Economic Benefit of Solar Power: Insights from a Swedish Home
Yearly return and self-consumption rate from the PV system and simulated battery, assuming an energy tariff including Nordpool's spot market prices and capacity charges without a yearly tax reduction of SEK 0.60 per kWh exported energy.
In a recent study by Markus Rinio, the economic performance of a 12.8 kWp photovoltaic (PV) system was analyzed using six years (2019–2024) of real consumption and generation data from a modern single-family house in Sweden.
The economic benefit was simulated for the case of a virtual AC-coupled battery added to the house using a charging strategy to maximize the self-consumption. Additionally, the economic benefit was simulated for a range of different yearly consumptions and PV system sizes.
The results show that a PV system alone can be economically beneficial, while adding a battery energy storage system (BESS)—used only to increase self-consumption—is not financially viable at 2025 price levels. A 16 kWh battery would yield only about SEK 1000–2000 per year, making payback unrealistic even with a 50% state subsidy.
The PV system itself provided an annual economic benefit of just over SEK 10,000, corresponding to a payback period of about 12–14 years.
Finally, the author highlights that meaningful economic gains from batteries may require smarter strategies—such as peak shaving, price arbitrage, or participation in virtual power plants—rather than relying solely on maximizing self-consumption.
Read the full article here.