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Tuesday, 12 January 2021 16:22

How to make the photovoltaic power plants profitable?

solar panels solar panels Source: unsplash.com License: https://unsplash.com/license

If you're considering investing in solar energy, the time is now - in 2020, it has officially become the cheapest energy in history. How to estimate costs in the case of home and commercial solar plant?

 

The popularity of solar panels is continuously growing. The worldwide boom for panels has boosted sales, making the photovoltaics market one of the most successful emerging green technologies.

Solar panels are becoming an integral part of both urban and rural countryside. In recent years, the demand for photovoltaics solutions has been increasing with unprecedented speed. The panels themselves have become more affordable due to the increased efficiency of production technologies. In between 2018 and 2019, the total power of solar installations has increased from 118 GW up to around 130 GW. 2020 broke all the records for many European countries - for example, Poland, where the number of home solar electric systems has almost tripled in one year.

Home solar systems vs commercial photovoltaic power plants

On the one hand, solar technologies attract small-scale investors searching for solutions that will help them go green and lower the bills at the same time. On the other, there are more and more entrepreneurs that see business opportunities in photovoltaic power plants. Some are investing in solar farms in the form of citizen's initiative - the system of contributions allows using green energy and earning on it. Others decide to capitalize on it, producing solar energy on a big scale. 

photovoltaic farm in Poland

photovoltaic farm in Poland

How to make a household solar farm profitable?

The home systems are usually installed with the objective to cover total energy expenses or their big part. In this case, estimating the average annual demand for energy of the household and comparing it with the installation's total power is the key. The best is to pass this task into the hands of a solar solutions' provider. Otherwise, you may end up spending too much on an installation that exceeds your energy demand with its production. If your installation is off-grid, and you don't have the accumulator, you will be wasting it.

How to make commercial photovoltaic power plants profitable?

The commercial solar photovoltaic farms require a lot of space. That's why the cost of renting terrain for the purposes of installation is usually included in the cost estimation. The prices of energy sold from the solar panels are settled by the designated institution. In order to calculate the expected profits, it is enough to estimate the annual production basing on the total power of the solar plant and multiply it by the average price of the energy.