Typical Costs For an MCS Certified Solar Electric Installation (FIT)

The UK Government is now offering cash back on any Solar Panel installation that meets the MCS (Microgeneration Certification Scheme) standards via the FIT (Feed In Tariff) Scheme.

This will undoubtedly mean many new companies jumping on the ‘Solar Cash Cow’ trying to make a quick buck out of the general public.

Before this blows out of proportion I would like to offer some typical costs of what an MCS Solar Installation should cost. Please note that these figures are ‘Typical’ and do not factor in special requirements.

The government announced in January 2010 that the ‘Typical’ cost of a 2.5 KW/H (Kilo Watt Hour) roof mounted MCS approved solar electric installation will be in the region of £12,500.00. So to make things a little more simple let’s break this figure down into what you are paying for.

ALL figures quoted here are deemed to be exclusive of VAT, which I add at the end of the breakdown for clarity.

Nett cost of a typical MCS approved Solar Electric Kit (Inclusive of solar electric panels, roof mounting kit, G31 certified grid-tie inverter, DC isolator, AC isolator, 13A switched fused spur and necessary cabling / containment. Approximately £3.00 Per Watt Installed.

So a 2500W system would cost £7,500.00 in materials

Nett cost of labour associated with the solar electric installation (Per Watt Installed) Approximately £0.75p Per watt installed.This is deemed to include fuel costs and vehicle upkeep plus sundries

So a 2500W installation would cost approximately £1,875.00 in labour

So let’s see where that gets us to so far:

£7,500.00
Materials Cost
£1,875.00
Labour Costs
£9,375.00
Subtotal
£937.50
Margin @ 10%
£10,312.50
Net Total
£1,804.69
VAT @ 17.5% (Current UK Rate May Vary)
£12,117.19
Grand Total Payable By Client

The above figures will give you a fair idea of what you should be paying for a ‘Typical MCS Approved Solar Electric Installation’

If we then take the £12,117.19 total and divide this figure by the W/H rating of the solar panels, in this example 2,500W/H then we come to a total cost per Watt Installed figure.

£12,117.19
Total cost of installation
2,500
Solar Panel Rated Watt / Hour Output
£4.85
Cost Per Watt Installed Including VAT

If anyone has any questions about any of the above information or would like a quotation for a complete MCS certified Solar (Photovoltaic) Electric Installation in the UK then please use the comments section below or alternatively send me an email (See bottom of any page for my address)

Andy Mahoney
Last Modified 2nd April 2010