Solar PV is an excellent long term investment.
Q/ What can a UK customer in North West England living in a house with a 30 degree roof, oriented due south, with minimal shading and a 25 square meter sized roof on a typical family semi detatched home, expect to gain by installing a well designed, good quality solar pv system?
A/ 885 - 925 KWhrs / Per Installed 1KW of Solar PV/ per annum.
- A 3KW Solar system can generate 2655KWhrs per annum.
- A 4KW Solar system can generate 3540KWhrs per annum.
Let us assume we install a 3KW system:
Installation price £5400 - £5900, Generation FIT: 16p, Export FIT: 4.5p.
- 2655 KWhrs generated energy will make £424.80 in FIT generation payments..
- 1328 KW hrs exported energy will make £59.76 in FIT export payments.
- Let us assume 30% of your generated electricity 797KWhrs is used in the home.
- Assume electricity costs 14p (14/100 x 797 = £111.58).
Total Year 1 Savings: £484.56 + £111.58 = £596.14.
If your system cost £5400 to install you could expect to make your original investment back in less than 9 years.
NB: FIT payments are index linked and change with inflation, so your payback time will be quicker than dividing the total cost of installation of your system with year 1's earnings.
Energy prices are rising on an average annualised basis of 4.5% over the last 20 years, but far more recently.
If energy prices continue to escalate, the payback time on your system will reduce.
