Payback Time For Solar Panels Uk

If you already received feed in tariff payments they are guaranteed for between 20 and 25 years depending on when you had the panels installed.

Payback time for solar panels uk.

However with the feed in tariff a government scheme that entitles those generating energy from solar panels to 20 years of payments having closed in march 2019 it could be easy to think that solar panels aren t worth the investment. It is assumed that the cost of electricity will go up which will also decrease the payback period and increase the amount of profit that you make. Post feed in tariff as outlined above we estimate that payback times for a 4kw solar pv install will extend from just under 13 years to just under 17 years. Solar panels are at their cheapest price since 2010 so even though they re still a large investment the solar panel payback time could be shorter than ever.

Here you can see the numbers. Data from the energysage solar marketplace shows that in 2020 solar shoppers who compare their options in the marketplace can achieve payback on their solar investment in about 8 years. Photovoltaic pv panels for power and domestic mast mounted wind turbines will take between 50 and 100 years to pay back. Assuming minimal seg export payments payback is over 25 years see table 2 below.

The price per kilowatt hour kwh of energy is index linked meaning that it will rise annually with the retail prices index rpi measure of inflation. With solar panels guaranteed for 20 25 years and better quality solar power inverters guaranteed for 10 15 years this is not an attractive investment. Assuming seg export payments average 1p kwh. Most solar panel installations should last between 20 and 25 years and over with the right maintenance and the initial cost can normally be off set within the first 12 18 years.

Investing in a system that wont pay for itself until year 17 is a bit of an ask. So installing solar panels in the north remains a good deal. The feed in tariff will close to new entrants on april 1st 2019. Given that the devices have a maximum lifetime of 30 years they are.

There are many factors to conisder when looking at the payback period for solar panels. However cities in the north are not as left behind as one would expect. While the national average is 9 5 years it takes only 8 4 years in plymouth exeter and truro the top three for a domestic solar panel installation to pay for itself. Solar payback periods summarized your solar payback period is the time it takes to make back your initial investment in solar for most solar shoppers you ll break even in about 8 5 years start comparing solar quotes on the energysage marketplace for maximum savings.