Solar Power Stations are high-capacity systems with more than 100kW. One megawatt (1MW) of solar power can be used to run a commercial business independently. This solar utility farm can be set up on 4 to 5 acres, generating approximately 4,000 kWh of daily electricity. The net metering system allows extra power sold to government utility companies.
A 1MW Solar Power Plant in operation
All residential and commercial solar photovoltaic panels work the same way, regardless of how much or what type of 1MW solar power plants cost. They capture sunlight to produce clean solar electricity. Multiple strings of solar cells made up of silicon alloys are found on the panel’s surface. These solar cells lose their electrons. This happens due to a change in their electrical field caused by sunlight photons. The drifting elections generate a direct current. This is known as the “Photovoltaic Effect.”
The energy is converted to AC electricity by passing through a series of wires to an inverter. Correct wiring, angle, orientation, and strategic placement of solar panels require careful consideration. Maximizing sunlight exposure and ensuring maximum output during peak hours is essential.
1 Megawatt Solar Power Plant Cost & Specifications
A 1MW solar power plant costs an average of Rs 4 and 5 crores in India. Many factors influence the initial investment in solar power. A solar panel is a critical component of a solar power station. It comes in many forms. Most solar energy frameworks use crystalline solar panels (monocrystalline or polycrystalline).
Monocrystalline versions have a higher efficiency rating, increasing the cost of your Indian solar power plant. There are also many other factors that a customer must consider when deciding on the best solar plant for their business.
There are many types of 1MW solar power plants.
Three types of solar plants all work on the same principle, the ‘Photovoltaic Effect. Each type of solar frame requires a different combination, determining the cost of your 1MW Indian solar power plant. The best system for you will depend on your location, energy needs, and space availability.
- 50kW on-grid solar system (regulated by the net metering scheme)
- Off-grid 50kW solar panel (suitable for remote areas)
- Hybrid 50kW Solar System (connects to the grid and includes solar batteries).
1MW Specifications
Your 1MW solar plant will be the most affordable in an on-grid system. Because you only need solar inverters and solar panels to put together an on-grid solar plant, this is possible. Your 1MW solar power station is on-grid. It connects to the grid and is regulated by the net metering system.
Solar panels can sell unused solar power units to utility companies and receive solar credits through net metering. This is a passive income source for your 1MW solar power plants. You can withdraw grid power if your solar panel’s generation capacity exceeds the required standard.
1MW Offgrid Solar Power Plant Specifications
An off-grid framework functions like an independent solar power plant. It provides free electricity for your business and stores excess energy for later. In addition to the solar panel and inverter, a solar battery bank is needed to capture any unused power units on your site and create an energy reserve for your business.
Although the price of 1MW solar power plants will increase due to the inclusion of solar batteries, the benefits outweigh this cost. Your business can thrive in remote areas where grid access is difficult or impossible due to the dependence on solar batteries. You can eliminate your dependency on the government grid and reduce your electricity costs.
1MW Hybrid Solar Power Plant Specifications
Using a hybrid framework is the best way to find your solar potential in your area and get the most out of this green technology. This mixed solar plant is a combination of on-grid and off-grid plants. The hybrid solar plant offers net metering benefits and the reliability of the solar battery.
This 1MW solar power station can provide you with absolute energy independence and a 24-hour supply. It will ensure that your business is always powered up.
Different types of investment models
You have two options for purchasing a 1MW solar plant for your company or industry.
- CAPEX Model (One-Time Investment)
- OPEX and PPA Model
CAPEX Model (One-Time Investment)
The CAPEX (or one-time investment) model allows the consumer to choose to invest upfront. You become the owner and operator of your 1MW solar power station once you have paid the total cost to your solar energy company.
As a solar power owner, you will enjoy a free supply of clean, renewable electricity for 25+ years. This investment model best suits systems with 100kW or less for residential or commercial use.
OPEX and PPA Model
Many commercial establishments may find a 1MW Indian solar power plant too expensive. Third-party financing is an option that allows you to make the switch to solar power and obtain a large-capacity plant. This model will enable you only to pay the operating costs of your solar power plants and reap their benefits.
A solar energy company installs your solar plant for a Power Purchase Agreement of 10-25 years at no cost. You will pay a monthly per-unit fee for your solar plant after installation. This rate is lower than the grid tariff. PPA rates are determined by the length of your PPA, the location, and your credit rating. A PPA agreement lets you buy electricity from another supplier at a lower rate.
You can take a bank loan to finance your Indian 1MW solar power station instead of signing a PPA contract. Using this financing option, you don’t lose any of the solar ownership benefits.
Earn Income from 1MW Solar Power Plant.
Your 1MW solar power station’s Income can be affected by many factors. These factors include the annual power consumption of solar panels and the daily energy output. The government also offers prices and purchase policies. The average payback period is 6-8 years. This is the Income or returns from the solar investment.