If you’re thinking of installing solar panels in Phoenix, this is one of the smartest decisions you could have made. Arizona boasts the highest number of sunshine days throughout the year, making this an abundant natural resource. For most property owners the cost of solar panels is always a major consideration. When budgeting for the project, consider the solar panels cost, cost of installation, and other hardware required to complete the electricity generation and distribution to your home.
With solar panels installation in Phoenix, you can unlock the potentials of solar energy, including cost savings, energy independence, reduced carbon footprint, and high ROI on the solar panel project. A solar panel system can also boost your home’s value.
This post looks at the average cost of solar panels in Phoenix, AZ, to help you budget for the installation project.
Cost of Solar Panels in Phoenix
For your solar energy system, the cost of solar panels is calculated by dollar per watt. The cost of the solar panel depends on how much electricity you need to generate. Today, the average solar panel cost in Arizona is $2.53/W. If you use an average-sized 5 kW (5000 watts) solar system, you get the average solar installation in Arizona from $10,752 to $14,548.
This average cost goes down when you factor in the multiple solar incentives, including the 26% Federal Investment Tax Credit (ITC), 25% Residential Arizona solar tax credit personal tax reimburses up to $1,000, and equipment and property tax exemptions. When you apply these solar incentives, the cost falls.
Costs might vary from one supplier to the next. Some other factors that could influence the cost of your solar panels include:
1. The Brand of Solar Panel
Some premium brands cost higher because of the quality of materials and the reputation they’ve built on the market. With these premium brands, you also get quality guarantees and a warranty on solar panels and hardware.
2. Type of Solar Panels
You have the option of monocrystalline solar cells, polycrystalline cells, and thin-film solar. The most common of these are monocrystalline solar cells and polycrystalline cells. Mono-type cells deliver higher solar panel efficiency but are also more costly. The polycrystalline cells are cheaper and have an advantage in hot climates like Arizona.
3. Solar Panel Mounting Hardware
Solar panels require mounting hardware and this is part of the purchase. Different solar panel configurations require unique mounting hardware and racking. The mounting hardware is critical for protecting your solar panels against extreme weather. The type of roof and other factors also determine the type of mounting selected by the solar installer.
4. Size of Solar Panel System
To get the total cost of your solar panels, your solar installer carries out an energy audit to determine your home’s energy needs. The calculations help get the right number of photovoltaic panels for the array. The solar installer determines the number of watts your home consumes and multiplies this by the current rate of solar panels per watt in the State of Arizona which is around $3.50 per watt.
The average home in Arizona uses around 7 kilowatts. Considering the average cost of solar panels per watt is $3.50 per watt, the average cost of solar panels in Arizona is around $24,500. These are calculations for what an average home in the region would actually require.
Besides the cost of solar panels, consider the installation costs and other hardware including the power inverter and wiring. Over the years, the cost of solar installation in Arizona has fallen with the region becoming a leader in renewables.