Solar

Solar Installation Cost Philippines 2025

Complete guide to solar panel costs, savings, and return on investment

12 min readUpdated December 2024

Quick Price Guide

3kW System (Small Home)
₱150,000 - ₱250,000
5kW System (Medium Home)
₱250,000 - ₱400,000
10kW System (Large Home)
₱450,000 - ₱700,000
Typical Payback Period
4-7 years
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Types of Solar Systems

Grid-Tied

Most Common

Connected to utility grid. Uses solar during day, grid at night. Excess power exported via net metering.

Typical Cost
₱45,000-60,000/kW
  • Lowest upfront cost
  • Net metering credits
  • No power during outages

Hybrid

Popular

Grid-connected with battery backup. Uses stored power during outages and at night.

Typical Cost
₱70,000-100,000/kW
  • Backup power available
  • Use solar at night
  • Battery replacement needed

Off-Grid

Completely independent from grid. All power from solar + battery storage.

Typical Cost
₱100,000-150,000/kW
  • Complete independence
  • Best for remote areas
  • Highest upfront cost

Cost Breakdown

Here's where your money goes in a typical grid-tied solar installation:

Component% of Cost5kW System
Solar Panels45-55%₱120,000-180,000
Inverter20-25%₱50,000-80,000
Mounting & Racking8-12%₱25,000-40,000
Wiring & Accessories5-8%₱15,000-25,000
Installation Labor10-15%₱30,000-50,000
TOTAL100%₱250,000-400,000

Battery Costs (for Hybrid Systems)

Lead-acid batteries
5-8 year lifespan
₱15,000-25,000/kWh
Lithium (LiFePO4)
10-15 year lifespan
₱35,000-50,000/kWh
Typical hybrid system battery bank (5-10kWh)
Added to system cost
₱175,000-500,000

How to Size Your System

Step 1: Check Your Electricity Bill

Look at your monthly kWh consumption. Typical Filipino household usage:

Small household200-400 kWh/month
Medium household400-700 kWh/month
Large household700-1,200 kWh/month
Mansion/heavy AC1,200+ kWh/month

Quick Calculator

System Size (kW) = Monthly kWh consumption ÷ 130

Example: 500 kWh/month ÷ 130 = 3.8 kW → Get a 4kW or 5kW system

Monthly BillkWh UsageSystem SizeApprox Cost
₱2,000-4,000200-400 kWh2-3 kW₱100,000-180,000
₱4,000-7,000400-700 kWh4-5 kW₱200,000-350,000
₱7,000-12,000700-1,200 kWh6-10 kW₱350,000-600,000
₱12,000+1,200+ kWh10-20 kW₱600,000-1,200,000

Net Metering Explained

Net metering allows you to export excess solar power to the grid and receive credits on your bill.

How It Works

1
During the day, your solar panels generate electricity
2
You use what you need; excess goes to the grid
3
At night, you draw power from the grid
4
Your bill shows: Power consumed - Power exported = Net usage

Export Rate Note

In the Philippines, exported power is credited at ₱5-6/kWh vs ₱10-12/kWh for consumption. Best strategy: Use more solar during the day.

Requirements

  • System must be installed by accredited solar installer
  • Apply to your distribution utility (Meralco, etc.)
  • Bi-directional meter installed (usually provided by utility)
  • Maximum 100kW for residential

Return on Investment

Example: 5kW Grid-Tied System

System cost₱300,000
Monthly generation5 kW × 130 kWh = 650 kWh
Monthly savings650 kWh × ₱10/kWh = ₱6,500
Annual savings₱78,000
Simple payback3.8 years

Typical Payback Periods

Grid-tied (high consumption)
3-5 years
Grid-tied (moderate consumption)
5-7 years
Hybrid system
7-10 years

Solar panels last 25-30 years. After payback, you get essentially free electricity plus increased property value.

Solar Panel Brands

Tier 1 (Premium)

Best Quality
Canadian Solar₱18,000-25,000/400W
JA Solar₱17,000-23,000/400W
Longi₱18,000-24,000/400W
Trina Solar₱17,000-22,000/400W

Mid-Tier (Good Value)

Best Value
Risen₱14,000-18,000/400W
Suntech₱14,000-19,000/400W
Jinko₱15,000-20,000/400W

Inverter Brands

Premium

SMA, Fronius, SolarEdge

Mid-tier

Growatt, Goodwe, Sungrow

Hybrid Inverters

Growatt, Luxpower, Deye

Installation Process

1
Site assessment
Installer evaluates roof, shading, electrical
2
System design
Sizing, layout, equipment selection
3
Permits
Building permit (some LGUs), utility interconnection application
4
Installation
1-3 days for residential systems
5
Inspection
Utility inspection for net metering
6
Commissioning
System turned on, monitoring set up

Buying Tips

1
Get 3 quotes
Prices vary significantly between installers
2
Check credentials
Look for DOE-accredited installers
3
Ask about warranties
Panels: 25-year • Inverter: 5-12 years • Workmanship: 2-5 years
4
Don't oversize for net metering
Export rates are low - size for daytime consumption
5
Consider future needs
EV charging, additional AC units may increase consumption
6
Verify roof condition
Fix any roof issues before installation