1. What is Cost per kWh Solar Calculator?

Definition: This calculator determines the cost per kilowatt-hour (kWh) of solar energy over the system's lifetime.

Purpose: It helps compare the cost-effectiveness of solar installations with grid electricity and other energy sources.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• Cost per kWh — The calculated cost per unit of energy (currency/kWh)
• Total Cost — The complete cost of the solar system including installation (currency)
• Lifetime kWh — Total energy the system will produce over its lifetime (kWh)

Explanation: The total system cost is divided by the total energy production to find the cost per unit of energy.

3. Importance of Cost per kWh Calculation

Details: This metric is crucial for evaluating solar system economics, comparing with utility rates, and calculating return on investment.

4. Using the Calculator

Tips: Enter the total system cost in your local currency, estimated lifetime energy production in kWh, and your currency code (default USD).

5. Frequently Asked Questions (FAQ)

Q1: What should be included in total cost?
A: Include all expenses: panels, inverters, mounting, installation, permits, and any other system components.

Q2: How to estimate lifetime kWh?
A: Multiply annual production (kWh) by expected system lifespan (typically 25-30 years).

Q3: What's a good cost per kWh for solar?
A: Typically $0.05-$0.15/kWh is competitive with grid electricity in many regions.

Q4: Should I include incentives/rebates?
A: Yes, subtract any rebates or incentives from your total cost for accurate calculations.

Q5: How does this compare to LCOE?
A: This is a simplified version of Levelized Cost of Energy (LCOE) that doesn't account for time value of money.