COVID-19 update: Melbourne site visits on hold due to Stage 4

How much does a solar and battery system cost?

Posted in Getting battery storage

Solar panel and battery systems vary in price, however on average a grid-connected system can cost somewhere between $11,000 and $20,000 fully installed on single phase in Australia. At DC Power Co, our solar and battery systems range in cost from $11,650 – $18,050. Three-phase systems will be a little more.

The final cost of a solar and battery system will depend on a number of factors, such as the size of the system, the type of panels and battery, your home and government rebates.

 

What impacts the cost of a solar panel and battery system?

When you purchase a solar and battery system, there are two main parts of the process that will influence the price: the system itself and the installation. 

 

System variables

The size of the system 

Solar systems and batteries range in capacity. This is measured in kW for solar panels and kWh for batteries. Like many other purchases, the more you get, the more you pay (although the cost per kW/kWh tends to decrease as size increases).

 

The products in the system

There are many different solar panel, inverter and battery options available in the market. Different products come with different price tags, whether that’s due to the quality of the product, the type of product (monocrystalline or polycrystalline panels, string inverters or microinverters, lithium-ion or lead-acid batteries), or you’re just paying more for a well-known brand with a shiny logo. 

The most important thing here is that you don’t trade quality for low cost. Look for a system that’s backed up by good warranties, positive reviews and a reputable manufacturer.

 

Installation variables

Your home 

Yes, your home will influence the final cost of your solar and battery system. This is because everything from the building material of your house to the number of stories will impact the cost of installation. 

For example, when it comes to installing solar panels, tin/colourbond roofs tend to be cheaper than tile roofs. Brick homes are also usually less expensive than weatherboard as batteries that are installed on weatherboard homes require a fireproof backing to also be installed.

 

Switchboard requirements

Your solar and battery system will connect into your switchboard so older homes may need switchboard upgrades in order to fit the new system. This will add to the overall cost of the installation and is something your installer will be able to identify for you.

The other thing to note is the location of your switchboard in relation to where you’d like your solar inverter and battery installed. The further away they are from your switchboard, the more your installation will cost (due to the costs associated with the extra cabling requirements).

 

Solar and battery rebates

Some states offer rebates and/or loans to help residents install solar panels and batteries. Depending on where you live and if you’re eligible, this could knock up to a few thousand dollars off the final price you’ll pay. As at June 2020, there are solar rebate and/or loan schemes running in Victoria, SA, NSW and the ACT.

 

Safety inspections and network charges

There are a couple of extra costs that may affect you, depending on your location. 

  • Some states require an electrical safety inspector to visit your home and assess the installation, which usually adds a couple of hundred dollars to the final install cost.
  • Some electricity networks also charge network costs. This is only applicable in certain network areas and can cost anywhere from $30 all the way up to $500. 

 

Variation in installation and sales prices

Finally, prices differ between different installers and retailers. Like builders and tradies, each varies in quality and price. 

 

There are financing options available

A solar and battery system is a big investment, so it’s good to know that there are financing options available.

We scanned the market and found a community based organisation, Community First Credit Union, who are able to offer green loans for solar and battery installations. They offer a flexible application process (online or over the phone) and attractive green loan rates – for example, 5.99%* p.a. (Comparison Rate – 6.26%**).

So you can start saving with your solar and battery system now and pay it off over time.

 

When is it most cost effective to get a battery?

The most cost effective time to get a battery is when you get your solar panels installed. This is because by installing your panels and battery at the same time, you’ll cut out extra installation costs and combine the two components’ payback into one, shorter payback period. 

For example, our mid-sized solar and battery package (including installation) could pay for itself in around 7 years^.

Designed specifically for households adding solar panels and a battery at the same time, the DC Power Co solar and battery package brings world-leading, tier 1 solar panels together with an Australian-designed battery solution in one streamlined, cost-effective package. 

The package comes in a range of sizes depending on your energy needs, household set-up and budget, and you can get started with a free, online system estimate to get an idea of how much a system sized up for your needs might cost.

 

View the solar and battery package

 

If you already have solar, but want to add a battery, check out our solar battery package.

 

 

CFCU’s credit eligibility criteria, terms & conditions, fees & charges apply. *Rate is current as at 01/08/19 and subject to change without notice. **The comparison rate is based on an unsecured loan amount of $30,000 over a loan term of 5 years. WARNING: This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Community First Credit Union Ltd ABN 80 087 649 938 AFSL/Australian credit licence 231204.

 

^Estimated savings are based on solar generation of 1300kWh per kW per year, and using a weighted average value of that generation at 20c per kWh (combination of exports and offsetting electricity purchasing). Battery cost savings are based on a depth of discharge of 90% of the battery and an assumption that the battery will be filled 90% of cycles (one cycle per day). This is a so-called simple payback and does not take into account any increases in electricity prices, fluctuations in feed-in tariffs, degradation of solar panels or batteries.

Back to Blog