Video | Business Headlines | Internet | Science | Scientific Ethics | Technology | Search

 


UC researcher shines a light on the economics of solar power

UC researcher shines a light on the economics of solar power

June 25, 2013

A University of Canterbury (UC) researcher says despite a drop in price, the economics of domestic solar power is still questionable.

Dr Alan Wood, a senior electrical and computer engineering lecturer, is exploring the economics of solar electricity for the householder as part of a $6.3 million projected funded by the as part of a Ministry of Business, Innovation, and Employment.

Dr Wood has developed a model which considers all the costs, income opportunities and the sunlight resource to calculate a financial return for solar electricity.

``Unfortunately, these calculations are not straightforward for a domestic householder to make independently from their system installer.

``This discourages householders from investing in solar electric systems. Our calculations show that it is not a financially worthwhile investment for a typical house. However, this is not a general result, and in some cases it could be worthwhile.”

Other than the panels, costs include installation, building consents, distribution company applications, electrical wiring and inverter technology to feed the solar power into a house’s 240 volt supply and into the grid.  Total costs could be $10,000.

``Unless there is a need for air conditioning, domestic electricity consumption is typically low during sunshine hours. Battery storage is expensive and we estimate the cost of cycling energy through batteries to be on a par with the retail electricity price.

``An alternative is to store solar energy as heat, by heating water in a domestic water cylinder when the sun shines. In some ways this is similar to the solar-thermal systems already available.

``Although a solar electric system dedicated to water heating is likely to be more expensive than a solar thermal system, it should have some reliability and maintenance advantages. Our results show that using solar electric panels and storing the energy as heat should have a positive net present value, although such systems are not yet commercially available. 

``Storing solar energy in hot water cylinders reduces overall electricity consumption, but can actually increase the peak demand of households. This is because with solar water heating, there is no incentive to remain on an electricity rate that allows control of hot water heating through ripple control systems.  

``On cloudy days, remote control of mains-electric heating of hot water would be lost. An increase in peak demand means a stronger electrical supply system is required, increasing some system costs.’’

Dr Wood is developing an on-line model which will be available to all New Zealanders for them to assess potential returns of solar power.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Final Frontier: Rocket Lab And NASA Sign Commercial Space Launch Agreement

Rocket Lab has signed a Commercial Space Launch Act Agreement with the National Aeronautics and Space Administration (NASA). The agreement enables Rocket Lab to use NASA resources - including personnel, facilities and equipment - for launch and reentry efforts. More>>

ALSO:

Scoop Business: Wheeler Downplays Scope For ‘Large’ Rates Fall

Reserve Bank governor Graeme Wheeler says some market commentators are predicting further declines in interest rates that would only make sense for an economy in recession, although some easing is likely to be needed to maintain New Zealand’s economic growth. More>>

ALSO:

Ruataniwha Dam: Consent Conditions Could Mean Reduced Intensity

Legal advice sought by the Hawke’s Bay Regional Council on the Ruataniwha Dam consent conditions has confirmed that farmers who sign up to take water from the dam could be required to reduce the intensity of their farming operation to meet the catchment’s strict nitrogen limit. More>>

Health And Safety: Bill Now Sees Rules Relaxed For Small Businesses

Health and safety law reform sparked by the Pike River coalmine disaster has been reported back from the industrial relations select committee with weakened requirements on small businesses to appoint health and safety representatives and committees. More>>

ALSO:

Bearing Fruit: Annual Fruit Exports Hit $2 Billion For First Time

The value of fruit exported rose 20 percent (up $330 million) for the June 2015 year when compared with the year ended June 2014. Both higher prices and a greater quantity of exports (up 9.0 percent) contributed to the overall rise. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Sci-Tech
Search Scoop  
 
 
Powered by Vodafone
NZ independent news