Why Solar (Benefits of Solar Energy)

Energy is a constantly depleting inadequate resource, the cost of which is ever-increasing. It becomes essential for commercial setups and individuals to switch to a source of energy that can be harnessed without the source getting depleted, or in other words, it can be used endlessly without having an incremental impact on the overhead costs. Opting for solar as a renewable energy source can fulfil the aforementioned requirements.

Benefits of Having a Solar Plant

Save Tax: Accelerated depreciation benefit of 80% is allowed in 1st Year on investments in solar power projects.

Avail Subsidy: MNRE provides 30% subsidy on solar power projects for captive consumption through accredited channel partners such as Horizon Energize.

Value Your Environment: Using Solar as an alternative source of energy, aids in leading a sustainable lifestyle and reducing carbon footprint. A 100KW solar plant can save approximately 10 lac ltrs. of diesel and approx. 3750 tonnes greenhouse gasses being emitted into the atmosphere.

Estimated Payback: A full return on investment is estimated within a span of 3 to 5 years depending on the existing cost of energy. Thus it generates costless electricity for the balanced life of the project.
Generation Of electricity: Setting up a 100KWp plant, generates over 400 units of electricity a day. The per unit cost of electricity being Rs. 7 that shall remain constant for next 25 years. Hence, on a daily basis Rs.2800 can be saved by investing into a solar panel.

Rise of Electricity cost generated from conventional sources is increasing: Annually, the electricity cost rises at approximately 5% and diesel at 7.5%. Along these lines, the consistently expanding expense of power and diesel joined with lack of energy source for industry makes it a convincing recommendation for industry to change to a practical choice like solar energy.

RESULTANT: Setting up a solar plant benefits a commercial set up with the following:

  • Tax saving
  • Fixed cost of clean energy for 25 years
  • Lowering the dependency on grid connected source of energy
  • Insurance against ever increasing source of energy
  • Fixed overhead cost leading to low operating cost.

Reviewing the sort of advantages that solar based energy has in a long haul perspective, it becomes vitally essential for business set-ups and people to consider solar power as a significant venture choice that could reap long term rewards.

The demand for energy is exponentially increasing in itself and the pace of generation of the equivalent cannot meet with the rising requirement. It winds up vital for business set ups and individual to change to a much reasonable source of energy that does not exhaust and the expense of which stays consistent throughout the years.

Forthright expense of setting up sun based plant being upheld by government, one can set aside up to half of the underlying expense and fix the expense of energy for next 25 years.

BUSINESS MODELS WE OFFER

CAPEX MODEL

(CAPITAL EXPENDITURE)

This is the most common business model for solar deployment in India. In this model the consumer purchases the solar system, by making 100% of the payment upfront or financing the system, often through a bank.

OPEX MODEL

POWER PURCHASE AGREEMENT
(UNDER NET METERING)

Here the RESCO developer invests in solar rooftop asset, and sells the generated power to the building owner in favour of a lower solar power tariff. The excess power could be sold by the building owner to the utility through net metering system.

Solar PV Systems: Overview of the Main Components

The conversion of solar radiation to utilisable electrical energy is a complex process with several technicalities of expertise level. Photovoltaic modules are the core of the system, but they are only one of the components necessary to carry out the energy conversion process - by themselves, they are incapable of producing a safe, usable and reliable electric output.

PHOTOVOLTAIC ARRAY

This is the core of the system, composed of several solar modules which are in turn composed of solar cells. Each solar cell is an individual energy conversion unit, which produces a DC voltage whenever it receives light. It is important to note that photovoltaic modules generate voltage in response to any light source, not only sunlight. By connecting the modules in one or more series circuits, their DC voltage output can be aggregated into a single electric supply.

Crystalline silicon PV modules compose the majority of the photovoltaic market. There are also emerging alternatives such as thin-film Cadmium Telluride modules, but they account for only a small percentage of the market. Regardless of the technology, the working principle is the same: using a material that is capable of providing a voltage output in response to incident light.

BATTERY BANK

Solar PV systems occasionally produce energy at times when it isn't needed, for example if a home is empty at the moment of production. If this happens, the surplus can be either sold to the electric utility or stored in batteries. There are two main reasons for deciding to use battery storage:

  • Maximizing savings - If the production surplus is sold to the electric utility, the rate paid is normally below the kWh price charged for consumption. Some PV system owners may prefer to store the surplus in order to use it when needed, and save the full price of each kilowatt-hour instead of selling them at a reduced rate.
  • Backup power - A battery bank can store energy for electric service interruptions.

Batteries tend to raise the cost of a PV system considerably. This means that savings are only feasible if there is a drastic energy price increase during peak demand hours. Otherwise, batteries actually make solar power more expensive.

POWER CONDITIONING UNIT

This part of the system has three main functions:

  • Providing protection against electric faults such as short circuits or line-to-ground faults. This is typically accomplished with thermal-magnetic circuit breakers, which are available for direct current, alternating current, or both.
  • Combining the DC supply that is provided by PV modules and converting it into an AC supply, which can be synchronized with the electric utility or used to power home appliances. The conversion from DC to AC is carried out with an inverter.
  • Controlling energy input and output for the battery bank, by means of a charge controller. If the system doesn't use batteries, this element is omitted.

DC AND AC DISCONNECT

For safety reasons, electric systems must be equipped with a manual disconnection device. This is normally used to protect technical personnel from electric shock during system maintenance. In addition, a manual disconnection switch allows any user to interrupt the circuit if there is an emergency.

MAIN PANEL (AC)

This is where all electric loads in the building are connected, and protected with circuit breakers. Once the output from the PV system has been converted to AC power of the adequate frequency, it can be connected to the main panel to provide energy along with the electric utility.

ELECTRIC METER

When PV systems are implemented, the electric meter must be upgraded to a model with net metering capabilities. That is, the meter must be able to measure the energy flow and its direction. This allows the exported kWh to be subtracted from the consumed kWh when the homeowner is billed by the electric utility company.