The economics of photovoltaics in the commercial, institutional and industrical sectors

Abstract

This paper describes the application of a model which computes system break-even capital costs, array break-even capital costs and profits from photovoltaic investments in the industrial, commercial and institutional sectors. Several tax and accounting combinations are described and utilized in this paper. Results indicate that, at rates of return usually found in the industrial and commercial sectors, photovoltaic investments will not be attractive when the costs of those investments are based on the Department of Energy's cost goals for 1986.