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Payback from Outage Avoidance

Put a payback period on the generator using the value of the outages it avoids, not a feeling about reliability.

Inputs

Inputs and assumptions

Lost margin, spoilage, labor standing idle, and restart cost.

Result

Avoided outage cost per year
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Annual cost to own and run
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Net annual benefit
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Simple payback
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Ten-year net position
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What to check

  • Actual revenue or margin per operating hour
  • Outage hours per year from the utility or the site log

Related calculators

Budget-grade estimate built from your own unit prices. Local labor rates, permit fees, utility requirements, and site conditions move the total; three itemized quotes from licensed contractors replace this estimate.

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Keep the assumptions with the result.

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