Page 183 - Sustainable Cities and Communities Design Handbook

Life Cycle Analysis Versus Cost Benefit of Renewable Energy Chapter j 8 157

CONCLUSION
A proper financial analysis is one part of evaluating the feasibility of an energy
plan such as the example of the City herein. As outlined in this chapter, it
should take into account all factors in the life cycle of the PV system,
including the PPA, investment costs, available incentives, energy costs, and
externalities involved with the implementation of the PV system. Proper use of
financial analyses to determine the financial viability of a PV system provides
a critical portion of the proper due diligence in analyzing a PV system
proposal.

REFERENCE

Horngren, C.T., Datar, S.M., Foster, G., 2003. Cost Accounting: A Managerial Emphasis, eleventh
ed. Pearson Education, Inc., Upper Saddle River, NJ, pp. 720e725.