Solar Pricing Then vs. Now:

Why Lower Costs Today Outperform the Greener Homes Program

ground mount solar array

For years, the Canada Greener Homes Grant helped homeowners justify going solar by reducing upfront costs. At the time, installed solar pricing averaged just under $3.00 per watt, and the $5,000 grant played a meaningful role in affordability.

Fast forward to today: while the grant is gone, solar pricing has dropped dramatically, averaging around $2.05 per watt. The result? Homeowners are now seeing greater overall savings, even when financing includes interest.

The primary driver behind lower solar pricing today is a significant reduction in equipment costs. Over the past several years, global manufacturing capacity for solar panels and inverters has expanded rapidly, creating stronger competition and economies of scale. Panel efficiencies have improved while production costs have decreased, allowing manufacturers to deliver higher-wattage modules at a lower cost per watt. In addition, supply chains have stabilized following earlier disruptions, reducing logistics and material costs. The result is that modern solar systems can produce more energy using fewer components, lowering overall system pricing for homeowners while improving long-term performance and reliability.

This article breaks down real numbers to show why solar is actually more affordable today than when incentives were available.

Solar Pricing Comparison: Then vs. Now

Let’s compare a common residential system size – 10 kW – using realistic pricing from both periods.

Installed System Cost Comparison

Scenario Cost per Watt System Size Gross System Cost Incentives Net Cost
With Greener Homes Grant (2022–2023) $2.95 10 kW $29,500 –$5,000 $24,500
Today (No Grant) $2.05 10 kW $20,500 $0 $20,500

Key takeaway:
Even without incentives, today’s pricing results in a $4,000 lower system cost compared to the post-grant price just a few years ago.

Financing Comparison: 0% Then vs. 5% Today

One common objection we hear is the loss of the 0% interest Greener Homes Loan. Let’s compare financing side-by-side using a 10-year loan term.

Loan Cost Comparison (10-Year Term)

Scenario Net System Cost Interest Rate Monthly Payment Total Paid
Then (Grant + 0% Loan) $24,500 0% $204 $24,500
Today (No Grant + 5% Loan) $20,500 5% ~$217 ~$26,040

While today’s financed total is slightly higher due to interest, factor in the pre and post retrofit assessment fees of ~$800.00, and we are looking at a cheaper system today.


Why Today’s Solar Still Delivers More Savings

Lower Cost Per Watt Improves ROI

Paying $2.05 per watt instead of $2.95 dramatically improves return on investment. A lower upfront price means:

  • Faster payback periods

  • Less capital tied up in the system

  • Stronger long-term financial performance

Rising Electricity Rates Increase Value

Utility rates across Canada continue to rise. Every kilowatt-hour produced today offsets more expensive grid power than it did during the Greener Homes Grant era.

Is Solar Still Worth It Without Incentives?

Yes – and in many cases, more than ever.

Lower installation costs, better equipment, and rising electricity prices have combined to make solar a stronger financial investment today than when government grants were available.

If you were waiting for incentives to return, the reality is that market pricing has already done the work for you.

Get a Personalized Solar Cost Comparison

Every home is different. A custom solar assessment will show:

  • Your actual system size

  • Expected annual production

  • Payback timeline

  • Long-term savings

Contact us today to see how today’s solar pricing compares to past incentive programs — using real numbers for your home.


Posted in: