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For the cost of installed solar power, size matters. For residential and commercial systems smaller than 10 kilowatts (kW), the installed cost was $6.10 per watt in 2011. For commercial systems of 100 or more kW, the cost was only $4.90 per watt.
Capital costs. A kilowatt is a unit of electrical power capacity. According to a U.S. Energy Information Administration, or EIA, report published in April 2013, the cost of building a utility-gradeâgreater than 150 MW (megawatt)âsolar power plant was $3,873 per KW (kilowatt). solar power plant is one of the cheapest to operate because there are no fuel costs involved. A solar PV (photovoltaic) power plant requires fixed expenses of $11.40 per megawatt hour, or just 1.14 cents per unit.