1.5kW solar PV techniques: Pricing, outputs and payback

1.5kW solar techniques had been as soon as the most well-liked system dimension in Australia. As solar expertise costs have come down in recent times, nevertheless, most houses are actually tending to go for bigger techniques – within the 2kW to 5kW vary. This article takes a take a look at the case for putting in a 1.5kW solar system in present Australian market circumstances.

A 1.5kW solar system is just about the smallest solar system dimension that you could have put in professionally. While 1kW solar techniques are on the market, you’ll not typically see them marketed by installers as a result of they’re so small as to have a minimal impression in your energy invoice. Additionally, our expertise is that techniques within the 1kW-1.5kW dimension vary supply considerably much less worth for cash than techniques even just a bit bit larger.

Nonetheless, 1.5kW solar techniques could supply superior returns over bigger system because of the truth that it could be simpler for a home to ‘self-consume’ extra or all the energy produced instantly.

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How a lot does a 1.5kW solar system price?

Solar Choice has been holding observe of Australian solar system set up costs since August 2012. During this time, we’ve seen costs for bigger techniques fall considerably, whereas 1.5kW system costs have hardly moved (and even elevated in some situations). Quite a lot of that is to do with the truth that a excessive share of the price of this technique is time and labour from the set up firm. Generally it’ll nonetheless be a days work to put in a 1.5kW or a 7kW solar system for an set up crew.

Based on the Solar Choice Price Index we count on the typical price for a 1.5kW solar system to be round $2,800 relying in your state and site. See the under graph which particulars the historical past of 1.5kW Solar System pricing in Australia.

1.5kW solar system costs history

How a lot energy does a 1.5kW solar system produce?

The power output of a 1.5kW solar power system will differ because of quite a few elements together with, together with the native local weather, close by shading, and the lean and orientation of the panels themselves, amongst different elements.

While it could be handy and helpful to summarise a solar system’s output in a single ‘kilowatt-hours per day’ (kWh/day) determine, the fact is that the majority places obtain extra sunshine in the summertime than the winter.

The desk under supplies some tough figures on common day by day outputs from 1.5kW solar techniques in a handful of Australia’s capital cities, in addition to the utmost and minimal outputs for summer season and winter. All the conditions under assume that the panels face north, and that the system has an total system effectivity of 85%. (Data supply: PVWatts.)

 Indicative 1.5kW solar system output for choose Australian cities
 Sydney  Brisbane  Melbourne  Perth
 Average 5.8kWh 6.3kWh  5.7kWh  6.8kWh
 Summer (Dec) 6.7kWh 8.5kWh  6.7kWh  7.9kWh
 Winter (June) 4.5kWh 4.8kWh  3.7kWh  4.8kWh

What’s the payback interval for a 1.5kW solar system?

Because 1.5kW solar techniques are comparatively pricey for his or her dimension, it’s crucial to make use of as a lot of the energy they produce as doable as a way to maximise the funding and minimise the payback interval.

The desk under exhibits payback durations and inside charge of return (IRR) for 1.5 kW solar techniques in choose capital cities, assuming that they pay 25c per kWh (c/kWh) for electrical energy from the grid. We’ve assumed that the home in query both makes use of 70% of the solar energy produced by the system or 100% of the solar energy produced – however please remember the fact that it could require effort (or at the very least planning or the appropriate expertise) in your half to make sure that the self-consumption charge is that this excessive.

Keep in thoughts that the figures within the desk under – that are already fairly good – are indicative solely and based mostly on median system set up costs; you may be capable to enhance these numbers by procuring round (we will help).

Indicative returns for 1.5kW solar techniques @ common costs

(Assuming 25kWh electrical energy consumption/day @ 25c/kWh, 85% system effectivity and 8c/kWh feed-in tariff)

Sydney Brisbane
$3,200 $2,900
@ 70% self-consumption @ 100% self-consumption @ 70% self-consumption @ 100% self-consumption
~6.1 yr payback ~4.9 yr payback ~5.2 yr payback ~4.1 yr payback
~15% IRR ~20% IRR ~18% IRR ~24% IRR
~$500 annual financial savings ~$640 annual financial savings ~$540 annual financial savings ~$690 annual financial savings
Melbourne Perth
$3,300 $2,300
@ 70% self-consumption @ 100% self-consumption @ 70% self-consumption 100% self-consumption
~6.5 yr payback ~5.2 yr payback ~3.9 yr payback ~3.1 yr payback
~14% IRR ~19% IRR ~26% IRR ~33% IRR
~$480 annual financial savings ~$610 annual financial savings ~$580 annual financial savings ~$740 annual financial savings


Want to study extra?

Try plugging some figures into our solar system ROI calculator your self! Self-consumption is simply one of many variables that may be adjusted to find out your doubtless payback time and return on funding. (Calculator outputs are indicative solely–please remember the fact that electrical energy charges and feed-in tariff charges could change over time.)


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Since 2008 our information and complicated software program has allowed over 180,000 Australian households and companies to make a well-informed alternative on their solar & battery installer.


© 2022 Solar Choice Pty Ltd

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