Technical and Economic Study of On-Gird Solar Rooftop PV system
Using PV Syst Software: A Case Study
FOUAD ZARO
Electrical Engineering Department
Palestine Polytechnic University
Hebron City
PALESTINE
Abstract: - The majority of businesses heavily rely on a steady and dependable supply of power to keep running.
Unfortunately, Hebron's utility grid experiences excessive electricity bills and inadequate energy security. since
there aren't any power plants and the most of the electricity is imported from elsewhere. This study uses the
PVsyst software to build and analyze the economics of an on-grid solar rooftop photovoltaic (PV) system. The
research's conclusions show that the planned rooftop solar PV system for use on the grid has a particular solar
PV capacity of 100 kW, with a potential annual energy output of 169 MWh. The system's initial capital cost to
create is US$100,000, with a payback period of 5 years and a projected return on investment (ROI) of 291.1%,
according to the economic study.
Key-Words: - Solar energy, photovoltaic, renewable energy sources, power losses, voltage profile, payback
period, net present value, return on investment.
Received: November 22, 2022. Revised: August 18, 2023. Accepted: September 13, 2023. Published: October 16, 2023.
1 Introduction
Renewable energy is currently an alternative to
conventional energy and will soon overtake it as the
dominant source. In order to preserve or even
increase the quality and reliability of the power
supply, new strategies for the operation and
management of the electricity grid are required due
to the growing use of distributed generators and
renewable energy sources [1].
Distributed generation (DG) refers to the
integration of renewable energy sources (RES) at the
distribution level. The utility is worried about the
high degree of intermittent RES penetration in
distribution systems because it could endanger the
network's stability, voltage regulation, and power-
quality (PQ) problems. To guarantee the total
network is operating safely, reliably, and efficiently,
the DG systems must adhere to tight technical and
legal requirements [2].
In general, there are two basic categories of
electrical energy sources: traditional and renewable.
conventional energy sources include fuel, nuclear,
and water head energy. Renewable. for instance,
wind, sun, and biogas energy [3].
Solar energy, often known as renewable energy,
derives its primary source from the Sun, a source of
both heat and light. Sunlight may be used to create
electrical energy through photovoltaic (PV) cells, and
heat from the Sun can be used to create electrical
energy through mirrors [4].
Solar energy has various benefits, including zero
transmission costs for standalone solar systems,
environmentally friendly solar electricity producing
systems, cheap maintenance costs, and its suitability
for remote places. However, there are also some
drawbacks, such as high initial costs, the need for a
large production area, the reliance on the weather for
solar electricity generation, the high cost of solar
energy storage batteries, and the possibility of
technical side effects like harmonics and losses [5]-
[6].
The demand for renewable energy systems is
rising quickly in the modern era, particularly for
rooftop PV on-grid systems. This problem motivates
researchers to conduct a thorough technical study that
includes loads, capacity, and power quality
parameters. It also prompts researchers to conduct
feasibility studies for all economic parameters to
ensure that the future growth in demand won't
negatively impact the electrical network and will
instead provide distribution companies and investors
with benefits and revenues [7]-[9].
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Palestine has an excellent chance of utilizing solar
energy due to favorable weather and high solar
radiation. According to information from the
Palestinian Energy and Natural Resources Authority
(PENRA), Palestine experiences an average daily
solar radiation range of 50 to 400 W/m2 throughout
the course of a 24-hour period.
The design, sizing, and optimization of the PV
system have all been the subject of numerous studies.
Solar energy sources are becoming an essential
electrical source due to the huge global demand for
renewable energy sources as a substitute for
conventional energy.
Rooftop photovoltaic systems cost $1.43 per
kilowatt to install in the Suranaree University of
Technology region of Thailand. The overall potential
area of the feasibility buildings group, which consists
of around 38 buildings and includes office buildings,
gyms, hospitals, machinery centers, and employee
houses, is 23,200 square meters. Overall net present
value (NPV) was $1,551,650 US dollars, internal rate
of return (IRR) was 9.75%. With a typical payback
term of around 9 years, the project's overall expected
lifespan of 25 years was shorter than the average
payback period [10].
The ideal PV rooftop system designs for an
educational facility in Bangalore have been taken
into consideration. The simulation results for both
situations demonstrated that the on-grid model's NPV
was lower than that of the off-grid option, which
called for additional storage (battery) or a diesel
generator as a backup supply. This results in higher
expenses and more emissions [11].
The effects of 1.5 MW and 50 kW capacity on-
grid and off-grid PV power plants in Palestine on
voltage profiles and power losses were presented in
[12].
There has been research on the effects of
integrating PV sources using the DIgSILENT power
factory software, which displays output findings and
compares voltages and power loss profiles [13].
Using the PVsyst software, the payback study for
solar PV energy generation from a grid-connection
installed PV system has been completed. The
payback study depicts the institute's total savings,
with a potential ROI of roughly 4 years beyond the
date of commissioning [14].
The impacts of connecting a PV source to the grid,
or what is known as an "on-grid connection," within
the electrical network were examined using RSCAD
software; the study focused on harmonics, power
factor, and performance ratio [15].
More than 20% of Australian residences have
rooftop solar PV systems, therefore one study on
these systems was done there. In order to lessen
system stress during peak demand, this study looked
at the feasibility of storing solar PV energy
throughout the day and releasing it during peak time.
Reduced peak demand and reduced system
generation capacity are this system's key advantages
[16].
The demand for renewable energy systems has
increased in recent years due to the effects of CO2
from using conventional energy. This means that the
penetration level of renewable energy will increase
inside the network, which will lead to various issues
and implications.
The principal difficulties that will arise once the
renewable energy system is linked to the network: the
inability to produce electricity quickly enough, the
issues with power quality, the forecasting of
generation, and lastly the location of these plants. In
order to assist the economic field in obtaining jobs in
this field, researchers encouraged people to look
forward to renewable energy systems and underlined
the benefits of these systems. Additionally, to use
renewable energy sources while ignoring the effects
of power outages [17].
One study looked at the financial effects of
mounting a PV system on the roof of a mosque in
Riyadh city. According to the calculations, a net
metering system may effectively lower the mosque's
annual expenditure to zero. A practical PV system
was erected and tested on the mosque's rooftop in
order to finish the technical analysis. Both the
technical model's and the actual installation's
outcomes were accepted. Additionally, the PV
system's energy output can be exported to the grid.
The cost of the capital investment and the decrease in
the annual electricity bill have been compared.
However, it is recommended from this study that
future mosques to be built with the PV rooftop
system [18].
Grid-connected PV systems provide many
advantages to utilities and consumers by integrating
with other distributed energy resources (DERs) and
the utility grid. A bi-directional inverter, PV panels,
a battery system, a smart meter, a direct current (DC)
bus system, and an alternating current (AC) bus are
just a few of the parts that make up these systems.
The goal of this study is to determine whether it
would be feasible to install a solar rooftop
photovoltaic (PV) system in Hebron. Utilizing the
PVsyst software, the study tries to design the system
while taking solar potential into account. To ascertain
the financial viability and cost-effectiveness of the
suggested solar PV system, an economic study will
also be carried out.
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DOI: 10.37394/232033.2023.1.15
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2 Research Methodology
2.1 Data collection
Hebron is a Palestinian city in the southern West
Bank, 30 kilometers south of Jerusalem. It is the
second-largest city in the West Bank, after East
Jerusalem, the geographical coordinates of Hebron
are 31°31′N 35°11′E, at an elevation of 930 meters
above sea level.
Figure 1 depicts seasonal patterns and swings in
temperature to show how it varies throughout the
year. We notice that the temperature typically reaches
its highest point in the summer and its lowest point in
the winter.
Fig. 1: Average high and low temperature in Hebron
city (Weatherspark.com).
Figure 2 shows the annual solar irradiation levels
and offers helpful insights into the amount of solar
radiation that is received during various months of
the year.
Fig. 2: Average daily incident shortwave solar
energy in Hebron city (Weatherspark.com)
Figure 3 shows the sun's position angle
throughout the year, together with the sun's azimuth
and elevation angles. These numbers help us
understand the information about the solar resources
and analyze the possibilities for using solar energy in
the specific place.
Fig. 3: Solar elevation and azimuth in Hebron city.
2.2. System Design
Let's look at Table 1 to describe the patterns of energy
consumption and needs of the analysis block that was
chosen. First of all, it's significant to note that there
are 18 identical blocks in total, all of which have the
ability to accommodate solar installation. However,
we have selected one particular block to concentrate
on for the analysis. The block's energy consumption
is shown in Table 1 along with numerous data points.
This contains details about the trends and needs in
energy use within the block. The table can be
examined to learn more about how the block uses
energy. It could offer specifics like the total amount
of energy used by the block over a specific time
period, which could be expressed in kilowatt-hours
(kWh).
Table 1: Block energy consumption
Item
No.
Power
[W]
Run
Time
[h]
Consumed
Energy
[Wh]
Lamp
30
20
8
4800
PC
4
100
8
3200
Refrigerator
1
300
5
1500
TV
1
40
6
240
AC
3
1000
4
12000
TOTAL 21.74 kWh
Table 2 lists the essential elements needed for a
photovoltaic (PV) system to operate correctly.
Among these parts are principally inverters and PV
modules.
Table 2: Grid connected PV system components
Item
Model
Power
No.
PV module
Q Cells| Q.Power L-G5
325 Wp
306
Inverter
ABB| TRIO-50
50kWac
2
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It's crucial to strike a balance that permits the solar
panels to receive enough sunshine during both the
summer and the winter in order to capture the most
sunlight possible throughout the year. A tilt angle of
30 degrees has been found to be the ideal setting for
this site after rigorous investigation and calculations.
2.3 PVsyst simulation
PVsyst is a powerful software program that is
frequently used in the solar energy sector to simulate
PV system performance under various
meteorological circumstances. For accurate
simulation results, accurate data on solar resources is
necessary. A typical set of meteorological parameters
obtained from historical data from 2000 to 2014 is
provided by the NREL NSRDB TMY dataset. The
sun irradiance, temperature, wind speed, and other
pertinent meteorological factors are all included in
this dataset. This study uses NREL data to provide
accurate insights into the functionality and potential
for energy production of PV systems.
3. Results and Discussion
This section discusses the implementation of the
research methodology of designing and economic
analysis of the rooftop solar PV system presented in
the preceding section.
Figure 4 shows the typical annual energy
production for a given system on a monthly basis.
The y-axis shows the energy production in kilowatt-
hours (kWh), while the x-axis depicts the twelve
months, beginning in January and ending in
December.
Fig. 4: System monthly normal energy production
The Solar Rooftop System Performance Ratio
(SPR) for the considered time period is shown in
Figure 5. The SPR compares the actual performance
of the solar rooftop system to the anticipated or
theoretical performance to represent the efficiency
and effectiveness of the system. SPR values are
shown on a graph over time, enabling a visual
evaluation of system performance trends.
Fig. 5: System performance ratio
The monthly energy production and grid feed-in
of a solar energy system are shown in Table 3 while
taking seasonal fluctuations in solar radiation into
consideration. Solar radiation is the quantity of
sunshine received at a particular area, and it directly
affects how much electricity solar panels are able to
produce.
Table 3: Roof top PV system monthly energy into
grid
Understanding the losses, a solar system might
endure while in operation is a vital component of
appraising it. By taking into account many elements
that may have an impact on the system's overall
performance, PVsyst enables us to assess and
quantify these losses. For instance, "mismatch loss,"
a typical sort of loss, occurs when solar panels in a
system are not exactly matched in terms of their
electrical properties. PVsyst calculates the mismatch
loss based on the entire system configuration while
taking into account the electrical characteristics of
individual panels. Additionally, PVsyst takes into
account "temperature losses" and their impacts. In
Figure 6, the system losses are displayed.
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Figure 6: System total loss diagram
Figure 7 depicts the relationship between the
Global Incident (kWh/m2/day) and available solar
energy (kWh/day).
Fig. 7: The system daily input and output chart.
In relation to the existing solar capacity, Figure 8
shows the solar energy that is now available.
Kilowatts (kW), a unit of measurement for solar
energy, are shown on the x-axis. This is the
maximum amount of power that solar panels or other
solar energy devices are capable of producing. The y-
axis, on the other hand, displays the amount of solar
energy that is accessible in each class in kilowatt-
hours.
The cost of a photovoltaic (PV) solar system that
is grid-connected is determined by a number of
elements, such as the size, location, type, and quality
of the components used, as well as any extra features
or services. The costs for a grid-connected PV solar
system are shown in Table 4.
Fig. 8: System power output distribution and solar
energy
Table 4: System costs
Item
Quantity
Units
Cost
[USD]
Total Cost
[USD]
PV modules
Q.Power L-G5 325
306
150
45900
Inverters TRIO-50-
TL- OUTD-400
2
5000
10000
Accessories
1
3000
3000
Global installation
cost per module
306
80
24480
Global installation
cost per inverter
2
310
62 0
Transport
1
1000
1000
Settings
1
2000
2000
Grid connection
1
3000
3000
TOTAL
90000
Depreciable asset
82524
The operational costs for system upkeep, repairs,
and cleaning are shown in Table 5. An estimated
$8,000 is spent on maintenance, which also includes
security duties and a budget for inverter replacement.
Repairs are the projected $1,000 cost of fixing
malfunctions or damage. Cleaning expenses, which
are crucial for system effectiveness, total $1000.
These three things make up the overall cost of $
10,000 which represents the anticipated running
costs for maintaining the system over a given time
frame.
Table 5: System operating costs
Item
Total US$/Year
Maintenance Salaries
8000
Replacement /Repairs
1000
Cleaning
1000
TOTAL
10000
Table 6 provides key information about the cost
and performance of a specific system.
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Table 6: System Summary
Total installation cost
90,000 US$
Operating cost
10,000 US$
Energy sold to the grid
169 MWh/year
Cost of produced energy (LCOE)
0.055 USD/kWh
A grid-connected solar PV system's financial
analysis comprises assessing the system's economic
viability and profitability over the course of its
operating lifetime. This helps assess whether
purchasing a solar PV system is financially feasible
and whether it will be able to generate enough
money.
Table 7 provides important financial metrics to
assess the profitability and efficiency of an
investment. The metrics include the payback period,
which in this case is 5 years. Net Present Value
(NPV) is $294143, indicating that the investment is
expected to generate more returns than its initial cost.
The Internal Rate of Return (IRR) is 15.83%,
representing the effective interest rate earned on the
investment. Return on Investment (ROI) is 291.1%.
These metrics help evaluate the investment's
financial viability in a concise manner.
Table 7: Return on investment
Payback period
5 years
Net present value (NPV)
294143 USD
Interna rate of return (IRR)
15.83 %
Return on investment (ROI)
291.1 %
A grid-connected solar PV system plays a crucial
role in achieving a favorable CO emission balance
by reducing greenhouse gas emissions and promoting
clean energy generation. Here's an explanation of the
CO emission balance in such a system. Figure 9
shown the system carbon di oxide emission Vs time.
Fig. 9: Solar PV system saved CO2 emission Vs time.
4 Conclusion
In this work, we used the PVsyst program to carry out
a thorough design and economic analysis of an on-
grid solar rooftop PV system. Evaluating the viability
of establishing such a system financially and
practically was the goal. It was necessary to evaluate
the rooftop's solar potential, choose the best tilt and
orientation for the panels, and size the system's
components during the design phase.
We were able to precisely estimate the
performance of the system using the PVsyst program,
taking into account elements like shading,
temperature, and panel efficiency. As a result, we
were able to create a system that is effective,
optimized, and maximizes the production of solar
energy.
The economic analysis concentrated on assessing
the project's financial components. We took into
account the cost of the initial investment, which
included the cost of buying and installing the
necessary solar panels, inverters, and other hardware.
We also included expenditures for continuous upkeep
and operation, including cleaning, monitoring, and
necessary repairs.
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Contribution of Individual Authors to the
Creation of a Scientific Article (Ghostwriting
Policy)
The authors equally contributed in the present
research, at all stages from the formulation of the
problem to the final findings and solution.
Sources of Funding for Research Presented in a
Scientific Article or Scientific Article Itself
No funding was received for conducting this study.
Conflict of Interest
The authors have no conflicts of interest to declare
that are relevant to the content of this article.
Creative Commons Attribution License 4.0
(Attribution 4.0 International, CC BY 4.0)
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International Journal of Environmental Engineering and Development
DOI: 10.37394/232033.2023.1.15
Fouad Zaro
E-ISSN: 2945-1159
133
Volume 1, 2023