Techno-Economic Design and Optimization of Hybrid Energy Systems

Abstract

The power generation capacity must be increased to accommodate population growth and address the lack of electricity access in rural areas. Traditional power plants in South Africa are unable to keep up with the growing demand for electricity. By strategically planning and building clusters of renewable energy sources like solar and wind, microgrid operators can provide a sustainable solution that boosts electricity supply while being cost-effective and environmentally friendly. Utilizing renewable energy can help alleviate strain on power plants by reducing peak demand in constrained distribution networks. The benefits of renewable energy include lower electricity expenses, enhanced system reliability, investment reallocation, and reduced environmental impact. These advantages will enhance the efficiency of the power system and contribute economic value to society. However, integrating solar power into the network infrastructure presents challenges such as fundamental changes in network structure, its intermittent nature due to unpredictability, and geographical constraints, which can complicate the task of grid operators in balancing electricity supply and demand within system limits while minimizing costs. The study employs Homer Pro 3.18.1 software to assess the economic costs and benefits of effectively integrating renewable technologies into the power grid. The aim is to evaluate the economic and technical feasibility of investing in renewable energy projects within the network. The research outcomes can guide power system operators, planners, and designers in leveraging solar energy to drive economic growth and industrial advancement, as well as assist independent power producers in making informed investment choices.