Solar O&M Cost Calculator

Annual O&M cost from system size.

System capacity (kW DC)

Fixed O&M ($/kW-DC/yr)

Peak sun hours (PSH)

System derate factor

Inverter reserve ($/kWh)

Annual degradation (%)

Analysis period (years)

O&M cost escalation (%/yr)

Tab to move between fields

Year 1 total O&M ($)

$13,340.00

≈ 9 months of rent

Year 1 O&M cost ($/kWh)0.02

Year 1 production (kWh)730,000

Lifetime O&M cost ($)$442,942.00

Lifetime O&M ($/kWh)0.03

Final year O&M ($)$22,931.00

Final year O&M ($/kWh)0.04

Lifetime production (kWh)17,195,845

Degradation production loss (%)5.8%

How to Use This Calculator

Enter the system capacity in kW DC and fixed O&M cost per kW per year.
Set peak sun hours, system derate factor, and annual module degradation rate.
Enter inverter reserve cost per kWh and O&M cost escalation rate.
Set the analysis period in years.
Review Year 1 O&M cost per kWh and lifetime O&M total to inform LCOE calculations.

How the result changes with System capacity (kW DC)

System capacity (kW DC): Installed DC capacity of the solar system.
Fixed O&M ($/kW-DC/yr): Annual fixed O&M cost per kW. NREL benchmark: $10–$20/kW for commercial.
Peak sun hours (PSH): Average daily peak sun hours.
System derate factor: DC-to-AC system efficiency.
Inverter reserve ($/kWh): Annual reserve per kWh for inverter replacement (typically at year 10–12).
Annual degradation (%): Annual module power degradation rate. Typical: 0.5–0.7%/yr.
Analysis period (years): Number of years for lifetime cost analysis.
O&M cost escalation (%/yr): Annual increase in O&M costs due to inflation and aging.

Year 1 total O&M ($): First-year operations and maintenance cost.
Year 1 O&M cost ($/kWh): O&M cost per kWh produced in year 1.
Year 1 production (kWh): Expected first-year energy output.
Lifetime O&M cost ($): Total undiscounted O&M over the analysis period.
Lifetime O&M ($/kWh): Average O&M cost per kWh over the system lifetime.
Final year O&M ($): O&M cost in the last year of the analysis period.
Final year O&M ($/kWh): O&M cost per kWh in the final year.
Lifetime production (kWh): Total energy produced over the analysis period with degradation.
Degradation production loss (%): Total production lost due to module degradation vs. no degradation.

Identify Input Parameters
4 parameters
System capacity (kW DC) = 500, Fixed O&M ($/kW-DC/yr) = 15, Peak sun hours (PSH) = 5, System derate factor = 0.8 = 8 input(s) provided
Calculate Year 1 total O&M
Year 1 total O&M = year1FixedOM + year1InverterReserve
13340 = $13,340
Calculate Year 1 O&M cost
0.0183 = 0.0183
Calculate Year 1 production
Year 1 production = systemCapacityKW * peakSunHours * 365 * systemDerate
730000 = 730000