Economic Analysis Using Net Present Value and Payback Period: Case Study of a 9kWp Grid-Connected PV System at UTM, Johor Bahru Campus

2016 ◽  
Vol 818 ◽  
pp. 119-123 ◽  
Author(s):  
Mohamed Almaktar ◽  
Hasimah Abdul Rahman ◽  
Mohammad Yusri Hassan

An economic study for the photovoltaic (PV) projects by the PV installer is essential to avoid the risk that may incur from the investment. This paper discusses the economic analysis of PV installations specifically for the grid connected (GC) systems. The case study is the 9 kW Solar-Home UTM system which is planned to be a showcase GC zero energy house. The house will be able to sell the excess energy back to the grid according to the Malaysian Feed-in Tariff (FiT) implemented in 2012. The economic study conducted is based on the Net Present Value (NPV) and the Pay-Back Period to determine the profitability and viability of the project. The study is believed to encourage and initiate the public to build a successful investment and contribute in the development and deployment of new clean energy sources.

Author(s):  
Rabiatul Adawiah Gasnawati ◽  
Abdi Abdi ◽  
Awaluddin Hamzah

The purpose of this study was to determine the sensitivity of ornamental plant business in Kendari City as a case study on dahlia ornamental plant business. This research was conducted in Kendari City which was determined purposively on the dahlia ornamental plant business. The research was conducted from July to November 2019. The analysis used in this study is an analysis of efficiency and income consisting of net present value (NPV) income benefit ratio (NBCR), internal rate of return (IRR), payback period (PBP). The results of the sensitivity analysis of ornamental plant businesses with increased production costs by 5% and selling prices decreased by 5%, the value of the NPV, NBCR, IRR and payback period shows a good value so that the ornamental plant business is feasible to be cultivated because it can return all investment costs used


2020 ◽  
Vol 36 (2) ◽  
pp. 115-123
Author(s):  
Christopher G. Henry ◽  
Kenton B. Watkins ◽  
Ranjitsinh U. Mane ◽  
Gregory L. Stark

Abstract. Vertical hollow shaft motors are commonly used for vertical turbine pumps for irrigation. They are a specialty motor which has been exempt from the Department of Energy (DOE) requirement for improved energy efficiency. We evaluated the payback and net present value (NPV) of standard efficiency, energy efficient, and premium efficiency motors for motor sizes used in irrigation. For motor sizes between 22 and 56 kW (30 and 75 hp), the NPV and payback analysis indicated that premium efficient motors are more advantageous than standard efficiency. In motor sizes greater than 75 kW (100 hp) standard efficient motors are more cost effective than replacing a motor with a premium efficiency motor. When considering a repair or rewind of a motor, the result is highly dependent on the quality, and the resulting efficiency expected after the repair. If a repaired motor nameplate efficiency could be attained after rewinding and repair, then rewinding is most cost effective. However, if original nameplate efficiency is not attained, then it may be more cost effective to purchase a premium efficiency motor over rewinding. New DOE requirements may be advantageous for irrigators even though capital costs will be higher for new motors. Keywords: Motor rewind, Net present value (NPV), Payback period, Premium efficiency motor.


2021 ◽  
Vol 9 (5) ◽  
pp. 459
Author(s):  
Yohan An ◽  
Namkyu Park

The purpose of this case study is to conduct an economic analysis to calculate the proper terminal capacity of automated container terminal (ACT) investment from the perspective of the public sector. As a key element of smart port, the ACT is an important terminal operating facility for import/export and transshipment cargo between countries and must have facilities with sufficient capacity to load/unload export/import cargo in a timely manner according to the user’s request. Recently, the method of calculating the capacity of seaport infrastructure is changing from the method of applying the maximum capacity to the method of applying the proper capacity. Therefore, it is desirable to expand port facilities by investigating proper capacity rather than expanding port facilities based on the maximum performance. This study is a case study focusing on the new port of Busan introducing the ACT. From the perspective of national fiscal income and national economy from the ACT investment, this study determines the proper terminal capacity for each berth. As a result of economic analysis, the break-even terminal capacity to secure economic feasibility is from 544,272TEU of the nine berths to 600,138TEU of two berths applying a 2.96% discount ratio. In a sensitivity analysis considering the social discount rate and the change in the size of berths, the net present value has a positive value from a minimum of 530,000 TEU (nine berths with 1.96% social discount ratio) to a maximum of 620,000 TEU (three berths with 3.46% social discount ratio).


Agro Ekonomi ◽  
2016 ◽  
Vol 10 (1) ◽  
Author(s):  
Tirta Jaya Jenahar

The case study on rubber replanting in Musi Landas, South Sumatra shows that both, Sutardi formula (1973) and Jenahar's (1986) provide the some economic live which is 25 years for the area of 2577 ha with replanted area of 103,08 ha per year. The result shows attaints that the net present value (NPV) is Rp.1.6 nillion per ha with the investment payback period of 17 years and the internal rate of return (IRR) 16.15 % per year.The method used in this research is optimum replanting analysis method. The analical method shows that the cash flow method developed by Jenahar (1986) is simpler than Sutardi's marginal method (1973) and gives similar result in term of the rubber tree's economic life. However, the cash flow formula could be used for feasibility assessment


Author(s):  
J M O'Brien and ◽  
P K Bansal

Steam turbine cogeneration analysis (STuCA) is a quasi-static steam cogneration plant modelling tool, which has been developed and applied to the Auckland Hospital energy centre at Auckland, New Zealand. The STuCA code consists of four submodels, namely a load, a system, a plant and an economic model. The load model was developed using historical data and drove the system model, which consisted of heat exchangers. The system model output was then used to drive the plant model that modelled the turbine and boiler and predicted the primary energy flows and cash flows at the site. Economic analysis tools including thermodynamic, thermoeconomic and economic performance measures such as the payback period and the net present value used these data to analyse the economic performance measures such as the payback period and the net present value used these data to analyse the economic performance of the site. The STuCA model output correlated to site data to within 10 per cent and provided data that could be used by the economic analysis tools. The application of the STuCA model to the hospital site proved that it could be used to design cogeneration plants, to analyse retrofit, to upgrade proposals and to study the effects of changing site loads on plant performance.


2021 ◽  
Vol 9 (2) ◽  
pp. 78
Author(s):  
Adelia Putri Ayunisa ◽  
Wan Abbas Zakaria ◽  
Eka Kasymir

The purpose of this research was to analyze financial feasibility and sensitivity of calamansi syrup industry in Segar Asri, Padang Serai Village, Kampung Melayu Sub-district, Bengkulu City. This research is a case study conducted in April - May 2019. The location of the research is chosen purposively. Data were obtained from the interview process using a questionnaire. The analytical method used in this research is investment criteria (Internal Rate of Return, Net Present Value, Gross Benefit Cost Ratio, Net Benefit Cost Ratio and Payback Period). The results showed that the financial analysis carried out at Segar Asri, Padang Serai Village, Kampung Melayu Sub-district, Bengkulu City was profitable and feasible to continue. Sensitivity analysis of calamansi syrup industry in Segar Asri, Padang Serai Village, Kampung Melayu Sub-District, Bengkulu City is feasible to continue if there is a decrease in calamansi syrup production by 10%, 20%, and 30%.Key words: Calamansi, feasibility, financial, sensitivity, syrup


Energies ◽  
2021 ◽  
Vol 14 (10) ◽  
pp. 2868
Author(s):  
Maaike Braat ◽  
Odysseas Tsafarakis ◽  
Ioannis Lampropoulos ◽  
Joris Besseling ◽  
Wilfried G. J. H. M. van Sark

In many areas in the world, the high voltage (HV) electricity grid is saturated, which makes it difficult to accommodate additional solar photovoltaic (PV) systems connection requests. In this paper, different scenarios to increase the installed PV capacity in a saturated grid are assessed on the basis of the net present value (NPV). The developed scenarios compare an increase of grid capacity, PV system azimuth variation, curtailment, and battery storage. For each scenario the net present value (NPV) is assessed using an optimization model as a function of the overbuild capacity factor, which is defined as the relative amount of PV capacity added beyond the available capacity. The scenarios are applied on a case study of the Netherlands, and the analysis shows that, by optimising curtailment, a PV system’s capacity can be increased to 120% overbuild capacity. For larger overbuild capacity investments in the electricity-grid are preferred when these costs are taken into account. However, the optimum NPV lies at 40% overbuild, thus the societal and NPV optimum are not always aligned. Furthermore, the use of a battery system as an alternative to an infrastructure upgrade was not found to be a cost-effective solution. Thus, applying curtailment could be cost-efficient to a certain extent to allow for additional PV capacity to be connected to a saturated grid. Furthermore, the inverter size compared to the installed PV capacity should be significantly reduced. For a connection request that exceeds 120% overbuild increasing network capacity should be considered.


2017 ◽  
Vol 13 (3) ◽  
pp. 240
Author(s):  
Novdin M Sianturi

Abstrak: Pengelolaan sampah di Kota Pematangsiantar masih bertumpu pada pendekatan akhir (kumpul-angkut-buang), dengan tingkat pelayanan yang rendah, sehingga untuk meningkatkan pelayanan sampah, perlu dilakukan pemilahan di tempat penampungan sementara (TPS). Penelitian ini bertujuan untuk mengkaji sistem pengelolaan sampah dengan melakukan pemilihan di TPS dapat meningkatkan pelayanan aset persampahan sampai tahun  2015 secara teknis operasional dan dari aspek keuangan. Analisa teknis operasional aset pengelolaan sampah mulai dari pewadahan, pengumpulan dan pengangkutan sedangkan analisa keuangan dan analisa kelayakan menggunakan Net Present Value, Internal Rate of Return, Benefit/Cost Ratio, dan Payback Period. Dari hasil analisa tersebut diperoleh suatu sistem pengelolaan sampah dengan pemilihan di TPS berdasarkan zona pelayanan dengan skala prioritas secara bertahap daritahun 2013-2017, dapat meningkatkan cakupan pelayanan sampah eksisting rata-rata 6,69 %, cakupan pelayanan TPS eksisting rata-rata 8,29 %, dan cakupan pelayanan truk pengangkut sampah eksisting rata-rata 12,03 %. Investasinya layak, diperoleh Net Cashflow pada tahun 2020 sebesar Rp 1.720.242.284,-, NPV suku bunga 15 % bernilai positif, IRR > MARR 15 %,  B/C Ratio > 1, dan PP 4,7 tahun, lebih pendek dari periode investasi 10 tahun. Dari Metode penelitian ini maka pengumpulan data, observasi lapangan dan pengukuran contoh timbulan sampah dengan sampel 4 TPS perumahan yang terlayani pengangkutan.


2018 ◽  
Vol 3 (2) ◽  
pp. 160
Author(s):  
Halkadri Fitra ◽  
Salma Taqwa ◽  
Charoline Cheisviyanny ◽  
Abel Tasman ◽  
Nurzi Sebrina

Penelitian ini bertujuan untuk melihat kelayakan aspek keuangan usaha grosir sembako Badan Usaha Milik Desa (Nagari) Kamang Hilia Sejahtera di Kenagarian Kamang Hilia Kecamatan Kamang Magek Kabupaten Agam Provinsi Sumatera Barat yang dilakukan pada tahun 2018. Penelitian bersifat deskriptif kuantitatif dengan menggunakan metode cash flow analysis, payback period, net present value, profitability index, internal rate of return, dan average rate of return. Hasil penelitian menunjukkan bahwa nilai net cash flow Badan Usaha Milik Desa (Nagari) Kamang Hilia Sejahtera adalah positif yaitu Rp.21.774.000, nilai payback period adalah 1,15 tahun, nilai net present value positif sebesar Rp.10.680.034,47, nilai profitability index adalah positif 1,37, sedangkan nilai internal rate of return adalah 46,7% dan nilai average rate of return adalah 57,23%. Berdasarkan standar penilaian maka semua metode yang digunakan memberikan kesimpulan bahwa usaha grosir sembako milik Badan Usaha Milik Desa (Nagari) Kamang Hilia Sejahtera dalam kategori layak untuk dilaksanakan.


1970 ◽  
Vol 3 (1) ◽  
Author(s):  
Fikri Fathurahman Aziz

This study aims to analyze financially (net present value, revenue cost ratio, internal rate of return, break event point, return on investment and payback period) feasibility of kampung super chicken farming Mr. Suparlan in Jojog village, district Pekalongan, East Lampung regency. The data used in the form of quantitative and qualitative data sourced from the primary data and secondary data which is then analyzed descriptively. Based on the analysis, it is known that kampung super farm is financially feasible to cultivate. This is indicated by the positive value of net present value (NPV) of Rp 186,568,517, revenue ratio (RCR) 1.59, internal rate of return (IRR) of 135.82%, return on investment (ROI) of 43%, and the value of payback period (PP) of 0.50. Keywords: financial feasibility, kampung chicken, chicken farm


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