What is the cost of a solar system for the typical household?
Going solar in India fares much better than most other places, and the solar panel installation cost in India is a big part of the reason. Geographically, being closer to the equator means sunnier climates and shorter shadows. Also with generally progressive policies around renewables and solar in particular, if residents have the space and the wherewithal to install solar, it is absolutely a great investment to hedge against rising power bills. Here is what decides the solar panel installation cost in India for your home.
Regarding investing in a solar system for home use; the incurred cost varies based upon a multitude of factors;
Capacity Requirements and Solar Panel Installation Cost
An average medium household requires around 2 kW to 4 kW depending on the family size. Off-grid based systems (meaning those with batteries integrated) costs around 1.25 lakhs/kw, which accounts for 40% higher cost due to storage systems which need to be replaced every 5 years, than net metering systems (directly connected to the grid without batteries).
On-grid systems are the best suit as it alleviates the need of storage systems and the excess energy generated can be exported to the grid, which can generate additional revenue for surplus power. They on the other hand cost around Rs. 65000 to Rs. 70000/ kW.
Panels need to have frequent cleaning and maintenance done to keep the performance up. A good rule of thumb is to consider operations and maintenance costs to annually be around 2% of the overall cost of the system.
Auxiliary support such as insurance, monitoring comes at an additional cost.
How Hardware Choice Shifts Your Solar Panel Cost
The above solar panel installation cost in India has been considered for monocrystalline PERC solar panels. Other types include polycrystalline and thin-film panels. These are explored in detail here and can shift the overall cost depending on efficiency and budget.
Inverters also come in different configurations. String inverters connect all the panels and convert their output together. Micro-inverters work on a smaller subset of panels for better performance. As one can guess, that extra performance pushes the solar panel installation cost toward the higher end.
Labour and Location Affect Final Cost
Metropolitan cities have relatively higher labour costs than tier II and tier III cities or towns. During installation, labour accounts for around 5-7% of the overall system cost, and it is lower for projects in tier II and tier III locations.
Additionally, the subsidies and grants available to the customer at a state level as well as need level (for agriculture, residential or industrial) could drastically impact what the landed cost of the system could be.
Want an exact quote for the solar panel installation cost in India for your home? Connect with SundayGrids.
Conclusion
Solar is a sound investment for most Indian households, but the final price depends on your setup. A typical home needs 2–4 kW of solar capacity. An on-grid system usually fits best, since it skips the battery and lets you earn from surplus power. Hardware type, labour costs in your city and state-level subsidies can then move the number up or down. Set aside about 2% of the system cost each year for maintenance. This makes the solar panel installation cost in India much easier to plan. Ready for a number that fits your home? Get a quote from SundayGrids and see what your roof can save.
