Reducing solar PV soft costs: A focus on installation labor

Average costs per installed watt of residential solar systems are $4.93 in the United States compared to $2.21 in Germany. U.S. costs must decrease towards German levels to increase viability. In this first report on the ongoing study, average installation labor costs were determined at $0.49/W in the U.S. and $0.18/W in Germany. Labor cost reduction represents the single most tangible near-term strategy that installers can pursue. U.S. solar installers could reduce labor costs by 64 percent. Holding hardware and non-installation labor costs constant, the overall installed costs of a U.S. rooftop residential system could be reduced by 10 percent.