Iraqi Kurdistan Region has a big potential in solar energy, because of its location and territorial extension. Yet the exploration of this technology not widely accepted in thisregion due to some reasons including the high installation cost, the lack of experience and technical unknowns. In this paper, a techno-economic analysis has been carried out toresolve some of these unknowns using 2MW solar power system and Chavy land city as a test bed. The system tries to contribute to part of daily energy demand of the place. Thewell-known computational System Advisor Model (SAM) simulation used to run technical and financial analysis. Simulation results showed that the system contributes significantly topower the area and reduce the load on the national grid. Although initial installation cost shows high prices, within a short period it would not only recover installation costs but alsohelp gain substantial disbursement through the lifetime of the system.

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