I'd really like to know how low some of you really handy DIY'ers can go with their grid tied solar installations. But I'm only interested in only one metric..."cost of production".
This is how its calculated:
1. Determine your net cash outlay for equipment and outside labor. Net includes any offsetting rebates and incentives you received in cash from local, state or federal entities. But on the other hand include future maintenance costs and inverter replacements over a 25 year period.
2. Determine your total kWh production over a 25 year period. You can do this by using the PV Watts tool. Derate your system by .0071% a year for panel efficiency loss (ie ~3/4 of one percent).
3. 1. divided by 2. equals "cost of production" in cents per kWh.
Great metric everyone should know about their system. For you guys that finance or lease, the calculations are a little more involved since you have to use present value analysis, but it can be done.
What say you......
This is how its calculated:
1. Determine your net cash outlay for equipment and outside labor. Net includes any offsetting rebates and incentives you received in cash from local, state or federal entities. But on the other hand include future maintenance costs and inverter replacements over a 25 year period.
2. Determine your total kWh production over a 25 year period. You can do this by using the PV Watts tool. Derate your system by .0071% a year for panel efficiency loss (ie ~3/4 of one percent).
3. 1. divided by 2. equals "cost of production" in cents per kWh.
Great metric everyone should know about their system. For you guys that finance or lease, the calculations are a little more involved since you have to use present value analysis, but it can be done.
What say you......
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