Solar Plant ROI Calculator

Assumptions
Size of the Project
Conversion
Output
Transmission loss
Wheeling Loss
Net output
Annual Degradation

MW

3
1.9
5,700,000
3.00%
0.00%
5,529,000
1%

kwh
%
%
kwh
%

O&M Cost (% of cost)

O&M Inflation

%
%

EB Price
EB inflation
REC upto FY2017
REC post FY2017

INR/kwh
%
INR/kwh
INR/kwh

IT Depreciation
IT Tax

Assumptions
Cost per MW
Total Cost
Equity
Debt
Rate of interest
Duration of Loan

2%
3%

%
%

Brokerage on REC trading

Initial REC Redg Cost
Annual REC renew cost
Wheeling Charges
Transmission Charges
Transmission Charges(SLDC)
Total Wheel and Trans Chgs

8.40
3%
0.00
0.00

%
INR
INR
INR
INR
INR
INR

0%
0.00%
0
2015

Financial Year

INR-Crore
INR-Crore
%
%
%
Years

Loan Schedule
Opening Balance
Repayment
Closing Balance

INR Crore
INR Crore
INR Crore

13.86

Interest

INR Crore

1
2016

2
2017

3
2018

4
2019

13.86

13.86
1.98
11.88

11.88
1.98
9.90

9.90
1.98
7.92

7.92
1.98
5.94

1.39

1.39

1.19

0.99

0.79

IRR & Payback Calculation

Output for Electricity
Output for REC

kwh
kwh

Revenue/Savings
REC Revenue
Saving on EB
Total Revenue/Savings

5,529,000
5,700,000

5,473,710
5,643,000

5,418,973
5,586,570

5,364,783
5,530,704

INR Crore
INR Crore
INR Crore

0.00
4.78
4.78

0.00
4.74
4.74

0.00
4.69
4.69

0.00
4.64
4.64

Cost/Expenses
O&M Cost
REC Brokerage
Interest
Wheeling and transmission
Other Charges
Total Cash Cost

INR Crore
INR Crore
INR Crore
INR Crore
INR Crore
INR Crore

0.30
0.00
1.39
0.00
0.00
1.68

0.31
0.00
1.19
0.00
0.00
1.49

0.32
0.00
0.99
0.00
0.00
1.31

0.32
0.00
0.79
0.00
0.00
1.12

Depreciation
PBT
Tax/(Tax Benefit)
PAT

INR
INR
INR
INR

Crore
Crore
Crore
Crore

0.00
3.10
0.00
3.10

0.00
3.24
0.00
3.24

0.00
3.38
0.00
3.38

0.00
3.53
0.00
3.53

PAT before Dep

INR Crore

3.10

3.24

3.38

3.53

Loan repayment

INR Crore

1.98

1.98

1.98

1.98

Project Cash Flow

Cash for Equity Investor

INR Crore
INR Crore

4.49
1.12

4.43
1.26

4.37
1.40

4.32
1.55

Payback-Equity

Payback Project

-19.80
-5.94

6.60
19.80
30%
70%
10%
7.00

Results:
Project IRR
21%
Equity IRR
30%
Other Assumptions:
1. All losses on account of depreciation will be absorbed in the year of loss,
hence tax benefit will be available in same year.

0.00%
0
0
0 No
0 Yes
0 Yes
0

5
2020

6
2021

7
2022

8
2023

9
2024

10
2025

11
2026

12
2027

13
2028

5.94
1.98
3.96

3.96
1.98
1.98

1.98
1.98
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.59

0.40

0.20

0.00

0.00

0.00

0.00

0.00

0.00

5,311,135
5,475,397

5,258,024
5,420,643

5,205,444
5,366,437

5,153,389
5,312,772

5,101,855
5,259,645

5,050,837
5,207,048

5,000,328
5,154,978

4,950,325
5,103,428

4,900,822
5,052,394

0.00
4.60
4.60

0.00
4.55
4.55

0.00
4.50
4.50

0.00
4.46
4.46

0.00
4.41
4.41

0.00
4.37
4.37

0.00
4.33
4.33

0.00
4.28
4.28

0.00
4.24
4.24

0.33
0.00
0.59
0.00
0.00
0.93

0.34
0.00
0.40
0.00
0.00
0.74

0.35
0.00
0.20
0.00
0.00
0.55

0.37
0.00
0.00
0.00
0.00
0.37

0.38
0.00
0.00
0.00
0.00
0.38

0.39
0.00
0.00
0.00
0.00
0.39

0.40
0.00
0.00
0.00
0.00
0.40

0.41
0.00
0.00
0.00
0.00
0.41

0.42
0.00
0.00
0.00
0.00
0.42

0.00
3.67
0.00
3.67

0.00
3.81
0.00
3.81

0.00
3.95
0.00
3.95

0.00
4.09
0.00
4.09

0.00
4.04
0.00
4.04

0.00
3.98
0.00
3.98

0.00
3.93
0.00
3.93

0.00
3.87
0.00
3.87

0.00
3.82
0.00
3.82

3.67

3.81

3.95

4.09

4.04

3.98

3.93

3.87

3.82

1.98

1.98

1.98

0.00

0.00

0.00

0.00

0.00

0.00

4.26
1.69

4.20
1.83

4.15
1.97

4.09
4.09

4.04
4.04

3.98
3.98

3.93
3.93

3.87
3.87

3.82
3.82

14
2029

15
2030

16
2031

17
2032

18
2033

19
2034

20
2035

21
2036

22
2037

23
2038

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

4,851,814 4,803,296 4,755,263 4,707,710 4,660,633 4,614,027 4,567,886 4,522,207 4,476,985 4,432,216
5,001,870 4,951,851 4,902,333 4,853,309 4,804,776 4,756,728 4,709,161 4,662,070 4,615,449 4,569,294

0.00
4.20
4.20

0.00
4.16
4.16

0.00
4.11
4.11

0.00
4.07
4.07

0.00
4.03
4.03

0.00
3.99
3.99

0.00
3.95
3.95

0.00
3.91
3.91

0.00
3.87
3.87

0.00
3.83
3.83

0.44
0.00
0.00
0.00
0.00
0.44

0.45
0.00
0.00
0.00
0.00
0.45

0.46
0.00
0.00
0.00
0.00
0.46

0.48
0.00
0.00
0.00
0.00
0.48

0.49
0.00
0.00
0.00
0.00
0.49

0.51
0.00
0.00
0.00
0.00
0.51

0.52
0.00
0.00
0.00
0.00
0.52

0.54
0.00
0.00
0.00
0.00
0.54

0.55
0.00
0.00
0.00
0.00
0.55

0.57
0.00
0.00
0.00
0.00
0.57

0.00
3.76
0.00
3.76

0.00
3.71
0.00
3.71

0.00
3.65
0.00
3.65

0.00
3.60
0.00
3.60

0.00
3.54
0.00
3.54

0.00
3.49
0.00
3.49

0.00
3.43
0.00
3.43

0.00
3.38
0.00
3.38

0.00
3.32
0.00
3.32

0.00
3.27
0.00
3.27

3.76

3.71

3.65

3.60

3.54

3.49

3.43

3.38

3.32

3.27

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

3.76
3.76

3.71
3.71

3.65
3.65

3.60
3.60

3.54
3.54

3.49
3.49

3.43
3.43

3.38
3.38

3.32
3.32

3.27
3.27

24
2039

25
2040

0.00
0.00
0.00

0.00
0.00
0.00

13.86

0.00

0.00

6.93

4,387,893 4,344,014 122,842,570

4,523,601 4,478,365

0.00
3.80
3.80

0.00
3.76
3.76

0.59
0.00
0.00
0.00
0.00
0.59

0.60
0.00
0.00
0.00
0.00
0.60

0.00
3.21
0.00
3.21

0.00
3.15
0.00
3.15

3.21

3.15

0.00

0.00

3.21
3.21

3.15
3.15

10.83
5.54

16.37

Solar Plant ROI Calculator

Assumptions
Size of the Project
Conversion
Output
Transmission loss
Wheeling Loss
Net output
Annual Degradation

MW

100
1.6
###
3.00%
0.00%
###
1%

kwh
%
%
kwh
%

O&M Cost (% of cost)

O&M Inflation

%
%

EB Price
EB inflation
REC upto FY2017
REC post FY2017

INR/kwh
%
INR/kwh
INR/kwh

IT Depreciation
IT Tax

Assumptions
Cost per MW
Total Cost
Equity
Debt
Rate of interest
Duration of Loan

1%
3%

%
%

Financial Year

INR-Crore
INR-Crore
%
%
%
Years

Brokerage on REC trading

Initial REC Redg Cost
Annual REC renew cost
Wheeling Charges
Transmission Charges
Transmission Charges(SLDC)
Total Wheel and Trans Chgs

8.40
3%
0.00
0.00

%
INR
INR
INR
INR
INR
INR

Results:
Project IR
Equity IRR

6.25
625.00
15%
85%
14%
10.00

19%
27%

Other Assumptions:
1. All losses on account of depreciatio
of loss, hence tax benefit will be avail

0.00%
0
0
0 No
0 Yes
0 Yes
0

0%
0.00%
0
2015

1
2016

2
2017

3
2018

4
2019

5
2020

6
2021

7
2022

8
2023

478.13
53.13
425.00

425.00
53.13
371.88

371.88
53.13
318.75

318.75
53.13
265.63

265.63
53.13
212.50

212.50
53.13
159.38

159.38
53.13
106.25

66.94

59.50

52.06

44.63

37.19

29.75

22.31

Loan Schedule
Opening Balance
Repayment
Closing Balance

INR Crore
INR Crore
INR Crore

531.25
531.25

531.25
53.13
478.13

Interest

INR Crore

74.38

74.38

IRR & Payback Calculation

Output for Electricity
kwh
Output for REC
kwh

###
###

153,648,000
158,400,000

###
###

###
###

###
###

###
###

###
###

###
###

Revenue/Savings
REC Revenue
Saving on EB
Total Revenue/Savings

INR Crore
INR Crore
INR Crore

0.00
134.28
134.28

0.00
132.94
132.94

0.00
131.61
131.61

0.00
130.29
130.29

0.00
128.99
128.99

0.00
127.70
127.70

0.00
126.42
126.42

0.00
125.16
125.16

Cost/Expenses
O&M Cost
REC Brokerage
Interest
Wheeling and transmission
Other Charges
Total Cash Cost

INR Crore
INR Crore
INR Crore
INR Crore
INR Crore
INR Crore

6.25
0.00
74.38
0.00
0.00
80.63

6.44
0.00
66.94
0.00
0.00
73.38

6.63
0.00
59.50
0.00
0.00
66.13

6.83
0.00
52.06
0.00
0.00
58.89

7.03
0.00
44.63
0.00
0.00
51.66

7.25
0.00
37.19
0.00
0.00
44.43

7.46
0.00
29.75
0.00
0.00
37.21

7.69
0.00
22.31
0.00
0.00
30.00

Depreciation
PBT
Tax/(Tax Benefit)
PAT

INR
INR
INR
INR

Crore
Crore
Crore
Crore

0.00
53.65
0.00
53.65

0.00
59.56
0.00
59.56

0.00
65.48
0.00
65.48

0.00
71.40
0.00
71.40

0.00
77.33
0.00
77.33

0.00
83.27
0.00
83.27

0.00
89.21
0.00
89.21

0.00
95.16
0.00
95.16

PAT before Dep

INR Crore

53.65

59.56

65.48

71.40

77.33

83.27

89.21

95.16

Loan repayment

INR Crore

53.13

53.13

53.13

53.13

53.13

53.13

53.13

53.13

Project Cash Flow

Cash for Equity Investor

INR Crore
INR Crore

128.03
0.53

126.50
6.44

124.98
12.35

123.46
18.27

121.95
24.20

120.45
30.14

118.96
36.08

117.47
42.03

Payback-Equity

Payback Project

-625.00
-93.75

ssumptions:
es on account of depreciation will be absorbed in the year
ence tax benefit will be available in same year.

9
2024

10
2025

11
2026

12
2027

13
2028

14
2029

15
2030

16
2031

17
2032

18
2033

19
2034

20
2035

21
2036

22
2037

106.25
53.13
53.13

53.13
53.13
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

14.88

7.44

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

###
###

0.00
123.91
123.91

0.00
122.67
122.67

0.00
121.44
121.44

0.00
120.23
120.23

0.00
119.02
119.02

0.00
117.83
117.83

0.00
116.65
116.65

0.00
115.49
115.49

0.00
114.33
114.33

0.00
113.19
113.19

0.00
112.06
112.06

0.00
110.94
110.94

0.00
109.83
109.83

0.00
108.73
108.73

7.92
0.00
14.88
0.00
0.00
22.79

8.15
0.00
7.44
0.00
0.00
15.59

8.40
0.00
0.00
0.00
0.00
8.40

8.65
0.00
0.00
0.00
0.00
8.65

8.91
0.00
0.00
0.00
0.00
8.91

9.18
0.00
0.00
0.00
0.00
9.18

9.45
0.00
0.00
0.00
0.00
9.45

9.74
0.00
0.00
0.00
0.00
9.74

10.03
0.00
0.00
0.00
0.00
10.03

10.33
0.00
0.00
0.00
0.00
10.33

10.64
0.00
0.00
0.00
0.00
10.64

10.96
0.00
0.00
0.00
0.00
10.96

11.29
0.00
0.00
0.00
0.00
11.29

11.63
0.00
0.00
0.00
0.00
11.63

0.00
101.11
0.00
101.11

0.00
107.07
0.00
107.07

0.00
113.04
0.00
113.04

0.00
111.57
0.00
111.57

0.00
110.11
0.00
110.11

0.00
108.65
0.00
108.65

0.00
107.20
0.00
107.20

0.00
105.75
0.00
105.75

0.00
104.30
0.00
104.30

0.00
102.86
0.00
102.86

0.00
101.42
0.00
101.42

0.00
99.98
0.00
99.98

0.00
98.54
0.00
98.54

0.00
97.10
0.00
97.10

101.11

107.07

113.04

111.57

110.11

108.65

107.20

105.75

104.30

102.86

101.42

99.98

98.54

97.10

53.13

53.13

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

115.99
47.99

114.51
53.95

113.04
113.04

111.57
111.57

110.11
110.11

108.65
108.65

107.20
107.20

105.75
105.75

104.30
104.30

102.86
102.86

101.42
101.42

99.98
99.98

98.54
98.54

97.10
97.10

23
2038

24
2039

25
2040

0.00
0.00
0.00

0.00
0.00
0.00

0.00
0.00
0.00

531.25

0.00

0.00

0.00

483.44

###
###

###
###

###
###

0.00
107.64
107.64

0.00
106.57
106.57

0.00
105.50
105.50

11.98
0.00
0.00
0.00
0.00
11.98

12.33
0.00
0.00
0.00
0.00
12.33

12.70
0.00
0.00
0.00
0.00
12.70

0.00
95.67
0.00
95.67

0.00
94.23
0.00
94.23

0.00
92.80
0.00
92.80

95.67

94.23

92.80

0.00

0.00

0.00

95.67
95.67

94.23
94.23

92.80
92.80

###