Providing sustainable electricity access to remote areas is critical for economic development and environmental preservation. This study investigates the performance of single‐source and hybrid renewable energy systems for the town of Zahedan, Iran, which has significant solar and wind energy potential. Using TRNSYS software, eight configurations were simulated and analyzed, comprising two single‐source (photovoltaic [PV] and wind turbine [WT]) and six hybrid systems incorporating combinations of PV panels, WTs, alkaline fuel cells, and diesel generators. The analysis revealed that hybrid systems, particularly those combining PV and WT, outperformed single‐source configurations. For instance, a hybrid system with 800 kW of PV and a 50 kW WT reduced diesel consumption by 35% and CO2 emissions by 45% compared to a system relying solely on a diesel generator. Conversely, the configuration involving WTs, fuel cells, and diesel generators showed high energy dumping (1,821,776 kWh) and considerable diesel usage, underscoring the challenges of maintaining energy balance without solar integration. Overall, hybrid renewable systems generally provide enhanced reliability and environmental benefits, although their performance heavily depends on the specific energy source mix. This study offers insights into optimizing renewable energy systems for remote locations, highlighting the necessity of a balanced solar‐wind combination to achieve optimal sustainability and cost‐effectiveness. The findings are applicable to regions with similar climatic conditions and contribute to global sustainable energy solutions, providing crucial information for policymakers and investors focused on supporting sustainable energy projects in isolated areas.