Whenever you invest in a new source of energy, one of the most critical things you look out for is the returns you get. Energy inevitably involves finances and any savings you make on it are as good as earnings. A cursory look at our history tells us that the costs of energy never go down and on the contrary are always on the ascendant. The fact that your finances are intricately tied to your energy needs makes it all the more important to make the right decisions when it comes to choosing the source of your energy.
When it comes to solar power, you can actually calculate these returns to great levels of precision. In fact, these returns are actually so healthy that they can even exceed the interest yielded by your bank deposits. In this blog, we take you through a full-fledged calculation to prove how solar power returns are even better than your bank investment.
Let’s do some simple math!
In India, the average rate of return on a fixed deposit across banks these days is 6%. The figure is obviously subject to changes in government policies from time to time, depending upon a number of macroeconomic factors. However, if you were to deposit an amount of Rs. 100,000 in a fixed deposit today, you would receive somewhere around Rs. 511 per month summing up to Rs. 6136 per year.
Now if you invest the same Rs. 100,000 in a solar plant, it will produce electricity of around 8 units per day at a place with adequate sunlight. The prevalent rate of electricity in India is Rs. 6 per unit (this is a very modest estimation as the rates are always growing by the day). This means you produce electricity worth Rs. 48 (8×6) per day and Rs. 1440 (48×30) per month. The total worth of electricity you will produce in a full year would be Rs. 17,520 (48×365). Solar power returns, therefore, are almost thrice the amount you will be receiving as interest on a fixed deposit of the exact same amount!
Solar means independence
Energy dependence is a major issue in our society and even politics today. Energy is basically the very lifeblood of our modern economy. With growing research & development in the field of solar power, we could have a unique opportunity to rid ourselves of our dependence on fossils and other conventional sources of energy. Solar being a perpetual source of energy, especially in a tropical country like India, energy independence won’t be such a far-fetched dream after all, if we are able to make the most of this abundant source. This also entails a lot of benefits for not just human societies but also the environment at large. Quite clearly, solar power is on many levels the fuel for the future!
For further information on solar payback or solar O&M, feel free to call us at 022 43436655 or email us at marketing@vemc.co.in. VEMC is one of the top solar companies in Mumbai. It is an ISO 9001:2015 certified company with a rich industry experience of 72 years.