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This paper presents the optimization of a 10 MW solar/wind/diesel power generation system with a battery energy storage system (BESS) for one feeder of the distribution system in Koh Samui, an island in southern Thailand.  The main objectives are to maximize the deployment of renewable energy-based power generation and to minimize the levelized cost of energy (LCOE).  A hybrid renewable energy-based power generation system, consisting of solar PV, wind turbine generators, diesel generator (DiG), bi-directional grid-tied charging inverter (CONV) and BESS, was simulated using HOMER Pro®. This study accessed the database of the National Aeronautics and Space Administration (NASA) for the Surface meteorology and Solar Energy (SSE) for the global solar radiation and temperature, along with the Modern-Era Retrospective analysis for Research and Applications (MERRA-2) wind database. The simulations show that Scenario 1 (PV/Wind/DiG/BESS/CONV) and Scenario 3 (PV/DiG/BESS/CONV) are the optimal configurations regarding the economic indicators (i.e. minimum net present costs (NPC) of 438 M$ and LCOE of 0.20 $/kWh) and the environmental indicators (i.e. lowest greenhouse gases (GHG) emission avoidances of 6,339 tonnes/year and highest renewable fraction (RF) of 89.4%). Furthermore, the sensitivity analysis illustrates that Scenario 3 offers the optimal system type with the largest annual energy production (AEP). Besides contributing to the body of knowledge of optimization methodologies for microgrid hybrid power systems, the outcome of this work will assist the regional energy practitioners and policy makers regarding optimal configurations of microgrid hybrid systems in the development of a Green Island concept for Koh Samui.