Eric,
Not everyone can get installation without any labor cost (or profit for the installer).
I will agree that Hawaii should be relatively cost competitive given electricity prices above 30 cents/kwh. CA, well that is mostly self-inflicted as to why their electric prices are so high. Although without gov't incentives, may not be as cost competitive as you indicate.
Here in Maryland, without gov't incentives (federal, state, county) and RECs (which is really a state gov't requirement on the utilities), my simple payback period (without any financing/opportunity costs factored in) would be in the vicinity of 25 years (for a 5kw, $18k rooftop system generating 5500 kwh annually with 13 cents electricity cost). I think I could obtain better return than 4% on my capital elsewhere (although I do realize it would increase my home value, so isn't exactly a fair comparison).
With incentives and RECs (say $500 annually, at least for the near term), the same system would pay back in less than 8 years. My challenge is my roof may need to be re-shingled before I'd install solar, which would increase my costs (as my roof isn't at end of lifetime currently, but likely wouldn't last as long as the solar panels). That said, I may at least get some quotes in mid to late 2015 for early 2016 install, before the 30% credit may be reduced (along with quotes for roof replacement).
KJ |
