journal article Open Access Nov 06, 2022

Techno-Economic Analysis of Renewable-Energy-Based Micro-Grids Considering Incentive Policies

Energies Vol. 15 No. 21 pp. 8285 · MDPI AG
View at Publisher Save 10.3390/en15218285
Abstract
Renewable-energy-based microgrids (MGs) are being advocated around the world in response to increasing energy demand, high levels of greenhouse gas (GHG) emissions, energy losses, and the depletion of conventional energy resources. However, the high investment cost of the MGs besides the low selling price of the energy to the main grid are two main challenges to realize the MGs in developing countries such as Iran. For this reason, the government should define some incentive policies to attract investor attention to MGs. This paper aims to develop a framework for the optimal planning of a renewable energy-based MG considering the incentive policies. To investigate the effect of the incentive policies on the planning formulation, three different policies are introduced in a pilot system in Iran. The minimum penetration rates of the RESs in the MG to receive the government incentive are defined as 20% and 40% in two different scenarios. The results show that the proposed incentive policies reduce the MG’s total net present cost (NPC) and the amount of carbon dioxide (CO2) emissions. The maximum NPC and CO2 reduction in comparison with the base case (with incentive policies) are 22.87% and 56.13%, respectively. The simulations are conducted using the hybrid optimization model for electric renewables (HOMER) software.
Topics

No keywords indexed for this article. Browse by subject →

References
51
[1]
Seifi "Dynamic equivalencing of an active distribution network for large-scale power system frequency stability studies" IET Gener. Transm. Distrib. (2015) 10.1049/iet-gtd.2015.0484
[2]
Amini "A data-driven inertia adequacy-based approach for sustainable expansion planning in distributed generations-penetrated power grids" IET Gener. Transm. Distrib. (2022) 10.1049/gtd2.12626
[3]
Edge Computing for IoT-Enabled Smart Grid: The Future of Energy

Quy Nguyen Minh, Van-Hau Nguyen, Vu Khanh Quy et al.

Energies 10.3390/en15176140
[4]
Optimal planning of hybrid renewable energy systems using HOMER: A review

S. Bahramara, M. Parsa Moghaddam, M.R. Haghifam

Renewable and Sustainable Energy Reviews 2016 10.1016/j.rser.2016.05.039
[5]
Baruah "Modeling of an autonomous hybrid renewable energy system for electrification of a township: A case study for Sikkim, India" Renew. Sustain. Energy Rev. (2020) 10.1016/j.rser.2020.110158
[6]
Sadeghi "Optimal sizing of hybrid renewable energy systems in presence of electric vehicles using multi-objective particle swarm optimization" Energy (2020) 10.1016/j.energy.2020.118471
[7]
Kotb "Coordinated power management and optimized techno-enviro-economic design of an autonomous hybrid renewable microgrid: A case study in Egypt" Energy Convers. Manag. (2020) 10.1016/j.enconman.2020.113185
[8]
Mostafaeipour "Techno-economic assessment of using wind power system for tribal region of Gachsaran in Iran" J. Eng. Des. Technol. (2020)
[9]
Chambon "Techno-economic assessment of biomass gasification-based mini-grids for productive energy applications: The case of rural India" Renew. Energy (2020) 10.1016/j.renene.2020.03.002
[10]
Elkadeem "A systematic decision-making approach for planning and assessment of hybrid renewable energy-based microgrid with techno-economic optimization: A case study on an urban community in Egypt" Sustain. Cities Soc. (2020) 10.1016/j.scs.2019.102013
[11]
Taghavifar "Techno-economic viability of on grid micro-hybrid PV/wind/Gen system for an educational building in Iran" Renew. Sustain. Energy Rev. (2021) 10.1016/j.rser.2021.110877
[12]
Rad "Techno-economic analysis of a hybrid power system based on the cost-effective hydrogen production method for rural electrification, a case study in Iran" Energy (2020) 10.1016/j.energy.2019.116421
[13]
Ghasemi "Techno-economic analysis of stand-alone hybrid photovoltaic–diesel–battery systems for rural electrification in eastern part of Iran—A step toward sustainable rural development" Renew. Sustain. Energy Rev. (2013) 10.1016/j.rser.2013.08.011
[14]
Abnavi "Techno-economic feasibility analysis of stand-alone hybrid wind/photovoltaic/diesel/battery system for the electrification of remote rural areas: Case study Persian Gulf Coast-Iran" Environ. Prog. Sustain. Energy (2019) 10.1002/ep.13172
[15]
Aghapouramin "Techno-Economic Assessment of Hybrid Renewable Energy Systems for Residential Complexes of Tabriz City, Iran" Strat. Plan. Energy Environ. (2022)
[16]
Jahangir "A techno-economic comparison of a photovoltaic/thermal organic Rankine cycle with several renewable hybrid systems for a residential area in Rayen, Iran" Energy Convers. Manag. (2019) 10.1016/j.enconman.2019.05.010
[17]
Goudarzi "Techno-economic assessment of hybrid renewable resources for a residential building in tehran" Environ. Prog. Sustain. Energy (2019) 10.1002/ep.13209
[18]
Ghorbani "Optimizing a hybrid wind-PV-battery system using GA-PSO and MOPSO for reducing cost and increasing reliability" Energy (2018) 10.1016/j.energy.2017.12.057
[19]
Amrollahi "Techno-economic optimization of hybrid photovoltaic/wind generation together with energy storage system in a stand-alone micro-grid subjected to demand response" Appl. Energy (2017) 10.1016/j.apenergy.2017.05.116
[20]
Halabi "Performance analysis of hybrid PV/diesel/battery system using HOMER: A case study Sabah, Malaysia" Energy Convers. Manag. (2017) 10.1016/j.enconman.2017.04.070
[21]
Hafez "Optimal planning and design of a renewable energy based supply system for microgrids" Renew. Energy (2012) 10.1016/j.renene.2012.01.087
[22]
Das "A techno-economic feasibility of a stand-alone hybrid power generation for remote area application in Bangladesh" Energy (2017) 10.1016/j.energy.2017.06.024
[23]
Movahediyan "Multi-objective optimization framework of a photovoltaic-diesel generator hybrid energy system considering operating reserve" Sustain. Cities Soc. (2018) 10.1016/j.scs.2018.05.002
[24]
Mandal "Optimum sizing of a stand-alone hybrid energy system for rural electrification in Bangladesh" J. Clean. Prod. (2018) 10.1016/j.jclepro.2018.07.257
[25]
Zhang "Optimization with a simulated annealing algorithm of a hybrid system for renewable energy including battery and hydrogen storage" Energy (2018) 10.1016/j.energy.2018.08.112
[26]
Feasibility study of an islanded microgrid in rural area consisting of PV, wind, biomass and battery energy storage system

Shakti Singh, Mukesh Singh, Subhash Chandra Kaushik

Energy Conversion and Management 2016 10.1016/j.enconman.2016.09.046
[27]
Aykut "Techno-economic and environmental analysis of grid connected hybrid wind/photovoltaic/biomass system for Marmara University Goztepe campus" Int. J. Green Energy (2020) 10.1080/15435075.2020.1821691
[28]
Gamil "Optimal sizing of a residential microgrid in Egypt under deterministic and stochastic conditions with PV/WG/Biomass Energy integration" AIMS Energy (2021) 10.3934/energy.2021024
[29]
Abid "Design, sizing and economic feasibility of a hybrid PV/diesel/battery based water pumping system for farmland" Int. J. Green Energy (2021) 10.1080/15435075.2021.1954007
[30]
"Modelling biomass gasifiers in hybrid renewable energy microgrids; a complete procedure for enabling gasifiers simulation in HOMER" Renew. Energy (2021) 10.1016/j.renene.2021.04.083
[31]
Barua "Design of grid connected microgrid with solar photovoltaic module" Mater. Today: Proc. (2021)
[32]
Ghiasi "Detailed study, multi-objective optimization, and design of an AC-DC smart microgrid with hybrid renewable energy resources" Energy (2019) 10.1016/j.energy.2018.12.083
[33]
Ghiasi, M., Niknam, T., Dehghani, M., Siano, P., Alhelou, H.H., and Al-Hinai, A. (2021). Optimal Multi-Operation Energy Management in Smart Microgrids in the Presence of RESs Based on Multi-Objective Improved DE Algorithm: Cost-Emission Based Optimization. Appl. Sci., 11. 10.3390/app11083661
[34]
Rashid "Techno-Economic Analysis of Grid-Connected Hybrid Renewable Energy System for Remote Areas Electrification Using Homer Pro" J. Electr. Eng. Technol. (2022) 10.1007/s42835-021-00984-2
[35]
Aziz "Techno-economic and environmental evaluation of PV/diesel/battery hybrid energy system using improved dispatch strategy" Energy Rep. (2022) 10.1016/j.egyr.2022.05.021
[36]
Kalappan "Techno-economic study of hybrid renewable energy system of Metropolitan Cities in India" Int. J. Ambient Energy (2022) 10.1080/01430750.2019.1708791
[37]
Islam, M.R., and Akter, H. (2022). Optimal Sizing and Techno-Economic Analysis of Grid-Independent Hybrid Energy System for Sustained Rural Electrification in Developing Countries: A Case Study in Bangladesh. Energies, 15. 10.3390/en15176381
[38]
Dong "Feed-in tariff vs. renewable portfolio standard: An empirical test of their relative effectiveness in promoting wind capacity development" Energy Policy (2012) 10.1016/j.enpol.2011.12.014
[39]
"Ten years of renewable electricity policies in Spain: An analysis of successive feed-in tariff reforms" Energy Policy (2008) 10.1016/j.enpol.2008.03.025
[40]
Chen "Socially optimal deployment strategy and incentive policy for solar photovoltaic community microgrid: A case of China" Energy Policy (2018) 10.1016/j.enpol.2018.01.056
[41]
Mondol "Overview of challenges, prospects, environmental impacts and policies for renewable energy and sustainable development in Greece" Renew. Sustain. Energy Rev. (2013) 10.1016/j.rser.2013.01.041
[42]
Zhou "Designing effective and efficient incentive policies for renewable energy in generation expansion planning" Appl. Energy (2011) 10.1016/j.apenergy.2010.12.022
[43]
Careri "Generation Expansion Planning in the Age of Green Economy" IEEE Trans. Power Syst. (2011) 10.1109/tpwrs.2011.2107753
[44]
Zame "Smart grid and energy storage: Policy recommendations" Renew. Sustain. Energy Rev. (2018) 10.1016/j.rser.2017.07.011
[45]
Brka "Predictive power management strategies for stand-alone hydrogen systems: Operational impact" Int. J. Hydrogen Energy (2016) 10.1016/j.ijhydene.2016.03.085
[46]
Golpira "Optimal Energy Storage System-Based Virtual Inertia Placement: A Frequency Stability Point of View" IEEE Trans. Power Syst. (2020) 10.1109/tpwrs.2020.3000324
[47]
Golpîra, H., Román-Messina, A., and Bevrani, H. (2021). Renewable Integrated Power System Stability and Control, John Wiley & Sons. 10.1002/9781119689836
[48]
Gebrehiwot "Optimization and cost-benefit assessment of hybrid power systems for off-grid rural electrification in Ethiopia" Energy (2019) 10.1016/j.energy.2019.04.095
[49]
(2021, March 13). Average Weather at Sanandaj. Available online: https://www.accuweather.com.
[50]
Naderi "Optimal planning in a developing industrial microgrid with sensitive loads" Energy Rep. (2017) 10.1016/j.egyr.2017.08.004

Showing 50 of 51 references