Use of packed bed for the improvement of performance of solar air heater has been proposed by several investigators. However, this enhanced efficiency is accompanied by substantial increase in pressure loss, which results in higher running cost of the system. So, the solar energy collection system should be optimized in such a way that it will give energy with minimum cost. In this work two types of packed bed collectors, one with wire mesh screen matrix bed and other with pebble bed, were optimized on the basis of minimum cost per unit energy delivered. Tables for optimum values of bed parameters namely number of layers, porosity, pitch to wire diameter ratio and pebble diameter have been prepared on the basis of minimum cost per unit energy delivered. These tables can be used by a designer for selecting the optimum values of bed parameters. (C) 2004 Elsevier Ltd. All rights reserved.