How Much Does Solar Panel Installation Cost in Australia?
Solar panel installation costs in Australia have dropped significantly over recent years, making solar energy more accessible for homeowners and businesses. Depending on system size, location, and equipment quality, typical installation prices range from AUD 3,000 to AUD 10,000 after rebates. This article breaks down the key factors influencing these costs and provides estimates to help you budget for your solar project confidently.
What Affects the Cost of a Solar System?
The cost of a solar panel system in Australia can vary significantly depending on multiple factors. Understanding these will help you make an informed investment decision.
1. System Size
The size of the solar system, measured in kilowatts (kW), is the most significant factor influencing the total cost. Larger systems have a higher upfront price, but they also generate more electricity, often reducing the per-watt cost.
System Size | Average Price (AUD) | Annual Output (kWh) | Payback Period* |
3 kW | $3,200 – $4,000 | ~4,200 | 4–5 years |
5 kW | $4,500 – $6,000 | ~7,000 | 3–4 years |
6.6 kW | $5,200 – $7,500 | ~9,500 | 3 years |
10 kW | $8,500 – $12,000 | ~14,600 | 3–4 years |
*Payback period assumes average household consumption, standard feed-in tariffs, and no major shading issues.
For example, while a 3 kW system might be cheaper upfront, it may not produce enough electricity to offset your full household usage, whereas a 6.6 kW system could cover most of your needs and offer faster returns.
2.Panel Brand and Quality
Not all solar panels are created equal—brand reputation, build quality, efficiency, and warranty can all impact the price. Budget brands are often priced lower (e.g., AUD 0.85–1.00 per watt) and come with 10–15 years product warranty and efficiencies around 17–19%. In contrast, premium brands typically cost AUD 1.10–1.40 per watt, offering 25–30 years warranty and higher efficiency of 20–22%, meaning they generate more electricity over their lifespan. For instance, a 6.6 kW system with budget panels might cost around $5,200, while premium panels could raise the price to approximately $7,500—but with potentially longer lifespan and better long-term savings.
3. Roof Characteristics
Your roof’s type, angle, and accessibility can significantly influence labour costs. Simple single-story roofs often incur minimal additional costs, whereas multi-story or steep roofs may add $500–$1,000 due to safety equipment requirements. Tiled roofs usually require more preparation, adding $300–$600 compared to metal roofs. For example, installing a 6.6 kW system on a flat tin roof might take one day, but the same system on a steep, double-story tiled roof could take two days and cost $800 more.
4. Inverter Type
The inverter converts solar energy into usable electricity. The type and brand you choose can change the price significantly. Cost-efficient string inverters typically range from $1,000 to $2,000 for most systems. On the other hand, microinverters, which are installed on each panel for better efficiency especially in shaded conditions, can add $2,000–$4,000 extra to the total cost.
5. Location and State Rebates
Government incentives vary by state, which affects the overall cost. For example, in New South Wales (NSW), the average rebate for a 6.6 kW system is around $3,000. Victoria (VIC) offers the Solar Homes rebate of up to $1,400, along with an interest-free loan option. Regional areas may face higher installation costs due to travel expenses, so it’s essential to consider your location when budgeting. Make sure to check out the available solar panel rebate programs in your state to maximize savings.
Additional Components
Extras such as battery storage, monitoring systems, or premium mounting racks can add thousands to the total. For example, a 10 kWh battery storage can cost between $8,000 and $12,000, while smart monitoring systems range from $300 to $600.
What is the Average Solar Panel Price in Australia
Cost Per Watt
To calculate the cost per watt of a solar system, you need to consider the total system size and the rebates available in your state. For example, a 5 kW system typically costs about AUD 1.04 per watt. If you increase the system size to 10 kW, the cost per watt usually drops to around AUD 0.92, reflecting better economies of scale.
Cost Per kWh
When looking at the global solar market, Australia offers some of the most affordable solar panel prices per kilowatt-hour (kWh). This is largely due to government rebates, supportive initiatives, and a thriving solar industry. For a quality solar system, the cost per kWh generally falls between AUD 900 and AUD 1,000, making solar energy increasingly accessible to everyday consumers.
Solar Panel Installation: How Much Does It Cost in Australia?
The cost of installing solar panels in Australia varies by state due to differences in local rebates, installation labor rates, and solar energy demand. On average, the national cost for a standard residential solar system ranges from AUD 3,000 and AUD 9,000, depending on size and quality.
Average Solar Panel System Costs by State (2025 Estimates)
State/Territory | 3kW System | 5kW System | 6.6kW System | 10kW System |
NSW | $3,200 – $3,800 | $4,600 – $5,500 | $5,500 – $6,800 | $8,800 – $10,500 |
VIC | $3,300 – $3,900 | $4,700 – $5,600 | $5,700 – $6,900 | $8,900 – $10,700 |
QLD | $3,100 – $3,700 | $4,500 – $5,400 | $5,400 – $6,700 | $8,700 – $10,300 |
WA | $3,000 – $3,600 | $4,400 – $5,300 | $5,300 – $6,600 | $8,500 – $10,200 |
SA | $3,200 – $3,800 | $4,500 – $5,500 | $5,500 – $6,700 | $8,800 – $10,400 |
Tip: WA and QLD often have slightly lower installation costs due to higher competition and abundant sunshine, whereas VIC tends to have higher labor costs.
Seasonal & Market Price Fluctuations
Solar panel prices in Australia have been decreasing over the past five years, largely due to global manufacturing scale-up—especially in China—government rebates like Small-scale Technology Certificates (STCs), and technological improvements boosting panel efficiency. However, prices fluctuate seasonally: summer often sees higher demand and slightly higher prices, while winter may bring discounts to attract customers.
For example, in 2024, global silicon prices dropped by around 30%, directly reducing manufacturing costs and making home solar panels cost more affordable for Australian households.
How Do I Calculate How Many Solar Panels I Need?
Understanding the differences between types of solar panels is important, but the next step is figuring out how many you’ll actually need for your home.
Start by calculating your household’s average daily energy consumption. This figure depends on factors like the size of your home, the number of occupants, the type of appliances you use, and how frequently you use them.
Most Australian energy bills list your average daily usage, but you can also calculate it yourself. As a guide, small homes with one or two occupants typically use around 7 kWh per day, while larger family homes can consume up to 40 kWh per day.
Once you know your daily usage, divide it by the number of sunlight hours in your area to determine your panel requirements. For example, if your home uses 30 kWh per day:
Convert to watt-hours: 30 kWh = 30,000Wh
Divide by average sunlight hours (e.g., 24 hours for round-the-clock needs):
30,000Wh ÷ 24 = 1,250 W hourly
This output could be achieved with four 400W panels or thirteen 100W panels. For the 400W option, a high efficiency option such as the EcoFlow 400W Rigid Solar Panel, which offers about 23% conversion efficiency, IP68 weather protection and an all-black finish, plus fast installation and long term guarantees of 10 year workmanship and 25 years to 80 percent output, lets you build a compact, durable array that reduces roof clutter while delivering reliable power.
EcoFlow 400W Rigid Solar Panel
Keep in mind that power needs vary throughout the day; peak usage occurs when many appliances operate simultaneously, often mornings or evenings, while off-peak times are typically at night or weekends.
Conclusion
Solar panel installation costs in Australia vary based on system size, location, and market conditions. However, decreasing material prices, technological advances, and government incentives are making solar energy increasingly affordable. By carefully selecting the right system size, panel quality, and installer, homeowners can reduce upfront expenses and enjoy quicker returns on their investment.
*Disclaimer: Before reading this guidance, please note that government programs such as rebates, bonuses, and tax credits can vary based on individual circumstances, eligibility criteria, and policy changes. EcoFlow does not provide any assurances or guarantees concerning potential financial incentives associated with our products. Any information in this guidance is provided solely for educational purposes and shall not be construed as legal, tax, or financial advice. We recommend you consult official program guidelines or seek advice from qualified professionals for accurate and personalized information.
FAQs
Is it worth getting solar panels in Australia?
Yes, installing solar panels in Australia is generally worth it due to high sunlight exposure, rising electricity prices, and government incentives like the Small-scale Renewable Energy Scheme (SRES). Solar systems can significantly reduce or even eliminate power bills, with payback periods often between 3–5 years depending on system size and usage. Over the 25+ year lifespan of quality panels, the savings can be substantial. Additionally, feeding excess power back into the grid can earn feed-in tariffs, further increasing return on investment while reducing carbon footprint.
How much is 10kW solar panels in Australia?
A 10kW solar panel system in Australia typically costs between AUD $8,000 and $13,000 after government rebates, depending on panel brand, inverter quality, and installation complexity. Prices vary by state, with metropolitan areas often cheaper due to competition. A 10kW system can generate 35–45 kWh per day on average, making it suitable for large households or small businesses. At current electricity rates, payback can be achieved in 3–6 years. Choosing Tier 1 panels and a reputable installer ensures optimal performance, warranty coverage, and long-term energy savings.
How much should a 6.6 kW solar system cost in Australia?
In Australia, a 6.6 kW solar system usually costs between AUD $4,500 and $7,500 after rebates, depending on the quality of components and installer reputation. This system size is one of the most popular for households, producing an average of 24–28 kWh per day, which can offset most or all of a typical home’s electricity usage. With current feed-in tariffs and electricity prices, the payback period is often around 3–5 years. Ensuring your system includes quality Tier 1 panels and a reliable inverter is key to maximising performance and lifespan.