What is the payback on Solar PV?
Regardless of your current energy contract, all businesses need to start thinking ahead. Our energy security will only continue to weaken, as the price of electricity and gas inflate over the coming years. However, energy prices are not the only concern this year. With last year’s COP26 reinforcing the urgency of climate change action, businesses need to consider their emissions. By reducing consumption from the national grid, you’re not only saving money, but reducing your carbon footprint too. There is no time to wait - businesses must act now to ensure that their organisations survive the storm.
Many businesses are now turning to Solar PV to help them through this energy crisis, however what arse the costs involved and how much is the payback?
Here we look at approximate costs and payback times for Solar PV.
Solar Panels PV Costs: Approx. £1,000 per kW installed for materials and £200 per kW installed for installation; so a total of £1,200 per kW installed.
For a 50kW rated array that works out at around £60,000. A 50kW Solar PV array will produce approximately 48MWh per year, assuming it is south facing, unshaded and the panels are angled at around 35o ; but you’ll need around 400m2 of space.
This might seem overwhelming, but in simple, these estimates are for a large array and works out at an area 20mx20m. Every business is different. Solar PV can generate energy for any business, of any size.
So, what is the payback?
Based on a 20p/kWh cost for electricity, the payback time for this kind of solar array will be around 5 years and emissions would be reduced by around 10 tonnes . At 40p/kWh the payback drops to 2.5 years.
Advantages of Solar Panels
Significantly reduces your energy bills
Renewable energy source
Low maintenance costs
Improves your energy security and independence
They are silent and space-saving
If your business is considering Solar Panels, contact us at SRD for support and guidance info@srdtechnical.com and 01923 553007
