Generator Installation…why does it cost so much? - Blog (2024)

Generator Installation…why does it cost so much? - Blog (1)

I am often asked why standby generator installation costs as much as it does. The simple answer is, to install a standby generator to meet local and national codes it requires considerable man power, materials and know-how. Here is a break down that’s easy to follow.

1. Location: A suitable location must be level, close to the source of LP or natural gas, and as close as possible to the electrical service to be backed up. If the surface is not level, it must be made level by your contractor. A tilt of even 5 degrees can be harmful to the longevity of an engine. A raised base of either concrete, or compressed crushed stone bordered by secured pressure-treated landscape timbers must be constructed. The purpose is not only to level the surface, but to raise the generator above ground level. This prevents dirt, leaves, and water from entering the unit as is pulls air through for cooling. This usually will take 2 men at least an hour to complete, more if leveling needs to be done. If any trenching needs to be done, the time and materials involved in this (a trencher rental, time to dig, conduit, wiring, direct burial gas line and back fill time) will need to be added.

2. Setting the unit: The handling of even an air-cooled generator must be done by at least two men if they have equipment designed for this purpose. Otherwise it will require more help.. An hour is about what it will take to transport and set into place.

3. Wiring and gas supply lines must be either buried, or secured and properly protected. Galvanized steel pipe should be used for the gas, with a vent and shut off valve. This must be done by a certified gas professional and will take 4-6 hours to complete. Gas service to the rest of the building must be tested while the generator is running to verify the correct pressure.

4. Wiring must be properly sized and protected by secured conduit installed by a professional electrician. This is true of both the feeder cable and all communications lines. The electric service of the house must be reconfigured by a professional electrician. This will usually take 6-8 hours to install a subpanel and to move circuits,(or reconfigure the main panel into a subpanel to satisfy code requirements when using a whole-house type transfer switch) mount the transfer switch, bond the system, install the control wiring and sub-feeder, and other considerations to complete the interior work. It will take about 4 hours on the exterior to run the conduits, install the wiring to the generator, land the control wiring and seal the unit.. The grounding and wiring must conform to code.

5. After battery installation, the generator must be tested and adjusted. This must be done by a certified generator professional. Here is a question I often get…”can an electrician install and adjust my generator?” The answer… only if he is a certified generator professional who has been factory-trained on the unit he is installing! The reason is simple, although the generator may run, right out of the box, it requires adjustment. An electrician does not have the training, or the tools to make these adjustments to the engine, fuel supply and computer controller found on modern units. They usually can only make the electrical connections. The manufacturer’s usually don’t enclose any instructions for this. If these adjustments are not made, your new investment will not last long before you have problems. This will take about two hours for adjustments, setting the exercise timer, programming and testing.

Generator Installation…why does it cost so much? - Blog (2)

Where are we now? Lets see… 18-20 man hours (minimum) for electricians, at least 6 hours for a registered plumber, hundreds for materials, pipe, conduit, wire, plywood, stone, timbers, connectors, fittings, subpanels, circuit breakers, etc. another $100.00 for a battery, maybe a carburetor heater ($125.00) and allow for an upcharge for the overhead (training, insurances, licenses, fuel, transportation, office expenses etc.) and profit , and it’s a bit clearer, and well justified!

Generator Installation…why does it cost so much? - Blog (2024)

FAQs

Generator Installation…why does it cost so much? - Blog? ›

The reason is simple, although the generator may run, right out of the box, it requires adjustment. An electrician does not have the training, or the tools to make these adjustments to the engine, fuel supply and computer controller found on modern units. They usually can only make the electrical connections.

Why are generators so expensive to install? ›

The placement of the generator, the amount of materials required, and the installation of the natural gas or LP fuel source all make estimating installation costs unique.

Why does the Generac installation cost so much? ›

In general, the price to put in a Generac generator depends on its size. Other factors are the fuel source, distance from the electrical panel and gas meter, and the amount of wiring and gas plumbing required.

Why are backup generators so expensive? ›

Cons: Home standby generators are pricier to buy, and installation costs can range from a few thousand dollars to $10,000 or more. That's because you might need an electrician plus subcontractors who can handle the plumbing for a gas or propane line and build a steady permanent base for the generator.

How much is a generator for a 2000 sq ft house? ›

Generator Cost by Size
Generator SizePrice RangeCoverage Area
13 to 16 kW$3,500 – $4,800Up to 1,500 sq ft home
17 to 20 kW$4,000 – $6,2001,500 – 3,000 sq ft home
22 to 25 kW$4,500 – $12,5003,000 – 5,000 sq ft home
30 to 48 kW$10,000 – $25,0005,000-plus sq ft home or commercial building
2 more rows
Feb 26, 2024

What is the average cost to install a Generac generator? ›

Generac home generator prices and installation cost average $8,700, but it can range from $6,500 to even $10,900 and more.

Do generators need to be professionally installed? ›

A whole-house generator provides more power… and you cannot install one yourself as a DIY job. You must call experienced electricians with a history of installing generators. You'll be happier, the process will go more smoothly, and more importantly, your new generator will function exactly the way it is supposed to.

Are whole house generators worth it? ›

Whether owning a home generator is worth it comes down to whether you can afford the up-front cost and ongoing maintenance, and how at-risk you and your family might be if you are without power for an extended period.

Why do Generac generators fail? ›

The overwhelming majority of Generac generator failures have to do with an old or damaged battery. Generator batteries should be changed every two years at an absolute minimum. Coolant levels. Low coolant levels will trip a sensor and force the generator into a “no start” state.

What size generator to run a 1500 sq ft house? ›

Standby generators range significantly in size, from 8,000 watts to 20,000 watts or more. For a standard 1,500 sq ft house, a generator between 10,000 to 14,000 watts is usually adequate, comfortably powering the entire home without concern for overloading, even if all appliances and systems are running simultaneously.

Is a whole house generator tax deductible? ›

While you may not qualify for federal tax deductions for a whole home generator, it's still worth looking into local and state tax credits for generators. For example, some local utility companies offer energy credits and rebates for clean-burning fuel sources and a natural gas generator may qualify.

Do generators increase home value? ›

On average, you can expect a standby generator to increase your home's overall value by 3-5%. This means that you can potentially enjoy a significant return on investment.

How far should a generator be from a house? ›

Never run a generator in an enclosed space or indoors.

That includes a basem*nt or garage, two spaces that can capture deadly levels of carbon monoxide. Always place the generator at least 20 feet from the house with the engine exhaust directed away from windows and doors.

Will a 20k generator run a house? ›

20,000 watts, and certainly 22,000 watts, can power just about everything under the sun in the average home, including all of the things mentioned above plus a washer and dryer, microwave, and other appliances.

How much should I expect to pay for a whole-house generator? ›

How Much Does a Whole-House Generator Cost, and Should You Get One? A generator can keep a home up and running during a power outage. A typical whole-house generator costs between $1,524 and $8,658, with the average consumer spending about $5,090.

Will a 12000 watt generator run a house? ›

A 12,000-watt generator can pretty much run most household or outdoor appliances. Generally, an average home requires around 5000 to 10000 watts of power — though the exact wattage consumption will depend on the size and power rating of the appliances.

Is it worth it to install a whole house generator? ›

Is a home generator worth it? Having a home generator during a power outage can be convenient or potentially life-saving depending on the situation, but it does carry a significant cost that some might not be willing or able to pay.

How much does it cost to hook up generator to house? ›

Installation. A standby generator's installation cost averages $4,520, which includes permits, assembly, placement, and wiring. Permanent generators require a constant fuel source, typically propane or natural gas. You can expect to pay $15 to $20 per linear foot for a natural gas line hookup during installation.

Top Articles
Latest Posts
Article information

Author: Lakeisha Bayer VM

Last Updated:

Views: 6262

Rating: 4.9 / 5 (69 voted)

Reviews: 92% of readers found this page helpful

Author information

Name: Lakeisha Bayer VM

Birthday: 1997-10-17

Address: Suite 835 34136 Adrian Mountains, Floydton, UT 81036

Phone: +3571527672278

Job: Manufacturing Agent

Hobby: Skimboarding, Photography, Roller skating, Knife making, Paintball, Embroidery, Gunsmithing

Introduction: My name is Lakeisha Bayer VM, I am a brainy, kind, enchanting, healthy, lovely, clean, witty person who loves writing and wants to share my knowledge and understanding with you.