This document is a simplified view on cost analysis of economical viability from only simple comparison of cost of equipment for solar/wing energy equipment versus utility cost based on the cheapest 6.7 cent/KwHr option.
Cost for Solar system
Cost of equipment $
Power can be made (kW)
Light hours/year
Energy/year (kWh)
Warranty (years)
Energy during 5 years(kWh)
$ saved based on 20c/kwh
820.0
0.15
2000.0
300.0
5.0
1500.0
300.0
3000.0
0.60
2000.0
1200.0
5.0
6000.0
1200.0
Wind system
Cost of equipment $
Power can be made (kW)
Windy hrs/year
Energy/year (kWh)
Warranty (years)
During warranty made(kWh)
$ saved based on 20c/kwh
870.0
0.40
6000.0
2400.0
3.0
7200.0
1440.0
2500.0
1.20
6000.0
7200.0
3.0
21600.0
4320.0
10000.0
7.00
6000.0
42000.0
3.0
126000.0
25200.0
Please note we have put in to account 10c/Kwh present cost of electricity to BC Hydro (Canadian Utility provider) and double it with understanding that in the next 5 years the utility cost should at least double.
Conclusion:
Solar system with present cost of equipment will not be cost competitive in the next few years comparing to utility providers.
Cost of wind power is much more competitive and will be paying back to the owner within the first 2.5 years.
Please note that cost savings will increase dramatically if higher energy wind turbine is used instead of very small wind generators. For example 7Kw vs 400W power generators will give more then $20,000 cost saving.
This is just an initial rough calculation to start our discussions on cost savings and economical viability. Also please note that political, ecological and global economical sense is not taken in consideration. But mention factors can easily overpower any simple economical cost analysis.
