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Is Solar Electricity attractive in Punjab in 2023?

feasibility of solar electricity in Punjab banner.

Solar Electricity is very attractive in Punjab that can save you over Rs. 14 lakhs in 25 years.

This state has progressed a lot and has become one of the richest states in India.

It is known as the land of 5 rivers, “five” (Panj) “waters” (ab). 

And

These 5 rivers are Sutlej, Ravi, Beas, Jhelum, and Chenab.

Facts and figures of Punjab

Punjab is located in the North of India.

It shares its borders with Jammu and Kashmir in the North

Himachal Pradesh in the North and the Northeast direction.

Haryana in the South and Rajasthan to the Southwest.

It also shares international borders with Pakistan to the west.

  • Capital: Chandigarh
  • Area: 50,362 sq. Km
  • Coordinates: 30.7900° N, 75.7800° E
  • Population: 28 million
  • Official language: Punjabi

Peak Sun Hours in Punjab

When I talk about solar in any place.

Sunlight intensity plays a major role in finding the attractiveness of Solar.

In solar PV technology, the solar power system consists of:

  • Solar panels
  • Charge controller
  • Batteries
  • The inverter and the wires are used to connect all these components.

It looks something like as shown below:

A basic solar power system.

A good amount of sunlight can fulfill your energy needs with fewer solar panels.

That makes solar electricity cheaper.

And a PSH value > 5 is considered very good.

Punjab receives an average daily PSH of 5.47

The average daily Peak Sun Hours in Punjab.

You can see that the months of March, April, May, and June receive sunlight intensity of more than 6 (very good PSH).

While December (4.04) and January (3.94) are the months with the lowest sunlight.

And the average of 12 months is 5.47.

It is a good value of sunlight intensity that makes solar very attractive and feasible.

Best solar panels for the climate of Punjab

Punjab has an extreme type of climate.

We see extreme hot in summer and experience extreme cold in winter.

Also, the regions lying in the foothills of the Himalayas receive frequent and heavy rainfalls.

We mainly see 3 seasons in Punjab

  • Summer
  • Monsoon
  • Winters

The post-monsoon and post-winters seasons are usually pleasant with a good amount of sunlight.

If you are looking for solar electricity.

Then the solar panels must be durable (high wind and snow load ratings), efficient, and corrosion resistant to withstand the climatic conditions of Punjab. Also, look for long warranties (product and performance warranties) for solar panels.

The average energy consumed in a household

Let us write down the electrical appliances that we usually find in a house with 6 members. (Well, this is an approximation. The actual appliances and their power ratings may vary, depending on the energy needs).

  • Fans: 5 x 80 watts (5 is the number of fans and 80 watts is the power rating of each fan. The total power becomes 400 watts)
  • LEDs: 8 x 12 watts
  • AC: 1 x 1500 watts
  • Fridge: 1 x 200 watts
  • Desert cooler: 1 x 200 watts
  • Washing Machine: 1 x 400 watts
  • Mixer and grinder: 1 x 1000 watts
  • Laptop: 1 x 80 watts
  • Mobiles: 4 x 4 watts
  • TV: 1 x 100 watts
  • Motor Pump: 1 x 1 hp

After doing this, let us write down the average usage (in hours) of each electrical appliance in a day.

(Again, the average usage may vary, depending on the consumption of the users).

Let me show you in a form of a table.

The energy consumption table.

Tabular sometimes gives monotonous look.

Let me show the chart of the above table.

(Chart gives more visual description)

Chart showing the energy consumption by the electrical appliances.

Now, our total energy consumption is 15956 w-hr

That makes it 15.956 kW-hr or nearly 16 units in a day.

In short, I need 16 units per day from solar to meet my energy needs in Punjab.

Sizing the solar panels in Punjab

No system is 100% efficient.

The solar power system suffers from various energy losses before giving you the final output.

And these losses could be:

  • Shading loss
  • Dirt loss
  • Temperature related losses
  • Conversion loss
  • Transfer loss
  • Efficiency loss
  • Age-related losses and many more.

If I manage to assess the cumulative loss in a solar power system. Then it could be near to 30% of the power produced by solar panels.

Again, this is an average, the losses can be less or more.

The 30% loss means that if I have 100 watts solar panel and it produces 500 w-hr energy in a whole day.

I’ll get 350 w-hr (70% of 500 w-hr) to run my electrical appliances.

Therefore, in order to get 500 w-hr as an output, I need to oversize my solar panels.

But by how much? It is 1/0.7 = 1.42

This multiplier is used for sizing solar panels.

The formula for sizing the solar panels is:

Solar Panel size = Multiplier x (Daily Energy Needs/PSH)

In our case, the energy needs are 15.956 kW-hr and the PSH in Punjab is 5.47.

And we know the multiplier value, is 1.42.

Putting all these values in the formula, we get the right size of the solar panels.

It is 1.42 x (15.956/5.47)

= 4.14 kW of solar panels.

I just round it to 4 kW.

I need 4 kW solar panels to meet my daily energy needs of 16 units.

The energy produced by a 4-kW solar power system in Punjab

Let us see how a 4-kW solar power system produces energy in different months of the year.

Energy produced by a 4-kW solar panels in the different months of the year.

My 4-kW solar power system is not going to produce the same energy throughout the year.

It varies in different months of the year.

Depending on the sunlight intensity in that month.

So, it is more than average in some months and less in other months.

If talk about a 4-kW solar power system in Punjab.

  • Then it produces excess energy than the average in the months of March, April, May, June, and October.
  • Near to the average (>93%) in the months of February, July, August, and September.
  • And >74% of the average in the months of November, December, and January.

Therefore, I need to manage my energy needs according to the output from the system in the different months.

And

When I talk about the energy produced by a 4-kW solar power system in its lifetime in Punjab.

It is 1,28,469 units in 25 years.

Thus, making it 428 units in a month.

Solar panels produce more units in the initial years.

Then it starts reducing due to many factors.

Units generated by a 4-kW solar panels in Punjab.

You see that in the first year, the units produced by a 4-kW solar power system in Punjab are close to 6000 units.

Thereafter, it starts reducing.

And we see that in the 25th year, the energy generation goes down between 4000 to 5000 units.

The above chart shows the average values.

Obviously, good quality solar panels will produce more units than the average in their lifetime.

Price of 4-kW solar in Punjab

The price of any system depends on the quality and effectiveness of the components used.

Although every component is very important in the system.

The main component in the solar power system is the solar panels.

A good quality solar panel will produce more power.

And it is more immune to losses than other panels in the market.

Today, we see the latest technology solar panels such as Mono-PERC technology-based panels, Half-cut solar cells panels.

These solar panels have one of the highest efficiencies and produce more power even in a limited space.

Obviously, all these features come with a price.

These panels are costlier than polycrystalline solar panels.

When I talk about a 4-kW solar power system that includes (without battery backup).

It costs you around Rs. 2,80,000.

Making it a unit cost of Rs. 70 per watt.

You can have battery backup also.

But this increases the overall cost of the system.

Read: The price of 5-kW solar in India

The Electricity Price in Punjab

My 4-kW solar power system is producing 428 units every month.

That means I am saving money on this number of units if I were getting it from the grid.

The price for the consumption of 428 units in Punjab is:

Let us find the price of 428 units.

3.49 x 100 + 5.84 x (300-101) + 7.30 x (428 – 301)

= 349 + 1162.16 + 927.1

= Rs. 2438.26

The average unit rate can be found as:

= Rs. 2438.26/428

= Rs. 5.7 per unit.

Do you think that this price will remain the same in the future?

I don’t think so.

When I take the average increase in the grid prices in India in the last 10 years.

It is growing at 8% annually.

This means a price of Rs. 5.7 per unit will cost you over Rs. 36 in the 25th year.

Escalation of grid price.

Solar Payback in Punjab

When you switch to solar, you can save near to Rs. 14 lakhs in 25 years.

With a 4-kW solar power system without battery backup.

Friends,

I have taken many parameters while evaluating this value. Let me name a few such as:

  • Grid price and its growth
  • Cost of the system its maintenance cost
  • Losses in the solar power system
  • Degradation in the solar panels and more

It has a payback period of 9.65 years.

Payback of 4-kW solar power system.

Thereafter, your solar electricity is free.

If I talk about other financial metrics.

Then their values are:

NPV: Rs. 3,25,991 (When I discount the future cash flows to the present value at a 7% rate, the net present value of the system comes out at Rs. 3,25,991>0. Thus, making solar attractive in Punjab.

The NPV of a 4-kW solar power system in Punjab.

IRR: 14.34%

The Internal rate of return of solar in Punjab.

The internal rate of return is 14.34%. I take my cost of capital as 7%. It means that if the project in which I have invested my money gives me less than 7%.

Then the project is not attractive to me.

A 4-kW solar power system in Punjab offers a 14.34% return. Thus, making it an attractive investment for the people of Punjab.

  • Cost of solar electricity: Rs. 2.78 per unit
  • Cost of grid electricity: Rs. 5.7 per unit
Solar Electricity vs. Grid Electricity in Punjab.

The cost of solar electricity is cheaper than grid electricity in Punjab.

Conclusion

Solar PV technology is very attractive in Punjab.

With benefits of near to 14 lakhs with a 4-kW solar power system in its lifetime.

In addition, you mitigate carbon emissions from the air.

The excess carbon emissions are responsible for global warming and climate change.

The consequences are may such as:

  • Melting of glaciers
  • Droughts
  • Floods
  • Migration of people, animals, and birds

Climate change is affecting the whole ecosystem of the earth.

Therefore, we must contribute to preserving nature.

And

You can do it by investing in Solar.

A 4-kW solar power system can mitigate 5.6 tonnes of carbon emissions from the air.

With the latest technology, solar panels are more efficient and more immune to heat-related losses.

A 4-kW solar power system (without battery backup) in Punjab costs you around Rs. 2,80,000.

If you are interested in going solar in Punjab then choose  

Corrosion-resistant, efficient, and strong solar panels.

About the Author

Yash has over a decade of experience in Solar PV technology and is the founder of Solar with Yash.

Check out his Youtube Channel Solar Design and Payback with Yash

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