The Economics of Solar Energy

The Economics of Solar Energy

A Better Power Option for your Remote Property

Solar power systems can be a much less expensive way to develop power on your remote property. In some cases, it can cost over $20,000 to run in public utility power lines. Some of the best recreational property available is not necessarily near public utility power. If you are considering the purchase of a remote property, solar energy can help you get the property you want without the inconvenience and expense of trying to figure out how to connect to the public utility power grid. All of a sudden, that remote island in the middle of the lake is now a possibility! Plus, you get the advantage of the sun's endless fuel supply and a peaceful, silent power source.

Daily Solar Energy Costs

So, where do solar energy costs rank on the scale of daily expenditures? It's useful to have some perspective.

Example:

Let's say you spend $4,000 to purchase a medium sized cabin system for your recreational property. Since the system has no moving parts, you'll use the system for at least ten years. You'll have some additional maintenance costs—maybe replace the batteries, upgrade your power delivery system, and so on. Let's say those maintenance costs are $2000. The total is $6000.

So, over a ten year period, you'd be spending the following $6000 / 3650 days = $1.64 per day. Of course, utility supplied power will be less expensive... About 40 to 50 cents per day. Where do these energy expenditures sit on the scale?

Automobile Insurance	$4.00 per day
Gasoline costs to keep a mini-van running	$3.50 per day
Smoke a pack of cigarettes	$3.50 per day
Daily tall latte coffee drink and muffin	$3.50 per day
Solar Energy System capital and operating costs	$1.64 per day
Utility supplied power	$0.45 per day

Surprised? In reality solar energy actually doesn't cost all that much. Think about it the next time you sit down and have a coffee. Do you drive the cheapest car? Why?

You also create the following benefits with solar power, which are extremely valuable:

- Reduce global warming
- Reduce acid rain
- Reduce the costs associated with the storage of radioactive waste

Cost estimates for each of these three consequences are in the billions of dollars!