Optimizing self-consumption of electricity with photovoltaics using the example of transport and logistics companies - including roof solar systems and electricity storage

Calculating the return, amortization and possible profit from your own solar system is not that easy; many factors play a role here, which are completely different in every company. This starts with the different electricity tariffs, the difference between private, commercial and industrial electricity.

Bold calculations start with a payback period of 8 years. The average for well-calculated and self-financed solar systems is 11 to 14 years.

Based on a possible lifespan of a solar system of up to 30 years, a solar system generates at least 10 times the energy that must be used to produce and dispose of it.

The return: Whether a solar system is worthwhile or profitable depends primarily on what you use the electricity generated from solar energy for. The government's guaranteed feed-in tariff for 20 years is no longer as profitable as self-consumption. There is great potential for cost savings, especially when it comes to internal consumption. In addition to personnel costs, energy costs are one of the largest operating costs for a company.

If you use your solar power at the moment it is generated, you will have to purchase less additional electricity. With the help of battery storage, excess PV electricity can be stored and used at a later point in time to further minimize expensive electricity purchases from the grid.

Photovoltaics financing model – Image: Daria Lukoiko|Shutterstock.com

Following decisions on the coal phase-out and the 2019 Climate Protection Act, electricity prices are expected to continue to rise by around 40% by 2030. The current financing models are based on the current status and do not take future developments into account. This means that as electricity becomes more expensive, solar systems become even more profitable.

The CO2 tax has been in place on gasoline, diesel, heating oil and gas since January 2021. Anyone who does not drive a car sustainably or heat their house sustainably must expect significantly higher and rising costs.

But goods and services are also affected!

Previously, this only applied to companies from the energy industry, industrial groups and airlines with their greenhouse emissions, which they were able to process using so-called emission certificates : With the introduction of CO2 pricing on January 1, 2021, this now also applies to companies that produce petroleum products, natural gas or Bring coal into circulation.

“When we use petroleum products, natural gas or coal as fuel, it has a strong impact on our environment. Therefore, incentives should now be set to reduce their consumption and trigger a steering effect towards more environmentally friendly forms of energy and products,” said the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety .

“From January 1, 2021, CO2 emissions from such fossil fuels will therefore receive a price. Companies that place such fuels on the market must purchase emission rights in the form of certificates.”

According to the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety, companies will pass these costs on to end consumers. The CO2 tax should gradually increase by 55 euros per ton by 2025. The CO2 price is currently 25 euros per ton.

Almost all of our everyday products are based on petroleum!

Everyone still talks about fuel and heating oil when it comes to the CO2 tax. What is overlooked, however, is the fact that e.g. B. Petroleum is found everywhere in our everyday products. Be it in textiles or rubber (synthetic rubber). Mineral oil is also used in cosmetics. Whether body lotion, mascara or shower gel. Plastics are also usually produced based on petroleum.

In short: If these additional costs are passed on to buyers, goods and services affected by them will become more expensive.

“Since the CO2 price has been set uniformly from 2021, manufacturers and providers of goods and services now have to pay a fixed price per ton of carbon dioxide. If these additional costs are passed on to buyers, sooner or later goods and services that are harmful to the climate will become more expensive. In other words: “Everyone who emits carbon dioxide pays this tax,” writes WirtschaftsWoche .

“The permanent increase in the carbon tax will benefit the stocks of companies that save energy or avoid emissions,” says RP Online .

The market and competitive advantage will generally be transferred to the companies that set the course in good time

Xpert.Digital has long pointed out this fact and that companies like Amazon Logistics are not only promoting autonomous power supply purely out of environmental concerns: “It's about the higher future costs for environmental protection regulations, power peaks (infrastructure and network stability) and CO2 balance. “

Above all, it is about market shares and competitive advantages. Companies that have not yet taken concrete measures here now have to hurry up so as not to lose out on the competition. The increase in the price of one's own products and services due to a lack of investment in autonomous power supply through photovoltaics will be another major challenge for the future in the next few years.

Electricity price development for industry – possible scenarios from 2021 to 2030 – Image: Xpert.Digital

Suitable for:

• Autonomous power supply and solar power monetization – Learn from Amazon Logistics

Xpert.Digital is not just one of the pioneers of digitalization. Xpert.Digital is also one of the first to promote the importance of autonomous power supply ( see isolated solution ). Our expertise is reflected in over 800 specialist articles. We have been working in photovoltaics for several years and in logistics/intralogistics for over 15 years.

More on the subject:

• Energy transition: background knowledge on petroleum, CO2 taxes and renewable energies

Electricity prices for commercial and industrial customers in Germany from 2010 to 2020 (in euro cents per kilowatt hour) - Image: Xpert.Digital

As of April 1, 2020, according to the volume-weighted average, commercial customers in Germany paid 23.03 cents per kilowatt hour of electricity with an annual consumption of 50 megawatt hours. Industrial customers in this country with an annual consumption of 24 gigawatt hours, however, paid 16.54 cents per kilowatt hour of electricity on the specified date.

Industrial electricity prices

Without taxes imposed, the price of electricity for industry in Germany in 2020 was around 8.49 cents per kilowatt hour. The electricity price including taxes of around 19 cents per kWh in 2020 was made up of various items. A large part arose from the item “Procurement, network fees and sales” as well as the EEG levy, which promotes the expansion of renewable energies in Germany.

Electricity prices for household customers

Since 2017, there has been a trend in electricity prices for household customers in Germany. With an annual consumption of 1,000 to 2,500 kilowatt hours, Germany recorded the highest electricity price in an EU comparison. However, the least people had to pay for electricity were Bulgaria, Hungary and Lithuania. Just like the electricity price for industry, the electricity price for household customers is mainly made up of network fees, procurement and sales as well as the EEG surcharge.

Electricity prices for commercial and industrial customers in Germany until 2020

Electricity prices for commercial customers in Germany until 2020

• April 1, 2010 – 21.52 cents per kilowatt hour
• April 1, 2011 – 23.38 cents per kilowatt hour
• April 1, 2012 – 23.89 cents per kilowatt hour
• April 1, 2013 – 26.74 cents per kilowatt hour
• April 1, 2014 – 21.86 cents per kilowatt hour
• April 1, 2015 – 21.47 cents per kilowatt hour
• April 1, 2016 – 21.20 cents per kilowatt hour
• April 1, 2017 – 21.70 cents per kilowatt hour
• April 1, 2018 – 21.56 cents per kilowatt hour
• April 1, 2019 – 22.22 cents per kilowatt hour
• April 1, 2020 – 23.03 cents per kilowatt hour

Electricity prices for industrial customers in Germany until 2020

• April 1, 2010 – 12.29 cents per kilowatt hour
• April 1, 2011 – 15.74 cents per kilowatt hour
• April 1, 2012 – 15.78 cents per kilowatt hour
• April 1, 2013 – 17.17 cents per kilowatt hour
• April 1, 2014 – 15.11 cents per kilowatt hour
• April 1, 2015 – 14.80 cents per kilowatt hour
• April 1, 2016 – 14.21 cents per kilowatt hour
• April 1, 2017 – 14.90 cents per kilowatt hour
• April 1, 2018 – 15.30 cents per kilowatt hour
• April 1, 2019 – 15.98 cents per kilowatt hour
• April 1, 2020 – 16.54 cents per kilowatt hour

In order to get an overview, it's good to know what your annual electricity costs are.

On this basis, various initial investment and amortization scenarios can be depicted.

If you want to finance your solar system 100% with your own equity, you can determine interesting investment volumes of 10 to 15 years here.

Other financing models such as B. Solar Contracting (Solar as a Service – SaaS / Leasing) offers e.g. B. a term of 20 years. The operator completely finances the solar system, and you get electricity at a discount compared to the network provider. After 20 years, the solar system becomes your own property.

• Energy producers speak of private electricity when 1,000 to 5,000 kilowatt hours of electricity are sold annually.
• Depending on the electricity supplier, commercial electricity is worthwhile if companies purchase at least 30,000 kWh per year.
• There is no law that states the level of consumption above which suppliers must offer commercial electricity tariffs. Each provider can decide freely.
• If you consume more than 100,000 kWh of electricity per year, you can usually obtain so-called industrial electricity from the electricity supplier.

Examples:

Commercial electricity

Annual electricity consumption: 100,000 kWh / 100 MWh
Net electricity price: 23.03 cents per kWh
Annual electricity costs: €23,030

Amortization after 10 years = possible investment volume: 230.300 € ^*1

Industrial electricity

Annual electricity consumption: 100,000 kWh / 100 MWh
Net electricity price: 16.54 cents per kWh
Annual electricity costs: €16,540

Amortization after 10 years = possible investment volume: 160.540 € ^*1

^*1 Not included:

• The expected increase in electricity costs by 40% over the next 10 years, shortening the possible payback.
• The CO2 tax on goods and services, which shortens the possible payback and strengthens market position and your own competition.

• Gasoline +7 cents/liter
• Diesel +7.9 cents/liter
• Heating oil +7.9 cents/liter
• Natural gas +0.6 cents/kWh

In the calculations, for 1 liter of milk there is an additional cost of 0.17 euros with CO2 emissions of 0.92 kg.

More about it here:

• https://www.wiwo.de/finanzen/steuer-recht/klimaschutz-co2-steuer-alles-was-sie-wissen-muessen/25533826.html
• https://www.bundestag.de/resource/blob/660794/dfdee26b00e44b018b04a187f0c6843e/WD-8-056-19-pdf-data.pdf
• https://de.wikipedia.org/wiki/CO2-Tax
• https://uba.co2-rechner.de/de_DE/

Average composition of commercial electricity prices according to the Federal Network Agency (2016)

• Energy provider performance – 24%
• State taxes and levies – 48%
• Network operator fees – 28%

Composition of the electricity price ^*1 for household customers in Germany in 2020

• Energy procurement, sales, other costs and margin – 23.7%
• Net network fee – 22.6%
• EEG levy – 21.1%
• Sales tax – 16%
• Electricity tax – 6.7%
• Concession fee – 5.3%
• Fee for measurement and measuring point operation – 1.4%
• Offshore network levy – 1.4%
• §19 levy – 1%
• KWKG levy – 0.9%
• Surcharge for loads that can be switched off – 0%

^*1 Quantity-weighted averages across all tariffs (standard contract with the basic supplier, special contract with the basic supplier, contract with an energy supplier other than the basic supplier) as of April 1, 2020. EEG = Renewable Energy Sources Act; KWKG = Combined Heat and Power Act.

Composition of the electricity price for household customers in Germany in 2020 and 2021

The statistics show the development of the composition of the electricity price for household customers in Germany in 2020 and 2021. In 2021, the electricity tax for private households in Germany was 2.05 cents per kilowatt hour.

The following information refers to a 3-person household with an annual consumption of 3,500 kilowatt hours. Some values ​​are rounded. The concession fee refers to the average; it varies depending on the size of the community.

Composition of the electricity price for household customers in Germany 2020

• Network fee (including measurement, billing, measuring point operation) – 7.75 cents
• Procurement, sales – 7.51 cents
• EEG levy – 6.76 cents
• VAT – 5.08 cents
• Electricity tax – 2.05 cents
• Concession fee – 1.66 cents
• §19 levy NEV levy – 0.36 cents
• Offshore network levy* – 0.42 cents
• KWKG levy – 0.23 cents
• Surcharge for loads that can be switched off – 0.01 cents

Composition of the electricity price for household customers in Germany 2021

• Network fee (including measurement, billing, measuring point operation) – 7.80 cents
• Procurement, sales – 7.70 cents
• EEG levy – 6.50 cents
• VAT – 5.09 cents
• Electricity tax – 2.05 cents
• Concession fee – 1.66 cents
• §19 levy NEV levy – 0.43 cents
• Offshore network levy* – 0.40 cents
• KWKG levy – 0.25 cents
• Surcharge for loads that can be switched off – 0.01 cents

* Offshore liability levy until 2018.

Depending on the type and size of the business, electricity costs are a decisive factor in the balance sheets of many companies. A PV system can easily and safely reduce these costs, but only in sunny times. In the morning and evening, when the sun is not yet at its full power, you remain dependent on expensive electricity from the grid, while at lunchtime the cheap, excess solar power is fed into the grid.

Due to the changes in society towards more sustainability, the topic of electricity storage for renewable energies is also becoming increasingly important in industry.

The requirements and needs of a company will change enormously, especially in the next few years. Flexible systems with and for electricity storage are therefore in demand.

The problem ❌

• High costs for purchasing electricity from the grid
• Consumption is sometimes outside sunny hours
• Excess, cheap PV electricity is fed into the grid
• The full savings potential of the PV system is not used

The solution 🎯

👉 With the help of battery storage, excess PV electricity can be stored and used at a later date to further minimize expensive electricity purchases from the grid.

👉 Electricity storage pays off even faster through multiple use, e.g. B. to avoid load peaks and/or as an emergency power supply.

👉 Use more cheap, self-generated solar power and reduce your operating costs with electricity storage

The advantages at a glance:

• Even more returns for your PV system with electricity storage
• With electricity storage, purchasing electricity from the grid is even less expensive
• With electricity storage you are even more independent of electricity price increases
• Generally quick payback

• Electricity storage increases self-consumption rates and caps expensive load peaks
• Flexible power storage solutions save costs and minimize the effort for possible conversions
• Saving costs increases competitiveness
• Planning security regarding energy costs.

Automation 🤖

Automation ( cf. robotics ) can not only reduce further costs, it also helps with:

• Reduction/minimization of picking errors, see also:

  ☑️ Warehouse optimization with order picking: 5 steps to more productivity with optimized order picking

• Acceleration of picking, see also:

  ☑️ Automated warehouses – autonomous retail systems

Large roof areas are not only a great prerequisite for a solar system, but in many cases promote short payback periods for commercial storage systems. Department stores and logistics companies are examples of this, especially if electric forklifts need to be charged after work.

Basically, the following factors have a positive effect on the return through self-consumption optimization:

• Large roof areas
• High power consumption
• Electricity consumption outside of sunshine hours
• High purchase electricity price

Typical examples of suitable businesses are:

• office building
• Crafts
• Agriculture
• warehouses
• Industry and production

Everything from a single source, outdoor and roof solar system solutions specifically tailored to your photovoltaic system! You refinance or counterfinance into the future with your own electricity generation.

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