I’m looking into solar panels for my house. But when I run the figures, it would take forever to pay itself off.
Example: 224 watt solar panel X 4.73 hours/day (peak sunlight hours where I’m located) X 30 days/month X 12 months/year = 381,427.2 watt hours/year or 381.4 kWh/year. At $ .0778/kWh (in my area), it would only save me $ 29.67/year. Since this particular solar panels cost $ 912, it would take over 30 years to pay itself off.
I know I must compensate for inflation and rising electricity costs.
Also, other components needed for installation (inverter, mounts, combiner box) must be considered.
Does the solar panel continue to produce electricity outside of the peak sunlight hours?
Can someone who knows more than me please help me make sense of all this? How many years will it really take to pay itself off? How much electricity will the solar panel actually produce in a year?
More Pages:
- Solar Power: Is Solar Power Really An Option For Most Homeowners? (4/28/2012)
- Solar Panel: Solar Pannels? (12/17/2011)
- Solar Lights: Electricity Output Help? (8/19/2011)
- Solar Panel: How Much Would Cost For A Solar Panel System In Florida? (3/25/2012)
- Solar Panel: Will A Solar Panel Ever Pay For It Self In Electrical Savings, At Market Prices? ? (2/5/2012)
{ 5 comments… read them below or add one }
no, solar panels are very expensive.
you get some power off peak, but not much.
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Yup. I think your math is about right. The truth is that solar panels are very expensive and will never able to produce electricity as cheaply as coal, nuclear, or hydropower. (and by never I mean in the next 10 years) They have to be very heavily subsidized with refunds or tax credits to be competitive with other sources. Plus over time solar panels loose there generating power over time so each year you will make less power. Solar panels will never be more than a niche player in electrical generation for remote locations or where not much power is needed. You are better off putting your money in a CD that yields 4%, as you will come out ahead.
It depends on the state and electric company you have. Some will allow you to hook up to the main grid and they give you credit for what they get from you. However be prepared to have the income to afford it. As in all things made.. the more we buy the cheaper it becomes.
No. It will never pay off.
Yes, panel will produce outside peak hours. However, your output is too high. While you will get some off peak power, you aren’t considering that you won’t get peak power because of panel orientation, inclement days, dirt on the panels, etc. Plus, losses from the needed batteries, inverter, etc. You’ve done a good set of calcs tho, you are in the neighborhood. I expect you are lucky to get $ 20/year. The maintainance and replacment costs of the batteries alone will be more than that.
Solar is too expensive, that’s why it is used so rarely. Better to spend your money on conservation. Use natural light. Improve insulation. More efficient heater/air conditioner when the old one dies. Deciduous trees near the house to shade in summer, let light through in winter. Drop thermostat in winter, raise in summer.
Good luck!
No dont go for solar electricity go for solar water heating system and maybe wind generator if suitable in your area