Break Even Point Solar Panels

Interpreting the solar nerd payback graph.

Break even point solar panels. The solar panel payback period is a calculation that estimates how long it will take for you to break even on your solar energy investment. Given that many solar panels and inverters come with 25 year product warranties you can expect more than two decades of trouble free operation from your solar array. Dividing 14 200 by 1 734 gives a. If you buy a system depending on the incentives available to you break even point should be around eight years or less.

This is called the break even point. The graph above is a screenshot from the solar nerd calculator. The cost of solar panels. Increased utility electricity rates and lower equipment costs are making it easier and less expensive to for homeowners to own rather than lease their solar panel systems.

The break even point when energy output equals manufacturing energy input has fallen from 20 years to just two years. Solar panels are typically under warranty for 25 years. Example of the break even graph from the solar nerd calculator. Each time the world s solar capacity doubled the energy required to make a pv module fell by about 12 the economist said while carbon dioxide emissions associated with the process dropped by 17 24.

If you plan to sell your house sometime soon the shorter the break even point the better. Then if the solar energy your panels make reduces your electric bill by 1 500 per year your payback period would be eight years assuming electricity rates don t increase.