Before 2011 and during, the residential solar system installers had to pay a very small amount such as $1.80 for per watt at the solar panels in both America and Germany. By the mean time the Germany installers included $1.20 with the cost of solar panels for completing a successful installation. On the other hand, the United States raised up to $4.36 for per watt, which is relatively more than three times as much. The top reasons are discussed below briefly :-
- A huge number (five times as much) of solar panels are installed in Germany rather than United States.
- Cheaper price of solar equipment in the Germany and other fundamental differences to German markets.
- Very low price to reach at customer door or turning them into long-term buying customer.
- The German Installers spend only seven cents for per watt due to marketing and designing total system to some definite customers. On the other hand the United States installers spend more than 10 times of that amount. Permission costs, connection the total system with grid, observation costs are more cheaper in Germany rather than United States. For these things the German installers spend three cents per watt, while the United States installers spend twenty cents.
- The United States installer have to maintain a huge number of paper works and pay permitting fees to initiate the total solar system.
- The United States installers use more labor during installation. Sometimes use higher wind forces which is mostly liable to broaden the cost cycle. They have to pay more sales tax but the German installers are moderately free from that type of taxation. Even they have to pay more also for using overhead.
- The United States installers earn more profit by selling different types of parts of solar panel system such as inverters etc.
- The number of solar panels are also liable to increase the total cost such as labor cost, fossils fuels etc. The United States installers are using these more than the German installers. Ultimately the cost are broadening too much than general.