The Burrow
Jan 30, 2025
As most countries across the world shift to greener energy production, the expansion of residential solar energy production is a key factor in achieving this.
In 2023, Australia set in motion a plan to generate 82% of the country’s net energy production via renewable sources.1
With that in mind, the energy comparison experts at Compare the Market Australia wanted to find out where it’s cheapest for households to install solar panels for their home use.
To do this, we looked at the cost of installation at a state, province and territory level across Australia, Canada, and the USA to see which areas are the most wallet friendly, and which are the most expensive.
Here’s watt we found.
Across the board, Australian states were far cheaper than American and Canadian areas, with Australia’s most expensive state for solar installations, Tasmania (AU$1.08/W), being almost $2.00/W cheaper than the cheapest area in North America.
Australia’s three most populous states landed across the middle, price wise. Victoria was the most expensive of these, with a rate of $0.89/W, while New South Wales and Queensland followed closely behind with rates of $0.87/W and $0.85/W respectively.
Tasmania was Australia’s only state with a price per watt above $1.00. Following that, each of the other Australian states each were between $0.80 and $0.90.
Nationally, Australia’s average solar installation cost was over $2.00/W cheaper than both Canada and the USA at a rate of $0.89/W.
| State | AU$/W |
|---|---|
| South Australia | $0.80 |
| Western Australia | $0.82 |
| Queensland | $0.85 |
| New South Wales | $0.87 |
| Victoria | $0.89 |
| Australian Capital Territory | $0.94 |
| Tasmania | $1.08 |
Conversely, while Canada’s cheapest province, Ontario (AU$3.04/W), remains cheaper for solar installations than the USA’s cheapest state, Georgia ($3.58/W), Canada’s most expensive area for solar installations is more expensive than the USA’s. Canada’s southern provinces and territories placed consistently cheaper than their northern counterparts, with Ontario, Nova Scotia and British Columbia being the three cheapest areas for solar power in Canada ($3.04/W, $3.15/W and $3.16/W respectively).
Nunavut as well as Newfoundland and Labrador had the most expensive solar install costs per watt at a tied average rate of $4.82/W. These two regions placed as the only Canadian regions above a price point of $4.00/W, with the second most expensive territory, the Yukon, having an average price of $3.79/W
Canadian provinces and territories had the highest variance of the countries studied, with a total variance of $1.78 between its’ cheapest and most expensive areas for solar installation.
Nationally, Canada’s average solar installation rate was cheaper than the USA, at a rate of $3.65/W.
| State | AU$/W |
|---|---|
| Ontario | $3.04 |
| Nova Scotia | $3.15 |
| British Columbia | $3.16 |
| Alberta | $3.25 |
| Quebec | $3.32 |
| Manitoba | $3.41 |
| Saskatchewan | $3.62 |
| New Brunswick | $3.63 |
| Prince Edward Island | $3.74 |
| Northwest Territories | $3.76 |
| Yukon | $3.79 |
| Newfoundland and Labrador | $4.82 |
| Nunavut | $4.82 |
The USA had the highest national average solar installation rate at AU$4.00/W.
Across the country, rates varied heavily between states, with Georgia landing as the cheapest ($3.58/W) and both Maine and Massachusetts tying for most expensive ($4.41/W).
The region of New England contained the top four most expensive states, Maine, Massachusetts, Connecticut, and Vermont ($4.41/W, $4.41/W, $4.40/W, and $4.38/W respectively), with the two remaining states, New Jersey and Rhode Island, placing as the seventh and 12th most expensive ($4.27/W and $4.13/W respectively).
The state of Texas housed itself as an outlier when compared to its’ neighbouring states with a rate of $4.26/W, an increase of $0.22/W over its most expensive neighbour, Arkansas.
Central states within the USA trended toward lower solar installation rates, with most hovering near the $4.00/W mark. The central state to buck this trend was Nebraska, which placed as the sixth most expensive state nationally, with a rate of $4.25/W.
| Rank | State | AU$/W |
|---|---|---|
| 1 | Georgia | $3.58 |
| 2 | Kentucky | $3.60 |
| 3 | Pennsylvania | $3.66 |
| 4 | Louisiana | $3.66 |
| 5 | Kansas | $3.67 |
| 6 | South Dakota | $3.67 |
| 7 | Alaska | $3.70 |
| 8 | Montana | $3.72 |
| 9 | North Dakota | $3.72 |
| 10 | New Mexico | $3.75 |
| 11 | Alabama | $3.77 |
| 12 | North Carolina | $3.83 |
| 13 | Tennessee | $3.83 |
| 14 | Indiana | $3.83 |
| 15 | Ohio | $3.84 |
| 16 | Oregon | $3.84 |
| 17 | Colorado | $3.86 |
| 18 | Idaho | $3.87 |
| 19 | Iowa | $3.89 |
| 20 | Illinois | $3.95 |
| 21 | Wyoming | $3.95 |
| 22 | Florida | $3.96 |
| 23 | Missouri | $3.98 |
| 24 | Wisconsin | $4.00 |
| 25 | Nevada | $4.01 |
| Rank | State | AU$/W |
|---|---|---|
| 26 | South Carolina | $4.03 |
| 27 | Oklahoma | $4.03 |
| 28 | Arkansas | $4.04 |
| 29 | Arizona | $4.06 |
| 30 | Mississippi | $4.06 |
| 31 | West Virginia | $4.06 |
| 32 | Delaware | $4.07 |
| 33 | Michigan | $4.09 |
| 34 | Virginia | $4.09 |
| 35 | Utah | $4.09 |
| 36 | Hawaii | $4.10 |
| 37 | California | $4.12 |
| 38 | Rhode Island | $4.13 |
| 39 | Maryland | $4.21 |
| 40 | Minnesota | $4.21 |
| 41 | New York | $4.26 |
| 42 | Texas | $4.26 |
| 43 | Washington | $4.26 |
| 44 | New Jersey | $4.27 |
| 45 | Nebraska | $4.35 |
| 46 | New Hampshire | $4.35 |
| 47 | Vermont | $4.38 |
| 48 | Connecticut | $4.40 |
| 49 | Massachusetts | $4.41 |
| 50 | Maine | $4.41 |
Compare the Market’s Head of Energy, Meredith O’Brien, notes that while installing solar power capabilities requires an upfront cost, the long-term savings can be worth it.
“Solar energy is simply cheaper to produce than relying on the volatile price of coal and gas, plus rising network infrastructure costs such as poles and wires.” Ms. O’Brien said.
“One of the biggest deterrents to solar power is the upfront costs required for installation, but depending on the size of the unit you choose, the savings can outweigh the cost quickly.
“When signing up for energy plans with solar compatibility, it’s important to be mindful of what your typical daily energy household needs are, as well as the electricity supply and usage charges payable when the sun isn’t shining. Additionally, keep an eye out for the feed-in tariffs from each retailer to further increase the bang for your solar buck.
“Using energy comparison services can be helpful to more easily understand which retailers are right for you and your energy needs.”
All data is correct as of 19/11/24.
Across our study of Australia, Canada and the USA, solar installation prices were gathered at a per watt level.
Australian per watt data collected from Solar Choice’s solar price index.
Canadian per watt data collected from the System Costs section within each regions’ respective page on Energy Hub. Newfoundland and Labrador, as well as Nunavut average rate was found by finding the average of the two price ranges given.
USA per watt data collected from each regions’ respective page on Solar Reviews.
Canadian and USA per watt data converted to AUD on 19/11/24 at the rates US$1→AU$1.53678 and CA$1→AU$1.09591.
Sources