Solar Farm Profit Calculator

Solar Farm Investment Details

System Specifications

System Capacity (MW)

Installation Cost per MW ($)

Annual Solar Irradiance (kWh/m²/year)

System Efficiency (%)

Financial Parameters

Electricity Price ($/kWh)

Annual O&M Cost (% of initial cost)

Annual Degradation Rate (%)

Project Lifetime (years)

Discount Rate (%)

Investment Analysis Results

Total Investment

Total Revenue (25 years)

Net Profit

ROI

Financial Metrics

NPV:

IRR:

Payback Period:

Annual Revenue (Year 1):

System Performance

Annual Energy Output:

Capacity Factor:

25-Year Total Energy:

Annual O&M Cost:

25-Year Cash Flow Projection

Understanding Solar Farm Investments

Key Formulas

Annual Energy Output (MWh):
System Capacity × Solar Irradiance × Efficiency × 365 ÷ 1000

Annual Revenue:
Energy Output × Electricity Price

NPV:
Σ (Cash Flow₍ₜ₎ ÷ (1 + discount rate)ᵗ)

ROI:
(Net Profit ÷ Total Investment) × 100

Important Factors

• Solar Irradiance: Amount of solar energy received per area per year
• System Efficiency: How well panels convert sunlight to electricity
• Degradation Rate: Annual decrease in panel efficiency
• O&M Costs: Operations and maintenance expenses
• Power Purchase Agreement: Contract terms affect revenue
• Tax Incentives: Can significantly improve returns

Note: This calculator provides estimates based on simplified assumptions. Actual solar farm investments involve complex factors including grid connection costs, land lease agreements, regulatory requirements, and variable electricity prices. Consult with solar energy professionals for detailed feasibility analysis.