Commercial solar cost in North East
In North East, solar systems of 10-50 kW cost an average of £1,162 per kW in 2025/26 (DESNZ). A south-facing kW at Newcastle upon Tyne generates about 769 kWh a year (PVGIS). A 30 kW system would cost about £34,860 and, used on site at 28.59p per kWh, pay back in about 5.3-10.6 years.
By system size in North East
| System size | Typical cost | Generation a year | Value a year, all used on site | Payback (all used / half used) |
|---|---|---|---|---|
| 10 kW | £11,620 | 7,690 kWh | £2,199 | 5.3 / 10.6 years |
| 20 kW | £23,240 | 15,380 kWh | £4,397 | 5.3 / 10.6 years |
| 30 kW | £34,860 | 23,070 kWh | £6,596 | 5.3 / 10.6 years |
| 50 kW | £58,100 | 38,450 kWh | £10,993 | 5.3 / 10.6 years |
How this is worked out
- Cost: DESNZ mean cost per kW of Total Installed Capacity for 2025/26, from MCS-certified installations. It includes equipment, installation and connection. DESNZ only covers systems up to 50 kW; larger systems usually cost less per kW.
- Generation: PVGIS (European Commission) for 1 kW facing south at the default tilt, with 14% system losses.
- Value: generation × the share used on site × the DESNZ price for small businesses (28.59p per kWh incl. CCL, 2026 Q2). Exported power is counted at nothing, so payback is conservative if you are paid for exports.
- Not included: maintenance, inverter replacement, panel ageing, finance costs, grants and tax relief. These are averages for planning, not a quote.
Sources
- Solar photovoltaic (PV) cost data: Total Installed Capacity, Department for Energy Security and Net Zero (data from the Microgeneration Certification Scheme)
- Photovoltaic Geographical Information System (PVGIS), European Commission Joint Research Centre
- Prices of fuels purchased by non-domestic consumers in the United Kingdom (QEP 3.4.1 and 3.4.2), Department for Energy Security and Net Zero