How Much Does Solar Cost in Ontario? [2025 Pricing Guide]

Eric
May 5
3 min read

Average Cost of Solar Panels in Ontario (2025)

If you're considering going solar in Ontario, one of the first questions you’ll ask is: “How much does it cost?” In 2025, the average solar system cost in Ontario is based on the size of the system and is typically measured in cost per watt.

Cost Per Watt (Installed):

Average base cost: $2.65–$3.15 per watt (before rebates)
Fully installed systems: Typically range from $9,000 to $30,000+

Price by System Size:

Small Home (3kW system): $8,000 – $10,000
Mid-Size Home (7kW system): $15,000 – $20,000
Large Home (10kW+ system): $22,000 – $28,000+

These prices include equipment (solar panels, inverter, racking), labor, permitting, and engineering. After government incentives, your final cost can be significantly lower.

What Affects Solar Panel Costs?

Not every home is the same, and several factors influence your total system cost:

1. System Size

Larger systems require more panels and materials, but usually have a lower cost per watt.

2. Roof Type & Slope

Flat or complicated roofs may require custom racking and take more time to install, increasing labor costs.

3. Shading & Orientation

Homes with full sun exposure require fewer panels than shaded properties trying to offset the same amount of energy.

4. Inverter Type

String inverters are cheaper but best for unshaded roofs.
Microinverters or optimizers cost more but increase energy production and allow for panel-level monitoring.

5. Battery Storage (Optional)

If you add a battery for backup power, expect an additional $10,000–$15,000 depending on storage size.

Rebates and Incentives That Reduce Your Cost

Ontario residents in 2025 can benefit from a combination of federal and provincial incentives that drastically lower out-of-pocket costs:

1. Canada Greener Homes Grant

Up to $5,000 back for eligible solar installations
Requires pre- and post-energy evaluations

2. Greener Homes Interest-Free Loan

Up to $40,000 interest-free loan (10-year term)
Can be used to cover the full solar installation and upgrades like batteries

3. HST Exemptions or Credits (varies by region)

Some municipalities offer rebates or exemptions on provincial sales tax for energy efficiency upgrades.

4. Net Metering

While not a cash rebate, this allows you to send extra solar power to the grid and earn credits — dramatically reducing your hydro bill.

Real Pricing Examples

Here’s a breakdown of real-world solar system costs before and after incentives for Ontario homes:

Home Type	System Size	Base Price	After Incentives	Monthly Loan Payment (Est.)
Condo/Townhome	3kW	$9,100	~$3,100	~$30/month (10 years)
Detached Home	7kW	$16,100	~$9,600	~$95/month (10 years)
Large Home	10kW	$23,000	~$15,000	~$150/month (10 years)

Note: Monthly payments assume use of the $40K Greener Homes Loan with no interest over 10 years.

These examples are typical for 2025 Ontario installations, but actual costs vary based on home layout, location, and utility provider.

Is Solar a Good Investment?

Yes — and here's why:

Hydro rates in Ontario have increased 5–7% annually on average.
A solar system locks in your electricity costs for 25+ years.
With incentives, most Ontario homeowners see a payback in 7–12 years, with 13–18 years of pure savings after that.
Solar also increases home resale value — often by $10,000 to $15,000 depending on system size and age.

Plus, with battery storage and EV chargers, you're future-proofing your home against rising energy costs.

Thinking About Going Solar?

At Solar Canada, we help Ontario homeowners save money by designing custom solar systems that maximize rebates and long-term ROI.

Book a free consultation today to get a quote for your home and find out how much you could save — short term and long term.