What?! Lithium is TWICE the price HOW can it be half the cost? I know my mathematics! Who is fooling Who?
In our last week’s newsletter, we discussed lead acid batteries...remember—we told you the battery decays a bit with EVERY recharge, and in any event, its worn out after 5 years.
Lithium batteries are becoming well known in solar powered installations these days. And with good reason.
Lithium batteries are indifferent to recharge decay. They can be partially recharged, fully recharged and subjected to temperatures of 60° Centigrade without adverse effects. They are also 3 x more energy dense than lead acid. AND they can be discharged 90% compared to 30—50% for lead-acid. They can be fully recycled without risk to the environment, lead-acid - not so simple.
TWICE the price but HALF the COST—REALLY?
Mathematically this is double standards, we agree…. BUT, we are talking batteries here, and they have their own laws of mathematics. The statement above is TRUE and here’s why:
Lithium is guaranteed for 10 years; Lead-Acid only 2 years. Lithium Lifespan about 20 years Lead-Acid 5 years.
In the guaranteed lifespan of lithium batteries, lead-acid would have been replaced at least once. Over the expected lithium lifespan of 20 years, lead-acid would have been replaced 3 times, and would be needing the fourth replacement. Lead-acid prices are going UP by 10% per year, whereas lithium is coming down in price yearly.
Year 1: Lead-Acid R12 000* vs Lithium R26 000*
Year 5: Lead-Acid R17 569* vs Lithium R0.00
Year 10: Lead-Acid R25 723* vs Lithium R0.00
Year 15: Lead-Acid R37 661* vs Lithium R0.00
Year 20: Lead-Acid R55 139* vs Lithium R22 100*
Total 20 years R148 092 vs Lithium R48 100
R148 092 - R48 100 = R99.992 savings in Lithium Units.
TWICE the PRICE - HALF the COST? Absolutely!
Figures are illustrative, but cost ratio exact at time of publishing this news letter.