Inflation double counting?

Hello,

I'm having trouble understanding how SAM incorporates inflation into energy values in the out years. When I look at demand and energy charges by year, it appears that the rate of increase is just over twice that of the inflation rate I enter. For example, if I enter an inflation rate of 2.5% (and rate and load escalators of 0%), energy and demand charges increase by roughly 5.1%/year. Any insights into what's going on here?

I'm using the photovoltaic PV Watts-based model for a commercial system.

Thank you,
Ryan Cook

Dear Ryan,
Thank you for describing this issue. SAM erroneously applies the inflation rate to the load so that even when the load escalation rate (that you specify on the Electric Load page) is zero, the load increases from year to year by the inflation rate. To work around this issue, subtract the inflation rate from the load escalation rate. (SAM allows negative escalation rates.)
We've noted the issue under "Known Issues" on the Download page, and described it and the workaround solution in the discussion Calculation error: Cash flows energy value inflation .
This issue has been fixed in SAM 2014.9.30 Beta.
Best regards,

Paul.

Got it, thanks for the speedy response!