When asked to recommend a properly sized solar energy system for an average-sized home, many installation experts will suggest a 10-kilowatt (kW) system as their default answer.
The United States Energy Information Administration (EIA) reports that in 2021, the average American residential consumer used 10,632 kilowatt hours (kWh) of electricity to power their homes [1].
Realistically, a well-maintained 10kW solar panel array in the prime of its life can be expected to generate between 10,800 and 14,400 kWh of electricity annually in most locations, given the amount of sunshine they receive [2].
The good news is that this is clearly enough to meet the needs of the average homeowner. The better news is that there is a list of sun-drenched states where a 10kW system could produce a whopping 18,000 kWh of electricity annually, at minimum [3].
The amount of electrical power a single solar panel can produce is directly proportional to the number of peak sun hours it is exposed to over the course of a day.
A peak sun hour is defined as 60 minutes of time in which a solar panel on your rooftop would be bombarded with 1,000 watts of energy per square meter of sunlight [5]. In real-world conditions, a solar panel would only be exposed to one full peak hour of sunlight if it were around midday and there were no clouds in the sky. When this takes place solar panels function at 100-percent efficiency, meaning a 400-watt solar panel would produce 400 watt-hours of energy over the course of one peak sun hour.
Peak sun hours are generally charted on a daily basis, which means all of these fractions are added up to cover a single 24-hour time period. The final number represents the peak sun hours experienced on a particular day, and it can be used to determine how much energy a solar panel array would have produced on that day.
The mathematics of this is simple, requiring just basic multiplication. If five peak sun hours were experienced on a certain day, it would mean that a 10kW solar array produced 50 kilowatt-hours (kWh) of electricity over the course of that day (5h x 10kW = 50 kWh).
According to the latest estimates, an average American home will use around 30 kilowatt-hours of electricity a day [6]. This means that a 10kW solar array would require just three peak sun hours a day to guarantee an adequate supply of electricity to the owner of an average-sized residence.
For a detailed information about your area, check the Global Solar Atlas. It is a detailed database, enabling you to access data on annual solar irradiation in any location around the world. It is a very useful tool to go through when considering investing in photovoltaic solar panels.
Solar panels in 2023 are more efficient than those manufactured in the past. Over the last few years average panel conversion efficiency has risen from 15 percent to above 20 percent, and as a result the typical power rating of a standard-size home solar panel has increased from 250 watts up to 400 watts [7].
This is great news for homeowners, because it means you''ll need to purchase fewer solar panels to reach the 10kW plateau than would have been necessary in the past. If you purchased solar panels rated at 400W, you''d need exactly 25 to achieve 10kW of capacity.
You might be interested in lower-capacity models, if the discounts on price were enough to make that your overall cheapest option. And in fact, as of 2023 solar panels in the 300 to 350-watt range are still the best sellers. Conversely, you might prefer upper-range 440W—480W panels if you were a bit short on roof space.
Monocrystalline solar panels would be your high-efficiency but higher-priced option, while less-efficient polycrystalline panels would occupy the opposite end of the solar cost spectrum [8].
Should you decide to install 25 400W panels, you would need at least 446.875 square feet of open roof or lawn space to make your solar array fit. However, industry professions often recommend that you keep up to 25 percent of your roof space clear when you install solar panels, for safety purposes and to ensure easy access [9].
If you follow this advice, you would need 594. 34 square feet of roof space for your solar panels, instead of 446.875. This would be the equivalent of a roof or ground area that was approximately 30 feet long by 20 feet wide, if that helps you visualize this more easily.
The average price of electricity in the United States in December 2023 was 14.96 cents per kilowatt-hour [10]. Meanwhile, a recent study cited by the U.S. Environmental Protection Agency (EPA) showed that the average American household consumed 10,715 kWh of electricity on an annual basis, which is an average of 893 kWh per month [11].
Performing the appropriate calculations, we can then determine that a homeowner in the United States who installs a 10kW solar power system could save as much as $1,603 each year on electricity bills, if they were consuming electricity at an exactly average rate.
This entire amount could be saved if the homeowner went off grid and used solar to meet 100 percent of their electrical power needs. They could accomplish the same with a grid-connected system, if net metering practices in their state allowed them to sell enough excess solar back to the utility company during peak production hours to make up for what they were taking from the grid after sundown.
The total potential for savings will vary significantly by location. Consumers living in states with higher electricity rates and/or above-average annual energy consumption levels would pay more for grid-produced power, which means they would enjoy even more savings by going solar.
As of February 2023, the average cost of solar panels in the United States was $2.86 per watt of capacity [12]. At this price a 10kW solar panel array would cost you $28,600 to purchase and install, if tax credits and rebates are not included.
But they should be included. All new solar homeowners in the United States can now deduct 30 percent of the cost of their solar installations from their federal taxes, thanks to a new law passed by Congress in August of this year that increased the Federal Renewable Energy Investment Tax Credit from its previous level of 26 percent [13].
In some states, including California, New Mexico, Rhode Island, New Hampshire, and a few others, you can receive additional tax credits of between $1,000 and $6,000 for installing solar panels, reducing your costs even further [14]. In the most generous states you could literally cut the purchase and installation price of your solar energy system in half.
As established during a previous calculation, the average homeowner could conceivably save more than $1,603 each year by installing 10kW worth of solar panels on their rooftop. Putting the numbers together, it would take you, as the embodiment of that average homeowner, 12 years to pay off the price of your solar photovoltaic system in full.
This assumes you''ll be investing in the neighborhood of $20,000 to cover the total cost of your solar equipment installation project, as would be expected if you were taking your federal tax credit. If you live in a state where energy prices are higher, or are using more than the typical 893 kWh per month, your payoff time could be faster, possibly dropping below the magic 10-year mark if your savings were significant enough.
Even if it took you the full 12 years to pass the payback threshold, it should be noted that this period is less than half the lifespan of the typical solar panel array, which can be expected to last from 25 to 30 years with proper maintenance [15].
About 10kw solar power cost
As the photovoltaic (PV) industry continues to evolve, advancements in 10kw solar power cost have become critical to optimizing the utilization of renewable energy sources. From innovative battery technologies to intelligent energy management systems, these solutions are transforming the way we store and distribute solar-generated electricity.
When you're looking for the latest and most efficient 10kw solar power cost for your PV project, our website offers a comprehensive selection of cutting-edge products designed to meet your specific requirements. Whether you're a renewable energy developer, utility company, or commercial enterprise looking to reduce your carbon footprint, we have the solutions to help you harness the full potential of solar energy.
By interacting with our online customer service, you'll gain a deep understanding of the various 10kw solar power cost featured in our extensive catalog, such as high-efficiency storage batteries and intelligent energy management systems, and how they work together to provide a stable and reliable power supply for your PV projects.
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