The Cost Benefit Analysis of Commercial 100 MW Solar PV: The Plant Quaid-e-Azam Solar Power Pvt Ltd.

Abstract

The energy crisis in Pakistan has crippled the country’s economy with an energy shortfall reaching up to 6000 MW. Fortunately, Pakistan lies close to the Sun Belt and therefore receives very high irradiation. To this end, in the beginning of 2014 the Pakistani government sanctioned a solar photovoltaic project namely Quaid-e-Azam Solar Park which was rated at 1000 MW. In this study, a cost benefit analysis for the Quaid-e-Azam Solar Park has been developed. The model uses RETScreen software. In fact, a literature review pointed out that most of the previous research work with reference to cost benefit analysis for solar projects has been mainly carried out on smaller power plants. The outcome of the study shows promising results with the simple payback period coming out at 5.6 years. Furthermore, this analysis can serve as guideline for future solar photovoltaic projects in Pakistan and can help in the development and utilization of the huge solar potential of the country, thus aiding in the reduction of energy shortage. In its proposal, our research is unique and innovative in the Pakistani context. The results aim to serve as a guideline for decision makers and researchers interested in this topic.

Photovoltaic Solar System for the Residents of Faisalabad: A Cost-Benefit Analysis

“…The true economic cost of LCOE of a PV system will dramatically decrease when the value of energy resources saved from producing conventional electricity and the cost of reducing CO2 emissions are taken into account, according to the Cost Benefit Analysis (Ramadhan & Naseeb, 2011). Asad, Mahmood, Baffo, Mauro, and Petrillo (2022) did the cost benefit analysis of Quaid-e-Azam Solar Park. The model makes advantage of RETScreen.…”

Cost-benefit analysis framework for utility-scale solar energy development: a life cycle approach

“…Asad [29] investigated the cost-benefit analysis of commercial 100 MW Solar PV: at Quaid-e-Azam Solar Power Plant Pvt Ltd. Asad [29] used the technique of calculating the internal rate of return, net present value, and simple payback period. Payback period of commercial 100 MW Solar PV at Quaide-Azam Solar Power Plant Pvt Ltd is 5.6 years [29].…”

“…Asad [29] investigated the cost-benefit analysis of commercial 100 MW Solar PV: at Quaid-e-Azam Solar Power Plant Pvt Ltd. Asad [29] used the technique of calculating the internal rate of return, net present value, and simple payback period. Payback period of commercial 100 MW Solar PV at Quaide-Azam Solar Power Plant Pvt Ltd is 5.6 years [29]. The study conducted by Asad [29] is limited to taking into account the feasibility study, Power systems' cost (cost of PV, transmission line, substation equipment (transformers, circuit breakers etc.…”

Evaluation of Regulatory Governance of the National Electric Power Sector of Pakistan

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