solar roi
solar_roiCalculates solar system return on investment, payback period, and levelized cost of energy (LCOE). Models year-by-year savings accounting for panel degradation, utility rate inflation, federal Investment Tax Credit (ITC), state rebates, and annual maintenance. Outputs net cost after incentives, payback year, total lifetime savings, ROI percentage, and LCOE in cents/kWh. Essential for residential and commercial solar financial analysis, installer proposals, and comparing solar vs. grid economics over a 25-year system lifetime.
Input Schema
| Name | Required | Description | Default |
|---|---|---|---|
| system_size_kw | Yes | System size in kilowatts (kW) | |
| federal_itc_pct | No | Federal Investment Tax Credit percentage, default 30% (US ITC) | |
| system_cost_usd | Yes | Total installed system cost in USD | |
| state_rebate_usd | No | State or local rebate amount in USD, default 0 | |
| annual_production_kwh | Yes | Estimated annual energy production in kWh (from PVWatts or system_size_kw * peak_sun_hours * 365 * 0.80) | |
| system_lifetime_years | No | System lifetime in years, default 25 | |
| annual_degradation_pct | No | Annual panel degradation rate, default 0.5% per year | |
| annual_maintenance_usd | No | Annual maintenance cost in USD, default $100 | |
| electricity_rate_cents | No | Current electricity rate in cents per kWh, default 15 | |
| annual_rate_increase_pct | No | Annual utility rate increase percentage, default 3% |
Output Schema
| Name | Required | Description | Default |
|---|---|---|---|
| roi_pct | Yes | Return on investment percentage over system lifetime | |
| net_cost_usd | Yes | Net system cost after federal ITC and state rebates (USD) | |
| payback_years | Yes | Number of years to recoup net cost from savings | |
| total_savings_usd | Yes | Total cumulative savings over system lifetime (USD) | |
| lcoe_cents_per_kwh | Yes | Levelized cost of energy in cents per kWh | |
| year_1_savings_usd | Yes | First year net savings (USD) | |
| year_25_savings_usd | Yes | Final year net savings (USD), or last year if lifetime < 25 | |
| lifetime_production_kwh | Yes | Total energy produced over system lifetime (kWh) |