When adding energy storage to an existing solar system, several cost considerations come into play:
1. Battery Costs
- Solar battery prices typically range from $6,000 to $13,000 for the unit alone, depending on the capacity and type.
- Batteries with larger capacities (over 25 kWh) can exceed $25,000, excluding installation costs.
- Common sizes include:
- 3 kWh – 4 kWh: $3,000 – $5,000
- 5 kWh – 7 kWh: $3,300 – $10,000
- 8 kWh – 11 kWh: $7,000 – $17,000.
2. Installation Costs
- Total installation costs for a residential solar battery system often range from $8,000 to $16,000 before tax credits.
- With labor costs, total installation can be between $9,000 and $19,000.
3. Inverter and System Compatibility
- If your existing solar setup isn’t compatible with batteries (e.g., string inverters), you may need to upgrade to a hybrid inverter like SolarEdge Home Hub or Enphase IQ8 series, or install an AC-coupled battery.
- This can add significant costs, potentially requiring replacement of the existing inverter.
4. Permitting and Labor
- Permitting costs vary by jurisdiction, typically a few hundred dollars.
- Labor costs for solar battery installations can range from $2,000 to $3,500.
5. Tax Credits and Incentives
- A 30% federal tax credit is available for solar battery systems installed by December 31, 2032, which can significantly reduce the cost.
- Additional incentives may be available from local governments or utilities.
6. Long-Term Benefits and ROI
- While solar batteries increase upfront costs, they can offer long-term savings by reducing electricity bills and providing backup power during outages.
- The financial return on investment may take longer (5-10 years) compared to solar panels alone, but it provides energy independence and resilience.
By considering these factors, homeowners can make informed decisions about integrating energy storage into their existing solar systems.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-are-the-cost-considerations-when-adding-energy-storage-to-an-existing-solar-system/
