That assumes that the power company will buy the power back at $0.29 for the next ten years. Unless the contract specifically locks in this rate, it is almost a 100% guarantee that the rate will get lower and lower as more rooftop solar installations come on line.OK, here is the acid test with the new numbers.
Total cost $18,000
Cost per kWhr $0.29
Yearly projected power output: 6900 kWhr (assumes cloud coverage and all those good things are included when calculating average output.)
Value of power production: 6900 x 0.29 = $2001
Year payout* $18,000/2000 = 9 years.
* There are more things in play such as yearly degradation in the panels
So, 9.5 years sounds reasonable.
Now, if there were no government assistance, the payout would have been $26,000/2,000 = 13 years.
This is that little dirty detail that is not discussed with the buyers.