DU power bill.

Like solar photovoltaic technology, putting solar panels on homes need not be so daunting. It’s easy when one keeps in mind that having solar panels on homes also benefits the environment. For a better idea of what a solar panel installation might cost, click on the “Get a Quote” buttons on the Buskowitz website.

*This article uses 2018 solar panel rates. Cost can vary and change depending on supply and technological advances. 

**The cost of solar photovoltaic panels used in this article have not factored in Philippine VAT.