Updated on November 26, 2025
Energy prices are getting out of hand. We’ve just learned that there will be another energy increase this year of 8.9%.
Bills are up, usage is up, and the idea of installing solar sounds much more attractive. And then the questions start piling up.
- Is now a good time to buy?
- Why is everyone quoting different prices?
- Is the government still doing rebates, or did that quietly disappear?
- What the hell is a kilowatt hour, and why do I suddenly care so much about it?
If you’re a homeowner in NSW stuck in the middle of this decision, this article is for you. We will walk you through exactly what a solar system costs, what’s behind those prices, what rebates are available, and how long it takes to start seeing your money return.
Just a proper, no-nonsense breakdown of what it’ll cost and what you’ll save.
In this article, you’ll learn about the following:
- What Does Solar Cost Per kW in NSW?
- What Does a Solar Panel System Cost at PSC?
- What Else is Included in a PSC Quote?
- Why Do Solar Panel Prices Vary So Much?
- What Rebates Are Available for Solar Energy in NSW?
- What Are the Long-Term Savings for Solar Energy?
- Are There Hidden Costs to Watch Out For?
- FAQ: Is Solar Worth It?
By the end of this article, you’ll understand solar costs and how they compare to PSC’s pricing.
What Does Solar Cost Per kW in NSW?
Let’s start with the most common question: “How much does solar cost?”
Most solar quotes in NSW price the system based on dollars per watt. Since systems are sold by the kilowatt (1,000 watts), here’s a rough guide of what you can expect in 2026:
With prices like this, why would you consider a microinverter system? Here’s a little perspective: a microinverter system will usually cost a few thousand dollars more upfront, but you’re getting a decentralised system that works better in the shade, lasts longer, and tells you exactly how each panel is performing.
String systems are cheaper upfront, but less efficient over time and often need one or two inverter replacements over their lifetime.
They also don’t cope well with shade, dirt, or anything that drops a panel’s performance. They work like Christmas lights: one bulb goes, and the whole string dims.
Paying a premium means maximising your system’s efficiency. You get what you pay for, after all.
If you’re interested in learning a bit more about Enphase microinverters, you might want to check out the following article titled, Pros and Cons of Enphase Microinverter Solar Systems.
Ready to go solar? Click here.
What Does a Solar Panel System Cost at PSC?
We know we have a reputation for being more expensive than the competition. This reputation has more to do with the Enphase microinverter systems we sell than anything else we do.
We install so much more than microinverters.
If we use the same average system size of 10kW and compare the pricing at PSC Energy, you’ll see the following:
Enphase Microinverter 10kW System: ~$14,000
Sungrow String Inverter 10kW System: ~$11,000
We also offer two other types of systems that are a little more difficult to explain in regarding costs. The following systems include solar batteries in addition to the solar panels and inverter or microinverters. The price below includes the rebate amount deducted from the cost.
It’s a package deal for an entire energy system.
Sigenergy SigenStor 10kW System with 16kWh Battery: ~$18,500
Tesla Powerwall 3 10kW System with 13.5kWh Battery: ~$18,000
The SigenStor system is particularly good value. These all-in-one systems deliver such value because of the solar battery. Coupling batteries with panels is the only way to reduce your bills to near zero.
If you’d like to learn a bit more about SigenStor from Sigenergy, you might want to check out the following article titled, Sigenergy SigenStor Quietly Becomes Australia’s Top Solar Battery Brand.
What Else is Included in a PSC Energy Quote?
We offer more than just installation. When you sign up for solar with PSC Energy, you enter a partnership. That partnership starts with you receiving a quote from one of our consultants.
- Our consultants will work with you to customise a system to your unique energy needs and goals. After that, they hand your system off to our installation team.
- Once your system is commissioned, you enter our service database and deal with us directly should anything happen to your system. We’ll help you repair and replace anything that needs doing. We fulfil your warranties along with the manufacturer.
- Our team guarantees a 10-year workmanship warranty.
This is the promise of a full-service, in-house team. We guide you through every step of the solar installation process, doing everything in-house. From your initial quote to fulfilling warranties for your system, you count on us.
Our competition mostly follows a sales and subcontractor business model. In this situation, a company will sell you the system and then hire electrician subcontractors to install the system.
The downside of working with these companies is that whenever anything breaks down on your system, the company and the subcontractor spend a couple of weeks (at least) pointing fingers at each other with you in the middle.
Meanwhile, you’re paying for grid electricity again. Sometimes for months.
PSC doesn’t do this. It’s why we have a reputation for being pricier than we actually are. A full-time service department and an in-house team for sales and installation set us apart.
And we’re doing all this at competitive price points.
If you’re interested in learning a bit more about the importance of a good installer for your solar (the most important component of any system, seriously), you might want to check out the following article titled, In-house Installers vs. Subcontractors: Which is Better?
Power up your savings. Click here.
Why Do Solar Panel Prices Vary So Much?
So, why are there wild price swings between quotes? Here’s what drives solar prices up or down:
1. System Size
More kilowatts mean more panels which costs more money. But this also provides better savings.
2. Type of Inverter
Microinverters cost more but are more efficient and generate consistent energy than the competition. String inverters are cheaper but more prone to performance drops and failures.
3. Roof Complexity
Tiled roofs, steep pitches, second storeys, and multiple orientations will increase the installation cost. These are obstacles for solar installers.
4. Installer Reputation
Companies that do everything in-house (like PSC) might charge more, but you get better quality. Subcontractors are often cheaper because they charge by the panel, which means they’re incentivised to rush by the company that sold the system.
5. Monitoring Equipment
Microinverter systems have an energy usage monitoring app comes included. Same with Powerwall and SigenStor. On string systems, it’s sometimes extra. You absolutely want it. Otherwise, you’re flying blind. You wouldn’t buy a car without a speedometer.
6. Warranties
Components with long warranties cost more but also save you from surprises later. Microinverters come with a 25-year warranty, while string inverters are usually warranted for 5 – 10 years.
If you’re interested in learning a bit more about our service department at PSC, you might want to check out the following article titled, Penrith Solar Centre’s Service Department Safeguards the Future of Your System.
What Rebates Are Available for Solar Energy in NSW?
There are two main rebates you need to know about.
Federal Rebate: The STC Scheme
This is the “solar rebate” everyone talks about. It’s not a flat amount; it’s based on how big your system is and how much sunlight your postcode gets.
The bigger the system, the bigger the rebate.
But please remember that this rebate is shrinking every year until it hits zero in 2030. If you’re sitting on the fence, time is literally money.
New VPP Incentive Begins, NSW Battery Rebate Ends
The NSW Government has quietly confirmed that its upfront battery rebate, officially known as the Home Battery Installation Incentive, will end on 30 June 2025. After that, it’s being replaced by an expanded Virtual Power Plant (VPP) incentive starting 1 July 2025.
Key Dates and Limitations
- NSW battery rebate ends on 30 June 2025.
- Federal battery rebate begins on 1 July 2025.
- VPP NSW rebate begins on 1 July 2025
What This Means for Homeowners
- You can still technically apply for the NSW rebate until the end of June 2025.
- But in most cases, it now makes more financial sense to wait for the federal battery rebate.
- The NSW rebate program, despite over 11,400 installations, has struggled with rollout issues and limited availability.
Changes to the NSW VPP Incentive
- The previous VPP structure paid households twice: once when joining and again three years later.
- From 1 July 2025, the program shifts to a single upfront payment of up to $1,500, based on battery size.
- Example payments include:
- ~$550 for a 10kWh battery
- ~$1,500 for a 27kWh battery
- Estimated at roughly ~$55 per usable kWh
- Batteries must be between 2–28kWh to qualify.
- The VPP incentive can be claimed alongside the federal battery rebate.
- If you already own an eligible battery, you may still qualify for the VPP incentive by enrolling through an Accredited Certificate Provider (ACP).
If you’re interested in learning a bit more about solar and battery rebates in NSW, Australia, you might want to check out the following article titled, Ultimate Guide to Australia’s 2025 Solar Rebate and Battery Rebate: Federal and NSW Rebate for Solar.
Let’s talk solar savings. Click here.
What Are the Long-Term Savings for Solar Energy?
This is where things get interesting.
Let’s say you install a 10kW solar system. Here’s what the numbers might look like.
Payback period systems:
- Under 3 years for a Sungrow string system.
- ~4.5 years for an Enphase microinverter system.
- ~5 years for SigenStor or Powerwall 3 systems.
That’s a pretty fast turnaround for each system.
Now, if you invest in a system with a battery, like the Sigenergy SigenStor, and shift more of your usage into the evening, you can save even more, up to 90–100% of your energy bill, depending on how you use your power.
Here’s how that works:
- Solar panels cover your daytime usage: During sunny hours, your panels power your home directly. Any extra energy charges the battery.
- The SigenStor battery stores the excess: Instead of exporting surplus power to the grid for a tiny feed-in tariff, you store it for your use at night or when energy costs a lot.
- Night-time usage is powered by your battery: Lights, cooking, entertainment, and heating/cooling after sunset are all covered.
- SigenStor is three-phase compatible: If your home has three-phase power, SigenStor can back up the entire house, not just a single phase like most batteries.
- Smart energy shifting: Use the battery’s intelligent control to avoid peak electricity prices and time your usage for maximum savings.
- Blackout protection: You’re not just saving money; you’re keeping the lights (and fridge) on during outages.
In many homes, this setup gets bills down to near zero. You still might get a connection fee from your retailer, but your actual energy usage costs? Gone.
When attaching a solar battery to an existing system, it costs much more than purchasing a combo system like SigenStor or Powerwall 3.
If you’d like to learn a bit more about the cost of SigenStor, we recommend you check out the following article titled, How Much Does the Sigenergy SigenStor Cost?
Get started with solar. Click here.
Are There Hidden Costs to Watch Out For?
Yep. Let’s call them the “gotchas.”
- Switchboard upgrades – $1,000 to $3,000 if yours is outdated
- Three-phase homes – You might need extra balancing gear
- Roof reinforcements – Possible for older homes
- Meter upgrades – Required for all systems feeding back to the grid
Always ask for an itemised quote. And if a quote seems suspiciously cheap, it probably skips something you’ll miss later.
If you’re interested in the hidden costs of solar, you might want to check out the following article titled, Hidden Costs of Installing Solar: Switchboard Upgrades, Three-Phase Homes, Shade, and Meters.
Let’s go solar today. Click here.
So… Is Now a Good Time to Go Solar?
If you’re waiting for prices to drop, you might be stuck waiting while your energy bills keep climbing.
Panel prices have already hit rock bottom. Rebates are phasing out. And electricity isn’t getting any cheaper. So, unless your roof is falling apart or your budget is maxed out, the sooner you install solar, the better the return.
Think of it this way: Every day you wait is another day of paying $0.38 per kWh to a retailer who doesn’t even say thanks. And they’re raising prices by 8.9% soon.
Solar is no longer a fringe interest for the eco-minded. It’s now smart money, especially in a state where sunshine is free, and electricity is not.
At PSC Energy, we know a thing or two about solar. After all, we install it all day, every day. We’re here for the day you’re ready to begin your solar journey. It’s what we do.
If you’re interested in learning a bit more about solar payback periods, you might want to check out the following article titled, What is the Payback Period for Solar Panels in Australia?
FAQ: Are Solar Panels Worth It?
Are solar panels worth it in NSW in 2025?
Yes, solar panels are still worth it in NSW in 2025 for most homeowners. Power prices keep rising and another increase of about 8.9 percent is on the way. Every kilowatt hour you make on your roof is one you do not have to buy from your retailer.
Upfront costs have dropped over the past decade. Rebates still exist. Payback periods for well designed systems are often between three and five years. After that, most of what your system produces is pure saving for the rest of its life.
How much does solar cost per kW in NSW?
Most solar quotes in NSW use dollars per watt or per kilowatt. Exact figures change with the market, but you will see clear price bands between cheaper string systems and premium microinverter systems.
String inverter systems usually sit in the lower price band per kW. Microinverter systems cost more per kW but offer better shade performance, longer warranties, and more detailed monitoring. When you compare prices per kW, remember you are also comparing very different system quality and lifetime performance.
Why do microinverter systems cost more than string inverter systems?
Microinverter systems cost more because every panel gets its own small inverter. This makes the system decentralised and smarter. If one panel has shade or dirt, the others keep working at full output. The system does not behave like a string of Christmas lights.
Microinverters also tend to last longer and often come with 25 year warranties. You get panel level monitoring in an app so you can see exactly how each panel performs. String inverters are cheaper upfront, but they often need one or two replacements over the system life and they handle shade poorly. The premium for microinverters buys better uptime, more energy over time, and clearer visibility.
How much does a 10 kW solar system cost with PSC Energy?
At PSC, a typical 10 kW system has different price points depending on the hardware you choose.
For a 10 kW system, example prices are:
- Enphase microinverter 10 kW system: about $14,000
- Sungrow string inverter 10 kW system: about $11,000
PSC also offers full energy packages that include a battery:
- Sigenergy SigenStor 10 kW with 8 kWh battery: about $18,500
- Tesla Powerwall 3 10 kW with 13.5 kWh battery: about $18,000
These package prices include the relevant battery rebate already deducted. Combo systems are usually better value than adding a battery later.
What is included in a PSC Energy solar quote besides panels and an inverter?
A PSC quote includes more than just hardware and an install date. It includes a full service relationship.
You can expect:
- A consultant who designs a system around your roof, usage, and goals
- In house installers who put the system on your roof and commission it
- A 10 year workmanship warranty on the installation
- Direct access to PSC’s service department for faults and warranty claims
PSC Energy does not sell and then pass you off to random subcontractors. You deal with the same company for design, install, support, and warranty. That structure costs more to run, but it saves you a lot of stress when something needs fixing.
Why do solar panel prices vary so much between quotes?
Solar quotes vary because you are not just buying one thing. You are buying a mix of hardware, labour, and support.
Key drivers include:
- System size: More kilowatts means more panels and higher cost, but also more savings
- Inverter type: Microinverters cost more than string inverters but perform better and last longer
- Roof complexity: Steep roofs, tiles, multiple orientations, and second storeys take more labour
- Installer model: In house teams often charge more but provide better quality and support
- Monitoring: Microinverters, Powerwall, and SigenStor include strong monitoring; some string systems add this as an extra
- Warranties: Long product and performance warranties add cost but cut future surprise bills
If a quote is much cheaper, it usually trades off one of these areas, often quality of gear, labour time, or after sales support.
What solar rebates are available for NSW homeowners in 2025?
There are three main pieces to understand.
First is the federal solar rebate, also known as the STC scheme. It reduces the upfront cost of solar based on system size and your postcode. The bigger the system, the larger the STC value. This scheme steps down each year until it ends in 2030.
Second is the NSW Home Battery Installation Incentive, which ends on 30 June 2025. After that date, you cannot claim it for new installs.
Third is an expanded NSW Virtual Power Plant (VPP) incentive that starts on 1 July 2025. It offers a single upfront payment based on battery size for households that join an approved VPP through an Accredited Certificate Provider.
How do the federal battery rebate and NSW VPP incentive work together?
You cannot stack the NSW battery rebate and the federal battery rebate on the same battery install. NSW tried to make them stackable but did not succeed. You need to pick one for that install.
You can, however, claim the VPP incentive and the federal battery rebate together. From 1 July 2025, the NSW VPP incentive pays:
- Roughly $550 for a 10 kWh battery
- Up to about $1,500 for a 27 kWh battery
The payment is about $55 per usable kWh for batteries between 2 and 28 kWh. Existing eligible batteries may also qualify if you join through an Accredited Certificate Provider. The VPP payment comes on top of the federal battery rebate, not instead of it.
How much can I save long term with solar and a battery in NSW?
Savings depend on your system type and how you use power, but the article gives some clear payback guides for a 10 kW system.
Typical payback periods:
- Under 3 years for a Sungrow string system
- About 4.5 years for an Enphase microinverter system
- About 5 years for Sigenergy SigenStor or Tesla Powerwall 3 systems
With a good battery like SigenStor and smart energy use, some homes cut 90 to 100 percent of their usage charges. Daytime solar runs the home and charges the battery. The battery runs the house at night and during peak price periods. You may still pay a small daily connection fee, but the usage part of the bill can drop close to zero.
What hidden costs should I watch out for when installing solar?
There are a few common “gotchas” that can surprise people.
These include:
- Switchboard upgrades, often between $1,000 and $3,000 for old boards
- Extra work for three phase homes, such as balancing or extra gear
- Roof work or reinforcements on older or damaged roofs
- Meter upgrades, which are required for systems that export to the grid
A good quote should list these items clearly. If a price looks too cheap, it may have skipped one or more of these and left you with a surprise cost later.
Is now a good time to install solar in NSW?
For most households, yes. Panel prices are already very low and are unlikely to fall much further. The federal solar rebate is stepping down each year until 2030. Power prices, on the other hand, keep rising.
If you wait, you risk higher bills now and smaller rebates later. Every quarter you delay is another set of bills at retail rates, sometimes around 38 cents per kWh or more. Installing sooner means your system starts earning its keep earlier and reaches payback faster.
