Project Details

DETAILED FINANCIAL ANALYSIS AND SPECIFICATIONS FOR RENEWABLE ENERGY PROJECTS

Wind Energy Example – Kouvola Wind Farm (6 MW)

Financial Summary

  • Total Investment7 550 000
  • Annual Revenue919 800
  • Annual Operating Costs−196 000
  • Annual Net Income723 800
  • Payback Period10.4 years
  • ROI9.6 %

Annual Operating Costs

  • Annual Land Lease0
  • Maintenance and Repair−150 000
  • Administration & Accounting−4 000
  • Insurance−20 000
  • Property Taxes−16 000
  • Decommissioning Fund−6 000
  • Total Annual Operating Costs−196 000

Technical & Revenue Information

  • Rated Capacity (MW)6
  • Hours per Year (h)8760
  • Capacity Factor (%)35 %
  • Annual Production (MWh)18396
  • Electricity Price (€/MWh)50 €
  • Annual Revenue (€)919 800 €

Construction Costs

  • Land Lease Agreement (signing fee)0
  • Planning & Assessments5 000
  • Construction Permits & Official Fees5 000
  • Wind Measurement & Analysis10 000
  • Earthworks & Excavation20 000
  • Foundation Concrete & Reinforcement130 000
  • Road Construction0
  • Site Electrical Cabling70 000
  • Turbine Equipment (2 × 3 MW)6 000 000
  • Turbine Transportation200 000
  • Turbine Installation150 000
  • Commissioning & Testing50 000
  • Grid Connection800 000
  • Grid Connection Fees20 000
  • Project Management15 000
  • Contingency Costs (1%)75 000
  • Total Investment Cost7 550 000

Solar Energy Project – Atlántico Solar Farm (20 MW)

Financial Summary

  • Total Investment$14,800,000
  • Annual Revenue$4,160,000
  • Annual Operating Costs$-592,000
  • Annual Net Income$3,568,000
  • Payback Period4.1 years
  • ROI24.1 %

Annual Operating Costs

  • Annual Land Lease$80,000
  • Maintenance and Repair$370,000
  • Administration & Accounting$25,000
  • Insurance$52,000
  • Property Taxes$45,000
  • Cleaning & Security$20,000
  • Total Annual Operating Costs$592,000

Technical & Revenue Information

  • Rated Capacity (MW)20
  • Hours per Year (h)8760
  • Capacity Factor (%)24 %
  • Annual Production (MWh)42048
  • Solar Irradiation (kWh/m²/year)2100
  • Electricity Price ($/MWh)$99
  • Annual Revenue ($)$4,160,000

Construction Costs

  • Land Lease Agreement (signing fee)$150,000
  • Environmental & Technical Studies$125,000
  • Construction Permits & Official Fees$75,000
  • Solar Resource Assessment$35,000
  • Site Preparation & Civil Works$620,000
  • Foundation & Mounting Structures$1,100,000
  • Access Roads & Infrastructure$280,000
  • DC Electrical Installation$450,000
  • Solar Panel Equipment (80 000 panels)$7,200,000
  • Inverters & Power Electronics$1,400,000
  • AC Electrical & Substation$520,000
  • SCADA & Monitoring System$95,000
  • Grid Connection & Transmission$1,500,000
  • Grid Connection Fees$250,000
  • Project Management & Engineering$380,000
  • Testing & Commissioning$75,000
  • Contingency Costs (2.4%)$345,000
  • Total Investment Cost$14,800,000

Project Specifications

  • LocationAtlántico Department, Colombia
  • TechnologyCrystalline Silicon PV
  • Panel Efficiency22%
  • Inverter Efficiency98.5%
  • System Losses15%
  • Project Lifetime25 years
  • Degradation Rate0.5% per year
  • Peak Sun Hours5.8 hours/day

Economic Assumptions

  • CurrencyUSD (Colombian Peso rate: 4300 COP/USD)
  • Inflation Rate7.5%
  • Discount Rate12%
  • Tax Rate35%
  • Depreciation20 years straight-line
  • Grid Electricity Price Escalation3% per year

Key Performance Indicators

  • LCOE (Levelized Cost of Energy)$0.032/kWh
  • NPV (Net Present Value)$12 800 000 USD
  • IRR (Internal Rate of Return)25.4%
  • Energy Yield2102 kWh/kWp/year
  • CO₂ Emissions Avoided18 000 tons/year