1 MW Industrial solar power plant @0,16€
In the first half of 2019 alone, the increase in capacity in Ukraine for generating electricity from renewable energy sources reached 1,550 MW. This is twice as much as the total for the previous year. Investments in domestic alternative energy for the last six months amounted to 1.3 billion euros, according to the Honor and Efficiency Agency. Among all branches of green energy, solar energy is experiencing dynamic development, with the total capacity of installed photovoltaic facilities reaching 2,640 MW.
ADVANTAGES OF A SOLAR POWER PLANT AS A BUSINESS
Environmental friendliness: Solar energy is a renewable and free natural resource. Photovoltaic systems operate silently, unlike wind generators. They do not disturb the ecosystem or harm humans.
Possibility of combination with farming: Solar panels are typically installed on unsuitable agricultural land. However, there are also agrovoltaic farms where stations located on fertile lands help increase productivity.
Savings on own consumption: Installing solar panels for profitable industrial enterprises allows the station to meet their domestic electricity needs. Surplus generation can be sold to the grid, compensating for losses from purchasing electricity during darker hours of the day.
High potential income: The return on investment is 16-18% per annum, which is higher than income from renting out an apartment or interest on a deposit. The minimum power level at which constructing a solar power plant is profitable is 1 MW.
Low operating costs: Solar panels generate energy and income without requiring personnel, eliminating the need for a large staff. The facility does not require expensive and complex maintenance.
Long-term income: High-quality photovoltaic modules and inverters last for at least 25 years. Throughout the entire operating period, the installation's power decreases by no more than 20%.
Quick payback: The terms of investment return depend on the level of insolation in the region, panel placement, correct installation, and equipment efficiency. With reasonable grid connection costs and ideal operating conditions, a 1 MW plant pays for itself in 3.8-4 years.
Profitable "green tariff": In Ukraine, there are special financial conditions where the state commits to purchasing solar-generated electricity from the population and enterprises at an elevated price. For rooftop solar power plants operational by the end of 2019, the tariff is 16 euro cents per kWh, while ground-based plants receive 15 cents. Payments are made in hryvnias at the weighted average exchange rate. The green tariff is legally fixed until 2030.
Note: Starting from January 1, 2020, "green" auctions will be held in Ukraine. These auctions will involve owners of renewable energy installations competing with each other for state support by offering the lowest price for electricity. This system does not apply to facilities with a capacity of 1 MW or less. Payments for such installations will continue to be calculated based on the "green" tariff, as before.
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