How do they arrive at these figures.

[solarsavings]

I've been to price an install today where they had another quote for 2.25KWp "Fully" installed for £11800 (nice if you can get it) there figures showed a return of 20%pa. I'd love to know how they get to these figures because I can't get near MEP's let alone this one and I went in at £5500. Whats the secret?

 

[Gavin A]

unless they're just making it up entirely, they'll be using annualised average figures, and a high RPI and energy price inflation figures.

basically it takes the entire 25 year estimated income inc inflation, averages it over the 25 years, then uses that to give the figure for the percentage annual return on the up front capital.

it's well dodgy IMO, but should be fairly easy to then show potential customers that the company is not to be trusted with their figures, and how can their figures be so much better if the price is double yours etc.