The economic feasibility analysis of generated photovoltaic energy in the USTO campus

Abstract

The aim of this study is to analyze the economic impact of photovoltaic energy generation by a prospective campus microgrid to be installed at the University of Science and Technology (USTO). In this work, hourly solar irradiation and temperature data provided from the local weather office is used to study the distribution and duration of solar radiation over the campus. The generated solar photovoltaic energy is analyzed taking into account the economic aspects such as the photovoltaic system capital investment cost and the annual power generation cash flow. The installed power of the photovoltaic plant was calculated and the generated energy estimed. The feasility analysis shows a payback year of of 10,3, an internal rate of return of 5% and a profitability index of 1. Streszczenie. Przedstawiono analizę fotowoltaicznego układu zasilania zastosowane go w kampusie uniwersytetu USTO w Oranie. Amalizowano głównie koszty, opłacalność ekonomiczną i zwrot kosztów inwestycji. Analiza aspektów ekonimicznych sieci fotowoltaicznej na przykładzie kampusu uniwersytetu USTO w Oranie

Techno-Economic and Environmental Feasibility Study of a Hybrid Photovoltaic Electrification System in Back-up Mode : A Case Report

“…These estimates are higher than those shown in this study. Similarly, the internal rate of return (IRR) of 5% indicated in the studies of (Bourahla et al 2019), of 10.36% by (Yaniktepe et al 2017), 7.33% by (Bermeo et al 2021), 12.2% by (Sanwogou et al 2019), 13% by (Windarta et al 2020) and 11% by (Vakili et al 2022) are well below the rate of return evaluated at 21.2% observed by the present study. It should be noted that almost all of the above projects showed a positive NPV; which indicates a good profitability of solar energy systems even if in the work of (Kristiawan et al 2018) the solar feasibility project carried out by the authors seemed unfeasible.…”

“…The long-term saving achieved by the solar system studied by (Sanwogou et al 2019) in Togo, (Doudou 2016) in Niger and (Windarta et al 2020) in Indonesia indicates values that are much lower than those generated by scenario 6. As for the studies of Bourahla et al 2019) in Algeria, (Bermeo et al 2021) in Ecuador, (Hanen et al 2018) in Tunisia, (Doudou 2016) in Niger, (Yaniktepe et al 2017) and (Windarta et al 2020) in Indonesia, the authors observed dates that vary between 6 years and 21 years as the return on their investment. These estimates are higher than those shown in this study.…”

“…(Imam et al 2019) used the System Advisor Model software to carry out a technical-economic feasibility analysis of a grid-connected residential photovoltaic system for a typical apartment in Saudi Arabia, based on various key performance indicators, at namely: efficiency, capacity factor, performance ratio, levelized energy cost, net present value, internal rate of return and payback period. Bourahla et al (2019) analysed the economic impact of photovoltaic energy production by a future campus microgrid for the University of Science and Technology (USTO) in Algeria. The feasibility analysis made it possible to determine the number of years of recovery, the internal rate of return of 5% and the profitability index.…”