What are the Economics for a 72 KW DC School or Public Building Photovoltaic (PV) System? 

In Nevada, school and public building PV systems benefit from a state funded incentive program. 

Table 1 represents the estimated final cost of a typical 72 KW DC (64 KW AC) school or public building PV system installed in Nevada.

Table 2 represents the simple payback period given the expected output of the PV system, on an annual basis, with a given current electricity rate of $ .101 per KWH, and secondly the anticipated cost of electricity escalating at 8.5% per year for the foreseeable future (has been averaging 12% per year over the 2000-2005 time frame here in Elko, Nevada). At a system output of 110,000 KWH per year, you would save approximately $925. per month on your electric utility bill. 

Having said all this, your situation will be different. You may purchase a different type of solar panel or array size that significantly changes the system cost, install the system in a different local, perhaps miss the Solar Generations Rebate Program cut off or the federal tax credit window, be from another state entirely, be surprised to find that electricity rates have leveled off, fall into a different tax bracket, or any number of other variables. Each project should be evaluated on a case by case basis.

Please consider one last thing. Contrary to an economist's rather negative definition of the term "payback", a renewable energy advocate, much like yourself, sees the purchase of a system in a more positive light, more like an investment in the future. Upon start-up of the system you begin to see an immediate savings in your monthly expenses. After a few years the initial investment is paid off. Thereafter these savings go directly into your pocket. When your neighbor complains to you about their high utility bills, you of course just smile, and then tell them about your system. 

So, if you believe as we do, now is the time to take action. Incentive programs are bound to vaporize or not be available to you when you need them the most. Furthermore, we believe electricity rates will follow crude oil prices, escalating at more than the 12% per year as they have over the 2000-2005 time frame here in Nevada.   

Whatever you decide, know that Silver State Renewables, Inc. will be there to help you reach your goals. Call or email us, with your questions, or for a quote.

Where Can I Find More Information?

For accurate, up-to-date information on the incentive programs mentioned above, please contact any of the following organizations:

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