Cost of Solar Panels
in Ontario
HOW MUCH DO SOLAR PANELS COST IN ONTARIO?
This guide provides a detailed breakdown of the cost of solar panels in Ontario, considering various factors that influence the overall investment. From installation types to government incentives, we will cover everything you need to know to make an informed decision about investing in solar energy.
The Cost of Solar Panels
Factors Affecting the Cost of Solar Panels
System Size
The size of your solar panel system is the most significant factor affecting the cost.
Larger systems that generate more electricity will naturally cost more. For example, a 7,500-watt system can cost between $18,750 and $26,250, depending on various factors.
Installation Type
Roof-mounted installations are generally more cost-effective compared to ground-mounted systems due to less material and labor requirements.
Roof-mounted systems utilize existing structures, making the installation process simpler and less labor-intensive.
Panel & Inverter Type
Panel Type: Polycrystalline panels are cheaper but less efficient, while monocrystalline panels are more efficient and costly but offer better long-term savings.
Inverter Type: Microinverters are the most expensive but optimize each panel individually. String inverters are more affordable but less efficient if shaded. Power optimizers provide a cost-effective middle ground.
Warranties
Opting for extended warranties on equipment and installation can increase the upfront cost but provides long-term savings and peace of mind. Solar panels typically come with a performance warranty of 25 years, while inverters may have shorter warranties.
Extended warranties cover potential defects and performance issues, ensuring your investment remains protected.
Location & Rebates
Different municipalities in Ontario offer various incentives that can reduce the overall cost.
Programs like Toronto’s Home Energy Loan Program (HELP), Ottawa’s Better Homes Ottawa Loan Program, and Guelph’s Greener Homes Program provide financial support for solar installations.
Expertise & Labour
The experience and reputation of the installation team can affect costs.
Experienced and reputable installers may charge more but provide higher quality installations, reducing future issues and maximizing system efficiency and lifespan.
Solar Panel Installation Rebates
Incentives & Rebates
The Better Homes Ottawa Loan Program (BHOLP) is a City of Ottawa initiative designed to support home energy efficiency retrofits. Its goal is to help local residents reduce energy consumption and greenhouse gas emissions.
This program allows homeowners to offset their electricity costs by exporting excess solar power back to the grid, providing credits that reduce monthly electricity bills.
Some local utilities and municipalities offer additional rebates and incentives for solar installations. These programs vary by region and can significantly impact the overall cost of your solar project. Contact us to find out more about local rebates that might be applicable for your home or business!
Average Cost of Solar Panels
Cost Breakdown
To give a more concrete idea of the cost, let’s look at an average residential solar panel installation in Ontario:
Average Cost: $10,000 to $25,000 depending on the system size and type of equipment used. Smaller systems (around 5kW) are on the lower end of the spectrum, while larger systems (10kW or more) are on the higher end. The total cost includes equipment, labor, permits, and additional fees.
Per Watt Cost: Typically ranges from $2.50 to $3.50 per watt. This cost includes all components and installation expenses. For example, a 5kW system (5000 watts) could cost between $12,500 and $17,500.
System Size: A common residential system is between 5kW to 10kW. The size of the system needed depends on your household’s energy consumption and the available roof space. Larger systems generate more electricity but come with higher upfront costs.
Installation Type: Roof-mounted systems generally cost less than ground-mounted systems. Roof-mounted installations utilize existing structures, making them more cost-effective. Ground-mounted systems require additional materials and labor, increasing the overall cost.
Equipment: Higher efficiency panels and advanced inverters increase the cost but offer better performance and savings. Investing in high-quality equipment can lead to greater long-term savings through higher energy production and reliability.
Should You Switch to Solar?
Benefits of Switching to Solar
Below, we explore the potential savings, return on investment, and additional benefits of going solar.
Savings & ROI
Environmental Impact
Energy Independence
Energy Security
Solar power provides a reliable source of energy during power outages and emergencies, ensuring that homes remain powered even when the grid goes down. This is particularly beneficial in areas prone to natural disasters or frequent power interruptions.
