Financial Anlysis of the rate of return when replacing incandascent by CFL by the lowest elect

Inputs
Cost of a 100W incandescent bulb
Cost of a 20W CFL Bulb

70 Rs
375 Rs

User Categories
User 1
0-30
User 2
30-60
User 3
60-90
User 4
90-120

philips
orange

Assumptions
1. Bulb is turned on for 8 hours per day. Eg.: 6 hors in da night and 2 hours in da morning.
2. CFL warranty period is 1 year.
3. Interest Rate
15% Therefore monthly interst rate
1.25%
Incandescent bulb daily electricity consumption
CFL bulb daily electricity consumption
User 1
Incandescent
Month
Capita Cost in Rs
Total Cost Rs
TVM(10%) @ time 0
Total Cost Rs
Levelized Monthly Cost
CFL

0
70
70
70.00
1198.59

0.8 kWh
0.16 kWh

1
96

2
96

3
96

4
96

5
96

7
96

8
96

9
96

10
96

96
90.22

6
96
70
166
154.08

96
94.81

96
93.64

96
92.49

96
91.35

96
88.00

96
86.92

96
85.85

96
84.79

108.18

108.18

108.18

108.18

108.18

108.18

108.18

108.18

108.18

108.18

Month
Capita Cost in Rs
Total Cost Rs
TVM(10%) @ time 0
Total Cost Rs
Levelized Monthly Cost

0
375
375
375.00
587.72

Therefore Monthly Saving

1
19.2

2
19.2

3
19.2

4
19.2

5
19.2

6
19.2

7
19.2

8
19.2

9
19.2

10
19.2

19.2
18.96

19.2
18.73

19.2
18.50

19.2
18.27

19.2
18.04

19.2
17.82

19.2
17.60

19.2
17.38

19.2
17.17

19.2
16.96

53.05

53.05

53.05

53.05

53.05

53.05

53.05

53.05

53.05

53.05

55.14

55.14

55.14

55.14

55.14

55.14

55.14

55.14

55.14

55.14

Incremental Capital cost for CFL PV

240.03

Incremental Saving at end of year 1

702.49

Therefore rate of return

###

west electricity consumers

11
96

12
96

96
83.74

96
82.70

108.18

108.18

11
19.2

12
19.2

19.2
16.75

19.2
16.54

53.05

53.05

55.14

55.14

Montly electricity savings on peak

Cost per kWh Peak
Selling price
Loss per Kwh
Total Savings of utility per month per CFL Bulb

19.2 kWh
30 Rs
4 Rs
26 Rs
499.2 Rs