Effective $/Watt: Selecting solar modules by total value to maximize profit

In the solar energy industry, the $/Watt metric has been a cornerstone for assessing solar module cost-effectiveness. This metric originated in the early days of solar panel technology to provide a straightforward way of comparing different solar module prices. It simply reflects the cost of a solar module divided by its power output in watts, making it an easy-to-understand measure for developers and system owners alike. 

Recognizing that the the traditional $/Watt metric presents several challenges, including incomplete comparisons and a narrow view limited just to module purchase price, Anza developed the Effective $/Watt metric. This transformative approach integrates module price, balance of system (BOS) savings regarding installation costs, and production benefits, all in a rapidly accessible format.

Download our overview showing the power of Effective $/W for decision-making and understand how this metric provides a foundational understanding of the cost-effectiveness and value of different modules over the lifetime of the project.

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