How Much Do Solar Panels Cost in Canada in 2025?
Solar energy is becoming more affordable for Canadian homeowners, thanks to declining equipment costs and government incentives. But how much do solar panels cost in Canada in 2025?
This guide breaks down the average cost of solar panels, installation prices by province, and available incentives to help you determine whether solar is a good investment for your home.
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How Much Do Solar Panels Cost in Canada?
The average cost of a residential solar panel system in Canada is around $2.50 to $3.50 per watt before incentives. This means that for a 10 kW system, homeowners can expect to pay between $25,000 and $35,000 before any rebates or tax credits.
Average Solar System Costs in Canada (2025)
System Size (kW) Average Cost Before Incentives Average Cost After Incentives Annual Savings Estimated Payback Period
| System Size (kW) | Average Cost Before Incentives | Average Cost After Incentives | Annual Savings | Estimated Payback Period |
|---|---|---|---|---|
| 5 kW | $12,500 – $17,500 | $9,000 – $13,000 | $1,000 – $1,500 | 8 – 12 years |
| 7 kW | $17,500 – $24,500 | $12,500 – $18,500 | $1,400 – $2,100 | 7 – 11 years |
| 10 kW | $25,000 – $35,000 | $18,000 – $26,000 | $2,000 – $3,000 | 6 – 10 years |
These prices include solar panels, inverters, mounting hardware, and professional installation but do not include provincial incentives, tax credits, or net metering savings, which can reduce the payback period even further.
Solar Panel Costs by Province in Canada
The cost of solar installation varies by province due to differences in labor rates, equipment pricing, and available incentives. Here’s a breakdown of average solar costs per watt across Canada:
Province Average Cost per Watt (CAD) 10 kW System Cost Before Incentives 10 kW System Cost After Incentives
| Province/Territory | Average Cost per Watt (CAD) | 10 kW System Cost Before Incentives | 10 kW System Cost After Incentives |
|---|---|---|---|
| Ontario | $2.60 – $3.40 | $26,000 – $34,000 | $18,000 – $26,000 |
| British Columbia | $2.80 – $3.50 | $28,000 – $35,000 | $19,500 – $26,500 |
| Alberta | $2.40 – $3.20 | $24,000 – $32,000 | $17,500 – $24,000 |
| Quebec | $2.50 – $3.30 | $25,000 – $33,000 | $17,000 – $24,500 |
| Manitoba | $2.40 – $3.00 | $24,000 – $30,000 | $16,500 – $22,500 |
| Saskatchewan | $2.60 – $3.20 | $26,000 – $32,000 | $18,500 – $24,500 |
| Nova Scotia | $2.80 – $3.50 | $28,000 – $35,000 | $19,000 – $25,500 |
| New Brunswick | $2.70 – $3.40 | $27,000 – $34,000 | $18,500 – $25,500 |
| Newfoundland & Labrador | $2.90 – $3.60 | $29,000 – $36,000 | $19,500 – $26,500 |
| Prince Edward Island | $2.70 – $3.40 | $27,000 – $34,000 | $18,500 – $25,500 |
| Northwest Territories | $3.00 – $3.80 | $30,000 – $38,000 | $21,000 – $27,500 |
| Yukon | $3.00 – $3.80 | $30,000 – $38,000 | $21,000 – $27,500 |
| Nunavut | $3.20 – $4.00 | $32,000 – $40,000 | $22,000 – $29,000 |
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Solar Incentives & Rebates in Canada
Government incentives and rebates significantly lower the cost of going solar in Canada. Here are some key programs:
1. Canada Greener Homes Grant (Federal Program)
•Offers up to $5,000 in rebates for solar panel installation.
•Available to homeowners across Canada.
2. Canada Greener Homes Loan (Federal Program)
•Zero-interest loan up to $40,000 for energy-efficient upgrades, including solar panels.
•Must be repaid over 10 years.
3. Provincial Solar Rebates & Net Metering Programs
Each province has different incentives:
•Ontario: Net metering available, but no direct rebates.
•British Columbia: Solar incentives for First Nations communities, plus net metering.
•Alberta: Varies by municipality, but up to $5,000 in rebates available in some areas.
•Quebec: Up to $7,000 in solar grants under the Rénoclimat program.
•Nova Scotia: SolarHomes program offers up to $3,000 in rebates.
•New Brunswick: Up to $5,000 in solar rebates for residential systems.
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How Much Can You Save with Solar in Canada?
A well-sized solar panel system can save homeowners $1,000 to $3,000 per year on electricity bills.
•The payback period is typically 6 to 12 years, depending on electricity rates and incentives.
•Most solar panel systems last 25+ years, meaning you’ll enjoy decades of free electricity after your system is paid off.
Is Solar Worth It in Canada?
Solar energy is a smart investment in Canada, especially in provinces with high electricity rates and strong incentives.
✅ Lower electricity bills
✅ Government rebates & grants
✅ Increase home value
✅ Reduce carbon footprint
The best way to find out if solar is worth it for you? Get personalized solar quotes from top-rated Canadian installers today.
Frequently Asked Questions (FAQ)
1. How long do solar panels last in Canada?
Most solar panels last 25 to 30 years with minimal maintenance.
2. Does solar work in winter?
Yes! Solar panels generate electricity even in winter. Cold temperatures can actually improve panel efficiency, and panels still produce power on cloudy days.
3. Can I get paid for excess solar energy?
Yes! Most provinces have net metering programs, allowing you to sell excess power back to the grid.
4. How do I find the best solar installer in Canada?
Get multiple quotes from top-rated solar companies to compare prices, warranties, and reviews.
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Start Saving with Solar Today
With dropping solar costs, government incentives, and rising electricity rates, there’s never been a better time to go solar in Canada.
Get free, no-obligation quotes from top Canadian solar installers and see how much you can save!