What is the margin (profit) on solar panels?

Kind of a hard question to get a solid dollar value per panel. Solar panels are evaluated as cost per watt they can put out. So a “larger” panel will cost more than a smaller one. And these costs can change over time as more efficiencies are developed but could also go the other way if materials costs go up. This site can break it down a little, though it isn’t really the best.

The panels themselves are often sold at razor thin margins or even below cost when purchased as part of a system. Companies that sell “solar systems” largely rip people off by selling the solar hardware cheap but greatly over selling the tax or incentive credit benefits, use predatory financing, shoddy installation. They’ll often use cheap, overpriced back end hardware such as inverters etc.. etc… People think they’ll re-coup the cost in a few years through energy savings but the truth is in most cases that will never happen within the lifecycle of the equipment. This is happening at the industrial level also.

@Blackwater_Park I’ve had people come to sell me solar systems a number of times and I keep hitting them with the points they haven’t researched or can’t actually address. The first is that part of the enticement for me is that in the event of a large power outage I could have electricity of my own. Unfortunately in my area, the electric company requires that all solar systems have a separate meter that tracks how much I create and sell back to the company. But all the electricity I use is bought off the grid. And in the event that there is a power outage my panels cannot physically supply power to my house.

Another scam is that they suggest these systems that end up costing 10’s of thousands of dollars…what you have to pay to get a system that is worth it. And you can finance it. But by the time you pay off the system, even factoring in the bogus savings they predict you will have, the life of the panels is gone and you have to buy more. In other words you are really just renting the system…always have to be making payments on it.

What I can’t seem to find an answer to is this: if you need a new roof at any time after getting the solar panels, how does that work? Do you have to get new panels? Do you need to get the solar panel people (SPP) back and pay them to reinstall the old ones?

@chyna when people have tried selling me solar systems, this was one of the questions I asked and they said it was part of the package…they would come out to remove and reinstall the panels to allow the roof to be replaced.

Okay, that’s good to know. Thanks.

Gosh, this is far to tough to answer since pretty much everything is marked up so much higher than it is to produce. Corporate greed is at an all time high, taking advantage like it’s the end of the world. Chances are you’re not going to find any REAL numbers (that is an ancient Chinese secret) and they may have to do something to you that you would not like very much joking! ;)

@seawulf575 But what if the solar company goes out of business? Then the cost of removal and replacement and hookup of the panels is on the homeowner.

The way you describe it, I guess that these solar panel people are in it for fast money, not to build a solid brand.

@snowberry That is true that if they went out of business it would all be on the homeowner. But I’m finding that many of these companies have been in business for at least 5–10 years so they may be in it for the long haul.