Solar PV cost in Germany 2026: what a rooftop kilowatt-hour costs
At an assumed €1,500 per kWp, a kilowatt-hour from your own roof costs 7.1 ct at the German average, spread over 20 years. Grid power costs 36.2 ct.
Checked by Radif Partners · Editorial policy · How we calculate
What your system costs, and what a kilowatt-hour costs
Total cost
€15,000
| Yield per year (German average) | 10,523 kWh |
| Cost per kWh over 20 years | 7.1 ct |
| VAT | 0% (up to 30 kWp) |
What a solar PV system costs is on the quote; what it is worth only shows in the price per kilowatt-hour it generates. That figure is the total price divided by the output over the 20 years of fixed feed-in payment. A 10 kWp system facing south at 30° produces 10,523 kWh a year at the German average according to PVGIS, or 210,452 kWh over 20 years. We do not quote market prices; instead we use three assumptions. At €1,200 per kWp a kilowatt-hour costs 5.7 ct, at €1,500 it is 7.1 ct, at €1,800 8.6 ct. For comparison, household electricity costs 36.2 ct according to Eurostat, and the feed-in tariff (Einspeisevergütung) pays 7.70 ct/kWh. As long as the cost per kWh stays below the tariff, even exported power earns money; that holds up to about €1,620 per kWp. Panels, batteries and installation carry 0% VAT up to 30 kWp.
Where the money goes
A quote for a rooftop system bundles material and labour that are easy to check one by one. The panels provide the capacity in kilowatts peak and are what makes systems comparable. The inverter turns direct current into alternating current and is the part most likely to need replacing before the end of the term. Mounting rails, roof hooks and cables depend on the roofing: clay tiles, slate, metal and flat roofs each need different systems. Then there is the electrical work, often an upgrade of the meter cabinet (Zählerschrank) if the old one no longer meets current standards, plus scaffolding and installation. A battery is optional and is best listed as a separate item so that its economics can be judged on their own.
We deliberately do not give a list of market prices: prices per kWp vary by region, roof, system size and how busy installers are, and any figure without a source would be a claim. More useful is a yardstick you can apply to any quote yourself, and that is the price per kilowatt-hour generated.
From quoted price to price per kilowatt-hour
The calculation is simple: total price divided by the kilowatt-hours the system produces in 20 years. Output comes from PVGIS: 1,052 kWh per kWp a year at the German average for 30° south. Three assumed price levels give:
| Assumed per kWp | Total for 10 kWp | German average | Munich | Hamburg |
|---|---|---|---|---|
| €1,200 | €12,000 | 5.7 ct | 5.3 ct | 6.1 ct |
| €1,500 | €15,000 | 7.1 ct | 6.6 ct | 7.6 ct |
| €1,800 | €18,000 | 8.6 ct | 8.0 ct | 9.2 ct |
Two reference points put the figures in context. Household electricity costs 36.2 ct per kWh according to Eurostat, so each self-used kilowatt-hour saves the difference between that price and the price in the table. The feed-in tariff for systems from 1 August 2026 is 7.70 ct/kWh up to 10 kWp according to the Federal Network Agency. If the cost per kWh is below it, even exported power earns something. The 10 kWp system reaches that threshold at the German average at about €1,620 per kWp.
System size cuts both ways. Fixed items such as scaffolding and the meter cabinet are spread over more kilowatt-hours when the system is bigger, which is why larger systems are usually cheaper per kWp. At the same time, the share the house uses itself falls. Which size suits your consumption is worked out by how many kWp.
Zero per cent VAT: what the law covers
Under the zero rate in section 12(3) of the VAT Act, no VAT is charged on supplying solar panels to the operator, on the components essential for running the system, on batteries or on installation, provided the system is installed on or near a dwelling or a building used for public-interest purposes. If the gross capacity recorded in the Market Master Data Register is no more than 30 kWp, this condition is deemed met with no further proof. A quote for a family home should therefore show 0%. How much that matters: at the standard rate of 19 %, the system in the middle row would cost €17,850 instead of €15,000, and the kilowatt-hour 8.5 instead of 7.1 ct. What else matters for tax afterwards is under solar PV and tax.
Putting two quotes on the same footing
Quotes rarely differ only in price; usually capacity differs too, because each installer lays out the roof differently. An example with two made-up quotes shows why the total alone misleads. Quote A offers 8.5 kWp for €14,000, quote B 11.2 kWp for €16,500. B looks dearer but costs €1,473 per kWp against €1,647 for A. Over 20 years at the German average, A produces 178,885 kWh and B 235,707 kWh: 7.8 ct against 7.0 ct per kilowatt-hour. The bigger quote delivers cheaper power. Whether the extra outlay pays then depends on how much of the additional output you use yourself. Check too that both quotes cover the same scope: a missing meter cabinet upgrade makes a quote cheaper on paper only.
What the quote does not include
The price per kilowatt-hour above leaves out three things you add yourself. First, running costs: insurance, the metering operator's annual fee and a reserve for a new inverter. With an assumed €150 a year, the middle row rises to 8.6 ct. Second, interest if you finance. Third, output after the payment period: panels usually run longer than 20 years, and every extra kilowatt-hour lowers the average price. This page leaves that out so the figure stays on the cautious side.
Whether the price pays off in the end is a separate question that depends on how much power stays in the house. The answer, with the surplus after 20 years, is in is solar PV worth it?, and the year-by-year path in solar PV payback.