Income and Savings

What are the income and savings I can expect from Solar Panels

 

When investing in a Solar PV system the big question is how long will it take for the system to pay back the investment, and how much can i expect the system to return in its lifetime.

We have taken the information from a real system that we have installed and broken the figures down in to the two graphics below.

The system we have used is a typical 4 kwp system with an orientation 45 degrees west and mounted on a roof with a 35 degree pitch, the installation is located in the midlands. This installation has minimal or no shading.

The standard SAP tables used for estimating the production taking all of the installation and shading factors into account give and annual generation  of 3532 kWh

You will receive the Feed In Tariff payment for every one of those 3532 Kwh, as a domestic installation you will also receive a smaller payment for 50% of that production that it is assumed you will export back to the grid. These two figures represent the income from the system.

 

For the purpose of the calculation it is assumed that you also use 50% of the energy generated and thus don’t have to pay your electricity ¬†supplier for this. This represents the savings from the system.

From the table below you can see that from this real system installed in late 2013 the expected payback is in year 7, and you will continue to receive Feed in tariff payments for almost 14 years. Once the feed in tariff has ended however you will still make savings on the electricity you generate by not importing from the grid.

Table showing payback from solar panel installation

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As well as the financial savings over 20 years the system is predicted to save 34 tons of co2 from being emitted into the atmosphere.

Solar Panel Payback graph

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If you would like us to explain these figures or generate a quote including the payback figures similar to the above please don’t hesitate to contact us or fill out a solar quote form and we will get back to you.