Breakeven For Solar Panels

This paper examines the break even cost for residential rooftop photovoltaic pv technology defined as the point where the cost of pv generated electricity equals the cost of electricity purchased from the grid.

Breakeven for solar panels.

We examine the break even cost for the largest 1000 utilities in the united states as of late 2008 and early 2009. The break even point when energy output equals manufacturing energy input has fallen from 20 years to just two years. Around the globe the cost of solar panel hardware has been. How is the solar panel payback period calculated.

However if you live in a state with low electricity prices and few incentives you ll most likely break even faster with an outright purchase. Local climate effects on solar production. Factors that go into a solar panel break even calculation the average price of a residential solar installation. If your cost of installing solar is 20 000 and your system is going to save you 2 500 a year on foregone energy bills your solar panel payback or break even point will be 8 years 20 000 2 500 8.

To provide a general range hancock says most individuals who go solar will break even in 15 to 25 years. You need sunshine to generate solar electricity and the amount of sunshine. The typical solar payback period in the u s.