The average solar energy installation cost can vary based on the provider, capacity and your business's unique needs.
by
Chidalu Onyenso
Published on Jul 29 2023
The cost of solar energy varies depending on several factors, such as the type and quality of equipment, installation costs, and financing options. In general, the cost of solar energy has been decreasing in recent years due to advancements in technology and increased competition in the solar industry.
Components of a Solar Energy System
A standard solar energy system comprises a range of essential components, each playing a vital role in harnessing and optimizing solar power. These components typically include solar panels, inverters, batteries, and various auxiliary materials such as cables and protective devices. The cost of each component varies depending on the brand, quality, and efficiency rating. Here are the estimated costs for each component based on a 5kWp system: Solar Panels: N1,300,000 to N2,000,000 Inverter: N600,000 to N3,000,000 Batteries: N1,600,000 to N4,000,000 Material Costs: N450,000 to N600,000 Labor Costs: N250,000 to N350,000
Note that these are only estimated costs and the actual cost may vary depending on the brand, quality, and efficiency rating of the equipment. In addition, installation costs may vary depending on the complexity of the installation, accessibility, the provider, and location of the system.
Solar Energy System Costs
To provide you with a better understanding of the estimated costs of solar energy in Nigeria in 2024, here is a table showing the estimated costs of solar energy systems based on different power ratings:
Breakdown of Costs by Capacity
5 kWp
N4,500,000 - N8,000,000
Lights , fans , TV , fridge
10 kWp
N9,000,000 - N13,000,000
Lights , fans , TV , fridge , air conditioning
15 kWp
N15,000,000 - N20,000,000
Lights , fans , TV , fridge , air conditioning , water pump
20 kWp
N25,000,000 - N35,000,000
Lights , fans , TV , fridge , air conditioning , water pump , small appliances
50 kWp
N60,000,000 - N110,000,000
Lights , fans , TV , fridge , air conditioning , water pump , appliances , and industrial equipment
100 kWp
N180,000,000 - N250,000,000
Lights , fans , TV , fridge , air conditioning , water pump , appliances , and industrial equipment
The above table shows the estimated costs of solar energy systems based on the power rating of the system. It is important to note that these are only estimated costs and the actual cost may vary depending on several factors such as the location, equipment quality, and installation complexity. Additionally, the typical appliances listed in the table are for reference only and may vary depending on the specific needs of the customer.
Conclusion
In summary, the estimated cost of solar energy in Nigeria in 2024 varies depending on the power rating of the system and the quality of the equipment used. While solar energy can require a significant upfront investment, it has the potential to provide long-term savings on electricity bills and reduce reliance on the grid. Additionally, there are several financing options available to help make solar energy more accessible and affordable for Nigerians. Sign up with Earthbond to see how you can save on solar get a monthly payment plan that meets your budget.
