How Much Does Backup Generator Installation Cost

Like some areas nations across the world, many of the states in America are also a hotbed for unstable weather extremes. With the potential of frequent (but serious) natural calamities capable of knocking down centralized utility on a city-wide scale, it has become one of the key concerns of American homeowners to acquire a safe, inexpensive and stable source of electricity. Generators provide power to homes and other buildings in times of emergency. Knowledge about standby generator installation cost keeps American homeowners prepped for such possibilities.


The average cost to install backup generator can range between $4,000 and $10,000. It is important to take note that these figures only reflect the most prevalent parameters. This is the price range that roughly exhibits Backup generatormid-sized generators that deliver 12 to 20 kilowatts, intended to provide power to only a partial coverage of the entire household electricity usage – particularly the regular HVAC system (heater for winter or air condition for summer).


The lowest median cost for backup generator installation ranges from $2,500 to $4,500. This budget reflects a small-sized generator that is only capable of producing minimal output. It is only capable of powering a limited coverage consisting basic household systems under 7 to 10 kilowatts.


The highest median cost to install backup generator ranges from $9,000 to $15,000. For this budget, you are looking at a large-sized generator with 22 to 45 kilowatts. This capacity can power up the entire home – from the smallest appliances to the whole network of the HVAC system.   

Extra Backup Generator Cost Summary

Apart from the generator itself, there are other aspects that comprised the overall cost of installing a standby generator. Here are the following components included in your budget:

  • Installation fees

The size of the generator determines the exact cost. For small generators, you’re looking at around $500 to no more than $1000 apart from the whole house generator price. Medium size generators can entail an installation fee of roughly $1000 or more. As for large generators, you will expect to pay an installation fee of more than $1000.

  • Concrete pad & garage

A standby generator should be built on a concrete platform. The span of the concrete pad depends on the size of the generator. The standard cost is measured by $75 per yard. Those who wish to safeguard their investment would not settle for anything as measly as a concrete platform. The option to build a generator garage would be bigger since the budget extends to its walls and roof. In this case, you will require an extra budget of $500 to $800.

  • Electrical wiring

Installing the electrical wiring and lighting hinges on the overall layout of the residential premises as well as the specific arrangement. In any case, setting up the wiring requires the handiwork of a professional electrician – for which you will be paying a standard fee of $65 to $75 per hour.

  • Fuel tank fixing

It pays to take note that fuel tanks can be excluded if your residence has an access to a gas pipeline. Certain locations in all 48 states of the United States belong to a vast network of 210 natural gas pipeline systems and 300,000 transmission channels.

But just in case you live in an area off-grid from natural gas access, you are looking at two price ranges for installing a fuel tank to feed your generator. An above-ground fuel tank costs around $1,500 to $2,500. An underground fuel tank is even more expensive, ranging from $3,000 to $5,000.

Return On Investment

Considering that a whole house generator price is usually fixed, there is little you can do to make a visible reduction of the overall cost. However, it is important to ponder on the significant value in terms of return on investment when you decide to install a standby generator. Here are the number of things that prove how standby generators can generally help you save money.

  • Lower insurance rates

For your average standby generator installation cost, you can help control your overall home insurance cost. Unlike a portable generator, a standby generator can automatically turn on in mere seconds right after your home loses power. Most importantly, its mechanism safeguards your utilities from catching fire due to a sudden power surge.

  • Premium on fuel rates

If your standby generator is fed by an independent fuel tank instead of a gas pipeline, you can have the advantage of availing for certain discounts when ordering propane or diesel to fill your tank. However, it is to your advantage that you establish yourself as a regular customer of more than one fuel provider.

  • Free of costly complications

Since a standby generator does not require labor-intensive setup procedure during the onset of a power failure, you can spare yourself from potential damages caused by the hassle. One also needs to factor in mechanical malfunctions and other complications that may arise following the setting up of a portable generator. This means saving yourself from future expenses required to repair some broken components arising from gradual unintended misuse.

  • House resale value

If you are looking forward to selling a home that already has a fenced standby generator, you are looking at a real estate property that has a significantly increased value margin. Crucial amenities like these can augment the net worth of your home. 

Top 10 Locations With Discount

In terms of the overall cost to install back up generator, you can also take advantage of the installation cost available in your location. If you happen to live in these places, you’re lucky enough to avail a lesser portion of the comparable estimated average national cost.

Nettie, West Virginia = 33% less

Clayton, North Carolina = 31% less

Hartsville, South Carolina = 30% less

El Paso, Texas = 28% less

Ocala, Florida = 25% less

Goldsboro, North Carolina = 19% less

Oklahoma City, Oklahoma = 12% less

Newport News, Virginia = 12% less

Joppa, Maryland = 8% less

Leland, North Carolina = 8% less

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