01

Short answer

Only actually shifted kWh creates value. A larger battery may reduce cycles per kWh; test capacity sizes against the same load and generation profile.

02

Important variables

  • Investment after support
  • Useful energy, efficiency and degradation
  • Energy prices and tariff
  • Horizon and discount rate
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03

Worked example

10 kWh at 200 full cycles shifts 2,000 kWh; 15 kWh at 140 cycles only 2,100 kWh. The extra investment serves little more energy.

04

Break-even: What changes the result?

Test the main driver as a cautious, central and optimistic range. Also check whether the ranking reverses at a crossover or remains robust across the range.

05

Common mistakes

  • Treating subsidy or tariff as certain
  • Omitting losses and degradation
  • Confusing simple payback with return
06

Terms in this guide

07

Sources & assumptions

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