Cost of power vs Cost of energy
The relationship between cost of power and cost of energy is an important element to assess the feasibility of a solar project.
The chart below plots this relationship for 2 PV systems:
on fixed racks (Blue) and on Vertical Axis Trackers (Brown). For example, to achieve a LCOE of $100 per MWh, the total capital cost must not exceed either $1.45/Wp for a fixed system nor $2.11/Wp for a VAT system. In other words, there is a 66¢/Wp margin between the 2 options and if the additional cost of tracker is less than that amount it would be a more cost effective solution.
This simulation is based on 52 years of solar data from the Cranbrook airport and use typical LCOE parameters such as efficiency losses, maintenance costs, discount rate, inflation, lifetime of the system, etc,… These parameters must be adjusted on a case-by-case basis, and although the chart may give a fair approximation, a more complete analysis would make it more accurate.
You must be logged in to post a comment.