How Many Solar Panels Do I Need? Your Complete Guide

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If you've ever asked, “How many solar panels do I need?”, you're not alone. Getting it right means balancing your electricity usage, roof space, budget, and how much power you want to generate. Stag Electrical helped hundreds of homeowners and businesses size solar systems that not only meet their needs but also give excellent value over time. In this guide, we’ll show you how to calculate the number of panels you need, factors to consider, and examples to make it real.

Why sizing matters

Choosing the wrong system size can be costly:

  • Undersized system → You still pay a significant portion of your electricity bills and miss out on potential savings.

  • Oversized system → higher upfront cost, wasted generation (exported to grid at low rates), minus ROI

Good sizing maximizes your solar self-consumption, optimises payback period, and ensures your solar investment gives returns.

Step 1: Determine your electricity usage

The first step is to know how much electricity you use:

  1. Check your electricity bills — find your daily average usage in kilowatt-hours (kWh). Use 12 months of bills to include seasonal variation.

  2. If you have a smart meter or interval data, use that—it shows when during the day you consume the most.

  3. Decide what proportion of your electricity you want solar to cover. Is it just daytime loads, or also evening? Maybe you plan for EV charging, or want to include future increases (like a pool, AC, etc.).

Example: Suppose your home uses 25 kWh/day on average, and you want solar to cover 80% of that (20 kWh/day) during sunlight hours.

Step 2: Calculate required system size in kW

Use this formula to convert the energy you want from solar (kWh/day) into a system size (kW):

Required Solar System Size (kW) =
(Desired daily output in kWh) ÷ (Peak Sun Hours × System Efficiency Factor)
  

Example: If you want 20 kWh/day, you have 5 peak sun hours, and you assume 80% system efficiency:

Size = 20 ÷ (5 × 0.8) = 20 ÷ 4 = 5 kW
  
System size (kW):
Estimated panels needed:
Tip: round panel count up to the next whole panel. Use panel wattage to estimate how many panels fit your roof.
Disclaimer: The information and calculations provided in this article are general in nature and intended as a guide only. Actual solar and battery requirements can vary depending on your household’s unique energy usage, property layout, and lifestyle. We recommend speaking with one of our experienced system designers at Stag Electrical to ensure your solar battery size is correctly matched to your needs.

Step 3: Determine how many panels

Solar panels are rated in watts (W) under standard conditions. Common residential panels are 400-510 W. 

To find how many:

Number of Panels = (System Size in watts) ÷ (Panel Wattage)

Example:

  • A 5 kW system = 5,000 watts
  • If using 350 W panels:

5,000 ÷ 350 ≈ 14.3 panels → round up to 15 panels

However, you also need to factor in inverter oversizing rules. A 5 kW inverter can usually be paired with up to 6.6 kW of panels (about 33% more) if there’s no battery. With batteries, the allowance can go up to 200%. Going beyond these limits means you won’t qualify for government rebates.

Step 4: Adjust for roof space & layout

Even if your calculations suggest you need, say, 15 panels, the available roof area may constrain you.

Key considerations:

  • Panel size: a standard panel is approx 1.7 m² (often about 1 m × 1.7 m)

  • How many panels can physically fit, considering roof pitch, obstructions (chimneys, skylights, vents), orientation (north, east, west)

  • Whether part of the roof is shaded for part of the day—this reduces output significantly.

If roof area is tight, higher-efficiency panels or panel placement on multiple roof faces may help.

Step 5: Consider other constraints and future growth

When sizing, it’s wise to think ahead:

  • Will you add major appliances (EV charger, pool pump, heat pump etc.) that increase daytime load?

  • Will you want a battery, or to go off-grid?

  • What are the local grid connection rules? For example, inverter size limits, export limits, phase (single-phase vs three-phase) limitations.

Feed-in tariff (rate you get if you export surplus electricity to the grid) matters. If tariffs are low, you’ll get more value by self-consuming your solar rather than exporting.

Example Scenarios

Here are two example households and how many panels they’d need:

Household Daily usage Desired solar share Location sun hours System size (kW) Panel wattage Number of panels
Small home (2–3 people) 15 kWh/day 80% 5 sun hours/day 15 ÷ (5 × 0.8) = 3.75 kW 330 W ≈ 12 panels
Larger home + EV + AC 35 kWh/day 70% 5 sun hours/day 35 ÷ (5 × 0.8) = 8.75 kW 360 W ≈ 25 panels

So, how many solar panels do you need? The answer is: it depends. It depends on your daily electricity usage, how much sun your roof gets, how much of your power you want to supply from solar, your roof space, and budget. By following the steps above, you can calculate a system size (in kW) and then determine how many panels will deliver that.

FAQs: What Size Solar System Do I Need?


What common mistakes cause a solar system to underperform?

One of the biggest issues homeowners face is getting a system that doesn’t match their actual energy needs. Undersized or poorly designed systems often leave you still paying high electricity bills. Oversized ones can export too much power to the grid at low feed-in rates.

How do battery rebates and incentives affect system sizing?

Government rebates and incentive schemes can significantly reduce the upfront cost of adding a battery to your solar system. This affects sizing because you may want to oversize your system slightly to store extra energy for use at night.

Will the system need to support future EV charging?

If you’re planning to buy an electric vehicle, it’s wise to account for EV charging in your solar design. EVs can easily double your household electricity use, so you may need a larger system from the start.

Should I participate in Virtual Power Plant (VPP) programs?

Virtual Power Plants allow households with solar and batteries to pool together and sell excess energy back to the grid at higher rates. If you’re considering one, it could influence how you size your solar + battery system.

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About the Author — Sam Friend

With a career in solar and energy that began in 2007, Sam Friend brings credibility and real-world experience as the founder of Stag Electrical. Over the years, he has overseen more than 10,000 installations across Australia, earning Stag Electrical a reputation for quality, reliability, and customer-focused solutions. Sam’s expertise helps households and businesses make informed, cost-effective decisions about renewable energy.