How Much Does a Solar Farm Cost? [2025 Data]
The average solar farm cost ranges from $600,000 to $1,300,000, with most projects averaging $950,000. Main cost factors include size, equipment, labor, and location.
Solar farm costs vary based on the project size, equipment, labor rates, and site preparation.
Professional solar farm installation costs $50 to $150 per hour, depending on experience and region.
Ongoing maintenance and repairs affect long-term solar farm cost.
Incentives from utility companies, local agencies, and tax credits can help reduce your total solar farm cost.
Solar farms can increase property value and provide long-term ROI.
This article was created using automation technology and thoroughly fact-checked and edited by an Angi Editor in accordance with our AI policy.
Solar farm costs range from $600,000 to $1,300,000, with most homeowners investing an average of $950,000 depending on the project’s size and complexity. Homeowners may pay as little as $300,000 for a small, simple farm design or up to $1,600,000 or more for a large, custom system. Costs depend on size, labor rates, permits, location.
Installing a solar farm is a major investment that can bring lasting energy savings and potential income. This guide covers what to know when starting a solar farm, so you can make informed decisions for your property.
Solar Farm Cost Factors
Understanding what makes up your solar farm cost helps you plan and budget wisely. The largest expenses include the solar panels themselves, inverters that convert electricity for use, and racking systems to support the panels.
Labor and installation are significant, as skilled professionals are needed to ensure safe and efficient setup. Site preparation—including land acquisition or lease, grading, and clearing—also adds to your total.
Size
The size of your solar farm is the single biggest driver of total solar farm cost. Larger systems generate more power but require more equipment, land, and labor. Solar farms are measured in kilowatts (kW) or megawatts (MW), and also by acreage.
For most residential or small community projects, systems range from 50 kW up to 1 MW. Utility-scale installations can exceed 5 MW and cover 20 acres or more. Cost per watt falls between $0.80 and $1.60, so a 1 MW system might cost $800,000 to $1.6 million. Smaller systems cost more per watt due to fixed costs, while larger projects benefit from economies of scale.
Labor
Professional expertise is essential for a safe and efficient solar farm installation. Solar installation contractors handle most of the design, assembly, and connection work. Their rates range from $50 to $150 per hour, depending on experience and region. Electrical engineers are needed for system design, grid interconnection, and safety compliance, charging $100 to $200 per hour or a flat fee from $10,000 to $50,000 for large projects.
Project managers or general contractors coordinate the entire process, ensuring timelines and budgets stay on track. Their oversight adds 5% to 15% to your total solar farm cost. In markets with high demand or specialized labor, professional rates will be higher. Hiring certified and experienced professionals ensures your project meets all codes and maximizes long-term performance.
Additional Pros
Beyond the main installation team, several additional pros can help ensure a smooth solar farm project. A land surveyor will assess boundaries and topography, costing $1,000 to $5,000 depending on property size. Environmental consultants handle impact studies and compliance with local and federal regulations, with fees from $5,000 to $30,000. Legal advisors are crucial for contract review, permitting, and regulatory issues, charging $200 to $500 per hour or a flat fee from $2,000 to $10,000.
These professionals add upfront cost but can help you avoid costly mistakes, delays, or legal troubles down the road.
Demolition and Prep
Before installing a solar farm, you may need to clear existing structures or vegetation. Demolition or clearing costs $2,000 to $10,000, depending on the size and complexity of the site. Grading and soil testing are essential for stable installation—these services range from $5,000 to $50,000. Challenging site conditions, such as rocky, sloped, or contaminated land, can significantly increase prep costs and may require specialized equipment or remediation.
Permits
Solar farm projects require multiple permits, including building, electrical, and environmental approvals. Contractors handle the permitting process, but it’s wise to confirm this in your contract. Permit costs range from $10,000 to $50,000, depending on local regulations and project size. The timeline for approval can stretch from a few weeks to several months, particularly if environmental reviews are needed. Inspections occur before, during, and after installation to ensure safety and code compliance.
Additional Cost Factors
Several other expenses can impact your total solar farm cost. Taxes are a key consideration, including sales tax on equipment and possible increases in property tax. However, many areas offer property tax exemptions or reductions for renewable energy installations. Insurance is essential, with annual premiums for property and liability coverage ranging from $6,000 to $20,000.
Warranties protect your investment, covering panels, inverters, and workmanship for 10 to 25 years. Accessories like tracking systems (which help panels follow the sun), battery storage, fencing, and security systems add to the price but can improve performance or safety.
Accessibility features may be required for ongoing maintenance, especially for commercial or community projects. Repairs, such as inverter replacement or panel cleaning, are part of long-term ownership, with costs varying by system size and age. After construction, you’ll also need to budget for debris removal and site restoration, which can cost a few thousand dollars depending on site conditions.
Solar Farm Installation Phases
Project complexity and customization, such as unique site conditions or custom electrical layouts, can increase costs—especially if additional engineering or specialized equipment is required. Materials account for about 60% of total solar farm cost, with labor and professional services making up the rest.
| Project Phase | Description | Cost Range |
|---|---|---|
| Design & engineering | Plans, site analysis, and system design | $40,000–$80,000 |
| Permitting | Fees, inspections, and regulatory compliance | $10,000–$50,000 |
| Site prep & grading | Land clearing, grading, and soil testing | $20,000–$100,000 |
| Equipment | Panels, inverters, racking, wiring, transformers | $480,000–$960,000 |
| Installation | Labor for mounting, wiring, and assembly | $240,000–$480,000 |
| Grid connection | Utility interconnection, metering, and upgrades | $20,000–$80,000 |
| Commissioning | Final inspection, testing, and activation | $5,000–$20,000 |
| Maintenance (annual) | Cleaning, inspections, minor repairs | $10,000–$40,000 |
| Insurance (annual) | Property and liability coverage | $6,000–$20,000 |
| Warranties | Extended equipment and workmanship coverage | $10,000–$30,000 |
DIY Solar Farm Cost vs. Hiring a Pro
Some property owners consider DIY installation to save on labor, but solar farm projects are complex and carry significant risks. DIYers can save up to 20% to 40% on labor, but must invest in specialized tools, equipment, and professional-grade materials. You’ll need advanced electrical skills, project management experience, and a thorough understanding of permitting and safety codes. Even small mistakes can lead to costly repairs or safety hazards.
DIY solar farm projects are most feasible for very small-scale or off-grid installations, where lower voltages and simple setups are involved. For larger systems, the complexity, risk, and potential for long-term issues require a local solar panel pro.
Tips to Reduce Cost While Installing a Solar Farm
Let’s look at some practical ways to keep the cost of installing a new solar farm budget-friendly:
Obtain multiple quotes from certified solar farm contractors to compare pricing and services.
Choose wallet-friendly standard panel types over premium or custom options.
Do as much site prep as possible ahead of time, such as moving outdoor furniture or removing landscaping, if allowed by your contractor.
Take advantage of federal, state, and local incentives or tax credits.
Consider phased installation or system expansion over time.
Maintain equipment regularly to prevent costly repairs.
Negotiate land lease or purchase terms for better value.
Solar Farm Home Value Impact
Adding a solar farm can increase your property’s value, especially if it generates significant energy savings or income. Solar farms often provide a strong ROI, sometimes outperforming other home improvements in long-term financial benefit. The value increase depends on local market demand for renewable energy, the reliability of income from selling electricity, and the size of your installation.
For resale, properties with established solar farms can attract buyers seeking lower energy costs or additional income. However, local regulations and buyer preferences matter—some buyers may be unfamiliar with solar farm operations or maintenance needs. Well-installed solar farms improve property efficiency, safety, and overall functionality.
How Angi Gets Its Cost Data
Home is the most important place on earth, which is why Angi has helped more than 150 million homeowners transform their houses into homes they adore. To help homeowners with their next project, Angi provides readers with the most accurate cost data and upholds strict editorial standards. We extensively research project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We rely on reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.
Want to help us improve our cost data? Send us a recent project quote to [email protected]. Quotes and personal information will not be shared publicly.
