Solar Energy vs. Electricity – Which Saves More in the Long Run?

Going solar is not just great for the environment. It’s also great at helping you save money in various ways. The most obvious way to save money is by reducing your electricity bill from your local utility company.

There are different ways you can save money with Solar Energy

1. By investing in low-energy appliances.
2. By Getting Solar panels.

Save Money by Installing Solar Panels

According to the Nigerian Electricity Regulatory Commission ( NERC ), The average energy Consumption per residential customer in Nigeria was reported to be around 50-70 kWh per month in 2019.

So, if you spend 84 kWh monthly at N 5,009.76 ( 1 unit cost N 59.64 kWh), in a year you will spend about N 5,009.76 X 12 months = N 60,117.12 annually with all things being equal i.e. if the tariff doesn’t increase, but that cannot be confirmed.

Let’s say you spend N 5,009.76 a month on your electricity bill from your utility company before going solar. If you use the prepaid system for the postpaid electricity system, it’s way higher

Your solar panel system can produce enough electricity to cover 80% of your needs.

Because you need 80% less power from the utility, which makes/brings r monthly electricity bill down to roughly N 1,001.952 per month.

SOLAR ENERGY VS ELECTRICITY

Did you know that solar panels last up to 25 years ,so lets calculate how much you would actually save on solar compared to electricity.

If you get the RENERWORLD https://solar.fazipay.com/shop/products/RENERWORLD-RSW1.5b RSW1 which powers 

• Laptop
• Fan
• Energy Saving Bulbs
• Mobile Fan
• Washing Machine
• Blender
• Fridge
• TV

Which cost N 760,000 ( Fazipay offer a installmental payment option which allows you spread your payment for as long as 12 months)

Now, Lets calculate.

N 760,000 for 25 years 

So N 760,000 = 25 years

X =1 year

= 760,000 / 25 = N 30,400 per year

In a year you will spend N 30,400 on solar and N 60,117 on  Electricity prepaid provided the unit price doesn’t increase.

We earlier talked about you saving 80% per month with solar,spending N 1,001.95 monthly, This means that you will be spending about N 12,023.4 annually

So, in 25 years with all things being equal you will spend N 1,502,928 on electricity bills,but   with solar , you will spend just N 300,585.6. Saving you N 1,202,342.

Who won this round  ( Solar Energy vs Electricity ) ?

Electricity or Solar Energy ?