What is solar payback?

The solar payback calculation is a simplified way to measure the return on investment (ROI) of switching part (or all) of your household’s electricity consumption to a renewable energy generation source instead of on-grid power. Simply put, the solar payback period is the time before you break even and start making money on your solar investment.

How long does it take a solar panel to pay back?

Research has shown that the carbon payback period for solar panels is on average 1-4 years. Even in areas where the sun’s radiation is received at less than 550kWh per m2 such as the northern part of the UK, a typical solar panel will only take around 6 years to pay back its energy cost.

How would a solar panel pay back its energy and carbon production cost?

An example of how a solar panel would pay back its energy and carbon production cost extremely quickly, would be a French or German-made panel (being manufactured with electricity generated from nuclear power - low carbon) being installed in China, where most of the energy is generated via coal or gas, which is high carbon.

Can grid-tied buyback programs reduce your solar payback period?

If you generate significantly more electricity than you consume, grid-tied buyback programs can potentially reduce your solar payback period. You don’t need to be a math whiz to estimate your solar payback period.

Do solar panels pay for themselves?

All conclude that Solar Panels do in fact pay for themselves in a relatively short period of time, both in carbon reductions, embodied energy, and electricity, all redeemed well within their operational life-cycle.

How much CO2 does a solar panel save?

Standard Solar Cell CO2 Production Cost Breakdown A typical solar panel will save over 900kg of CO2 per year resulting in a carbon payback period of 1.6 years. Research has shown that the carbon payback period for solar panels is on average 1-4 years.