ABSTRACT
This paper presents a financial analysis of the estimated cost and benefits of operating a 1.5 kW grid connected photovoltaic (PV) system in Perth, Western Australia. The analysis presents results for a typical residential electricity consumer and a small business consumer. The paper investigates the feasibility before, and after the introduction of the PV Rebate Programme for residential systems in January 2000 and the Goods and Services Tax (GST) in July 2000. For the financial analysis, Internal Rate of Return (IRR) and Payback Periods (PP) are used as project evaluation techniques. The results show, that the current PV Rebate Program is insufficient to make PV systems attractive for individual taxpayers on purely economic grounds.
