Inverter prices and types

The overall cost breakdown shows that while necessary, inverters are a relatively small part of the total investment in solar technology. After applying tax credits, the total cost to install a solar system, inverter included, comes to between $10,600 and $26,500. In 2023, there was a 15% drop in the price of residential systems.

There are two categories to consider when deciding on the right solar inverter type: the solar inverter technology, and the type of solar power system the inverter is for. String inverter: A string inverter is a single, standalone unit that converts power from a whole string (or strings) of solar panels.

Here is a detailed look at your options. String inverters, a type of PV inverter, connect solar panels into groups, or “strings,” that feed into a single inverter. This type is cost-effective and easy to set up, especially in areas with consistent sunlight.

While they cost more than string inverters, averaging $1.15 per watt, they offer the benefit of independent panel optimization. For a 5 kW system, the cost is approximately $5,750. Microinverters generally come with warranties of around 25 years, which aligns with the expected lifespan of the solar panels themselves.

In general, string inverters are suitable for most homes, while microinverters are suitable for homes with uneven lighting or higher requirements for system monitoring. How important is the efficiency of a solar inverter? The efficiency of the inverter directly affects the power generation capacity of the solar system.

A solar inverter is a piece of electrical equipment that converts (or “inverts”) newly generated direct current (DC) electricity into alternating current (AC) electricity. Inverters are almost always necessary to use electricity generated by solar panels, whether you're assembling a small DIY system or a large community solar array.