Techno-economic feasibility of grid-independent residential roof-top solar PV systems in Muscat, Oman

Abstract

Oman is a country characterised by high solar availability, yet very little electricity is produced using solar energy. As the residential sector is the largest consumer of electricity in Oman, we develop a novel approach, using houses in Muscat as a case study, to assess the potential of implementing roof-top solar PV/battery technologies, that operate without recourse to the electricity grid. Such systems target the complete decarbonisation of electricity demand per household and are defined in this study as grid-independent systems. The approach adopted starts with a technical assessment of grid-independent systems that evaluates the characteristics of the solar panel and the battery facility required to provide grid-independence. This is then compared to a similar grid-connected system and any techno-economic targets necessary to enhance the feasibility of residential roof-top PV systems in Muscat are identified. Such an analysis was achieved through developing a detailed techno-economic mathematical model describing four subsystems ; the solar panel DC source, the grid-independent subsystem , the grid-connected subsystem and the economic subsystem. The model was implemented in gPROMS and uses real hourly weather and climate conditions matched with real demand data, over a simulated period of 20 years. The results indicate that, in the context of the system studied, grid-independent PV systems are not feasible. However, combined with a su ciently high electricity price, grid-independent systems can become economically feasible only with significant reductions in battery costs (>90% reductions).

Identification and Analysis of Impact Factors on the Economic Feasibility of Photovoltaic Energy Investments

“…The initial investment cost is the main factor used in most economic feasibility studies to determine whether the project is indeed financially viable. According to Al-Saqlawi et al [60], for example, two criteria are used to assess the attractiveness of an investment: payback and IRR. Both criteria are based on the investment value to know if the business is viable.…”

“…The value of the electricity tariff has a great impact on the economy, in addition to varying with the annual rate of increase, and even with the profile of energy consumption. According to Al-Saqlawi et al [60], the main benefit associated with a grid-connected PV system is an annual reduction of the energy bills, calculated using the electricity tariff structure. A system connected to the grid has the additional benefit of exporting the surplus electricity to the grid.…”

“…Summary of identified impact factors. ,17,20,24,27,32,36,40,41,43,46,49,51,57,[59][60][61][62]69,75,76,78,80,83,85,86,88,89,92,93,95,97,98,108,111,115,117,121,124,130,137,148,150,153,155,161,167,184,186,193,200,204,207,…”

Techno-economic comparative analysis of solar photovoltaic power systems with and without storage systems in three different climatic regions, Ghana

“…A net present cost of $ 9637, cost of energy of 0.398 $/kWh and an operating cost of 224 $/year were obtained in their study. Al-Saqlawi et al [21], also assessed the technoeconomic potential of roof-top solar PV/battery system for electricity generation in Oman. Their results indicated that, the grid-independent PV system that was studied was not feasible under the conditions they adopted.…”

Estimation of Self-Sufficiency Rate in Detached Houses Using Home Energy Management System Data

“…However, they suggested that PV itself provides improved performance at the current battery costs. Al-Saqlawi et al, in 2018 [9], simulated the energy consumption, economic effects, and potential of grid-independent and grid-connected systems using solar PV and battery equipment in homes in Oman. To report the requirement for on batteries, Luthander et al, in 2016 [10], analyzed the SC of PV power generation systems in 21 detached houses in Sweden.…”