Revenue from the solar plant is computed by multiplying the units generated by the plant over a year with the tariff applicable in the location of the plant. The units generated for a year can be found out as below
Annual Generation (kWh) = CUF x Capacity (kW) x 24 x 365
CUF can be ascertained by […]
Solar is like Any Other Business for Investors
On the surface, the world of solar might be perceived as a very different business, as a business that is about to save the world and the environment through reducing carbon emissions etc., but to investors, solar power projects are like any other business investment – they evaluate […]
What is a Power Purchase Agreement?
A power purchase agreement is a private sector incentive mechanism provided by the installer or developer to the customers for the installation of a renewable energy generation system.
How Does It Work?
You want to set up a solar installation over your rooftop but you don’t want to pay the upfront sticker […]
Although solar energy is getting extremely popular around the world, financing a solar rooftop installation is an expensive endeavour. Homeowners are often stuck in a situation where they want to set up a rooftop solar plant but don’t have the financial means to invest in it. To facilitate owners with the provision of producing electricity […]
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Internal Rate of Return
Before going into Internal Rate of Return of a utility scale solar power plant, we need to understand the concept of Net Present Value (NPV). NPV negates the problem of having to compare cash flows in different time periods. The value of a rupee now wouldn’t be the same five […]
Sun’s energy is free but setting up a MW Solar plant is capital-intensive. Financing options is one of the biggest hurdles faced by MW solar plant investors. It is critical to select a solar financing option that suits your company. The usual cost of setting up a plant comes to around 6 Crores/MW. 30% of […]
