- Is solar really expensive? Here is what nobody told you
Is solar really expensive? Here is what nobody told you
- 7 mins read
- Solar Cost & Pricing, Solar Power
Is Solar Really Expensive? Here Is What Nobody Tells You
A generator appears cheap at first glance — and that is exactly the problem.
When you walk into a shop and see a 1KVA generator priced at ₦120,000 and a complete 1KVA solar setup priced at ₦340,000, your instinct is to reach for the cheaper option. That instinct is understandable. But it is also costing Nigerians millions of naira every year.
Here is the truth that most people miss: a generator does not come with its own fuel. A solar system does. Those panels on the roof are essentially a fuel source that costs you nothing after installation — and they will keep supplying that fuel for the next 25 to 30 years.
The Real Cost of “Cheap” Energy
The electricity you buy from the grid also appears affordable — because you only pay for what you consume. But if you were asked to fund the construction of the gas plant or hydropower station generating that electricity, you would quickly understand that cheap-looking energy is never truly cheap. Someone always pays the full cost. The question is simply whether it is you — all at once, or spread over decades.
If you consume 20kWh daily from the grid on Band A at ₦225 per unit, that costs you ₦4,500 per day. To generate the same amount of power from solar, you would need at least a 16kWh battery, 14 to 18 units of 600W panels, and an 8 to 12KVA inverter. Yes, that system costs roughly four years of your grid electricity bill upfront. But after those four years, your entire system continues serving you for another ten to fifteen years — with no additional cost on panels or batteries. You may need to repair or replace your inverter after seven to ten years, depending on your usage habits and the warranty on your unit.
That is the beauty of solar that the price tag alone will never show you.
Femi’s Story: A Decision That Changed Everything
In October or November 2022, the power supply in Mr B’s neighbourhood became extremely unreliable. He reached out to me, torn between buying a 1KVA generator or an equivalent solar setup to power his basic appliances — a fan, blender, lighting points, laptop, mobile phone, and power bank.
His dilemma was straightforward: he did not have enough money for the solar option.
At the time, a complete 1KVA solar setup — comprising a 400W solar panel, a 12V 100Ah gel battery, and a modified sine wave inverter — cost ₦340,000. The 1KVA Sumec generator he was considering cost ₦120,000. He had ₦160,000 in hand — enough for the generator and still have ₦40,000 left over to buy 242 litres of petrol at ₦165 per litre.
On paper, the generator made sense. But this was the period when Nigerians were facing three crises simultaneously: fuel scarcity, a naira note redesign that made cash difficult to access, and a national grid collapse. Even with money in hand, buying petrol was not guaranteed.
I did not hesitate. I told him to go solar.
My condition was simple: he would source an additional ₦50,000, and I would cover the remaining ₦130,000 until he was financially comfortable to pay it back.
Why I Was Confident in That Advice
A 400W solar panel generates at least 1kW of energy per day. Over 25 years, that is approximately 9,125kWh of electricity — equivalent to about 9,000 units of grid energy — at zero additional fuel cost.
To generate that same amount of electricity using a 1KVA generator, Femi would need roughly 4,500 litres of petrol over the panel’s lifetime. At the 2022 price of ₦165 per litre, that would have cost ₦742,500 — and that assumes the price of petrol never changed. We now know how that story ended.
It is also worth noting that a litre of petrol in a 1KVA generator produces only about 2kWh of electricity over eight to ten hours of runtime — regardless of whether any load is connected. That is an extraordinarily wasteful way to generate power.
What Femi Would Have Spent on Petrol — If He Had Chosen the Generator
Assuming he bought the generator and consumed just one litre of petrol per day, here is what his fuel bill would have looked like from November 2022 to March 2026:
Here is a stark picture of how petrol costs accumulated over those years:
Here is a stark picture of how petrol costs accumulated over those years:
Nov–Dec 2022
₦9,900
@ ₦165/litre
2023
₦91,250
@ ₦250/litre
2024
₦219,000
@ ₦600/litre
2025
₦255,000
@ ₦700/litre
Jan–Mar 2026
₦81,000
@ ₦900/litre
Total Fuel Spent
₦656,150
Fuel only — no generator cost, no repairs
Add Generator Cost
₦776,150
Rough total including purchase
Femi's Solar Cost
₦340,000
Paid once. Still running today.
In total, Femi would have spent ₦656,150 on petrol alone — not counting a single generator repair, oil change, or hour spent in a fuel queue. Add the ₦120,000 cost of the generator itself, and the rough total approaches ₦776,150 in just three and a half years.
His solar system cost ₦340,000 — paid once in 2022 — and is still running today.
What Happens If Petrol Stays at ₦1,000 Per Litre Forever?
Let us be conservative. Assume petrol prices never rise again beyond ₦1,000 per litre — which, as any Nigerian knows, is an optimistic assumption. Even so, if Femi had chosen the generator, he would spend approximately ₦8,500,000 on petrol alone by 2047, when his solar panels would finally begin declining below their rated output.
That is not a typo. Eight and a half million naira — on fuel alone — for a generator that cost ₦120,000 to buy.
Want to calculate what your own generator will cost you over time? Use our free calculator here: gramowatt.com/solar-calculator
What If You Need More Power Than a Basic Setup?
The same principle applies at every level of capacity. If a solar installation capable of powering your freezer, pumping machine, television, fans, and washing machine costs ₦3,000,000 today — generating 5 to 8kWh daily, equivalent to running about two litres of petrol through a generator daily — the calculator will show you exactly how many years it takes for that system to pay for itself. With a lithium battery that lasts at least ten years, the answer will surprise you.
Solar Is Not Expensive. Ignorance of the Full Cost Is.
When I say solar is the cheapest source of energy available to Nigerians today, I am not exaggerating. After the initial installation, your ongoing costs drop dramatically. You are no longer at the mercy of fuel prices, fuel scarcity, or the deteriorating national grid. You own your energy supply.
As for Femi — he is already planning his upgrade. He intends to install a system capable of powering his freezer, television, two 1HP inverter air conditioners, pumping machine, microwave, and other appliances, with the goal of using the national grid only as a backup. That system will cost between ₦5,000,000 and ₦8,000,000 depending on how long he wants to run those appliances daily. And he is not hesitating — because he already knows what the alternative costs.
If you have a roof or any available space to mount solar panels, nothing should be holding you back. Solar is not just affordable in the long run — it is cheaper, quieter, less stressful, and gives you complete control over your energy future.
The only expensive decision is the one that keeps you dependent on petrol.
