"He Didn't Build That"...I Did (Part 7): Solar Cost Analysis and Payback Calculations

Total Solar Project Cost

Following are the comparative costs of the solar panels and components for our small-scale solar project. The prices may vary depending on the suppliers and locations of our sources. Also, prices tend to go down (at least in my observation) as time passes by and depending upon the competition. These are the current prices at the time of this writing, and are used merely for computational purposes and any future changes should not reflect upon the author or the suppliers.

OPTION I

Grape Solar 400-Watt Off-Grid Solar Panel Kit
Item # 776092
Manual
Your Price$1,399.99
Shipping & Handling included *

The Grape Solar 400-Watt Off-Grid Solar Panel Kit is ideal for a variety of applications, including emergency backup systems, RVs, boats, 12 Volt battery charging, small pumps, charging small electronic devices and operating LED lights. Made with high efficiency crystalline solar cells for years of service, this solar kit is easy to install and virtually maintenance free! An anodized aluminum frame and a sealed junction box make the panel weatherproof for outdoor use. A two-diode bypass minimizes power drop caused by shade. This system will provide approximately 1,200 Watt Hours or 100 Amp Hours of charge per day. The kit includes: 4pc 100-Watt polycrystalline solar panels, a 35 Amp charge controller, 2,000-watt inverter with two outlets and 1 USB port, cables and manual.

Ideal for running small pumps and lights or charging your portable electronic devices
Polycrystalline panel with anodized aluminum frames and tempered glass for outdoor use and superior performance
Two diode junction box for enhanced performance
2,000-watt pure sine inverter with two outlets and a USB port allows you to plug in small devices
Kit comes with all cables and connectors for quick and easy set-up
Battery not included, a minimum of one 12Volt deep cycle battery is necessary to use this kit
MFG Model #: GS-400-KIT
MFG Part #: GS-400-KIT

OPTION II

Item Description                                           Quantity  Unit Price    Total Price
Solar Panel, 100 watts, polycrystalline                4         $180.00 $720.00
Solar Charge Controller, 60 A, 12/24 VDC        1         $150.00      $150.00
Pure Sine Wave Inverter, 1,000 watts                 1         $185.00       $185.00
Deep Cycle Lead Acid Battery, 250AH, 12V     6         $397.50    $2,385.00
                                                         
Over-all Total Price = $3,440.00

Above cost does not include cost of cables and connectors, which would be in the vicinity of around $200.00 more. Also if we factor the cost of the inverter at double the size, from 1,000 watts to 2,000 watts which cost $450.00 each, I suggest that we buy the kit instead, (OPTION I) at $1,400.00 because it’s easier to set-up. Needless to say about compatibility issues and shipping problems when components are coming from different vendors/suppliers.

Therefore our price options would be the following:

1. Over-all total cost without batteries = $1,400.00 (P56, 000.00 @P40/dollar)
2. With at least 2 batteries, total cost   = $2,195.00 (P87, 800.00 @P40/dollar)
3. With 6 batteries, per computations  = $3,785.00 (P151, 400.00 @P40/dollar)

Without the storage batteries, our solar panels will provide electricity only during the daytime. I suggest that we consider option 2, using at least 2 batteries for lights at night and light loads such as TV, computers and cell phone charging.

For simple computational purposes, I’m going to round off the total cost to:

Total solar project cost = $2,200.00 (P88, 000.00 @P40/dollar)

Again, I’m emphasizing that above costing reflects not the actual cost, but merely being presented for purposes of giving the readers a bird’s eye view of what it would be like to own a solar system based on their load requirements at my approximate price evaluation at the time of this writing. Based on the price table above, you can try to configure your own system and just follow the computations as a basic guide for your total cost and payback calculations. You can still lower this cost by purchasing cheaper storage batteries. Just make sure they are of the deep cycle kind that can hold a charge longer.

Next time, we will discuss payback calculations. Hang in there, guys!