Payback Period Calculation

  • asaraf
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09 May 2013 13:06 #1601 by asaraf
Payback Period Calculation was created by asaraf
Hi,

The Payback Period (and also the NPV) calculation feature seems to work fine if I enter utility rates that are tiered, but I'm having trouble calculating the payback period when I turn on Net Metering--it results in "#INF." for payback period values for any case that I run. I've tried switching to a TOU utility rate structure, but that's not helping either.

Could you please advise on if I'm doing anything wrong here? Or are there limitations to the Payback Period (or the NPV) calculation?

Thank you!

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  • Paul Gilman
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10 May 2013 15:21 #1602 by Paul Gilman
Replied by Paul Gilman on topic Payback Period Calculation
Hello,

The value "#INF" for the payback period usually indicates that the payback period is greater than the analysis period. It looks like for the system you are modeling, switching from tiered rates to net metering lengthens the payback period.

Best regards,
Paul.

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