Energy Cost Savings |
Share this page with your friends:
|
Prior understanding of what to expect from a solar thermal system investment (or any) is extremely important. For some - anyone planning to build a new home, for example - solar energy installations make economic sense, and for others it doesn't. Factors such as local utility rates, local weather trends, building age/design/orientation, obstructions like surrounding trees or buildings, and subsequent installation options all play a role in the effectiveness of a solar thermal energy system and should be quantified in a cost benefit analysis before any investment is made. To help make this process easier, we've collected weather and performance data from our Solar Eco-Thermal panels to determine the average power production per panel and it's run time (the amount of time it's producing heat) based on the average amount of sunshine hours available in the Fredericton, New Brunswick area. From there we determined the potential gross and net energy cost savings in comparison with the costs of conventional fuels that a solar installation would supplement, such as oil, gas, wood/pellets, and grid electricity, and then calculated a potential payback period for each, ie: the amount of time it takes for the panel to pay for itself if used to supplement one of the conventional heat sources mentioned previously (and installed properly). If you don't live in the province of New Brunswick, Canada, then you should be able to source solar resource data for your area on-line, and replace the figures in the equations below with that information along with your local conventional fuel/grid electricity costs per kWh, and estimate your potential savings. If you're unsure how to do this or have any trouble at all, please feel free to contact us for help.
NOTE: The following figures demonstrate potential savings for direct daytime space heating via a Solar Eco-Thermal air heating panel, and are intended for estimate purposes only. Actual savings will depend on factors such as weather variability, building design/age, panel orientation/application, cost of local conventional fuels and/or electricity, etc.
* Average amount of sunshine hours during clear sky conditions in the Fredericton, New Brunswick area. Actual sunshine hours may be +/- depending on weather variability. Source: www.livingin-canada.com/sunshine-hours-canada.html
** Based on a documented average output of 600 watts per hour for direct daytime space heating during the heating season. Actual heat energy output may be +/- depending on installation location and application, weather conditions, and the amount of solar energy available at a given time during the heating season.
** Based on a documented average output of 600 watts per hour for direct daytime space heating during the heating season. Actual heat energy output may be +/- depending on installation location and application, weather conditions, and the amount of solar energy available at a given time during the heating season.
|
Estimated Savings Per 2000Btu/600W Solar Eco-Thermal panel:
Time period: October - April Total sunshine hours: 894 Panel output rating: 2000Btu/600W - 2700Btu/800Wp Power input: 12VDC/110VAC/~12W Panel cost: $295.00 Estimated lifetime: 20 years Price per watt: $295.00 / 600W = 49¢ per watt Electrical power usage: (894 hrs x 12W) / 1000 = 10.7kWh Electrical power usage cost: 10.7kWh x 10.42¢/kWh = $1.12 kWh production: (894 hrs x 600W) / 1000 = 536.4kWh (what's a kwh?) Cost per kWh: $295.00 / (536.4kWh x 20 years) = 2.8¢/kWh The following calculations are based on a grid electricity price of 10.42¢/kWh and are estimates only, refer to the graphs on the right for more comparisons:
Gross savings for period: (536.4kWh x 10.42¢/kWh) - $1.12 = $54.77 Gross savings over panel lifetime: $54.77 x 20 yrs = $1095.46 Net savings over panel lifetime: $1095.46 - $295.00 = $800.46 Payback period: $295.00 / $54.77 = 5.4 yrs (what's a payback period?) ROI: $735.07 / $295.00 = 249% (what's an 'ROI'?) IRR: [($1095 / 20 yrs) / $295.00] x 100 = 18.6% (what's an 'IRR'?) |
|