Research Article
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Year 2016, Volume: 5 Issue: 4, 376 - 388, 30.12.2016
https://doi.org/10.17261/Pressacademia.2017.360

Abstract

References

  • Al-Odeh, M. 2013, “Feasibility Study of Residential Grid-Connected Solar”, Terre Haute, IN: Indiana State.
  • Al-Odeh, M., Stergioulas, T., & Badar, M. A. 2012, "Economic Analysis For Two-Axis Photovoltaic Tracking System For Indiana State University Building", NED University Journal of Research, vol. IX, no. 1, pp. 15-21.
  • Americas Power. 2012, "Energy Cost Impacts on American Families,2001-2012", Washington, DC: Americas Power.
  • Branker, K., Pathak, M. J. M., & Pearce, J. M. 2011, "A review of solar photovoltaic levelized cost of electricity", Renewable and Sustainable Energy Reviews, vol. 15, no. 9, 4470-4482.
  • Dasgupta, P., & Stiglitz, J. E. 1974, "Benefit-cost analysis and trade policies", The Journal of Political Economy, vol. 82, pp. 1-33.
  • De Reyck, B., Degraeve, Z., & Vandenborre, R. 2008, "Project options valuation with net present value and decision tree analysis", European Journal of Operational Research, vol. 184, no. 1, 341-355.
  • Diamond, D. 2009, "The impact of government incentives for hybrid-electric vehicles: Evidence from US states", Energy Policy, vol. 37, no. 3, pp. 972-983.
  • Dobos, A. P. 2014, "PV Watts version 5 manual", National Renewable Energy Laboratory, September.
  • Edison Electric Institute. 2006, "Rising Electricity Costs: A Challenge For Consumers, Regulators, and Utilities", Washington DC: Edison Electric Institute.
  • El–Bassiouny, D., & Mohamed, E. K. A. 2012, "Solar energy cost efficiency: a simulated case study in the Egyptian context", International Journal of Economics and Accounting, vol. 3, no. 3-4, 322-343.
  • Electric Consumer 2011, "Member Installs First Solar System on REMC Lines", Indiana: Indiana Statewide Association of Rural Electric Cooperatives, Inc.
  • Energysage 2016, "What to Know About a Solar Panel Warranty", Retrieved from Energysage: http://news.energysage.com/shopping-solarpanels-pay-attention-to-solar-panels-warranty/
  • Energy Efficiency & Renewable Energy 2008, "Solar Technologies Market Report" , Washington, DC: U.S. Department of Energy.
  • Energy Efficiency and Renewable Energy Clearinghouse 2012, "Energy Use of Some Typical Home Appliances", Merrifield, VA: Energy Efficiency and Renewable Energy Clearinghouse.
  • Ibrahimov, M. 2013, "Sustainable Energy Generation: What are the Perspectives", International Proceedings of Economics Development and Research, vol 59, no. 31, pp. 149-153.
  • IN.gov. 2013, "Demand Side Management Programs". Retrieved from Indiana Government website: http://www.in.gov/iurc/2571.htm
  • IN.gov. 2012, "Department of Local Government Finance". Retrieved from Indiana State: http://www.in.gov/dlgf/2337.htm
  • IN.gov. 2012, "OED: Overview", Retrieved from State of Indiana : http://www.in.gov/oed/2385.htm
  • Indiana Department of Revenue 2012, "Interest Rate for Calendar Year 2013". Indianapolis: Indiana Department of Revenue.
  • Indiana Utility Regulatory Commission 2012, "2011 Net Metering Required Reporting Summary". Retrieved from Indiana: http://www.in.gov/iurc/files/2011_Net_Metering_Reporting_Summary.pdf
  • Indiana Utility Regulatory Commission 2012, "The Impacts of Federal Environmental Regulations on Indiana Electricity Prices", Indianapolis, Indiana: Indiana Utility Regulatory Commission.
  • Jha, A. R. 2010, "Solar Cell Technology and Applications", Boca Raton, FL: Auerbach Publications.
  • Khan, M. J., & Iqbal, M. T. 2005, "Pre-feasibility study of stand-alone hybrid energy systems for applications in Newfoundland", Renewable energy, vol. 30, no. 6, pp. 835-854.
  • Kim, Y. H., Philippatos, G. C., & Chung, K. H. 1986, "Evaluating investment in inventory policy: A net present value framework", The
  • Engineering Economist, vol. 31, no. 2, pp. 119-136.
  • Lagorse, J., Paire, D., & Miraoui, A. 2009, "Sizing optimization of a stand-alone street lighting system powered by a hybrid system using fuel cell, PV and battery", Renewable Energy, vol. 34, no. 3, pp. 683-691
  • Nemet, G. F. 2009, "Demand-pull, technology-push, and government-led incentives for non-incremental technical change", Research Policy, vol. 38, no. 5, pp. 700-709.
  • Newnan, D., Eschenbach, T., & Lavelle, J. 2011, "Engineering Economic Analysis", USA: Oxford University Press.
  • Purdue University. 2008, "Indiana electricity rates", Retrieved from Purdue University: https://news.uns.purdue.edu/x/2008a/080102GothamElectricity.html
  • Rosen, M. A., & Dincer, I. 2003, "Exergy cost energy mass analysis of thermal systems and processes", Energy Conversion and Management, vol. 44, no. 10, pp. 1633-1651.
  • Safaei, A., Freire, F., & Antunes, C. H. 2013, "A model for optimal energy planning of a commercial building integrating solar and cogeneration systems", Energy, vol. 61, November, pp. 211-223.
  • Solangi, K. H., Islam, M. R., Saidur, R., Rahim, N. A., & Fayaz, H. 2011, "A review on global solar energy policy", Renewable and sustainable energy reviews, vol. 15, no. 4, pp. 2149-2163.
  • Tsoutsos, T., Frantzeskaki, N., & Gekas, V. 2005, "Environmental impacts from the solar energy technologies", Energy Policy, vol. 33, no. 3, pp. 289-296.
  • Turney, D., & Fthenakis, V. 2011, "Environmental impacts from the installation and operation of large-scale solar power plants", Renewable and Sustainable Energy Reviews, vol. 15 no. 6, pp. 3261-3270.
  • U.S. Department of Energy. 2012, "Photovoltaic Degradation Rates — An Analytical Review, DC: Office of Energy Efficiency & Renewable Energy.
  • U.S. Energy Information Administration. 2012, "Average Price by State by Provider", USA: U.S. Energy Information Administration.
  • Wiser, R., Bolinger, M., & Barbose, G. 2007, "Using the federal production tax credit to build a durable market for wind power in the United States", The Electricity Journal, vol. 20, no. 9, pp. 77-88.

THE VIABILITY OF RESIDENTIAL GRID-CONNECTED SOLAR PHOTOVOLTAIC SYSTEMS IN THE STATE OF INDIANA

Year 2016, Volume: 5 Issue: 4, 376 - 388, 30.12.2016
https://doi.org/10.17261/Pressacademia.2017.360

Abstract

While the use of green energy has gained popular
support and efforts have been made to market it, few studies have investigated
the economic advantages and the savings that could be gained by implementing
green solutions for energy challenges. This study aims to measure the financial
viability of installing and using a residential grid-connected photovoltaic
(PV) system in the State of Indiana while predicting its performance in
eighteen geographical locations within the state over the system’s expected
lifetime. A systematic approach of six steps was used to collect and analyze
the data. The analysis has been condcutded using engineering economic methods
including payback period, net present value (NPV) and internal rate of return
(IRR). It has been found that installing a PV system for a single family
residence in the State of Indiana will not pay for itself within 25 years
assuming the average cost of a system. The government incentive programs are
not enough to offset the cost of installing the system against the cost of the
electricity that would not be purchased from the utility company.

References

  • Al-Odeh, M. 2013, “Feasibility Study of Residential Grid-Connected Solar”, Terre Haute, IN: Indiana State.
  • Al-Odeh, M., Stergioulas, T., & Badar, M. A. 2012, "Economic Analysis For Two-Axis Photovoltaic Tracking System For Indiana State University Building", NED University Journal of Research, vol. IX, no. 1, pp. 15-21.
  • Americas Power. 2012, "Energy Cost Impacts on American Families,2001-2012", Washington, DC: Americas Power.
  • Branker, K., Pathak, M. J. M., & Pearce, J. M. 2011, "A review of solar photovoltaic levelized cost of electricity", Renewable and Sustainable Energy Reviews, vol. 15, no. 9, 4470-4482.
  • Dasgupta, P., & Stiglitz, J. E. 1974, "Benefit-cost analysis and trade policies", The Journal of Political Economy, vol. 82, pp. 1-33.
  • De Reyck, B., Degraeve, Z., & Vandenborre, R. 2008, "Project options valuation with net present value and decision tree analysis", European Journal of Operational Research, vol. 184, no. 1, 341-355.
  • Diamond, D. 2009, "The impact of government incentives for hybrid-electric vehicles: Evidence from US states", Energy Policy, vol. 37, no. 3, pp. 972-983.
  • Dobos, A. P. 2014, "PV Watts version 5 manual", National Renewable Energy Laboratory, September.
  • Edison Electric Institute. 2006, "Rising Electricity Costs: A Challenge For Consumers, Regulators, and Utilities", Washington DC: Edison Electric Institute.
  • El–Bassiouny, D., & Mohamed, E. K. A. 2012, "Solar energy cost efficiency: a simulated case study in the Egyptian context", International Journal of Economics and Accounting, vol. 3, no. 3-4, 322-343.
  • Electric Consumer 2011, "Member Installs First Solar System on REMC Lines", Indiana: Indiana Statewide Association of Rural Electric Cooperatives, Inc.
  • Energysage 2016, "What to Know About a Solar Panel Warranty", Retrieved from Energysage: http://news.energysage.com/shopping-solarpanels-pay-attention-to-solar-panels-warranty/
  • Energy Efficiency & Renewable Energy 2008, "Solar Technologies Market Report" , Washington, DC: U.S. Department of Energy.
  • Energy Efficiency and Renewable Energy Clearinghouse 2012, "Energy Use of Some Typical Home Appliances", Merrifield, VA: Energy Efficiency and Renewable Energy Clearinghouse.
  • Ibrahimov, M. 2013, "Sustainable Energy Generation: What are the Perspectives", International Proceedings of Economics Development and Research, vol 59, no. 31, pp. 149-153.
  • IN.gov. 2013, "Demand Side Management Programs". Retrieved from Indiana Government website: http://www.in.gov/iurc/2571.htm
  • IN.gov. 2012, "Department of Local Government Finance". Retrieved from Indiana State: http://www.in.gov/dlgf/2337.htm
  • IN.gov. 2012, "OED: Overview", Retrieved from State of Indiana : http://www.in.gov/oed/2385.htm
  • Indiana Department of Revenue 2012, "Interest Rate for Calendar Year 2013". Indianapolis: Indiana Department of Revenue.
  • Indiana Utility Regulatory Commission 2012, "2011 Net Metering Required Reporting Summary". Retrieved from Indiana: http://www.in.gov/iurc/files/2011_Net_Metering_Reporting_Summary.pdf
  • Indiana Utility Regulatory Commission 2012, "The Impacts of Federal Environmental Regulations on Indiana Electricity Prices", Indianapolis, Indiana: Indiana Utility Regulatory Commission.
  • Jha, A. R. 2010, "Solar Cell Technology and Applications", Boca Raton, FL: Auerbach Publications.
  • Khan, M. J., & Iqbal, M. T. 2005, "Pre-feasibility study of stand-alone hybrid energy systems for applications in Newfoundland", Renewable energy, vol. 30, no. 6, pp. 835-854.
  • Kim, Y. H., Philippatos, G. C., & Chung, K. H. 1986, "Evaluating investment in inventory policy: A net present value framework", The
  • Engineering Economist, vol. 31, no. 2, pp. 119-136.
  • Lagorse, J., Paire, D., & Miraoui, A. 2009, "Sizing optimization of a stand-alone street lighting system powered by a hybrid system using fuel cell, PV and battery", Renewable Energy, vol. 34, no. 3, pp. 683-691
  • Nemet, G. F. 2009, "Demand-pull, technology-push, and government-led incentives for non-incremental technical change", Research Policy, vol. 38, no. 5, pp. 700-709.
  • Newnan, D., Eschenbach, T., & Lavelle, J. 2011, "Engineering Economic Analysis", USA: Oxford University Press.
  • Purdue University. 2008, "Indiana electricity rates", Retrieved from Purdue University: https://news.uns.purdue.edu/x/2008a/080102GothamElectricity.html
  • Rosen, M. A., & Dincer, I. 2003, "Exergy cost energy mass analysis of thermal systems and processes", Energy Conversion and Management, vol. 44, no. 10, pp. 1633-1651.
  • Safaei, A., Freire, F., & Antunes, C. H. 2013, "A model for optimal energy planning of a commercial building integrating solar and cogeneration systems", Energy, vol. 61, November, pp. 211-223.
  • Solangi, K. H., Islam, M. R., Saidur, R., Rahim, N. A., & Fayaz, H. 2011, "A review on global solar energy policy", Renewable and sustainable energy reviews, vol. 15, no. 4, pp. 2149-2163.
  • Tsoutsos, T., Frantzeskaki, N., & Gekas, V. 2005, "Environmental impacts from the solar energy technologies", Energy Policy, vol. 33, no. 3, pp. 289-296.
  • Turney, D., & Fthenakis, V. 2011, "Environmental impacts from the installation and operation of large-scale solar power plants", Renewable and Sustainable Energy Reviews, vol. 15 no. 6, pp. 3261-3270.
  • U.S. Department of Energy. 2012, "Photovoltaic Degradation Rates — An Analytical Review, DC: Office of Energy Efficiency & Renewable Energy.
  • U.S. Energy Information Administration. 2012, "Average Price by State by Provider", USA: U.S. Energy Information Administration.
  • Wiser, R., Bolinger, M., & Barbose, G. 2007, "Using the federal production tax credit to build a durable market for wind power in the United States", The Electricity Journal, vol. 20, no. 9, pp. 77-88.
There are 37 citations in total.

Details

Journal Section Articles
Authors

Mahmoud Al-odeh This is me

Marion Schafer This is me

M. Affan Badar This is me

Randy Peters This is me

Publication Date December 30, 2016
Published in Issue Year 2016 Volume: 5 Issue: 4

Cite

APA Al-odeh, M., Schafer, M., Badar, M. A., Peters, R. (2016). THE VIABILITY OF RESIDENTIAL GRID-CONNECTED SOLAR PHOTOVOLTAIC SYSTEMS IN THE STATE OF INDIANA. Journal of Business Economics and Finance, 5(4), 376-388. https://doi.org/10.17261/Pressacademia.2017.360

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