CBA OF OPERATING PHOTOVOLTAIC SYSTEM IN PITTSBURGH Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Abstract •Objective and Motivation •Introduction •Description of the Model •Results •Conclusions and Future Plans Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Objective & Motivation •Monetary Cost •Efficiency •Availability •Feasibility •Environmental Impacts •CMU Solar House 2002 Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Renewable Energy Data from the U.S. •Renewable energy 8% out of total energy •Solar Energy 1% Reference: Web Site: http://www.eia.doe.gov/emeu/ Main Products of the Office of Energy Markets and End Use: Annual energy review: renewable energy section 10.5 Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 CMU Solar House 2002 Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 BP (conventional) PV System 120V Combiner Boxes Charge Controller Batteries DC AC INV Switch PV System Key components •Conventional Solar panels has 36 cells (photovoltaic cells) •Self regulating panels •DC-inverter-AC Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Cost Benefit Analysis Comparison PV System For a Typical House In Pittsburgh • House covered 100% by PV System • Hybrid covering the months with highest sun irradiation and House With Classical Grid-Based System Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Maximum Sun Irradiation Factor (energy) KWh/ m2 For the Northeast of the U.S. is 6 KWh/m2 Web Site: http://www.eia.doe.gov/emeu/ Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Description of Model Electricity Consumption Data Geographical Factors Yearly Consumption of Avg. Household Selection Solar Technology Characteristics of the Solar Panel (inefficiencies, Max. Capacity) [KWh/yr] Monthly & Daily Consumption in the Months of High Solar Irradiation (choice of 3 and 5) [Watts] Requirement of Energy considering the Solar Insolation Factor for the Region [Watts] Additional Factor from PV Panels (heating vs efficiency) Total No. of Panels from Total Requirement of electricity (Watts) / Net Production per panel (Total Area of Solar Irradiation) Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Factors for Cost Estimates Cost of Panels [ $ / panel] Cost of Batteries [ $ / Battery] Additional Installation Costs No. of Panels ~ 44 No. of Batteries ~ 40% of No. of Panels Approximate Cost of Panels $ 22,000 USD Total Cost of Batteries $ 8,500 USD Wiring, rack for modules, connection devices, labor work and transportation ~ $ 500 USD ~ $ 12,345 USD Total Investment Cost $ 42, 850 USD Year 2002 Additional Costs Additional Cost for Electricity from Grid $ 525 ~ $ 430 USD / yr (with no change in consumption behavior from average household in the U.S.) Compare to the $1,000 USD of yearly spending for future O&M Activities: Replacement of Batteries Bank every 4 Years Cleaning Activities of Panel Array ~ $ 80 USD / Year Replacement of the whole PV System (solar panels, connectors, wiring, batteries, etc.) every 20 years Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Case PV covers only in Months with major Sun Irradiation Two Variations: • 3 Months with highest Sun Irradiation (June, July, August) • 5 Months (May, June, July, August, September) Assumptions for Future Improvements in Technology • 20 and 40 yr period : Improved efficiency of panels, capacity of Peak Watts per panel, $ per panel and per battery decreases Purchase cost, Install. Maint. [$] cost, [$] cost, [$] 0 41,245 1,600 0 1 0 0 80 2 0 0 80 3 0 0 80 4 8,500 0 80 5 0 0 80 48 1,035 0 80 49 0 0 80 50 0 0 80 Total cost of usage of grid connected PV system Time, [year] Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin Total cost, [2002yr $] 43,479 714 714 714 9,214 714 1,750 714 714 $165,453.65 Total cost, [nom. $] 43,479 750 788 827 11,200 912 18,199 7,802 8,192 $500,905.85 CBA FINAL PROJECT 2002 Case 2 PV covers only in Months with major Sun Irradiation Solar System 1 2 3 4 40 41 42 43 44 45 46 47 48 49 50 Year Cost of Use Maintenance 2002 2003 2004 2005 2041 2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 -$42,845 $0 $0 -$8,500 -$15,866 $0 $0 $0 -$971 $0 $0 $0 -$971 $0 $0 $0 -$80 -$80 -$80 $0 -$80 -$80 -$80 -$80 -$80 -$80 -$80 -$80 -$80 -$80 Classic System Total Cost Cost of Classic System Final Total Cost Nominal Values NPV -$42,845 -$80 -$80 -$8,580 -$15,866 -$80 -$80 -$80 -$1,051 -$80 -$80 -$80 -$1,051 -$80 -$80 -$131,945 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$503 -$25,162.50 -$43,348 -$583 -$583 -$9,083 -$16,370 -$583 -$583 -$583 -$1,555 -$583 -$583 -$583 -$1,555 -$583 -$583 -$157,108 -$45,412 -$640 -$671 -$10,940 -$105,162 -$3,925 -$4,112 -$4,308 -$12,029 -$4,728 -$4,953 -$5,189 -$14,489 -$5,694 -$5,965 -$439,479 Benefit of Cost / using solar Benefit $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $454 $22,678.00 -$96 -$1 -$1 -$20 -$36 -$1 -$1 -$1 -$3 -$1 -$1 -$1 -$3 -$1 -$1 -6.9277494 Cost of KWh [$/KWh] $5.026 $0.068 $0.068 $1.053 $1.898 $0.068 $0.068 $0.068 $0.180 $0.068 $0.068 $0.068 $0.180 $0.068 $0.068 -$0.364 The actual average cost of Electricity from the Grid ~ $ 0.10 / KWh Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Conclusions and Further Estimations – I. Estimated cost of electricity produced by the grid connected PV system ~ 38¢/kWh Data from studies: 25¢/kWh – 50¢/kWh Conventional power plant: 11¢/kWh Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Conclusions and Further Estimations – II. Benefits? • Increased siting flexibility • Decreased installation lead time • Installations cause fewer disruptions • Improved aesthetics • Increased reliability • Portability • Progressive "green" image Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Conclusions and Further Estimations – III. Progressive "green" image “Low environmental impact—they are quiet and nonpolluting (no greenhouse gas emissions).” /Federal Energy Management Program/ • We can avoid the environmental impacts (e.g. GHG emission) of the estimated yearly 2,500 - 3,600 kWh electricity production • Is this significant compared to the environmental impacts of the PV system? Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Conclusions and Further Estimations –IV. How to make it feasible? • Net metering • Renewable Energy Pilot Program • 10% federal tax credit and accelerated depreciation on the PV system • Continuous technology improvement Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002 Further Information http://www.eren.doe.gov/sunlab http://www.sandia.gov/pv http://www.arc.cmu.edu/carnegie_team http://www1.sedo.energy.wa.gov.au/renewable.asp http://www.trfund.com/sdf http://www.bccf.org http://www.sustainable.energy.sa.gov.au/pages/advisory/renewables/types/sol ar/technologies http://www.solarpaces.org/resources/technologies.html http://www.solarserver.de/solarmagazin Gyorgyi Cicas ; Jose L. Aguirre; Po-Hsin Lin CBA FINAL PROJECT 2002
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