Current PV panel prices

sparkles69_2

Freepost wrote: »

Seems very expensive ...... walk away!

FYI. A few weeks back, I had Tescos come and give me a quote, £12,250 for 16 x Sharp 250 NU250 with the same inverter and extra scaffolding.

I'd suggest contacting Tescos and get a quote over the telephone then use that as the basis for negotiation with other firms.

F

thanks, did exactly that and had quote for 11440 for 16x225 sharp for 11440 from tesco on the phone - surveyor coming friday:T

matty2767

sparkles69 wrote: »

thanks, did exactly that and had quote for 11440 for 16x225 sharp for 11440 from tesco on the phone - surveyor coming friday:T

i just got a phone quote from tesco too.

he suggested a 2.76kwp system comprising 12 panels of sharp 230 and sunnyboy invertor for £9600 with their 20% discount which has been extended to end of September.

The one thing he said which i couldbnt work out to be the same was his profit. he suggested the payback in year one would be £1164 but return over 25yrs would be £51.7k giving a profit of £42.1k. how do you get to these figures? are they applying some kind of inflation factor?

Cardew

matty2767 wrote: »

i just got a phone quote from tesco too.

he suggested a 2.76kwp system comprising 12 panels of sharp 230 and sunnyboy invertor for £9600 with their 20% discount which has been extended to end of September.

The one thing he said which i couldbnt work out to be the same was his profit. he suggested the payback in year one would be £1164 but return over 25yrs would be £51.7k giving a profit of £42.1k. how do you get to these figures? are they applying some kind of inflation factor?

The way he reached £1164 pa could be 3 ways.
1. Just FIT(43.1p/kWh,

2.FIT plus 50% exported(43.1p + 50% at 3.1p_

3. As 2 above plus an assumption on your 'in house' savings.


An income of £1164 would suggest an output of 2,700kWh or 2,606kWh pa for options 1 and 2. and ??? for option 3.

The output from a 2.76kWp system will vary greatly depending where you live in UK and the orientation/shading of your roof.

Assuming South Facing and unshaded the annual output could vary from, say, 2,100kWh in Northern Scotland to 2,800kWh in Cornwall.

The FIT and export tariff are inflation linked, and the value of electricity used will increase(normally) year on year. If you assume a high enough inflation rate for 25 years you can make the income as high as you wish.

matty2767

So it looks like the profit side is not true. It would be more like 25x1164 - installation = about 18k. A bit different to 42k.

KevinG

matty2767 wrote: »

So it looks like the profit side is not true. It would be more like 25x1164 - installation = about 18k. A bit different to 42k.

As per previous post: "If you assume a high enough inflation rate for 25 years you can make the income as high as you wish."

Cardew

matty2767 wrote: »

So it looks like the profit side is not true. It would be more like 25x1164 - installation = about 18k. A bit different to 42k.

There are many posts on the financial aspects of buying.

The first thing to consider is how much your £9,600 would grow after 25 years in a bank/BS- you have to assume an interest rate.

Then you have to assume what inflation will be for 25 years; this will increase the income.

The income you make each year should be invested at the same interest rate as the £9,600.

You also have to guess what repairs/replacements might cost over 25 years.

If you know the answer to that lot - can you please tell me who will win the Derby in 2015!!

The best way of treating the investment in solar is as an annuity. You pay £9,600 for panels and that money is gone.

Each year you draw an income from those panels which will be more than you would have got from a building society.

There are far too many unknowns to be sure of what will happen, but the consensus of opinion is that you will probably be better off after 10 to 12 years.

matty2767

I found the text on their website

4. Tax Free Profit (After 25 Years) = The sum of total tax free cash back plus savings on electricity bill after 25 years, taking into consideration inflation rise of 5.2%, solar electricity system decline in efficiency (losses each year of 0.5%) and electricity price rises of 5.0% per annum. Profit is effective following the payback period for the system´s initial cost.

Cardew

matty2767 wrote: »

I found the text on their website

4. Tax Free Profit (After 25 Years) = The sum of total tax free cash back plus savings on electricity bill after 25 years, taking into consideration inflation rise of 5.2%, solar electricity system decline in efficiency (losses each year of 0.5%) and electricity price rises of 5.0% per annum. Profit is effective following the payback period for the system´s initial cost.

There you have the answer - 25 years with inflation assumed to be 5.2%

If they had forecast inflation to be 24.9%pa you would have made an even bigger profit;)

keith_r59

And when we hit deflation in the forthcoming global recession the Feed in Tariff will be reduced. :eek:

yeplume

keith_r59 wrote: »

And when we hit deflation in the forthcoming global recession the Feed in Tariff will be reduced. :eek:

But only for new installations.