Capacity Factor
===============

The capacity factor is the ratio of the system's electrical output in the first year of operation to the system's electrical output if it operated at its nameplate capacity for every hour of the year.

*Capacity Factor = Annual Energy (kWhac/yr) / ( System Capacity (kWdc or kWac) * 8760 (h/yr) )*

Where *Annual Energy* is the total annual electric generation in the first year of operation, and System* Capacity* is the system's nameplate capacity (see table below), and 8760 is the number of hours in one year.

For PV systems, the capacity factor is either an AC-to-DC value and labeled as DC Capacity Factor, or an AC-to-AC value labeled as AC Capacity Factor. For other systems, the capacity is an AC-to-AC value.

For systems with batteries, Net Annual Energy 

.. include:: ../includes/snip_system_capacity.rst

