LESSONS FROM AUSTRALIA REDUCING SOLAR PV COSTS THROUGH INSTALLATION LABOR EFFICIENCY

The report identifies that U.S. residential solar PV installation labor is significantly less efficient than in Australia and Germany, with U.S. installers averaging 9.4 labor hours per kW compared to 6.1 in Australia and 4.3 in Germany. It argues that the U.S. can reduce its installation time to approximately 7 labor hours per kW by adopting four key interventions: optimizing pre-installation, redesigning base installation (especially for clay tile roofs), using integrated racking, and reducing the number of system meters. The document attributes Australia's success to high market competition, a flat-rate payment structure for installers, and a regulatory environment that minimizes permitting and interconnection costs.

• U.S. residential solar PV soft costs are substantially higher than those in Australia and Germany, accounting for 65–70% of total installed costs at $3.38 per Watt, whereas soft costs in Australia and Germany are approximately 50% of total costs, at $1.20 and $0.97 per Watt respectively.
• There is a significant gap in installation labor efficiency: U.S. installers average 9.4 labor hours per kW, while Australian installers average 6.1 and German installers average 4.3.
• Australian installation efficiency is driven by a market structure where high competition and a flat-rate payment system incentivize installers to lean their processes to maximize profit through volume and speed.
• The U.S. can achieve near-term cost reductions by focusing on four specific areas: optimizing the pre-installation process, redesigning base installation for asphalt and tile roofs, utilizing integrated racking and mounting, and reducing the number of separate meters used to monitor output.
• One-day installations are the norm in Australia and serve as a target for the U.S. to reduce 'non-production' overhead costs such as travel, meals, and cleanup.
• Australian installers achieve faster base installation times, particularly on clay tile roofs, due to architectural advantages and less stringent moisture protection requirements compared to the U.S.
• Off-roof electrical installation is faster in Australia partly because they use fewer meters to track system output for utilities or financing organizations than is common in the U.S.

APA

Calhoun, K., Crofton, K., Goodman, J., & McIntosh, R. (2014). LESSONS FROM AUSTRALIA REDUCING SOLAR PV COSTS THROUGH INSTALLATION LABOR EFFICIENCY. RMI. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-11_RMI-AustraliaSIMPLEBoSFinal.pdf

Chicago

Calhoun, Koben, Karen Crofton, Joseph Goodman, and Robert McIntosh. LESSONS FROM AUSTRALIA REDUCING SOLAR PV COSTS THROUGH INSTALLATION LABOR EFFICIENCY. RMI, 2014. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-11_RMI-AustraliaSIMPLEBoSFinal.pdf.

Wikipedia

{{cite report |last1=Calhoun |first1=Koben |last2=Crofton |first2=Karen |last3=Goodman |first3=Joseph |last4=McIntosh |first4=Robert |title=LESSONS FROM AUSTRALIA REDUCING SOLAR PV COSTS THROUGH INSTALLATION LABOR EFFICIENCY |publisher=RMI |date=June 2014 |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-11_RMI-AustraliaSIMPLEBoSFinal.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{calhoun2014lessons, author = {Calhoun, Koben and Crofton, Karen and Goodman, Joseph and McIntosh, Robert}, title = {{LESSONS FROM AUSTRALIA REDUCING SOLAR PV COSTS THROUGH INSTALLATION LABOR EFFICIENCY}}, institution = {RMI}, year = {2014}, month = jun, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-11_RMI-AustraliaSIMPLEBoSFinal.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }