If you are considering a solar power system for your property, you no doubt appreciate that solar panel installation costs include more than the price of the panels themselves, with the charge for the additional components, fitting the panels and running the system all needing to be taken into account. However, the good news is that the installation price is continuing to fall, so this need not stand in the way of you fitting the best solar panels for your home.
Falling Installation Costs
In a report by the Lawrence Berkley National Laboratory, part of the US Department of Energy, it was highlighted that the installation cost for a small system call for policies to reduce “soft costs”.
The price drops are largely due to the fact that solar panel module costs fell by $2.6/W between 2008 and 2012, which accounted for around 80% of the overall decline in the price of photovoltaic systems over that time. However, even though non-module expenses such as the price of inverters, hardware for mounting and “soft costs” such as the labor associated with installation and the costs associated with permits and inspection have fallen, they haven’t kept pace with those related to the modules themselves and have changed little in recent years. As a result, non-module payments now make up a greater contribution to the overall solar panel costs. This change was highlighted in the report as indicating that the solar energy industry and policymakers need to look towards ways of reducing non-module expenditure. By targeting soft costs, which are more likely to be influenced by local policies and those made at the national level, this will make installation of the best solar panels affordable to more people, as there is only so much further that the price of the systems themselves can drop.